Micro Data Center Market Skyrockets to $11.93 Billion by 2031 - Exclusive Report by The Insight Partners

The global micro data center market is set for explosive growth, with projections indicating a surge to $11.93 billion by 2031. This remarkable expansion, driven by the increasing adoption of prefabrication and micro-modular data center solutions.

NEW YORK, Oct. 28, 2024 /PRNewswire/ -- According to a new comprehensive report from The Insight Partners, the global Micro Data Center Market is observing significant growth. The rising use of connected and IoT devices and the growing rollout of 5G has increased the demand for low-latency data processing and storage everywhere, including in remote locations. This has increased the need for more micro data centers, particularly in remote locations, which is one of the major factors fueling the growth of the micro data center market.

For Detailed Market Insights, Visit: https://www.theinsightpartners.com/reports/micro-data-center-market

In addition, micro data centers, with their compact size, can help to lower the energy needed for cooling, and their placement near data sources helps minimize the energy lost during long-distance data transfer. This can help the companies to meet their sustainability target, creating an opportunity for market growth.

The report runs an in-depth analysis of market trends, key players, and future opportunities. Regions such as North America, Europe, and the MEA are witnessing a rise in the number of SMEs, which is expected to propel the growth of the micro data center market during the forecast period. Moreover, the demand for edge computing technology is increasing as it can help in real-time data processing and analysis, further fueling the market growth.

For More Information and To Stay Updated on The Latest Developments in The Micro Data Center Market, Download The Sample Pages: https://www.theinsightpartners.com/sample/TIPTE100000230/

Market Overview and Growth Trajectory:

Micro Data Center Market Growth: According to an exhaustive report by The Insight Partners, the Micro Data Center Market is experiencing significant growth, driven by rising use of connected and IoT devices and the growing rollout of 5G. The market, valued at $4.04 billion in 2023, is expected to grow at a Compound Annual Growth Rate (CAGR) of 14.5% during 2023–2031.

Increasing Adoption of Prefabrication and Micro-modular Data Center Solutions: The increasing adoption of prefabrication and micro-modular data center solutions is significantly driving the growth of the micro data center market. As organizations seek to enhance their operational efficiency and scalability, these innovative solutions offer a compelling alternative to traditional data center models. The modular design allows for rapid deployment and flexibility, enabling businesses to quickly respond to changing demands and optimize their infrastructure. This is particularly important in sectors such as IT, telecommunications, and healthcare, where the need for advanced data processing capabilities is on the rise. Most products available in the market are designed as complete data center infrastructures, integrating essential components such as cooling systems, power supply, and backup solutions within a self-contained unit. These units often take the form of ISO shipping containers or custom rack enclosures. The range of these modular data centers varies, with some systems designed to support a single rack with a few kilowatts of IT load. In contrast, others can accommodate multiple racks and handle hundreds of kilowatts of IT capacity. This versatility makes micro-modular data centers an attractive option for businesses seeking to enhance their data processing capabilities flexibly and efficiently.

Rise in Demand for Micro Data Centers in Remote Areas: The growing adoption of technologies such as the Internet of Things (IoT) and 5G and the rising content distribution have increased the demand for low-latency data processing and storage. Traditional centralized data centers, such as those utilized by Amazon Web Services (AWS) and Microsoft Azure, were not built to accommodate such use cases. Although these massive data centers facilitate cloud computing and offer economies of scale, they are not able to affordably move data processing near enough to end users in case of distributed workloads. In this situation, micro data centers, which are small in size, can be deployed in areas where a traditional data center is impractical. This enables enterprises to address the low-latency data processing and storage challenge cost-effectively. Thus, the growing deployment of micro data centers for real-time data access in remote locations is driving the growth of the global micro data center market.

