Data Centers in Wisconsin

Wisconsin – Stable Midwest Colocation Hub

Wisconsin offers a reliable and cost-effective data center market, ideal for enterprises needing a stable secondary or disaster recovery site to serve the Upper Midwest. Its strategic location provides a resilient alternative to primary hubs like Chicago, balancing strong connectivity with a lower risk profile and attractive tax incentives.

Wisconsin: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Wisconsin is served by over 12 network providers as of September 2025. The state features a healthy mix of regional and national carriers, with carrier-neutral facilities concentrated in Milwaukee, Madison, and other commercial centers.

Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Wisconsin. Businesses connect to 0 cloud regions locally, instead relying on dedicated private network connections to major cloud hubs, primarily in Chicago, to access providers like AWS, Google Cloud, and Microsoft Azure.

Internet Exchange Points (IXPs): Public peering is limited within the state. Most network interconnection occurs via private peering within individual data centers or is routed through major exchange points in Chicago to ensure low-latency connectivity to national and global networks.

Bare Metal: Bare metal server options are available from providers in the region, offering dedicated compute resources for performance-sensitive workloads. Service is available from providers such as Hivelocity and ColoCrossing.

Power Analysis

Average Cost Of Power: Industrial electricity rates in Wisconsin typically range from $0.08 to $0.10 per kWh as of September 2025. These competitive power costs make the state an attractive location for managing compute-intensive infrastructure.

Power Grid Reliability: The state's power grid is well-engineered and stable, particularly in the main commercial corridors where data centers are located. Facilities often have access to redundant power from multiple substations, ensuring high levels of uptime.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers in Wisconsin are strategically located to support the state's key industries, including manufacturing, healthcare, and financial services in Milwaukee, Madison, and Green Bay. This proximity allows for low-latency connections essential for production systems and data processing.

Regional Market Reach: Wisconsin serves as an excellent digital infrastructure hub for the Upper Midwest, offering reliable connectivity to markets in Minnesota, Illinois, and Michigan. Its location outside the primary Chicago disaster radius makes it a strong choice for business continuity.

Tax Advantage For Data Centers: Wisconsin provides a significant financial benefit through a sales and use tax exemption on data center equipment and software. This incentive directly reduces the capital expenditure required to build, expand, or refresh IT infrastructure.

Natural Disaster Risk

Wisconsin has a moderate natural disaster risk profile, with a FEMA National Risk Index score of 60.48 as of September 2025. The state is not exposed to major seismic or hurricane activity, making it a stable location for critical infrastructure.

Key risks are primarily weather-related and include:

• Tornadoes
• Severe Wind
• Winter Weather
• Riverine Flooding
• Hail
• Wildfire