Data Centers in Des Moines

Des Moines – Strategic Midwest Data Center Solutions

High Performance Infrastructure in America's Heartland

Des Moines is a primary destination for enterprises requiring high-density computing and significant tax efficiency. This market offers a rare combination of massive renewable energy reserves and a business climate that rewards large-scale infrastructure investments with long-term cost stability.

Des Moines: At A Glance

Network & Connectivity Ecosystem

Des Moines functions as a critical junction for transcontinental fiber, providing reliable latency for traffic crossing the United States.

Carrier Density & Carrier Neutrality The market features over 8 carriers as of September 2025. Major facilities in the area operate under carrier-neutral models, allowing for competitive cross-connect pricing and diverse pathing for enterprise redundancy.

Direct Cloud On-Ramps There are 0 direct cloud on-ramps as of September 2025. Access to AWS, Google Cloud (GCP), and Microsoft Azure is managed via private network interconnects or dedicated transport to the nearest major cloud hub in Chicago.

Internet Exchange Points (IXPs) Public internet exchange presence is limited locally, meaning most peering occurs through private interconnects or via regional hubs in larger neighboring markets. This setup favors organizations that prioritize secure, point-to-point data transfers.

Bare Metal Bare metal services are available through providers like Hivelocity and phoenixNAP as of September 2025. These options allow businesses to deploy physical hardware with cloud-like flexibility without the overhead of managing a full facility.

Power Analysis

Iowa is a leader in renewable energy, which directly impacts both the sustainability and price of power in Des Moines.

Average Cost Of Power Industrial electricity is approximately $0.07/kWh as of September 2025. This rate is consistently lower than the national average, providing a clear financial advantage for high-draw deployments like AI training or large-scale colocation.

Power Grid Reliability The grid is well-engineered and utilizes a diverse energy mix, including nearly 60% wind generation as of September 2025. Multi-substation support in major data center corridors ensures reliable uptime for mission-critical operations.

Market Access, Business & Tax Climate

Des Moines offers a welcoming environment for digital infrastructure, specifically for the insurance and financial sectors.

Proximity To Key Business Districts Data centers are located near major financial and insurance headquarters in the downtown and suburban corridors. This proximity allows for low-latency connectivity to the city's largest employers and service providers.

Regional Market Reach A presence in Des Moines effectively serves the entire Upper Midwest. It is an ideal site for disaster recovery for Chicago-based firms or as a primary site for companies serving the central United States.

Tax Advantage For Data Centers Iowa provides aggressive tax benefits, including broad exemptions on sales and use taxes for equipment used in data centers. These incentives significantly lower the total cost of ownership for long-term hardware deployments.

Natural Disaster Risk

The natural disaster risk in Des Moines is rated as Moderate with a score of 43.14 as of September 2025. While the overall threat to infrastructure is low, facility operators focus on specific environmental factors common to the Midwest.

The primary natural hazards include:

• Cold Waves
• River Flooding
• Tornadoes
• Ice Storms
• Winter Weather
• Hail

Most modern facilities in the region are purpose-built to handle these weather events, utilizing reinforced structures and climate-controlled environments to maintain continuous operation. All other natural hazards are considered minor as of September 2025.