Data Centers in Gillette
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Gillette, Wyoming – Resilient Infrastructure & Favorable Tax Climate
Gillette offers a compelling environment for businesses prioritizing operational stability and cost efficiency. Its very low natural disaster risk profile, combined with significant state-level tax incentives, makes it an excellent choice for workloads requiring high availability and a predictable total cost of ownership. This market is ideal for disaster recovery sites, archival storage, and compute infrastructure not dependent on ultra-low latency to major coastal hubs.
Gillette, Wyoming: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Solid regional connectivity, though lacking direct connections to major international hubs. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | The nearest major cloud access hubs are in Denver. |
| Power Cost | $0.07-0.09/kWh – as of September 2025 | Competitive industrial rates; grid is 60% coal and 23% wind-powered. |
| Disaster Risk | Low (16.64) – as of September 2025 | Very low exposure to major natural disasters, enhancing uptime potential. |
| Tax Incentives | Yes | Wyoming provides multiple sales, use, and property tax exemptions for data centers. |
| Sales Tax | 4.00% (State Rate) – as of September 2025 | Favorable state sales tax, with potential local additions. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: As a regional market, Gillette has access to a focused set of network providers, with expanded options available via long-haul fiber routes. The primary data center facility offers carrier-neutral access, ensuring choice and competitive pricing for transit and transport.
Direct Cloud On-Ramps: There are no native public cloud on-ramps located directly in Gillette as of September 2025. Businesses connect to cloud providers like AWS, Google Cloud, and Microsoft Azure through network providers offering private connectivity to major hubs, primarily Denver.
Internet Exchange Points (IXPs): Public peering is not a feature of this market. Most interconnection is handled privately between carriers or routed through regional and national exchange points in larger metropolitan areas like Denver.
Bare Metal: Bare metal server options are available in the region, typically provisioned through providers with national footprints. Services from companies such as Hivelocity can be deployed to serve workloads from nearby data center locations.
Power Analysis
Average Cost Of Power: Industrial electricity rates in Wyoming are competitive, estimated between $0.07 and $0.09 per kWh as of September 2025. This pricing structure offers significant operational savings for power-intensive compute and storage deployments. The state's power mix is dominated by coal (60%) and wind (23%), with natural gas providing an additional 16% of generation.
Power Grid Reliability: The power grid supporting Gillette is engineered for industrial use, reflecting the state's significant energy and resource sectors. This results in a stable and reliable power supply suitable for mission-critical data center operations.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers in Gillette primarily serve the state's energy and agriculture industries, as well as local government and regional enterprise clients. Its central location offers a strategic option for entities operating within Wyoming and the Northern Rockies.
Regional Market Reach: Gillette provides effective service coverage for Wyoming, Montana, and the western parts of South Dakota and Nebraska. It is a logical location for disaster recovery and secondary sites for businesses headquartered in the Denver metropolitan area.
Tax Advantage For Data Centers: Wyoming offers substantial tax benefits that directly lower the capital and operational expense of running a data center. The state provides sales and use tax exemptions on qualifying equipment purchases and property tax abatements, creating a highly favorable financial climate for infrastructure investment.
Natural Disaster Risk
Gillette has a very low natural disaster risk profile, with a FEMA National Risk Index score of 16.64 as of September 2025. This score indicates a resilient location for critical infrastructure, minimizing the threat of environmental disruptions to operations. The primary risks, while minimal, are Cold Waves, Hail, Landslides, Wildfires, and Winter Weather. The area has no significant exposure to hurricane, tornado, or earthquake events.
