The micro data center market is anticipated to amass noteworthy revenue growth on account of proliferating demand for portable and compact data storage and management infrastructure. Organizations are looking for reliable data storage solutions that offer efficient management and data security.

Digitalization has apparently led to the generation of large volumes of data. Increasing adoption of digital technologies across multiple industry verticals could positively impact the micro data center business growth. Considering these aspects, GMI, Inc. estimates that the micro data center market could touch USD 15 billion by the year 2026. 

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The advent of new-age computing technologies has advocated the construction of new data centers. Generally, the distance between a data center and an end-user can affect the delivery of digital services with high bandwidth costs. Micro data centers solve this issue by enabling the effective deployment of edge computing.

Proliferating demand for superior data centers from computer-intensive end-users specializing in IoT and AI could massively benefit industry outlook over the forecast timeframe. This could also fuel the demand for highly integrated enclosures & racks as well as efficient cooling and power equipment. 

In terms of application, the micro data center market is bifurcated into colocation, BFSI, government, energy, industrial, healthcare and IT & telecom. Out of these, the colocation services segment is expected to record immense traction over the forecasted timeframe. Building a new data center can be expensive, especially for small and medium-sized businesses that have budget constraints. As a result, colocation services provide a cheap alternative for businesses to store their vital data. 

Colocation services minimize the additional expenses incurred for power and cooling equipment, and the overall cost on IT infrastructure. Various colocation providers are integrating micro data centers in their portfolio to broaden their market reach and consumer base. Taking August 2020 for instance, EdgeMicro released five new micro data centers in the United States as spending on edge technology from cloud vendors such as Google, Microsoft and AWS skyrocketed. The company will construct these centers in Indianapolis, Cleveland, Houston, Pittsburgh and Memphis. 

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On the regional landscape, the Middle East and Africa are emerging as a credible growth source for micro data center market companies. Rapid expansion activities in the industrial sector supported by increasing trend of digitalization could prove beneficial for the regional business outlook. Initiatives like Abu Dhabi Economic Vision 2030 and UAE Vision 2021, which are focused on establishing a globally integrated business environment and building modern economies, could massively support the adoption of micro data centers. 

Meanwhile, increasing deployment of IoT and cloud computing across South Africa could bring in new growth opportunities for local micro data centers. Increasing number of enterprises implementing modern digital solutions could strengthen the demand for cost-effective, portable and energy-efficient data center infrastructure. 

Table of Contents (ToC) of the report:

Chapter 1    Methodology & Scope

1.1    Scope & definitions

1.2    Methodology and forecast parameters

1.3    Data sources

1.3.1    Secondary

1.3.2    Primary

Chapter 2    Executive Summary

2.1    Micro data center market 360⁰ summary, 2016 – 2026

2.1.1    Business trends

2.1.2    Component trends

2.1.3    Application trends

2.1.4    Regional trends

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