Edge Data Center Market revenue to reach USD 67 Billion by 2035, says Research Nester

Leading edge data center market players include Cisco Systems Inc., Dell Inc., Flexential Corporation, Rittal GmbH & Co. KG, Vapor I0, Inc., Eaton, Fujitsu, Hewlett Packard Enterprise Development LP, Huawei Technologies Co, Ltd., and IBM Corporation,

New York, Jan. 22, 2024 (GLOBE NEWSWIRE) -- The global edge data center market size is predicted to grow at a CAGR of over ~26% from 2023 to 2035. The market is projected to garner a revenue of USD 67 billion by the end of 2035, up from a revenue of ~USD 8 billion in the year 2022.This growth is predicted to be influenced by the growing generation of data. Every day, approximately 327 million terabytes of data are generated. Hence, the need for edge data centers is growing.

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The goal of Edge is to evaluate data closer to the point of generation, allowing for faster and larger processing volumes and more actionable outcomes in real-time. Moreover, centralized data centers produce a lot of electronic trash, release a lot of CO2, and require a lot of energy and water. Indeed, the greenhouse gas emissions from cloud data centers already amount to almost 299 million tons of CO2 equivalent. Hence, the demand for edge data centers is growing since it is considered to be one of the sustainable solutions.

Surge in the Use of the Internet to Boost the Growth of the Global Edge Data Center Market

As of October 2023, there were nearly 4 billion internet users worldwide, or approximately 64 percent of the world's population. With the surge in adoption of the internet, the prevalence of connected devices is also estimated to grow. People can control their finances, enjoy music and videos, purchase goods from the comfort of their homes, communicate with people worldwide, obtain information quickly, and much more with the aid of the Internet. There are currently billions of web pages available on the Internet, making it a massive information resource. Hence, the need for edge data centers is growing.

Edge Data Center Market: Regional Overview 

The market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa region. 

Surge in IoT Connected Devices to Drive the Market Expansion in North America

The edge data center market in North America is set to rise by capturing the highest revenue by the end of 2035. This growth of the market is set to be dominated by rising IoT connected devices in this regi0n. It predicts that approximately 7 billion IoT connections will exist in North America alone by 2030.

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Rising Adoption of Smartphones to Influence the Market Growth in Asia Pacific

The Asia Pacific market for edge data centers is projected to have significant growth over the forecast period. The major element to dominate the market growth is the rising adoption of smartphones. The proportion of smartphone adoption in the Asia-Pacific area rose from over 63 percent in 2019 to approximately 75 percent in 2022. It had been expected that over 89% of smartphones would be in use in Asia-Pacific by 2030.

Edge Data Center, Segmentation by Organization

  • Large Enterprise
  • SMEs

The SMEs segment is projected to gather the highest revenue by the end of 2035. The major factor to dominate the segment growth is rising SMEs all across the world. Roughly 331 million SMEs are projected to exist globally in 2021—a little increase above the 327 million recorded in 2019. SME businesses need ease in deployment and operation. Additionally, they have low budgets which makes edge data centers a preferable option to them.

Edge Data Center, Segmentation by Application

  • Retail
  • BFSI
  • Logistics & Telecommunication
  • Healthcare
  • Government
  • IT & Telecom

The IT & telecom segment is projected to have noteworthy growth in the market over the forecast period. This growth is set to be encouraged by a surge in social media users. On a global scale, there are over 5 billion social media users, which represents approximately 58% of the total population and 92.7% of all internet users.

A few of the well-known indsutry leaders in the edge data center market that are profiled by Research Nester are Cisco Systems Inc., Dell Inc., Flexential Corporation, Rittal GmbH & Co. KG, Vapor I0, Inc., Eaton, Fujitsu, Hewlett Packard Enterprise Development LP, Huawei Technologies Co, Ltd., IBM Corporation, and others.

Recent Development in the Market 

  • In order to extend its network edge throughout Europe, Vapour 10, Inc., the developers of the Kinetic Grid platform—the first Open Grid network in history—has teamed up with Cellnex Telecom, the leading independent wireless telecommunications carrier in Europe.
  • Dell, Inc. unveiled edge innovations across its infrastructure and PC portfolio to improve value and enable deployments from data created and processed outside of the traditional data center and public cloud—from harsh and remote areas to retail storefronts and manufacturing floors.

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