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Long Island – Resilient Low-Latency Infrastructure

Long Island serves as a critical secondary hub for the New York metropolitan area, providing a reliable alternative to the dense Manhattan urban core. It is the premier choice for organizations requiring high-speed connectivity to global financial markets and international subsea cables without city-center physical constraints.

Long Island: At A Glance

FactorRating / DataNotes
Global Connectivity GradeA+Exceptional access to regional networks and subsea cable landings.
Direct Cloud On-Ramps0 – as of September 2025Nearest on-ramp hub city is Manhattan.
Power Cost$0.07–$0.09/kWh – as of September 2025Competitive industrial rates for the Northeast region.
Disaster RiskLow (23.03) – as of September 2025Favorable risk profile compared to coastal urban centers.
Tax IncentivesYesSales tax exemptions for internet data center equipment.
Sales Tax4.00% – as of September 2025New York state base rate as of September 2025.

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: The market supports over 35 carriers across 7 major data centers as of September 2025. This density provides diverse routing options and competitive pricing for transit, ensuring enterprise-grade redundancy for mission-critical applications.

Direct Cloud On-Ramps: There are 0 direct public cloud on-ramps physically located on Long Island as of September 2025. Primary access to AWS, Google Cloud (GCP), and Microsoft Azure is managed through private wave extensions to Manhattan, which is the nearest national hub.

Internet Exchange Points (IXPs): Peering is largely facilitated through the nearest national hubs in New York City. Local facilities like 1025Connect in Westbury serve as vital interconnection points for subsea cables and regional terrestrial networks.

Bare Metal: High-performance compute options are available through providers such as phoenixNAP and ColoCrossing as of September 2025. These services allow for rapid deployment of localized workloads.

Power Analysis

Average Cost Of Power: Industrial electricity rates on Long Island average between $0.07/kWh and $0.09/kWh as of September 2025. These rates are significantly lower than Manhattan retail power, providing a meaningful reduction in total cost of ownership. The regional energy mix consists of approximately 26% renewables, with the remainder supported by nuclear and natural gas.

Power Grid Reliability: The local grid is well-engineered and utilizes multi-substation support to ensure high availability for the technology corridor. Redundant utility feeds are a standard feature for top-tier facilities in the region.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers here are strategically located to serve financial services, healthcare, and research sectors in Manhattan and the surrounding boroughs. The proximity allows for sub-millisecond latency to the major exchanges and corporate headquarters in the city.

Regional Market Reach: This location effectively serves the entire Tri-State area, reaching a population of over 20 million people. It is a vital link for international traffic due to its position as a landing point for major transatlantic subsea cables.

Tax Advantage For Data Centers: New York provides a specific sales tax exemption for property used in internet data centers. This incentive, combined with utility bill credits and property tax abatements, makes the region financially attractive for large-scale infrastructure investments.

Natural Disaster Risk

Long Island maintains a Low NRI score of 23.03 as of September 2025. This indicates a resilient environment for infrastructure. While the region is prepared for Atlantic weather patterns, the inland positioning of major facilities mitigates many direct coastal threats.

The highest-scoring natural hazards for the area as of September 2025 include:

  • Hurricane
  • Ice Storm
  • Lightning
  • Riverine Flooding
  • Cold Wave
  • Heat Wave

Other risks are considered minor or are not materially documented for the primary data center corridors.

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