In this blog post, we will explore the latest statistics and trends in the rapidly growing field of Edge Computing. Gathering data from industry reports and research studies, we will uncover valuable insights into the adoption, growth, and impact of Edge Computing on various sectors. Join us as we delve into the world of Edge Computing industry statistics and discover what the future holds for this innovative technology.
The Latest Edge Computing Industry Statistics Explained
By 2025, The global edge computing market size is expected to reach $43.4 billion, up from $4.7 billion in 2020.
The statistic indicates a substantial growth projection for the global edge computing market, with an expected increase in market size from $4.7 billion in 2020 to $43.4 billion by 2025. This exponential growth suggests a significant shift towards the adoption and utilization of edge computing technologies across various industries. Edge computing, which involves processing data closer to its source rather than in a centralized data center, is becoming increasingly important in the era of IoT, 5G, and AI applications. The projected market expansion reflects the increasing demand for faster data processing, reduced latency, and improved efficiency, driving innovation and investment in edge computing solutions globally.
The Compound Annual Growth Rate (CAGR) of the edge computing market is predicted to be 34.1% from 2022 to 2027.
The Compound Annual Growth Rate (CAGR) of 34.1% for the edge computing market from 2022 to 2027 indicates a significant predicted annual growth rate that accounts for compounding over the five-year period. This statistic suggests that the edge computing market is expected to experience rapid expansion and increased market size during this time frame. A CAGR of 34.1% implies that the market will more than double in size by the end of 2027. This forecast signifies strong market demand, technological advancements, and potential opportunities for businesses operating in the edge computing space, making it a promising sector for investment and development in the coming years.
Edge data centers are anticipated to grow at a CAGR of 37% by 2027.
The statistic that edge data centers are anticipated to grow at a compound annual growth rate (CAGR) of 37% by 2027 indicates a rapid expansion in the number and capacity of these facilities over the next few years. Edge data centers, which are located closer to end-users to reduce latency and improve network performance, are expected to see significant demand driven by the increasing adoption of edge computing technologies, IoT devices, and the need for real-time data processing. This high growth rate suggests a strong market opportunity for edge data center providers, as organizations seek to enhance their digital infrastructure to meet the evolving demands of today’s data-driven world.
Global shipments of edge computing devices will reach 2.75 billion units by 2026.
The statistic “Global shipments of edge computing devices will reach 2.75 billion units by 2026” implies a significant growth in the market for edge computing devices over the next few years. Edge computing devices are hardware components that process data closer to the source rather than relying on a centralized data center, allowing for faster data processing and reduced latency. The projected shipment of 2.75 billion units by 2026 suggests that there will be a substantial demand for these devices as the technology continues to gain momentum and is adopted across various industries. This statistic indicates a trend towards decentralized computing and highlights the increasing importance of edge computing in the evolving digital landscape.
Edge computing could lead to a potential $4.3 trillion market throughout industries.
The statistic states that edge computing has the potential to create a market worth $4.3 trillion across various industries. Edge computing refers to a decentralized computing infrastructure where data processing is done closer to the source of data generation rather than relying on centralized cloud servers. This localization of processing power enables quicker response times and more efficient data processing, making it a valuable technology for industries ranging from healthcare and manufacturing to retail and transportation. The $4.3 trillion market estimation underscores the significant economic opportunities that edge computing offers in enhancing operational efficiency, enabling real-time decision-making, and driving innovations across a wide spectrum of industries.
The Asia Pacific region is anticipated to account for the largest share in the edge computing market by 2027.
This statistic indicates that by the year 2027, the Asia Pacific region is expected to have the highest market share within the edge computing industry. This suggests that a significant portion of the global edge computing market is projected to be dominated by countries in the Asia Pacific region, such as China, Japan, India, and South Korea. This trend could be driven by factors such as rapid advancements in technology, increasing adoption of edge computing solutions by businesses in the region, and a growing emphasis on digital transformation. Companies operating in the edge computing sector may need to pay close attention to this region’s market dynamics and trends to capitalize on the opportunities presented in the Asia Pacific market.
