WELLESLEY, Mass., Aug. 14, 2018 (GLOBE NEWSWIRE) -- Due to need to process data closer to the end user to decrease response time, organizations are implementing mini-data centers and distributed network nodes, driving the global market for edge computing according to a new report from BCC Research.
In 2018, the global market for edge computing in expected to reach $10.6 billion. The market is forecast to reach $21 billion by 2023, indicating a compound annual growth rate (CAGR) of 14.2%, according to the report Global Markets and Technologies for Edge Computing Through 2023.
As the current generation of applications, including big data analytics, cognitive computing and the Internet of Things, require high bandwidth and low latency, the cloud model is causing performance delays. Edge computing uses a new architecture to stage processing of the application workload closer to the user.
Research Highlights
- Despite its promise, defining and determining how best to implement edge computing remains a major obstacle.
- The Asia-Pacific region is anticipated to show the largest CAGR during the forecasted period at 17.5%.
- Edge computing targets reducing the typically 150 to 200 milliseconds for data to be transferred from a location to a cloud data center to 2 to 5 milliseconds.
“Edge computing, the ability to process data at the edge of the network rather than in a centralized cloud, is a new architecture and opportunity requiring new products and services,” said BCC Research analyst and report author Michael Sullivan. “Driven by the real-time Internet of Things (IoT), video and advanced analytics applications, edge computing is gaining increased traction. The market is expected to grow to $20 billion by 2020 across industry sectors driven by these applications.”
Evolution to 5G Network Contributes to Growth
The trend toward edge computing is also accelerated by 5G, the next evolution of the mobile network, which targets extremely low latency applications across a wide variety of radio networks and high bandwidth services. Edge computing will be essential to bring the objectives of 5G to fruition.
About BCC Research
BCC Research is a publisher of market research reports that provide organizations with intelligence to drive smart business decisions. By partnering with industry experts worldwide, BCC Research provides unbiased measurements and assessments of global markets covering major industrial and technology sectors, including emerging markets. For more information about BCC Research, please visit bccresearch.com. Follow BCC Research on Twitter at @BCCResearch.