Originally published on 29 July 2024. Updated on 8 September 2025 to reflect the latest US and global micro data center market data and forecasts.
In 2024, the global micro data center market reached USD 7.48 billion and is forecast to grow to USD 9.75 billion in 2025 — a CAGR of over 30%. The US market is also accelerating, with revenues projected to rise from USD 1.8 billion in 2023 to between USD 5 billion and USD 10 billion by the early 2030s. This reflects the growing need for scalable, decentralised, and AI-ready infrastructure.
Micro data centers are transforming IT, offering secure, efficient, and flexible solutions for industries embracing edge computing, IoT, and AI workloads.
Understanding micro data centers
Micro data centers are compact, self-contained units that provide all the functionalities of traditional data centers but on a smaller scale. Unlike large-scale data centers and server rooms, micro data centers can be deployed quickly and efficiently, often closer to the point of data generation. This proximity reduces latency and improves performance for applications requiring real-time data processing.
Key components of a micro data centers include:
- Server racks: Housing servers and networking equipment.
- Cooling system: Advanced cooling technologies to maintain optimal operating temperatures.
- Power supply: Reliable power sources, including UPS systems.
- Security features: Physical and cyber security measures such as biometric access, firewalls, and encryption.
Micro data centers offer numerous benefits, including:
- Scalability: Easily expandable to meet growing business needs.
- Cost efficiency: Reduced energy consumption and lower maintenance costs compared to traditional data centres.
- Ease of deployment: Quick setup and integration into existing IT infrastructure.
The US micro data center market landscape
The US is a key growth region for micro data centers. The market was valued at around USD 1.77 billion in 2023 and is forecast to expand to USD 5.64 billion by 2032 (CAGR ~14%). Other estimates put the figure closer to USD 10.4 billion by 2033 (CAGR ~18.8%).
This growth is being fuelled by:
- Rising adoption of edge computing and decentralised data processing.
- AI and machine learning workloads requiring low latency and high security.
- The rollout of 5G networks and the surge in IoT devices.
- Increased cloud capex, with hyperscalers expected to invest over USD 250 billion globally by 2025 to support AI and digital infrastructure.
Benefits of micro data centers for US businesses
Cost savings
Micro data centers reduce energy consumption and cooling requirements, while eliminating the need for costly large-scale data centre builds. They provide an attractive option for SMBs and enterprises alike (find out more about you can reduce costs with micro data centers).
Scalability and flexibility
Easily scale resources up or down as business needs change, without heavy upfront investment.
Enhanced security
Micro data centres offer layered protection through IP-based biometric access, firewalls, and encryption — critical for industries handling sensitive data (find out more about the cyber and physical security features of micro data centers).
Edge computing
Their proximity to end-users enables ultra-low latency and high performance, essential for IoT, AI, and real-time analytics (find out more about the role of micro data centers in edge computing).
Micro data centers – industry adoption in the US
US businesses across sectors are already embracing micro data centres:
- Healthcare: Secure, localised data management in hospitals and clinics.
- Finance: Real-time transaction processing and high-frequency trading.
- Education: Supporting smart campuses and digital learning environments.
- Manufacturing: Powering IoT-enabled automation and real-time monitoring.
Future outlook
The combination of AI, 5G, IoT, and rising cloud investments is reshaping the IT landscape. Micro data centers are at the centre of this transformation, delivering flexible, sustainable, and future-proof infrastructure.
With the US market on track to triple in size by the early 2030s, organisations that adopt micro data centers today will be well-positioned to lead in the age of intelligent, decentralised IT.
Conclusion
Micro data centers are no longer niche — they are becoming essential for US businesses looking to stay competitive. They combine scalability, cost efficiency, security, and edge performance to meet today’s IT demands while preparing for tomorrow’s innovations.
Our US distributor, C&C Technology Group, offers expert guidance and tailored solutions to support your deployment.
C&C Technology Group – Zella DC representative in the US
22-10 State Route 208
Fair Lawn, NJ 07410
+1 888-263-5672
info@cc-techgroup.com
Sources
The Business Research Company. (2025). Micro Data Center Market Overview 2025. Link
Research and Markets. (2023). Micro Data Center Market Size, Share & Trends Analysis Report By Application, By Rack Unit, By End-Use, By Region, And Segment Forecasts, 2022 – 2030. Link
Precedence Research. (2024). Micro Data Center Market Forecast 2025–2034. Link
Credence Research. (2024). United States Micro Data Centers Market 2023–2032. Link
Dimension Market Research. (2024). Micro Data Center Market Report 2024–2033. Link
Investors.com. (2024). Super Micro Computer, Arista Networks Drive Cloud Capex Boom. Link
CBRE. (2024). North America Data Center Trends H2 2024. Link
Newmark. (2025). US Data Center Market Outlook 2025. Link
Global Growth Insights. (2024). Micro Data Centers Market Report 2024–2031. Link
