Data Centers in Cheyenne
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Cheyenne, Wyoming, United States – Cost-Effective & Resilient Colocation
Cheyenne presents a compelling case for businesses prioritizing operational stability and long-term cost savings. The market's combination of significant tax incentives, low natural disaster risk, and access to affordable power makes it an excellent choice for disaster recovery sites and compute-intensive workloads that are not hyper-sensitive to latency. This location ensures infrastructure remains secure and financially efficient.
Cheyenne, Wyoming, United States: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, but limited long-haul fiber routes compared to major hubs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest on-ramps are in Denver; access via private network extensions is common. |
| Power Cost | $0.07 - $0.09/kWh | Industrial power is competitively priced, reflecting a favorable generation mix. |
| Disaster Risk | Low (16.64 NRI Score) | Very low exposure to major natural disasters like earthquakes or hurricanes. |
| Tax Incentives | Yes | Significant sales, use, and property tax exemptions are available for qualifying data centers. |
| Sales Tax | 4.00% (State Rate) | The combined state and local average sales tax is notably low, as of 2025. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality Cheyenne is a developing market with a focused connectivity ecosystem. The area is served by 4 providers as of September 2025, offering access to regional and national networks. Carrier-neutral facilities provide essential options for building resilient, multi-carrier network architectures.
Direct Cloud On-Ramps There are no direct public cloud on-ramps within Cheyenne data centers as of September 2025. Businesses connect to cloud providers like AWS, Google Cloud (GCP), and Microsoft Azure through dedicated network links to interconnection hubs in Denver.
Internet Exchange Points (IXPs) Public peering is limited within Cheyenne. Most network interconnection is handled privately between carriers within local data centers or routed through major exchange points in Denver to optimize traffic flow and reduce latency.
Bare Metal Bare metal server options are available, enabling businesses to deploy dedicated compute without capital investment. Providers like phoenixNAP and Hivelocity can serve the region, typically deploying from nearby hubs like Denver or Salt Lake City.
Power Analysis
Average Cost Of Power Industrial electricity rates in Cheyenne typically range from $0.07 to $0.09/kWh as of September 2025. This competitive pricing offers a significant operational cost advantage, especially for organizations deploying high-density server racks or large-scale storage environments. The power mix is dominated by coal (60%) and wind (23%) as of 2024.
Power Grid Reliability Wyoming's power grid is reliable and engineered to support industrial operations. Data centers in the Cheyenne area benefit from stable power infrastructure, with many facilities offering redundant connections to multiple substations to ensure high levels of uptime.
Market Access, Business & Tax Climate
Proximity To Key Business Districts Cheyenne's data centers serve the city's government, logistics, and growing technology sectors. Their strategic location along major transportation and fiber corridors provides a crucial link between the Mountain West and the central United States.
Regional Market Reach From Cheyenne, businesses can effectively serve end-users across Wyoming, the Colorado Front Range, western Nebraska, and eastern Utah. It is an ideal location for a secondary or disaster recovery site for companies with a primary presence in the Denver metropolitan area.
Tax Advantage For Data Centers Wyoming offers some of the most aggressive data center tax incentives in the country. Qualifying projects can receive multi-year exemptions on sales, use, and property taxes for equipment, software, and electricity, which drastically reduces both initial capital outlay and ongoing operational costs.
Natural Disaster Risk
Cheyenne has a very low natural disaster risk profile, with a FEMA National Risk Index score of 16.64 as of September 2025. This minimizes the threat of environmental disruptions to data center operations. The primary hazards for the region are cold waves, hail, landslides, wildfires, and general winter weather. The area has minimal exposure to catastrophic events like earthquakes, tornadoes, or hurricanes.
