Data Centers in Pennsylvania

Pennsylvania – Resilient East Coast Connectivity Hub

Pennsylvania is a primary data center market for enterprises requiring low-latency connections to major East Coast metros without the premium costs of Northern Virginia or New York. The state's strong network density and favorable tax climate make it a strategic location for disaster recovery and production workloads that demand high uptime and cost efficiency.

Pennsylvania: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Pennsylvania provides access to over 35 unique network providers as of September 2025. The state's 57 data centers offer reliable carrier-neutral interconnection options, concentrated in the Philadelphia and Pittsburgh metro areas.

Direct Cloud On-Ramps: The state has over 2 cloud on-ramps, enabling direct, low-latency connections to 1 cloud regions as of September 2025. Direct access is available for AWS.

Internet Exchange Points (IXPs): The primary IXPs are the Philadelphia Internet Exchange (PHLIX) and the Pittsburgh Internet Exchange (PITEX). These exchanges facilitate efficient local traffic peering, reducing latency and transit costs for businesses operating within the state.

Bare Metal: Bare metal server options are readily available from providers like Hivelocity and phoenixNAP, offering dedicated compute resources for performance-sensitive applications.

Power Analysis

Average Cost Of Power: Industrial power costs in Pennsylvania are estimated to range from $0.08 to $0.11/kWh as of September 2025. This competitive pricing, driven by a grid rich in natural gas and nuclear generation, helps lower total operational costs.

Power Grid Reliability: The power grid is well-engineered, especially around major data center clusters in Philadelphia and Pittsburgh. Facilities frequently offer multi-substation support and redundant power feeds to ensure high levels of uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Pennsylvania are strategically located to serve the financial, healthcare, and pharmaceutical industries in Philadelphia and the technology and robotics sectors in Pittsburgh. Proximity reduces latency for critical applications.

Regional Market Reach: The state serves as a key connectivity hub for the Mid-Atlantic and Northeast regions. It offers a compelling alternative to more expensive markets, providing low-latency access to New York City, Washington D.C., and Chicago.

Tax Advantage For Data Centers: Pennsylvania offers a significant sales and use tax exemption on computer data center equipment for qualifying facilities. This incentive directly reduces the capital expenditure required to build out or refresh critical IT infrastructure.

Natural Disaster Risk

Pennsylvania has a High natural disaster risk profile, with a FEMA National Risk Index score of 84.00 as of September 2025. The primary hazards are weather-related and include severe winter weather, riverine flooding, strong winds, and tornadoes. Risks from earthquakes and hurricanes are present but less frequent compared to other regions.