Data Centers in Spartanburg
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Spartanburg – Strategic Connectivity for the Upstate Corridor
Executive Summary
Spartanburg is the primary edge market for enterprises serving the manufacturing and automotive powerhouse of the American Southeast. It provides the low-latency infrastructure required for industrial automation while offering a cost-effective alternative to Tier 1 hubs like Atlanta. This location is essential for securing uptime and speed for mission-critical operations along the I-85 corridor.
Spartanburg: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reliable regional fiber access via I-85 corridor. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Reach major clouds via Atlanta or Charlotte hubs. |
| Power Cost | $0.07/kWh – as of September 2025 | Competitive rates supported by high nuclear generation. |
| Disaster Risk | High (88.80) – as of September 2025 | Risk driven by tornado and severe storm potential. |
| Tax Incentives | Yes | Statutory exemptions for data center investments. |
| Sales Tax | 6.00% – as of September 2025 | Standard state base rate applies to business assets. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: Spartanburg maintains a focused network environment with over 3 carriers as of September 2025. The market provides a resilient mid-point between Charlotte and Atlanta, with ~5 providers supporting local industrial requirements through diverse fiber paths.
Direct Cloud On-Ramps: There are 0 direct cloud on-ramps in Spartanburg as of September 2025. Local facilities typically reach AWS, Microsoft Azure, or Google Cloud (GCP) through private transport or wavelength services to Atlanta, which is the nearest major interconnection hub approximately 170 miles away.
Internet Exchange Points (IXPs): Public exchange options are limited within the immediate metro area as of September 2025. Most peering occurs privately or via backhaul to national exchange points in Charlotte or Atlanta to ensure low-latency traffic exchange.
Bare Metal: Dedicated compute requirements are met through regional availability from providers like Hivelocity or Latitude.sh as of September 2025. These services allow businesses to deploy dedicated hardware without the overhead of traditional colocation management.
Power Analysis
Average Cost Of Power: Industrial electricity is priced at approximately $0.07/kWh as of September 2025. This rate is highly competitive and is supported by a generation mix consisting of 55% nuclear and 24% natural gas, providing a stable cost structure for power-hungry deployments.
Power Grid Reliability: The local infrastructure is supported by a well-engineered grid with a high reliance on nuclear baseload power as of September 2025. This setup provides the steady voltage and redundancy required by the heavy manufacturing sector surrounding the Spartanburg area.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers here are positioned for direct support of the I-85 corridor, specifically the BMW manufacturing plant and the technology sector in the Greenville-Spartanburg metro. This proximity ensures that mission-critical applications remain close to the point of production.
Regional Market Reach: Spartanburg effectively serves the entire Upstate South Carolina region and Western North Carolina as of September 2025. It acts as a primary site for companies requiring regional distribution or disaster recovery capabilities outside of major coastal zones.
Tax Advantage For Data Centers: South Carolina provides a statutory data center tax exemption and specific sales and use tax incentives for facility investments. These laws allow operators to reduce the total cost of ownership significantly through long-term exemptions on hardware and electricity.
Natural Disaster Risk
The natural disaster risk for Spartanburg is High (88.80) as of September 2025. While the region is protected from many coastal threats, it faces specific environmental challenges that require resilient facility engineering.
- Tornado: High risk for severe wind events and localized storm damage.
- Heat Wave: High risk for prolonged high temperatures affecting cooling efficiency.
- Hurricane: Indirect risk from storm remnants causing high winds and heavy rain.
- Ice Storm: Moderate risk for winter precipitation that can impact local utility lines.
- Strong Wind: Consistent risk for gusts during seasonal weather transitions.
- Riverine Flood: Moderate risk in specific low-lying areas near local waterways.
