Tecto Data Centers has invested approximately R$200 million (~US$38-39 million) to develop a new data centre in Porto Alegre, Rio Grande do Sul.
Referred to as TPOA1, the facility will be developed near Tecto’s own 33,000-square-metre plot of land located in the Sarandi neighbourhood. The data centre is expected to have a total power capacity of 20 megawatts (MW) and will be connected to the Malbec submarine cable, which links Brazil and Argentina – connecting Rio de Janeiro, São Paulo, Buenos Aires and soon Porto Alegre, currently under construction.
“This project reinforces Tecto’s strategy to expand its operations and infrastructure in key regions of the country, combining resilient connectivity, energy efficiency and proximity to major data consumption hubs,” says Tito Costa, CRO of Tecto.
The news came the same day as V.tal announced it would be building a new submarine cable to connect Brazil to the US. Linking the US and Brazil and hoping to strengthen connectivity between both countries, the cable project will support growing AI demand and deliver high-capacity data traffic connectivity.
Connecting to V.tal’s Malbec cable, TPOA1 will gain access to significant infrastructure and connectivity all over South America. The Malbec cable spans 2,500km already and is gaining a 280km branch unit scheduled for 2027. The network interconnects Rio de Janeiro with Fortaleza, Venezuela, Colombia, the US and Bermuda through V.tal’s entire 26,000 km submarine cable infrastructure.
Tecto’s other data centres in Fortaleza, Ceará, Barranquilla and Colombia will also be connected.
Costa added: “The direct connection to V.tal’s Malbec cable positions Porto Alegre as a strategic point for critical applications, cloud services and content delivery.”
In its first phase, TPOA1 is scheduled to begin operations in the fourth quarter of 2026, with 3MW of capacity to be delivered. Expansion will be gradual, with the project being carried out through retrofit of an existing warehouse on the site, which is being adapted to suit the needs of high-performance data centres.
Notably, the data centre is expected to feature a closed-loop air-cooling system with zero water consumption – something that is being discussed plenty in the data centre industry currently. The facility will also operate with 100% renewable energy.
“The use of solar energy and efficient cooling solutions is part of our commitment to growing responsibly and innovatively, meeting the demands of global clients without compromising sustainability,” Costa added.
Hoping to serve technology giants and cloud providers, Tecto’s goal is to expand digital infrastructure supply in southern Brazil and strengthen Porto Alegre’s digital ecosystem, consolidating the city as a critical hub for connectivity and data infrastructure.
“This investment is a direct result of the position Rio Grande do Sul has achieved in recent years, driven by consistent efforts by the state government to transform the state into an international reference hub for technology and digital infrastructure, leading the country in innovation according to the Center for Public Leadership ranking,” said Rio Grande do Sul Governor Eduardo Leite.
“Connecting the new data centre to the Malbec submarine cable definitively places Rio Grande do Sul on the global data route, increases competitiveness, attracts high value-added businesses and generates sustainable economic development, with more qualified jobs, innovation and opportunities for the people of Rio Grande do Sul.”
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