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Power & Potential: Brazil's Data Center Revolution
What if the cleanest energy market in the world was also the most cost-effective?
Elea CRO Tito Costa joins us to unpack how Brazil’s renewable energy advantage is reshaping the economics of AI-ready infrastructure.
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Brazil's renewable energy matrix is revolutionizing data center operations while attracting global attention. With 90% of the country's power derived from renewable sources (primarily hydroelectric, solar, and wind), Brazil offers a stark contrast to most global markets struggling with just 20-30% renewable energy penetration. This sustainable advantage comes with remarkable economics – clean energy costs just six cents per kilowatt-hour without premium pricing.
For organizations wrestling with power constraints for AI infrastructure, Brazil presents a compelling alternative. While importing equipment still poses challenges, the fundamental economics are shifting conversations among global hyperscalers. This renewable foundation supports Elea's expansion from its 2018 founding (through the acquisition of five data centers) to nine facilities across key Brazilian cities including São Paulo, Rio de Janeiro, Brasília, Curitiba, and Porto Alegre.
The Brazilian market maintains unique characteristics, with approximately 80% of IT infrastructure still operating on-premise – a figure even higher outside major metropolitan areas. This resulted partly from the historical absence of carrier-neutral facilities in secondary markets and significant latency challenges between regions. When devastating floods hit Porto Alegre in 2023 (described as "Brazil's Katrina"), many corporate data centers were submerged while Elea's professional facility remained operational, dramatically demonstrating the value of purpose-built environments.
Cloud adoption in Brazil has followed a different trajectory than more mature markets. Many organizations attempted to "jump the cycle" by moving directly from on-premise to cloud without adequate preparation, leading to significant repatriation as costs exceeded expectations. Now companies are taking a more measured approach – moving to colocation first, then strategically planning their cloud journey with greater sophistication.
Excited to learn more about sustainable data center operations? Subscribe now to hear future conversations about innovative infrastructure solutions from around the world!
This conversation was recorded in January 2025 at the Pacific Telecommunications Conference in Hawaii.
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🚀 Uplink explores the future of connectivity, cloud, and AI—with the people shaping it. Hosted by Michael Reid, we dive into cutting-edge trends with top industry experts.
👍 Follow the show, leave a rating, and let us know what you think. New episodes every two weeks.
🎧 Listen on Spotify, Apple Podcasts, or wherever you get your podcasts. All streaming links available at: https://www.uplinkpod.com/
📺 Watch video episodes on Youtube: https://mp1.tech/uplink-on-youtube
🔗 Learn more:
Elea Digital – https://eleadatacenters.com/en/
Megaport – https://www.megaport.com/
#Sustainability #RenewableEnergy #Datacenters #AIInfrastructure #BrazilTech #CloudComputing #DigitalTransformation
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By MegaportWhat if the cleanest energy market in the world was also the most cost-effective?
Elea CRO Tito Costa joins us to unpack how Brazil’s renewable energy advantage is reshaping the economics of AI-ready infrastructure.
--
Brazil's renewable energy matrix is revolutionizing data center operations while attracting global attention. With 90% of the country's power derived from renewable sources (primarily hydroelectric, solar, and wind), Brazil offers a stark contrast to most global markets struggling with just 20-30% renewable energy penetration. This sustainable advantage comes with remarkable economics – clean energy costs just six cents per kilowatt-hour without premium pricing.
For organizations wrestling with power constraints for AI infrastructure, Brazil presents a compelling alternative. While importing equipment still poses challenges, the fundamental economics are shifting conversations among global hyperscalers. This renewable foundation supports Elea's expansion from its 2018 founding (through the acquisition of five data centers) to nine facilities across key Brazilian cities including São Paulo, Rio de Janeiro, Brasília, Curitiba, and Porto Alegre.
The Brazilian market maintains unique characteristics, with approximately 80% of IT infrastructure still operating on-premise – a figure even higher outside major metropolitan areas. This resulted partly from the historical absence of carrier-neutral facilities in secondary markets and significant latency challenges between regions. When devastating floods hit Porto Alegre in 2023 (described as "Brazil's Katrina"), many corporate data centers were submerged while Elea's professional facility remained operational, dramatically demonstrating the value of purpose-built environments.
Cloud adoption in Brazil has followed a different trajectory than more mature markets. Many organizations attempted to "jump the cycle" by moving directly from on-premise to cloud without adequate preparation, leading to significant repatriation as costs exceeded expectations. Now companies are taking a more measured approach – moving to colocation first, then strategically planning their cloud journey with greater sophistication.
Excited to learn more about sustainable data center operations? Subscribe now to hear future conversations about innovative infrastructure solutions from around the world!
This conversation was recorded in January 2025 at the Pacific Telecommunications Conference in Hawaii.
--
🚀 Uplink explores the future of connectivity, cloud, and AI—with the people shaping it. Hosted by Michael Reid, we dive into cutting-edge trends with top industry experts.
👍 Follow the show, leave a rating, and let us know what you think. New episodes every two weeks.
🎧 Listen on Spotify, Apple Podcasts, or wherever you get your podcasts. All streaming links available at: https://www.uplinkpod.com/
📺 Watch video episodes on Youtube: https://mp1.tech/uplink-on-youtube
🔗 Learn more:
Elea Digital – https://eleadatacenters.com/en/
Megaport – https://www.megaport.com/
#Sustainability #RenewableEnergy #Datacenters #AIInfrastructure #BrazilTech #CloudComputing #DigitalTransformation