Data Centers in Hanover
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Hanover, Pennsylvania, USA – Regional & Disaster Recovery Hub
Hanover serves as a strategic colocation market for businesses requiring a presence in Central Pennsylvania or a cost-effective disaster recovery site outside the primary East Coast data center hubs. Its location offers a balance of proximity to major metropolitan areas like Baltimore and Philadelphia while mitigating some of the costs and risks associated with those top-tier markets. This makes Hanover a solid choice for production workloads serving the regional population and for business continuity plans.
Hanover, Pennsylvania, USA: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid connectivity for a secondary market, suitable for regional enterprise needs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest hubs are Ashburn and Philadelphia. Private network extensions are available. |
| Power Cost | $0.07 – $0.09/kWh | Industrial rates benefit from a grid rich in natural gas and nuclear power. |
| Disaster Risk | High (NRI Score: 84.00) | Main risks are winter weather, strong wind, and remnants of tropical systems. |
| Tax Incentives | Yes | Pennsylvania offers a sales and use tax exemption for qualifying data center equipment. |
| Sales Tax | 6.00% (state base rate) | As of September 2025, this is the Pennsylvania state base rate. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality The Hanover market provides access to over 7 carriers, as of September 2025. This density offers sufficient options for building redundant network services for most enterprise applications. Facilities in the area support carrier-neutral interconnection, allowing flexibility in network design.
Direct Cloud On-Ramps There are no direct public cloud on-ramps within Hanover, as of September 2025. Businesses connect to cloud providers like AWS, Google Cloud (GCP), and Microsoft Azure through network providers offering private connectivity to major interconnection hubs in Ashburn, VA, and Philadelphia, PA.
Internet Exchange Points (IXPs) Public peering is not a feature of the Hanover market. Most network peering is conducted privately between carriers or routed through major regional exchanges, primarily the Philadelphia Internet Exchange (PHLIX) or the extensive ecosystem in Ashburn.
Bare Metal Bare metal server options are available from providers servicing the region. Companies like ColoCrossing offer dedicated server solutions that can be deployed within local data centers to support compute-intensive workloads.
Power Analysis
Average Cost Of Power Industrial electricity rates in the Hanover area typically range from $0.07 to $0.09/kWh, as of September 2025. The state's power mix, which relies heavily on natural gas and nuclear generation, contributes to these stable and competitive energy prices, lowering total operational costs.
Power Grid Reliability The power grid supporting Hanover is well-engineered and reliable, consistent with infrastructure serving established industrial regions in the Mid-Atlantic. Local data centers are typically supported by redundant power feeds from separate substations to ensure high levels of uptime.
Market Access, Business & Tax Climate
Proximity To Key Business Districts Hanover's data centers are well-positioned to serve businesses in Central Pennsylvania, including the state capital of Harrisburg, as well as markets in northern Maryland like Baltimore. This proximity enables low-latency connections for regional financial, healthcare, and manufacturing firms.
Regional Market Reach From Hanover, digital services can effectively reach a large population across Pennsylvania, Maryland, and Delaware. It also functions as an excellent secondary or disaster recovery location for companies with primary infrastructure in the more congested and expensive data center alleys of Northern Virginia or the New York metro area.
Tax Advantage For Data Centers Pennsylvania provides a significant tax benefit through its Computer Data Center Equipment Exemption Program. This program exempts qualifying equipment purchases from the state's 6.00% sales and use tax, directly reducing the capital expenditure required to build or expand a deployment.
Natural Disaster Risk
Hanover has a High natural disaster risk profile, with a FEMA National Risk Index score of 84.00, as of September 2025. The primary environmental threats are driven by severe weather events rather than seismic or coastal hazards.
Key risks for data center operations include winter weather, ice storms, strong winds from thunderstorms or remnant tropical systems, and tornadoes. While the overall risk score is high, facilities in this area are built to modern standards to mitigate the impact of these specific threats.
