Data Centers in Honolulu

Honolulu – Strategic Gateway for Trans-Pacific Connectivity

Honolulu is the essential intersection for data traffic moving between North America and the Asia–Pacific region. This market serves organizations requiring low–latency subsea routes to secure trans–pacific revenue and resilient offshore compute. Its unique geography makes it a primary choice for high–performance network relaying.

Honolulu: At A Glance

Network & Connectivity Ecosystem

Honolulu operates as the central nervous system for data flowing across the Pacific Ocean. As of September 2025, the infrastructure supports high–speed interconnection between the United States mainland and major Asian markets.

Carrier Density & Carrier Neutrality: Carrier count: over 6. There are approximately 6–10 providers operating in the market as of September 2025. Most facilities maintain a neutral stance, allowing participants to choose from multiple international and local fiber providers.

Direct Cloud On-Ramps: Over 1, enabling access to 1 cloud regions. As of September 2025, the market provides direct connectivity to AWS, reducing the need for backhauling traffic to the West Coast for cloud–heavy workloads.

Internet Exchange Points (IXPs): Honolulu hosts localized exchange points that facilitate efficient peering for trans–pacific traffic and local content delivery. These hubs reduce latency for regional users and optimize the flow of data between international carriers.

Bare Metal: Physical infrastructure is available through providers such as Hivelocity, offering dedicated hardware for workloads that require high performance without the overhead of virtualization.

Power Analysis

Energy management in an island environment requires a focus on both availability and sustainability.

Average Cost Of Power: Industrial electricity is approximately $0.32/kWh as of September 2025. The energy mix consists of roughly 30% renewables and 70% fossil fuels, primarily petroleum. While prices are higher than mainland averages, the strategic location often offsets the operational expense for critical latency–sensitive applications.

Power Grid Reliability: The local grid is well–engineered and supports major data center corridors with redundant substations. Facilities typically employ multiple layers of backup generation to manage island–specific utility requirements.

Market Access, Business & Tax Climate

Honolulu provides a unique business environment for companies requiring a presence in the Pacific.

Proximity To Key Business Districts: Data centers are centrally located near the central business district and Honolulu International Airport. This proximity provides easy access for logistics and supports the high concentration of government, military, and tourism–related industries.

Regional Market Reach: From this location, businesses can effectively serve the entire Hawaiian island chain while acting as a low–latency relay point for traffic between Sydney, Tokyo, and Los Angeles.

Tax Advantage For Data Centers: Hawaii offers specialized financial benefits through green infrastructure financing and specific exemptions for qualifying facilities. These programs significantly reduce the long–term cost of deploying high–density compute hardware.

Natural Disaster Risk

The Honolulu market carries a risk profile shaped by its Pacific location. The FEMA NRI Score is High (87.69) as of September 2025.

Management strategies for local infrastructure focus on the following primary natural hazards:

• Hurricane: High risk due to tropical storm paths in the Central Pacific.
• Volcanic Activity: Local risk associated with the geological nature of the islands.
• Tsunami: Significant coastal risk requiring elevated facility placement.
• Earthquake: Regional seismic activity is a consistent factor for structural engineering.
• Wildfire: Increasing risk profiles for inland and dry vegetation areas.