By 2023, over 50% of new enterprise IT infrastructure installed will be at remote sites and at the edge.
The statistic “By 2023, over 50% of new enterprise IT infrastructure installed will be at remote sites and at the edge” indicates a shift towards decentralized computing infrastructure within organizations. As businesses continue to adopt cloud computing, IoT devices, and other technologies that generate large volumes of data, there is a growing need to process and analyze information closer to where it is generated. This trend towards edge computing, which involves processing data at or near the source instead of relying on centralized data centers, is driven by factors such as the need for real-time insights, reduced latency, and improved security and compliance. By 2023, more than half of new IT infrastructure deployments are expected to be at remote sites and the edge, reflecting a shift towards a more distributed and efficient IT architecture.
Networking hardware in edge computing will generate $138.5 billion in revenue by 2026.
The statistic indicates that the revenue generated by networking hardware in edge computing is projected to reach $138.5 billion by the year 2026. This estimate suggests a significant increase in the adoption and implementation of networking hardware in edge computing systems over the next few years. Edge computing involves processing data closer to the source or endpoint, reducing latency and improving efficiency in data handling. The growing demand for edge computing solutions in various industries such as healthcare, manufacturing, and smart cities is expected to drive the revenue growth of networking hardware in this sector. As the deployment of edge computing continues to expand, the market for networking hardware is poised to experience substantial growth and create new opportunities for businesses operating in this space.
The combined market for IoT and edge analytics will reach $11.2 billion by 2026.
The statistic indicates that the total market revenue from Internet of Things (IoT) and edge analytics is projected to grow to $11.2 billion by the year 2026. This growth reflects the increasing importance and adoption of IoT technologies that involve the interconnectivity of devices and the generation of large volumes of data. Edge analytics, which involves processing data closer to its source rather than relying on centralized cloud computing, is also gaining traction for its efficiency and real-time capabilities. The significant market size forecasted for 2026 highlights the potential for continued investment, innovation, and expansion within the IoT and edge analytics sectors.
The edge computing market among SMEs is expected to grow at the highest CAGR during 2022–2027.
This statistic indicates that the edge computing market, particularly among small and medium-sized enterprises (SMEs), is projected to experience the highest Compound Annual Growth Rate (CAGR) between the years 2022 and 2027. This suggests a rapid expansion and adoption of edge computing technologies within the SME sector during this period. Edge computing enables data processing and storage closer to the source of data generation, leading to reduced latency, improved efficiency, and enhanced overall performance in various applications. The high expected growth rate among SMEs highlights the growing recognition of the importance and benefits of edge computing in enhancing operational processes and driving innovation within smaller businesses.
The edge AI software market is anticipated to reach $3 billion by 2025.
This statistic indicates that the edge AI software market is projected to grow significantly and reach a valuation of $3 billion by the year 2025. The term “edge AI” refers to artificial intelligence technologies that operate on devices locally, at the edge of the network, rather than relying on a centralized cloud server. The anticipated growth in this market suggests an increasing demand for AI capabilities embedded directly into devices such as smartphones, IoT devices, and autonomous vehicles. Factors driving this growth may include advancements in AI technologies, rising adoption of IoT devices, and the need for real-time processing and decision-making capabilities at the edge of networks. The prediction of reaching $3 billion in market value by 2025 indicates a promising outlook for the edge AI software industry.
The global edge AI hardware market is predicted to reach $12.6 billion in 2024, from $1.3 billion in 2019.
The statistic that the global edge AI hardware market is forecasted to reach $12.6 billion in 2024, up from $1.3 billion in 2019, indicates a significant growth trajectory over the next five years. This exponential increase suggests a growing demand for edge AI hardware solutions across various industries such as healthcare, manufacturing, retail, and automotive. This trend is fueled by advancements in artificial intelligence technologies, increasing adoption of IoT devices, and the need for real-time data processing and analytics at the edge of networks. As organizations strive to improve efficiency, enhance decision-making processes, and leverage automation, the market for edge AI hardware is expected to expand rapidly, presenting lucrative opportunities for hardware manufacturers, developers, and stakeholders in the AI ecosystem.
