As Caribbean economies rapidly digitalize, a critical infrastructure gap is costing us millions and compromising our sovereignty. Here’s what most don’t realize:
The Hidden Cost of Digital Dependence
Small Caribbean nations currently spend $2-5M annually hosting data overseas. Beyond the direct costs, we’re experiencing:
• 150-300ms latency to foreign servers (affecting service quality)
• Zero control over our own data (sovereignty risk)
• Lost technology jobs and economic opportunities
• Vulnerability to submarine cable disruptions
• A multipurpose data center (150kW facility) for Guyana in three major counties
• Multi-tier facility approach government as anchor tenant and enabler
• ( Governmental sovereignty , privacy data, citizens health records, regulatory compliance, E-discovery, Forensic data storage )
• Flood and Hurricane proof with monitoring capabilities for IOT sensors, CCTV systems
Case Studies: Successful Small Market Data Centers
Iceland Data Centers
• Population: 370,000 (comparable to small Caribbean nations)
• Success factors: Renewable energy, strategic location, government support
• Revenue: $50M+ annually from international clients
Mauritius Data Centers
• Island nation with similar challenges
• Regional hub for African services
• GDP contribution: 5% of technology sector
Economic Impact: for more details of cost estimation for Data Center built out contact us
• 50-75 construction jobs during build
• 12-15 permanent skilled tech positions
• $1-2M annual government savings
• Break-even in 5-7 years
• 15-20% ROI after year 7
Beyond the Numbers
This isn’t just about infrastructure—it’s about:
• Data Sovereignty: Full control over national data assets
• Economic Diversification: Reducing tourism dependence
• Regional Leadership: Becoming a Caribbean digital hub
• Disaster Resilience: Local backup for critical systems
• Future-Proofing: Supporting AI, cloud services, and digital government
• Attraction of remote workers
Revenue Model
Year 1: $1M (government contracts, commercial hosting) Year 3: $2M (60% capacity, expanded services) Year 5+: $3.1M (colocation, managed services, regional hub)
The Window is Closing
Larger nations and international companies are establishing regional dominance. Caribbean nations that act now can secure first-mover advantages and build sustainable digital infrastructure for the next generation.
With Caribbean network infrastructure projected to grow 3.7% annually through 2029, and 11 nations already committed to digital transformation initiatives, the strategic imperative is clear.
The question isn’t whether to invest in local data centers—it’s whether we can afford not to.
Adrian Guthrie