Data Centers in College Station
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College Station – Resilient Texas Edge Computing
College Station offers a strategic location for workloads requiring low-latency access to central and southeast Texas. As a secondary market, it provides a cost-effective and lower-risk alternative to major hubs like Houston and Dallas, making it ideal for disaster recovery, edge computing, and serving regional academic and commercial centers. This ensures resilient application delivery and business continuity.
College Station: At A Glance
Factor | Rating / Data | Notes |
---|---|---|
Global Connectivity Grade | B | Solid regional connectivity, less dense than primary hubs. |
Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest hubs are Houston and Dallas; private network extensions available. |
Power Cost | $0.07 - $0.09/kWh | Industrial rates benefit from a diverse grid with significant natural gas and wind. |
Disaster Risk | Moderate (43.46) – as of September 2025 | Primary risks are wind, hail, and drought; located safely inland. |
Tax Incentives | Yes | Includes a state sales and use tax exemption for qualified data centers. |
Sales Tax | 6.25% (State) – as of September 2025 | Local taxes can increase the total rate. Data center exemptions apply. |
Network & Connectivity Ecosystem
College Station serves as a capable edge market with reliable connectivity to major Texas data center hubs. While not as dense as Dallas or Houston, the infrastructure is sufficient for most regional enterprise and high-performance computing needs.
Carrier Density & Carrier Neutrality: The market contains 2 data centers with service from at least 1 provider as of September 2025. Carrier-neutral options provide access to regional and national networks for redundancy and competitive pricing.
Direct Cloud On-Ramps: There are no direct, public cloud on-ramps within College Station as of September 2025. Businesses connect to cloud providers via private network links to major hubs like Houston or Dallas, which host all major cloud provider access points.
Internet Exchange Points (IXPs): Public peering is not a major feature of this market. Most interconnection is handled privately within facilities or routed through major exchange points in Dallas, Austin, or Houston.
Bare Metal: Bare metal server options are available, typically through providers that have a presence in nearby major markets. Services from providers like Hivelocity can be deployed to serve the region.
Power Analysis
Texas features a diverse and competitive energy market, which benefits power-intensive operations like data centers. The grid is managed by the Electric Reliability Council of Texas (ERCOT).
Average Cost Of Power: Industrial electricity rates in the region typically range from $0.07 to $0.09/kWh as of September 2025. This competitive pricing, driven by a mix of natural gas, wind, and solar, helps manage operational expenditures for high-density deployments.
Power Grid Reliability: The local power grid is well-engineered for commercial needs. The power infrastructure supporting key data center areas is generally reliable, though the broader ERCOT grid has faced stability challenges during extreme weather events.
Market Access, Business & Tax Climate
College Station's location, combined with a favorable business climate, makes it a compelling site for specific data center deployments.
Proximity To Key Business Districts: The market provides low-latency connectivity to Texas A&M University, a major research institution, as well as the Bryan-College Station metropolitan area. It serves as a good location for research computing and local enterprise.
Regional Market Reach: Strategically positioned between Houston and Austin, College Station can effectively serve as a disaster recovery site or edge location for businesses operating across southeast Texas, reaching millions of end-users with reduced latency.
Tax Advantage For Data Centers: Texas offers significant tax incentives that directly lower the cost of building and operating a data center. A state sales and use tax exemption on equipment, software, and power is a primary benefit for qualifying projects.
Natural Disaster Risk
College Station has a moderate natural disaster risk profile, with a FEMA National Risk Index score of 43.46 out of 100 as of September 2025. Its inland location protects it from the most severe coastal threats like hurricanes.
Key risks for the area include:
- Drought
- Hail
- Severe Wind (Winter Storm, Hurricane)
- Lightning
- Riverine Flooding
- Wildfire