According to the latest publication from Meticulous Research®, the micro data centers market is on a trajectory of substantial growth, with projections indicating a rise to $37.6 billion by 2031. This growth is anticipated at a robust compound annual growth rate (CAGR) of 20.2% from 2024 to 2031. Key factors driving this expansion include increasing demand for low-latency applications, efficient data management, and the proliferation of cloud services and IoT devices. However, high upfront capital investments and data privacy concerns pose challenges for market growth.

The micro data centers market is segmented by offering, organization size, application, end user, and geography. The offering segment includes solutions (indoor, cabinet, container, and other micro data centers) and rack units (Up to 20 RU, 20–40 RU, and Above 40 RU) as well as services (training & support, consulting, installation & deployment, and network connectivity & security). The large enterprises segment is expected to dominate in 2024, while the small & medium-sized enterprises segment is projected to grow at a higher CAGR. The instant data centers segment is set to hold the largest share, but edge computing is anticipated to exhibit the highest CAGR. IT & telecom are expected to lead in end users, with healthcare showing the most rapid growth. Geographically, North America is predicted to hold the largest market share, while Asia-Pacific is expected to see the highest growth rate.

Key Highlights:

The micro data centers market is forecasted to reach $37.6 billion by 2031, growing at a CAGR of 20.2%.
Solutions are anticipated to hold over 62.0% of the market share in 2024.
Large enterprises are projected to capture over 58.0% of the market, with significant growth expected in the small & medium-sized enterprises segment.
Instant data centers are expected to dominate, but edge computing will show the highest growth.
North America will lead in market share, while Asia-Pacific is set to exhibit the highest CAGR.