Small Business Data Center Usage by Category

Small Business Data Center Usage By Category

Small businesses utilize data center services in various ways to support their operations and growth. Here’s a breakdown of common use cases for data center deployments among small businesses, with estimated relative percentages:

Cloud Services – 40%

The largest segment of small business data center usage is for cloud services, including:

  • Software-as-a-Service (SaaS) – Using cloud-based applications for email, productivity, accounting, customer relationship management, etc.
  • Infrastructure-as-a-Service (IaaS) – Leveraging cloud computing resources for processing power and storage.
  • Platform-as-a-Service (PaaS) – Utilizing cloud platforms for application development and deployment.

Web Hosting – 25%

Many small businesses rely on data centers for hosting their websites and e-commerce platforms. This includes:

  • Shared hosting for basic websites
  • Dedicated hosting for high-traffic sites
  • E-commerce hosting for online stores

Data Storage and Backup – 15%

Small businesses use data centers for secure storage and backup of critical data:

Colocation Services – 10%

Some small businesses opt for colocation, where they place their own servers in a data center facility:

  • Renting rack space in a shared data center
  • Benefiting from the data center’s power, cooling, and security infrastructure

Managed IT Services – 5%

Data centers often provide managed IT services that small businesses can leverage:

  • Network management
  • Security services
  • IT support and maintenance

Big Data and Analytics – 3%

A growing number of small businesses are using data centers for:

  • Data analytics platforms
  • Business intelligence tools
  • Machine learning and AI applications

Internet of Things (IoT) – 2%

Some small businesses are beginning to use data centers for IoT applications:

  • Data processing from IoT devices
  • IoT platform hosting

This breakdown reflects general trends in small business data center usage[1][2][3]. The exact percentages may vary depending on the specific industry, business size, and technological needs. As technology evolves, we can expect to see shifts in these percentages, with potential growth in areas like IoT and big data analytics for small businesses.

Citations:
[1] https://www.reddit.com/r/smallbusiness/comments/5iqhzc/data_center_as_a_small_business_doable/
[2] https://fantasticit.com/what-is-a-data-center-and-do-i-need-one-for-my-business/
[3] https://www.volico.com/the-benefits-of-data-center-colocation-for-small-businesses/
[4] https://www.flexential.com/resources/blog/what-is-data-center
[5] https://community.fs.com/article/on-premises-vs-cloud-data-center-which-is-right-for-your-business.html
[6] https://www.nlyte.com/faqs/what-is-an-enterprise-data-center/
[7] https://www.datafoundry.com/7-ways-small-businesses-benefit-colocation/
Categories: Business
Tags: backup, cloud, colocation, data, hosting, IaaS, IoT, IT, PaaS, SaaS
localadmin

More from The Datacenter Blog

Run Your Colocation HIPAA Audit With This Practical Checklist

Healthcare organizations reported 770 HIPAA breaches in 2025, the highest annual total on record, and the average breach now costs $7.42 million per incident, maintaining healthcare’s position as the costliest sector for data breaches for 14 consecutive years. If your organization colocates serve...
colocated server

Is Colocation the Right Choice for Businesses Outgrowing Shared Cloud

At a certain point in many businesses’ growth, the cloud hosting bill arrives, and the number on the page no longer feels like a fair trade. Variable egress fees, unpredictable compute charges, and the performance ceiling of multi-tenant environments start costing real money and real productivity...
Meeting team of doctor and medical staff Consultation about the

What Is a BAA Agreement and When Does HIPAA Require One?

Healthcare organizations share patient data with dozens of vendors every year: billing services, IT providers, cloud storage platforms, transcription tools, and more. Every one of those relationships carries a legal obligation most organizations underestimate. Healthcare data breaches have alread...

Request A Service Proposal

Discover how Datacate can secure and scale your infrastructure. Take the first step toward reliable it solutions. Reach out to us today.