Data Centers in Buffalo
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Buffalo, WY – Stable, Low-Risk Colocation
Executive Summary
Buffalo, Wyoming, is a strategic market for organizations requiring high physical security and an exceptionally low-risk operational environment. Its combination of generous tax incentives and minimal exposure to natural disasters makes it a strong choice for backup, disaster recovery, and archival workloads where uptime and cost predictability are paramount.
Buffalo, WY: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, though lacking direct cloud access points within the immediate market. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | The nearest major cloud access hub is Denver, offering private extension options. |
| Power Cost | $0.07-0.09/kWh – as of September 2025 | Driven by a coal-heavy energy mix, providing stable and predictable industrial power pricing. |
| Disaster Risk | Low (NRI Score: 16.64) – as of September 2025 | Very low overall risk profile with no single high-impact environmental threat. |
| Tax Incentives | Yes | Wyoming offers multiple DC-specific sales, use, and property tax exemptions and abatements. |
| Sales Tax | 4.00% (State Rate) – as of September 2025 | The state sales tax is among the lowest in the nation. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The Buffalo market is served by at least 1 provider operating a single data center, as of September 2025. Connectivity options are suitable for enterprise and DR workloads but are not as dense as a primary hub.
Direct Cloud On-Ramps: There are no direct cloud on-ramps in Buffalo, as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure through the primary regional hub in Denver via private network interconnects or wavelength services.
Internet Exchange Points (IXPs): Public peering is not a feature of this market. Interconnection is typically handled privately between carriers or established via the nearest national hub in Denver.
Bare Metal: Bare metal server options are available, typically provisioned through providers like phoenixNAP or ColoCrossing who can service edge or secondary locations.
Power Analysis
Average Cost Of Power: Industrial electricity rates are estimated between $0.07 and $0.09 per kWh, as of September 2025. This competitive pricing structure supports cost-effective operations for power-intensive infrastructure. Wyoming's energy mix is dominated by coal (60%) and wind (23%), as of 2024.
Power Grid Reliability: The regional power grid is engineered for industrial use and offers reliable service. The infrastructure supporting data center operations is stable, drawing from a consistent and predictable energy supply.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in Buffalo serve local and regional enterprises focused on energy, agriculture, and logistics. The market's value is less about proximity to a specific business district and more about its secure, remote location.
Regional Market Reach: Buffalo provides effective service coverage for the state of Wyoming and can act as a secondary disaster recovery site for operations in the Mountain West region, including the Denver and Salt Lake City metropolitan areas.
Tax Advantage For Data Centers: Wyoming provides significant financial benefits through sales and use tax exemptions on data center equipment, software, and power. These incentives directly reduce both initial capital expenditures and ongoing operational costs for qualifying facilities.
Natural Disaster Risk
Buffalo has a very low natural disaster risk profile, with a FEMA National Risk Index score of 16.64 out of 100, as of September 2025. The primary environmental risks are manageable and infrequent.
Key hazards include:
- Cold Wave
- Hail
- Landslide
- Wildfire
- Winter Weather
