Edge Data Center Market worth $38.14 Billion by 2030 - Exclusive Report by The Insight Partners
Edge Data Center Market is growing at a CAGR of 17.9% from 2022 to 2030.
Pune, India., Oct. 18, 2023 (GLOBE NEWSWIRE) -- According to a new report on “Edge Data Center Market Size and Forecasts (2020 - 2030), Global and Regional Share, Trends, and Growth Opportunity Analysis By Deployment Type (Greenfield Type, Brownfield Type); Vertical (BFSI, IT and Telecommunication, Government, Retail, Others) , and Geography (North America, Europe, Asia Pacific, and South and Central America)” the market in terms of revenue was estimated to be worth $10.20 billion in 2022 and is poised to reach $38.14 billion by 2030, growing at a CAGR of 17.9% from 2022 to 2030.
The growth of edge data center market is driven by the increase in mobile data traffic and growing adoption of automation & IoT devices across various industries. However, issues associated with data privacy are expected to hinder the market growth.
Download Sample PDF Brochure: https://www.theinsightpartners.com/sample/TIPTE100000281/Global Edge Data Center Market Scope:
Report Coverage Details
Market Size Value in USD 10.20 Billion in 2022
Market Size Value by USD 38.14 Billion by 2030
Growth rate CAGR of 17.9% from 2022 to 2030
Forecast Period 2022-2030
Base Year 2022
Segments covered Deployment Type, Vertical, and Geography
Regional scope North America, Europe, Asia Pacific, Middle East & Africa, South & Central America.
Country scope Argentina, Australia, Brazil, Canada, China, France, Germany, India, Italy, Japan, Mexico, Russian Federation, Saudi Arabia, South Africa, South Korea, United Arab Emirates, United Kingdom, United States
Report coverage Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends
Growing Adoption of Edge Data Center as a Service (EDCaaS) Offering Lucrative Opportunities for Global Edge Data Center Market:
Edge data center as a service (EDCaaS) is a cloud computing model that provides a platform for distributed cloud architectures and integrates the edge of the network in the computing ecosystem. EDCaaS providers offer numerous solutions for modifying, organizing, and managing complex systems that benefit organizations handling a lack of skills within their internal IT teams. Increasing demand for extended high-speed networks among consumers increases the adoption of EDCaaS. Furthermore, the COVID-19 pandemic shifted consumers' preference towards adopting hybrid IT infrastructure, which increases the adoption of EDCaaS among various industries such as telecommunication, BFSI, and retail for data transmission activities. Telecommunication companies use EDCaaS to support 5G networks and provide low-latency services like video streaming and IoT applications.
Similarly, the retail sector uses EDCaaS to manage inventory and in-store analytics. The EDCaaS also enhance customer's shopping experience by providing personalized recommendations, which increases its adoption and demand from the retail sector. EDCaaS reduces complexities associated with edge computing adoption by delivering better digital experiences and improving the internet. Digital transformation has caused organizations to invest more in this infrastructure, further providing lucrative opportunities for edge data center market growth.
Edge data center provides significant benefits such as faster service and increased bandwidth over traditional data centers. The distance between the data center and the end-user in edge infrastructure impacted the data throughput or bandwidth. Numerous edge applications like mobile video and IoT necessitate data throughput. Edge data centers function to process requested data and pump out more significant data from the large data set. The end-user can achieve the best throughput to their different devices in less than ten milliseconds (ms). The high-speed data processing and transmission benefits offered by edge data center increases its adoption and drives the market growth.
The major factors boosting the global edge data center industry are increasing penetration of 5G networks, increasing adoption of IoT devices among consumers, and the growing over-the-top (OTT) traffic and mobile data traffic across the globe. IoT devices and 5G networks are creating vast amounts of data in the network, which need to be processed closer to the source to reduce latency. Rising demand for high computational power encourages service providers to host data centers at edge facilities for low-latency connectivity, providing several opportunities in the market during the forecast period. The growth in the number of connected devices users associated with increasing internet service usage is shifting toward bandwidth-intensive applications. This increases the demand and adoption of edge data centers to improve the network's capacity while transmitting data.
In contrast to establishing a centralized warehouse, establishing data centers close to the application offers complete control of data processing and storage at the edge of the network. The growth of the edge data center market will be driven by a need to reduce network traffic, real-time data analysis, lower operating costs, and improvements in application performance. In addition, mobile data traffic across the globe is one of the key factors driving the global market.
Order a Copy of this Report at https://www.theinsightpartners.com/buy/TIPTE100000281/The Asia Pacific region has observed a surge in internet users driven by growth in e-commerce, online streaming, and adoption of Internet of Things (IoT) devices. This raises digital activities, which require an edge data center close to the facility for processing large amounts of data at high speed. The growing need from industries to meet the evolving need for latency-sensitive applications is driving the edge data center market. Rising investments in the IT sector also drive the market for edge data centers in Asia Pacific. For instance, according to data by World Data Corporation published on June 2023, IT spending in the Asia Pacific is anticipated to grow by 4.4% in 2023 from 3.8% in 2022, regardless of uncertainties. It shows that increasing IT spending encourages industries to establish edge data centers close to the data-generating source. Moreover, the presence of well-known edge computing players such as Fujitsu Ltd., Huawei Technologies Co., and others is fueling the market. These players constantly provide technical support and IT-related services for better customer service. Growing population and rising urbanization also create opportunities for edge data centers during the forecast period. The growing need for high-speed and more reliable connectivity increases as more people use digital services and relocate to cities. Edge data centers address the user's demand by bringing storage and computational resources closer to end-users, reducing latency, and improving software and service quality.
Global Edge Data Center Market: Segmental Overview
Based on application, the edge data center market is segmented into BFSI, IT and telecommunication, government, healthcare & life sciences, manufacturing, retail & e-commerce, and others. The IT and telecommunication industry highly adopts the edge data center to fulfill large data processing requirements. Evolution of various new technologies such as artificial intelligence/machine learning (AL/ML), augmented and virtual reality, IoT, and 5G supporting IT and telecommunication industry to meet large data processing needs and low latency. Furthermore, the IT & telecommunications segment is expected to grow during the forecast period, attributed to the increasing demand for real-time data processing among consumers. The rising need for low-latency and high-bandwidth communication among consumers and the growing risk of data breaches during transmission by ensuring compliance with data protection regulations. Edge data center implements a firewall system to monitor and filter network traffic by detecting and blocking suspicious activities, creating opportunities for the segment in the near future.
Global Edge Data Center Market: Competitive Landscape
365 Data Centers, Compass Datacenters, DELL Technologies, Inc., Eaton Corporation, Edgeconnex Inc., Edgepresence, Flexential Corporation, Fujitsu Ltd., Huawei Technologies Co., Ltd., And vXchnge are a few of the key companies operating in the edge data center market. The edge data center market leaders focus on new product launches, expansion and diversification, and acquisition strategies, which allow them to access prevailing business opportunities.
Recent Developments:
· July 2023: Dell Technologies, Inc. announced a collaboration with Airspan to deliver a pre-integrated solution for wireless edge deployments. This solution combines Dell Technologies, Inc. modular data center and Airspan’s advanced wireless networking technology for providing a seamless and efficient solution for wireless edge deployments.
· July 2023: Flexential announced a significant expansion of FlexAnywhere Platform across Atlanta, Georgia and Hillsboro, Oregon. The company plans to construct a new 36 megawatt (MW) phased development at its Atlanta-Douglasville, Georgia campus by the end of 2023. This development adds a new facility to the campus by strengthening the 22.5MW project. Such expansions are anticipated to flourish the edge data center market growth.
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