Data Centers in Triangle
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Triangle – Resilient Hub for East Coast IT
Executive Summary
The Triangle market is an excellent choice for organizations that need a cost-effective and low-risk East Coast presence outside the crowded Northern Virginia corridor. Its strong tax incentives and stable power grid provide a reliable platform for production workloads and disaster recovery sites. This market ensures high uptime and lower operational costs for businesses connected to the region's prominent technology and research sectors.
Triangle: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, but not a primary global peering hub. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest major on-ramp hub is Ashburn, VA; private connections are available. |
| Power Cost | $0.07 – $0.09/kWh, as of September 2025 | Competitive rates are driven by a diverse grid with significant nuclear generation. |
| Disaster Risk | Low (14.7 FEMA NRI Score), as of September 2025 | Very low composite risk; primary hazards are weather-related. |
| Tax Incentives | Yes | State offers exemptions for electricity and support equipment. |
| Sales Tax | 4.75% (state base rate), as of September 2025 | North Carolina state sales tax; local rates may also apply. |
Network & Connectivity Ecosystem
The Triangle's connectivity ecosystem is well-suited for regional enterprise applications and as a secondary East Coast location.
Carrier Density & Carrier Neutrality Over 7 unique network providers are available in the market’s primary colocation facilities, as of September 2025. Carrier-neutral data centers provide access to a mix of regional and national carriers for network redundancy.
Direct Cloud On-Ramps As of September 2025, there are no direct public cloud on-ramps within the Triangle market. Connections to major cloud providers are typically established via private network extensions or wave services to the primary East Coast hub in Ashburn, Virginia.
Internet Exchange Points (IXPs) Public peering is limited within the immediate market. Most network traffic is exchanged via private peering within local data centers or routed through major interconnection hubs like Atlanta and Ashburn.
Bare Metal Bare metal server options are available from multiple providers, offering dedicated compute for performance-sensitive applications. Providers such as phoenixNAP and Hivelocity serve customers in the region.
Power Analysis
Average Cost Of Power Industrial power costs in the Triangle region typically range from $0.07 – $0.09/kWh, as of September 2025. These competitive rates help lower total operational costs for compute-intensive workloads. The local grid features a balanced energy mix, including 33% nuclear, 42% natural gas, and 14% renewables.
Power Grid Reliability The power grid serving the Research Triangle area is well-engineered and reliable. Data centers are supported by redundant power feeds from multiple substations, ensuring high levels of uptime for critical infrastructure.
Market Access, Business & Tax Climate
Proximity To Key Business Districts Data centers in this market are strategically located to serve Research Triangle Park (RTP), one of the most prominent high-tech research and development parks in the United States. This proximity provides low-latency connectivity for biotech, academic, and technology companies operating in the park.
Regional Market Reach The Triangle serves as an effective hub for reaching customers throughout North Carolina and the broader Mid-Atlantic and Southeastern United States. It is a strong location for disaster recovery infrastructure for companies with a primary presence in Ashburn or Atlanta.
Tax Advantage For Data Centers North Carolina offers significant tax advantages, including sales and use tax exemptions on data center equipment and the electricity used to power it. These incentives directly reduce both initial capital expenditures and ongoing operational expenses for qualifying facilities.
Natural Disaster Risk
The Triangle market has a very low natural disaster risk profile, with a FEMA National Risk Index score of 14.7 (Very Low), as of September 2025. The region is inland, protecting it from direct coastal threats. Primary risks are atmospheric and weather-related, including hurricanes as they move inland, tornadoes, ice storms, strong winds, and localized riverine flooding.
