Top Data Center Locations in the U.S.

The United States is the undisputed global leader in data center capacity, hosting a critical mass of the world’s digital infrastructure.

As of November 2025, the United States leads the world with nearly 4,165 data centers, accounting for nearly 38% of all data center facilities globally.

As the demand for AI, cloud computing, and big data continues to grow exponentially, the geographic distribution of these facilities is becoming more strategic than ever. Location is no longer just about available land; it's about a complex interplay of power, fiber connectivity, regulatory environment, and risk mitigation. This comprehensive guide breaks down the top 10 data center markets in the US.

Northern Virginia is the largest and most important data center market in the world, with more than 300 facilities concentrated across Ashburn, Sterling, Manassas, and the surrounding counties. The region has grown around decades of federal investment, long-haul fiber routes, and dense carrier presence, which together form the backbone of what is often called “Data Center Alley.” Because so much of the global internet passes through these networks, cloud providers, hyperscalers, and enterprises rely on Northern Virginia for fast connectivity, predictable performance, and access to a massive interconnection ecosystem.

The region also benefits from the availability of large parcels of land, competitive power rates, and strong local policies that have supported continuous expansion. Despite growing concerns around power constraints, Northern Virginia remains the preferred location for hyperscale campuses, AI compute clusters, and cloud on-ramps.

As the central hub for data movement across the contiguous United States, the Dallas-Fort Worth (DFW) metroplex has cemented its position as a powerhouse, featuring more than 150 data centers. Strategically located between the East Coast hyper-market (NOVA) and the West Coast hub (Silicon Valley), Dallas offers an affordable, yet highly connected, alternative. Its appeal is rooted in a compelling combination of the lowest real estate costs among primary U.S. markets, power costs well below the national average due to Texas's deregulated energy market, and strong metro and long-haul fiber connectivity.

Silicon Valley retains one of the highest concentrations of data centers in the U.S., with around 160 facilities serving cloud giants, technology firms, semiconductor companies, and AI startups. Connectivity density and proximity to major corporate headquarters make it a foundational region for compute, development environments, and R&D workloads.

Despite high energy costs and strict permitting, the region remains indispensable due to its immediate access to engineering teams and legacy network pathways. Operators continue modernizing older facilities and expanding to surrounding metros to support AI training clusters and multicloud architectures.

The Tri-State region has about 145 data centers, mainly serving financial services, high-frequency trading, media companies, and large enterprises. New York City offers the closest access to major financial exchanges, while New Jersey provides more space and lower costs for large-scale facilities.

Because banks and trading firms require extremely high uptime, the region prioritizes strong reliability, redundancy, and network performance. Most new data center construction continues to shift toward suburban New Jersey, where land is cheaper, and zoning rules are more flexible.

Chicago is the Midwest’s primary data center hub, with roughly 110 facilities serving enterprise, financial, government, and cloud operators across the region. Its status as a national fiber crossroads gives it some of the strongest connectivity in the country.

This combination of dense fiber routes, central geography, and strong network diversity makes Chicago an attractive market for companies that need reliable performance without being tied to coastal metros. Because of this, the city handles a wide mix of workloads, from traditional enterprise hosting to cloud interconnects and edge deployments that support regional users.

Beyond connectivity, Chicago offers several operating advantages that help reduce long-term costs. The region has stable geology with low earthquake and hurricane risk, making it suitable for mission-critical infrastructure. Its naturally cooler climate lowers cooling expenses, while competitive electricity pricing helps large operators manage power-intensive workloads.

Atlanta has developed into a leading data center market in the Southeast, with about 80 facilities serving telecommunications companies, media networks, enterprises, and cloud providers. The city’s strong fiber infrastructure connects directly to major markets along the East Coast and into the central U.S., making it an important network gateway. Atlanta’s business-friendly environment and large metropolitan footprint attract operators looking for scalable sites that can support future expansion.

The Seattle and Quincy areas together host around 70 data centers, shaped heavily by the presence of major cloud providers such as Amazon and Microsoft. Seattle’s strong network ecosystem, deep tech workforce, and proximity to corporate headquarters make it ideal for development, testing, and cloud production workloads. Quincy, located in central Washington, offers extremely low-cost and renewable hydroelectric power, enabling the construction of large-scale hyperscale campuses.

This combination of high connectivity in Seattle and power affordability in Quincy has created a diverse market that supports both enterprise and hyperscale needs

The Portland–Hillsboro corridor has grown into a significant data center cluster with around 50 facilities, driven by competitive electricity prices, abundant renewable power, and room for large-scale expansion. Hillsboro, in particular, has become a preferred location for hyperscale operators because it offers lower costs and simpler development pathways compared to California or Washington. The region’s strong utility partnerships and stable power availability support both high-density and long-term growth needs.

Portland also benefits from several subsea cable landings, which enhance its connectivity to Asia and other global markets. This makes the region attractive for cloud providers, semiconductor firms, and enterprises that rely on strong international routes

Data center sites are selected based on a combination of technical, economic, and geographic factors that determine long-term performance and operating costs. The most important criteria include access to robust fiber networks, reliable power infrastructure, and land that can support large-scale builds. Regions with strong carrier presence, low latency to major population centers, and established interconnection hubs naturally become preferred locations for enterprise and cloud workloads.

Operators also prioritize stability and cost efficiency. This includes evaluating electricity prices, the availability of renewable energy, local climate conditions that affect cooling demand, and exposure to natural disasters. Regulatory environments, tax incentives, zoning flexibility, and construction timelines also influence site selection.