Data Centers in Vermont

Vermont – Sustainable Edge Reliability for the Northeast

Vermont is a strategic choice for organizations needing a resilient edge presence between major hubs like Boston and Montreal. It provides a stable, green-energy-focused environment for regional disaster recovery and specialized workloads that benefit from proximity without the costs of a tier-one metro.

Vermont: At A Glance

Network & Connectivity Ecosystem

Vermont acts as a stable link for regional interconnection, serving as a connector for Northeast markets. It provides necessary path diversity for resilient edge computing even though it is not a primary carrier hotel hub.

Carrier Density & Carrier Neutrality: Carrier count: over 5 as of September 2025. The market contains a mix of regional incumbents and specialized fiber providers, offering sufficient path diversity for redundant configurations.

Direct Cloud On-Ramps: 0, enabling access to 0 cloud regions as of September 2025. There are no native on-ramps in the state. Traffic generally routes to Boston or Montreal via private PNI or high-capacity wave services to reach AWS, Google Cloud (GCP), or Microsoft Azure.

Internet Exchange Points (IXPs): Most peering occurs at larger regional hubs in Boston or Montreal. Local traffic exchange is typically handled through private interconnects between the primary regional providers.

Bare Metal: Services are available through regional providers and national specialists such as Hivelocity, providing flexible compute options for localized deployments.

Power Analysis

Vermont is a leader in sustainable energy, which is ideal for firms with strict environmental mandates.

Average Cost Of Power: Industrial rates are approximately $0.15/kWh as of September 2025. The grid mix consists primarily of renewables, including hydro, biomass, wind, and solar, with significant imported electricity and minimal fossil fuel reliance. This green-heavy mix provides long-term price stability compared to markets dependent on volatile natural gas prices.

Power Grid Reliability: The electrical infrastructure is well-engineered and supports multi-substation redundancy for critical facilities. Reliability is reinforced by a modern distribution network designed to withstand severe northern weather conditions.

Market Access, Business & Tax Climate

The business environment in Vermont is purpose-built for specialized technology sectors and research-heavy industries.

Proximity To Key Business Districts: Data centers are centrally located near the Burlington tech corridor and major academic institutions. This proximity is vital for low-latency access for local government, healthcare systems, and higher education research labs.

Regional Market Reach: This location effectively serves the northern New England corridor and Southern Quebec. It provides a neutral ground for cross-border data transfer and regional backup sites for firms headquartered in Boston or Montreal.

Tax Advantage For Data Centers: Vermont offers a specific sales tax exemption for data center equipment to attract infrastructure investment. This financial benefit significantly lowers the cost of hardware refreshes and helps customers manage long-term capital expenses.

Natural Disaster Risk

Vermont maintains a Moderate (56.92) risk profile as of September 2025. While the state is safe from many coastal threats, infrastructure must account for inland environmental factors.

• River Flooding: A primary concern during spring thaws or heavy rain events; facilities are generally sited outside active floodplains.
• Winter Weather: Frequent heavy snow and ice require sturdy facility designs and specialized cooling maintenance.
• Heat Waves: Seasonal temperature spikes require efficient cooling systems.
• Lightning: Moderate frequency requires reliable surge protection and grounding systems.
• Wildfire: A minor seasonal risk in heavily forested areas but rarely impacts primary industrial corridors.