The fastest-growing segment in edge computing industry is expected to be Healthcare, with a CAGR of more than 40% during 2022-2027.
The statistic indicates that within the edge computing industry, the Healthcare sector is projected to experience the highest growth rate over the period from 2022 to 2027, with a Compound Annual Growth Rate (CAGR) exceeding 40%. This suggests that the integration of edge computing technology in the healthcare sector is expected to significantly increase over the coming years, driven by factors such as the demand for real-time data processing, the need for remote healthcare services, and advancements in medical technology. The rapid growth in this segment highlights the increasing importance of edge computing solutions in transforming healthcare delivery, improving patient care, and enhancing operational efficiency within the industry.
The edge computing startup ecosystem in the U.S. is valued at $228 million as of November 2020.
The statistic stating that the edge computing startup ecosystem in the U.S. is valued at $228 million as of November 2020 reflects the estimated total worth of all emerging companies within the edge computing industry in the United States during that specific time period. This value takes into account factors such as market capitalization, revenue, funding raised, and potential growth prospects of these startups. The figure provides insight into the economic significance and growth potential of edge computing technologies in the U.S., showing the increasing investment and interest in this sector from both investors and consumers. Additionally, it serves as a key indicator of the expanding role that edge computing is playing in the digital landscape and the potential opportunities it offers for innovative startups to thrive and contribute to the broader tech ecosystem.
87% of enterprises are relying on edge computing for digital transformation.
The statistic that 87% of enterprises are relying on edge computing for digital transformation indicates a significant trend in the business world towards adopting edge computing technology. Edge computing refers to the practice of processing data closer to where it is generated, allowing for faster data processing and real-time decision-making. The fact that such a high percentage of enterprises are embracing edge computing suggests that they see its potential to drive innovation, improve operational efficiency, and enhance their digital transformation efforts. This statistic underscores the importance and growing popularity of edge computing in enabling organizations to leverage the power of data and technology effectively in today’s fast-paced digital landscape.
The IoT in edge computing market is projected to grow at a CAGR of 32.8% from 2021 to 2026.
This statistic indicates that the market for Internet of Things (IoT) in edge computing is expected to experience significant growth over the next five years, with a projected Compound Annual Growth Rate (CAGR) of 32.8% from 2021 to 2026. This suggests a strong and steady expansion in the adoption and implementation of IoT technologies in edge computing applications, driven by factors such as increasing connectivity, data processing requirements, and the need for real-time decision-making at the network edge. The rapid advancement in edge computing infrastructure and the proliferation of IoT devices across various industries are expected to fuel this growth, presenting opportunities for businesses and organizations to leverage IoT and edge computing solutions for improved operational efficiency, enhanced data analytics, and innovative digital services.
By 2027, the global edge data center market is projected to reach $28.07 billion, with a CAGR of 21.4% from 2020 to 2027.
The statistic indicates that the global edge data center market is expected to grow significantly, reaching $28.07 billion by 2027, with a compound annual growth rate (CAGR) of 21.4% from 2020 to 2027. This projection suggests rapid expansion in the demand for edge data centers, which are critical for processing and storing data closer to where it is generated. The high CAGR reflects the increasing adoption of edge computing technologies across various industries, driven by trends such as the Internet of Things (IoT), 5G networks, and cloud computing. As organizations seek to improve latency, security, and bandwidth efficiency for their data processing needs, the market for edge data centers is expected to experience substantial growth over the forecast period.
Conclusion
Edge computing is undeniably on the rise as businesses continue to embrace the benefits of decentralizing data processing and storage. The industry statistics highlight the significant growth and opportunities in this sector, pointing towards a promising future for edge computing technologies. As more organizations adopt edge computing solutions to address their needs for real-time data processing, it is clear that this trend is here to stay and will continue to shape the future of digital transformation.
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