Techniques for dynamic micro-region formation for service provider network independent edge locations are described. A set of services corresponding to services of the service provider network can be deployed to a separate, customer-managed datacenter. The services may be used privately by the customer or publicly by other users using the same or similar interfaces as are utilized for the services within the service provider network. These deployed independent edge locations can be grouped dynamically based on distance in terms of latency to result in micro-regions that users can use, e.g., to launch compute resources into.