Stay Updated on The Latest Micro Data Center Market Trends: https://www.theinsightpartners.com/sample/TIPTE100000230/

Emergence of 5G: The 5G network is ∼100 times faster than the 4G network, making real-time data acquisition easier. As the 5G network provides strong connectivity and high-speed data transfer, its demand is increasing globally. According to the Groupe Speciale Mobile Association (GSMA), 5G penetration will continue to grow in Europe from 11% in 2022 to 87% by 2030. As per the same source, France will witness an increase in 5G penetration from 8% in 2022 to 90% in 2030, and Germany will experience an increase from 17% in 2022 to 94% in 2030. Similarly, according to the GSMA, Middle East and North Africa (MENA) will witness an increase in 5G penetration from 3% in 2022 to 50% in 2030, where GCC Arab states will witness high growth in the region from 16% in 2022 to 95% in 2030. As micro data centers support the infrastructural requirements of 5G telecommunications networks, their demand is increasing globally. Micro data centers are positioned at network aggregation points to fully utilize 5G networks. They provide flexible, scalable, and affordable hosting for virtual network functions (VNFs) and support low-latency, high-bandwidth applications through localized data processing. Thus, the growing 5G infrastructural deployment will boost the demand for micro data centers globally.

Geographical Insights: In 2023, North America led the market with a substantial revenue share, followed by Europe and Asia Pacific. Asia Pacific is expected to register the highest CAGR during the forecast period.

Micro Data Center Market Segmentation, Applications, Geographical Insights:

• Based on rack type, the EMEA micro data center market is bifurcated into single rack and multi-rack. The single rack segment held the largest share in the micro data center market in 2023.
• In terms of organization size, the EMEA micro data center market is bifurcated into large enterprises and SMEs. The large enterprises segment held the largest share in the micro data center market in 2023.
• Based on application, the EMEA micro data center market is divided into BFSI, retail, IT & telecom, manufacturing, healthcare, and others. The IT and telecom segment held the largest share in the micro data center market in 2023.
• The micro data center market is segmented into five major regions: North America, Europe, APAC, the Middle East and Africa, and South and Central America.

Purchase Premium Copy of Global Micro Data Center Market Size and Growth Report (2023-2031) at: https://www.theinsightpartners.com/buy/TIPTE100000230/

Key Players and Competitive Landscape:

The Micro Data Center Market is characterized by the presence of several major players, including:

• Eaton Corp Plc
• Cannon Technologies Ltd
• SCHÄFER Ausstattungssysteme GmbH
• Rittal GmbH & Co KG
• Delta Electronics Inc
• Datwyler IT Infra GmbH
• Schneider Electric SE
• Intellinet Network Solutions
• Panduit
• Legrand SA
• Vertiv Group Corp.

These companies are adopting strategies such as new product launches, joint ventures, and geographical expansion to maintain their competitive edge in the market.

Micro Data Center Market Recent Developments and Innovations:

• "Vertiv, a global provider of critical digital infrastructure and continuity solutions, introduced the Vertiv SmartAisle 3, a micro modular data center system that utilizes the power of Artificial Intelligence (AI), providing enhanced intelligence and enabling efficient operations within the data center environment. Now available in Southeast Asia, Australia and New Zealand, the SmartAisle 3 can be configured up to 120kW of total IT load. It is ideal for a wide range of industry applications, including banking, healthcare, government, and transportation."
• "Intelligent power management company Eaton announced the North American launch of an innovative new modular data center solution for organizations seeking to rapidly meet the growing requirements for edge computing, machine learning, and AI. Eaton's SmartRack modular data centers can be deployed in a matter of days in facilities such as enterprise or colocation data centers, manufacturing facilities, and warehouses."
• "Rittal GmbH & Co. KG launched a new product, namely RiMatrix Micro Data Centers. They are compact, powerful, and fully-fledged homes for IT hardware. With such matching OT components as rack, power, cooling, monitoring, and security, Rittal RiMatrix Micro Data Centers ensure that the IT is securely packaged and operates with the smallest carbon emissions, regardless of the location. Moreover, the combination of global standardization and adaptability means that these new packages make even better use of their advantages."
• "RIB has partnered with Schneider Electric to design a platform for Building Product Manufacturers to help hundreds of Consultant Solution Architects spread across multiple business units provide specification support for thousands of projects to consulting engineers. Recognizing the need to provide tools to Spec-writers who prefer a self-guided interaction, as well as those open to working with support experts directly, RIB has introduced the Engage and Collaborate platforms."

