Data Centers in Gillette
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Gillette – Low-Risk, Low-Cost Digital Infrastructure
Gillette offers a compelling market for companies prioritizing low operational costs and high physical security for their data infrastructure. Its combination of aggressive tax incentives, low natural disaster risk, and affordable power makes it an ideal location for disaster recovery, data archiving, and workloads that are not sensitive to latency.
Gillette: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | A secondary market with reliable connectivity, suitable for non-latency-critical applications. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest major cloud hubs are in Denver; private network extensions available. |
| Power Cost | $0.06 – $0.08/kWh (est.) | Driven by a generation mix of coal (60%) and wind (23%). |
| Disaster Risk | Low (16.64 Score) – as of September 2025 | Ranks as "Very Low" on the FEMA National Risk Index. |
| Tax Incentives | Yes | Sales, use, and property tax exemptions are available for qualifying data center equipment. |
| Sales Tax | 4.00% (state rate) – as of September 2025 | One of the lowest state sales tax rates in the United States. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: As a developing market, Gillette has focused connectivity options available within its single carrier-neutral data center as of September 2025. This provides foundational access for enterprise needs.
Direct Cloud On-Ramps: There are no direct cloud on-ramps within Gillette, enabling access to 0 cloud regions locally as of September 2025. Businesses connect to major cloud providers like AWS, Google Cloud, and Microsoft Azure via private network links to the primary hub in Denver.
Internet Exchange Points (IXPs): Public peering is not established locally. Most network peering is conducted privately or routed through national interconnection hubs like Denver to optimize traffic exchange.
Bare Metal: Bare metal server options are available, typically provisioned through providers like Hivelocity or ColoCrossing from regional data centers to serve workloads in the area.
Power Analysis
Average Cost Of Power: The estimated industrial electricity rate in Gillette ranges from $0.06 to $0.08 per kWh as of September 2025. This competitive pricing significantly reduces operational expenditures for power-intensive compute and storage. Wyoming's power mix is dominated by coal (60%) and wind (23%), ensuring stable and affordable energy.
Power Grid Reliability: The regional power grid is well-engineered and reliable, supported by substantial local generation capacity. This provides a stable environment for critical data center operations requiring consistent uptime.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Gillette's data center infrastructure primarily supports the state's energy sector and serves as a strategic national site rather than focusing on a local metropolitan business district. Its value lies in cost savings and security, not urban proximity.
Regional Market Reach: The market is best suited to function as a disaster recovery or secondary site for businesses in the Mountain West and beyond. It effectively serves workloads that can be geographically distant from end-users, such as data analytics, backup, and archival.
Tax Advantage For Data Centers: Wyoming provides some of the most aggressive data center tax incentives in the country. Qualifying projects can receive sales, use, and property tax exemptions on servers and other IT equipment, which dramatically lowers the total cost of ownership for new deployments and hardware refreshes.
Natural Disaster Risk
Gillette 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. This places it in one of the safest categories nationwide for critical infrastructure placement.
The primary environmental risks for the area include:
- Cold Waves
- Hail
- Landslides
- Wildfire
- Winter Weather
