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Data Center in Minneapolis? You Betcha! Here’s Why

Data Center in Minneapolis? You Betcha! Here’s Why

You probably know Minneapolis best as the home of the artist last known as Prince. (RIP.) Or maybe, as the firstborn of the Twin Cities. It’s also a robust data center market serving financial and healthcare enterprises as well as cloud hyperscalers. Here, learn 5 reasons why.

Sales tax exemptions – including electricity – can mean big savings

Minneapolis is well-connected
In the mid-2010s, Minnesota invested $85 million and leveraged another $110 million in private investments toward enhancing its available broadband infrastructure. At the Midwest Internet Cooperative Exchange (MICE), traffic has grown five times faster than the overall Internet.

With peering through local internet exchanges and direct cloud on-ramps to AWS, Google Cloud, and Microsoft Azure within 2 ms of Stream’s Minneapolis data center, customers in Minneapolis have reliable low-latency connectivity wherever they need to go. As always, Stream is carrier neutral and we don’t charge for cross-connects.


It’s easy being green in the Land of 10,000 Lakes
Minnesota has more financial incentives and regulatory policies promoting renewable energy than any other state except California. In addition, renewable energy options abound, and Minnesota is among the largest generators of renewable energy in the country.

In addition to great opportunities for incentivized renewable energy, Minneapolis’s climate (with an annual mean average normal temperature of just 47 degrees) allows for free cooling. At Stream’s Minneapolis data center, high efficiency air cooled chillers with air side economization optimize energy efficiency year-round. (For clients that need it, chilled water is available for in-row and in-rack cooling.)

Power cost is relatively low
Minneapolis is not the lowest-cost market for electricity. But power cost is still much lower than in other data center markets; low power costs could yield Minneapolis data center savings of up to 43% relative to higher-cost markets like New York, Silicon Valley, and Los Angeles. Add in the savings from Minneapolis data center tax incentives, and TCO could be substantially less in Minneapolis than elsewhere.

Minneapolis is a great place to do business
Minneapolis is a great place to do business in part because the cost of doing business is relatively low. In addition, the Twin Cities (Minneapolis and its neighbor St. Paul) are ranked #22 in best places to live out of 150 metro areas assessed by U.S. News. Minnesota is ranked #7 in top states for business by CNBC.

Bottom line: You betcha! Minneapolis is a great place for a data center
From a generous sales tax exemption that includes electricity, to strong connectivity, renewable energy and energy efficiency, relatively low power cost and low cost of doing business – Minneapolis should be a strong contender as you make your “Where should this workload live?” decision.

About Our Contributor

Anthony Bolner

Executive Vice President & Partner
Anthony oversees business development and leasing across Fortune 500 enterprise accounts, and is instrumental in guiding the company’s collaborative ecosystem of partnerships, which include brokerage relationships, alliance partners and Stream’s growing channel program. Read More