INDIANAPOLIS - Governor Eric Holcomb has formally signed a bill to provide tax incentives for establishing data centers in Indiana. The chief executive officer of the Digital Crossroads Data Center, which is currently under construction in Hammond, says the new law makes Indiana the most competitive state in the nation for new data centers.

The law provides exemptions from the state's sales tax for items such as electricity, equipment, and construction and built-out costs for up to 50 years. Digital Crossroads says the incentives will help the state continue to attract data centers and other technology companies.

"Indiana is on the leading edge of the digital economy and is already attracting substantial investment from data centers and numerous and large technology companies," Peter Feldman, chief executive officer of Digital Crossroads, said in a news release. "By providing exemptions on sales tax for equipment, information technology hardware, software and infrastructure as well as electricity, Gov. Holcomb is helping to ensure businesses like Digital Crossroads, and all their potential customers, achieve their full potential."

Construction on the $40 million Hammond data center began in August. Several months prior, the Indiana Economic Development Corp. approved $9 million in incentives for the project.