Data Centers in Eugene

Eugene – Strategic Low-Latency Resiliency and Zero Sales Tax

Eugene serves as the primary strategic alternative for organizations requiring a reliable Oregon footprint without the congestion of the Portland metro area. It provides a resilient edge computing and disaster recovery hub, leveraging low power costs and zero sales tax to protect operating margins.

Eugene: At A Glance

Network & Connectivity Ecosystem

Eugene acts as a vital midpoint for fiber traffic moving between the Pacific Northwest and California. While it does not house the massive carrier hotels found in Tier 1 markets, its connectivity is stable and well-suited for localized workloads.

Carrier Density & Carrier Neutrality: Carrier count: 10–15 carriers, as of December 2025. The market supports a diverse mix of regional fiber providers and national carriers that maintain a presence across the 4 local data centers.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions, as of December 2025. There are no direct native cloud on-ramps in Eugene. Most enterprises utilize private network interconnects or wavelength services to reach the major cloud hubs in Portland.

Internet Exchange Points (IXPs): Public peering is limited within the city limits, meaning most local traffic is exchanged privately or routed through the Northwest Access Exchange (NWAX) in Portland as of December 2025.

Bare Metal: Bare metal services are available through regional providers and global specialists like Hivelocity, providing flexible compute options for temporary or high-performance workloads as of December 2025.

Power Analysis

Eugene benefits from some of the most stable and cost-effective energy in the United States, largely due to its proximity to major hydroelectric sources.

Average Cost Of Power: $0.07 – $0.09/kWh, as of December 2025. This rate is consistently lower than the national average, providing a clear financial advantage for power-heavy deployments. The energy mix is approximately 62% renewable, primarily from hydro and wind sources.

Power Grid Reliability: The local grid is well-engineered and benefits from a redundant infrastructure designed to handle the heavy industrial requirements of the region as of December 2025. Multiple substations support the main data center corridors, ensuring a sturdy power supply even during peak demand.

Market Access, Business & Tax Climate

The business environment in Eugene is built for efficiency, specifically regarding equipment procurement and long-term facility costs.

Proximity To Key Business Districts: Data centers are located near the University of Oregon and the downtown core, supporting educational research, local government, and a growing cluster of technology startups as of December 2025.

Regional Market Reach: Eugene is the primary data hub for Central and Southern Oregon as of December 2025. It effectively serves as a low-latency gateway for the Willamette Valley and provides a strategic failover site for Portland-based operations.

Tax Advantage For Data Centers: Oregon is one of the few states with no sales tax, which removes a significant cost layer for servers and networking gear as of December 2025. Specific local programs also offer long-term property tax abatements for substantial data center projects.

Natural Disaster Risk

The regional risk profile is influenced by the geography of the Pacific Northwest. Proper facility selection is required to mitigate these specific hazards.

Risk Score: High (89.81), as of December 2025.

Primary Hazards:

• Earthquake
• Wildfire
• Volcanic Activity (Regional)
• Riverine Flooding
• Landslides
• Winter Weather

While the seismic and volcanic risks are regional in nature, modern data centers in Eugene are purpose-built to strict seismic standards. Most facilities are located on high ground to avoid riverine flooding, which is the primary local water risk. Winter weather and ice storms occasionally impact the area but are managed through standard facility winterization protocols as of December 2025.