Middle East & Africa Micro Data Center Market
Middle East & Africa Micro Data Center Market is growing at a CAGR of 12.3% to reach US$ 498.28 million by 2030 from US$ 196.94 million in 2022 by Rack Type, Organization Size, and End User.

Published On: Feb 2024

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Middle East & Africa Micro Data Center Market
At 12.3% CAGR, the Middle East & Africa Micro Data Center Market is projected to be worth US$ 498.28 million by 2030, says Business Market Insights

According to Business Market Insights research, the Middle East & Africa micro data center market was valued at US$ 196.94 in 2022 and is expected to reach US$ 498.28 million by 2030, registering a CAGR of 12.3% from 2022 to 2030. Adoption of edge micro data centers is among the critical factors attributed to the Middle East & Africa micro data center market expansion.

With the increased demand for instant data transfer in offices, data is taking longer to reach its destination. Most organizations depend on large, outsourced data centers, usually located far from their place of business. As data centers are placed further from the source, many users are experiencing latency and bandwidth issues. These factors can cause significant delays in data transfer, affecting businesses' productivity. To resolve this issue, edge micro data centers aim to bring data computing back to the source, thereby bridging the gap between the user and the cloud.

Edge micro data centers offer reduced latency and bandwidth use, which leads to increased productivity. They process important data at the client's end rather than the cloud end, offering fast results. By utilizing an edge micro data center, businesses can still benefit from the convenience of cloud computing without the latency issues. Modern edge micro data center solutions are much smaller and cheaper than full-size data centers, requiring less upkeep. There is no need to construct a specialized building to house the micro data center as it takes up approximately a square meter of office space, and soundproofing options ensure no distractions to the workforce.

Various companies are providing micro data center solutions for edge computing. In October 2022, Vertiv, a provider of critical digital infrastructure, launched the Vertiv SmartCabinet 2M-a self-contained micro data center designed for edge computing applications. Moreover, micro data center providers are constantly making efforts to introduce their solutions in the market through various inorganic strategies. In September 2020, HPE, Schneider Electric, and StorMagic collaborated to develop "Edge in a Box," a micro data center that can be mounted on the wall to provide IT systems for edge environments. Therefore, the deployment of edge micro data centers is expected to fuel the Middle East & Africa micro data center market growth during the forecast period.

On the contrary, lack of awareness about benefits of micro data centers hampers the growth Middle East & Africa micro data center market.

Based on rack type, the Middle East & Africa micro data center market is bifurcated into single rack and multi rack. The single rack segment held 62.5% share of the Middle East & Africa micro data center market in 2022, amassing US$ 123.14 million. It is projected to garner US$ 322.02 million by 2030 to expand at 12.8% CAGR during 2022-2030.

Based on organization size, the Middle East & Africa micro data center market is bifurcated into large enterprises and SMEs. The large enterprises segment held 68.3% share of the Middle East & Africa micro data center market in 2022, amassing US$ 134.43 million. It is projected to garner US$ 331.16 million by 2030 to expand at 11.9% CAGR during 2022-2030.

Based on end user, the Middle East & Africa micro data center market is segmented into BFSI, retail, IT and telecom, manufacturing, healthcare, and others. The IT and telecom segment held 43.5% share of Middle East & Africa micro data center market in 2022, amassing US$ 85.69 million. It is projected to garner US$ 237.10 million by 2030 to expand at 13.6% CAGR during 2022-2030.

Based on country, the Middle East & Africa micro data center market is segmented into South Africa, Saudi Arabia, the UAE, and the Rest of Middle East & Africa. The Rest of Middle East & Africa held 35.5% share of Middle East & Africa micro data center market in 2022, amassing US$ 69.88 million. It is projected to garner US$ 154.87 million by 2030 to expand at 10.5% CAGR during 2022-2030.

Key players operating in the Middle East & Africa micro data center market are Hitachi Ltd, Rittal GmbH & Co KG, Legrand SA, Schneider Electric SE, Vertiv Group Corp, Eaton Corp Plc, Hewlett Packard Enterprise Development LP, Delta Electronics Inc, and Huawei Technologies Co Ltd, among others.

  • In Oct 2021, Schneider Electric, the leader in the digital transformation of energy management and automation, announced it had expanded its Micro Data Center solutions portfolio with the introduction of the Easy Micro Data Center Series for standard IT and commercial environments.

  • In Mar 2020, Hewlett Packard Enterprise (HPE) announced the availability of HPE Container Platform. The HPE Container Platform is the industry's first enterprise-grade container platform designed to support both cloud-native and non-cloud-native applications using 100 percent open-source Kubernetes - running on bare-metal or virtual machines (VMs), in the data center, on any public cloud, or at the Edge. In addition, HPE is introducing new professional services to ensure faster time-to-value and several new reference configurations for data-intensive application workloads such as AI, machine learning, deep learning (DL), data analytics, edge computing, and the Internet of Things (IoT). Contact Us
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