For Region-Specific Market Data, Check Out Brief Sample Pages: https://www.theinsightpartners.com/sample/TIPTE100000230/

Micro Data Center Market Drivers, Challenges, Future Outlook and Opportunities:

In terms of revenue, North America dominated the micro data center market share, followed by Europe and APAC. The micro data center market in North America is subsegmented into the US, Canada, and Mexico. The US is anticipated to hold the largest micro data center market share by 2031. Micro data centers in the US are rapidly gaining traction as organizations seek efficient solutions to meet the demands of edge computing and low-latency data processing. These compact, self-contained units integrate essential IT infrastructure, including power, cooling, and security, making them ideal for deployment in various environments such as offices, warehouses, and remote locations. With the increasing reliance on technologies such as IoT and 5G, the US micro data center market is expected to expand significantly, providing organizations with the flexibility and scalability needed to support their evolving digital needs. Companies such as Vertiv and Schneider Electric are at the forefront of this market, offering innovative micro data center solutions that cater to diverse operational needs.

For instance, in April 2023, Internet Initiative Japan Inc. (IIJ), one of the leading Internet access and comprehensive network solutions providers in Japan, and its wholly owned UK subsidiary IIJ Europe Limited (London) announced that they had started a field trial in Iceland with the cooperation of Landsvirkjun, Iceland's national power company (Reykjavík, Iceland). Under this trial, IIJ has installed a micro data center (MDC) in the Landsvirkjun Írafoss hydropower station in southern Iceland.

For In-Depth Market Forecasts and Analysis, Request PDF Brochure: https://www.theinsightpartners.com/sample/TIPTE100000230/

Conclusion:

The growing investment in cloud computing is poised to significantly boost the micro data center market, driven by the increasing demand for efficient, scalable, and flexible data processing solutions. For instance, in June 2024, Oracle announced its intention to invest over US$ 1 billion to establish a third cloud region in Madrid, aimed at enhancing AI skills development throughout the country. This new public cloud region will empower Oracle's customers and partners across various industries in Spain, including the significant financial services sector, to transition their mission-critical workloads from on-premises data centers to Oracle Cloud Infrastructure (OCI). Additionally, this initiative will support organizations in meeting essential regulatory requirements, such as the Digital Operational Resilience Act (DORA) and the European Outsourcing Guidelines established by EBA, EIOPA, and ESMA. Telefónica España has been designated as the host partner for the upcoming cloud region, reinforcing the collaborative efforts to advance cloud capabilities in the region. As businesses continue to embrace cloud technologies, microdata centers will play a crucial role in meeting their evolving infrastructure needs, ultimately shaping the future of data management across various sectors.

With projected growth to $11.93 billion by 2031, the Micro Data Center Market represents a significant opportunity for component providers, system technology integrators, investors, system manufacturers, and industry stakeholders. By staying abreast of market trends, embracing innovation, and focusing on quality and performance, companies can position themselves for success in this dynamic and evolving market landscape.

Need A Diverse Region or Sector? Customize Research to Suit Your Requirement: https://www.theinsightpartners.com/inquiry/TIPTE100000230/

Related Report Titles:

• Hyperscale Data Center Market Analysis and Forecast by Size, Share, Growth, Trends 2031
• Green Data Center Market Overview, Growth, Trends, Analysis, Research Report (2021-2031)
• Micro Mobile Data Center Market Report 2031
• Edge Data Center Market Analysis and Forecast by Size, Share, Growth, Trends 2031
• Modular Data Center Market Size and Forecasts (2021 - 2031)
• Data Center Colocation Market Overview, Growth, Trends, Analysis, Research Report (2021-2031)
• Data Center Cooling Market Dynamics, Recent Developments, and Strategic Insights by 2031
• Data Center Cooling Fans Market Analysis and Forecast by Size, Share, Growth, Trends 2031

About Us:

The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We specialize in industries such as Semiconductor and Electronics, Aerospace and Defense, Automotive and Transportation, Biotechnology, Healthcare IT, Manufacturing and Construction, Medical Device, Technology, Media and Telecommunications, Chemicals and Materials.

Contact Us:

If you have any queries about this report or if you would like further information, please contact us:

Contact Person: Ankit Mathur
E-mail: ankit.mathur@theinsightpartners.com
Phone: +1-646-491-9876
Press Release: https://www.theinsightpartners.com/pr/micro-data-center-market

Logo: https://mma.prnewswire.com/media/2520492/The_Insight_Partners_Logo.jpg