Dublin, Nov. 15, 2023 (GLOBE NEWSWIRE) -- The "Edge Data Center Market by Component (Solutions, Services), Facility Size, Vertical & Region - Global Forecast to 2028" report has been added to ResearchAndMarkets.com's offering.
The market size of edge data centers is projected to grow from USD 10.4 billion in 2023 to USD 29.6 billion by 2028 at a CAGR of 23.2% during the forecast period. The rising demand for edge computing and decentralization of IT infrastructure drives the edge data center market's growth.
As per facility size, the small & medium facility segment holds a higher CAGR during the forecast period.
The edge data center market by facility size bifurcates into small & medium, and large facilities. During the forecast period, 2023-2028, the small & medium facility segment holds the highest CAGR. Organizations increasingly adopt hyperlocal edge deployments, where small and medium facilities house edge data centers. This trend focuses on distributing computing resources closer to the end-users or devices, enabling ultra-low latency applications and services. IoT devices are driving the need for edge computing. Small and medium facilities are equipped with edge data centers to process and analyze data from IoT devices in real time, enabling responsive and intelligent applications.
As per vertical, the automotive vertical holds the highest CAGR during the forecast period.
The verticals studied in the report are IT & telecom, BFSI, healthcare & life sciences, manufacturing, government, automotive, gaming & entertainment, retail & e-commerce, and others (mining and agriculture). During the forecast period, 2023-2028, the automotive vertical segment holds the highest CAGR. Edge data centers play a crucial role in supporting autonomous vehicles by processing data from sensors and making real-time decisions, contributing to the safety and functionality of self-driving cars. As vehicles become more connected, edge data centers can handle data generated by in-car systems, infotainment, telematics, and communication with other vehicles, enabling advanced features and services. Edge data centers can analyze traffic patterns in real-time, helping improve traffic management, reduce congestion, and enhance navigation systems.
Europe holds the second-largest market share during the forecast period.
The edge data center market includes an analysis of five regions. Europe holds the second-largest market share in 2023 and will have similar dominance over the forecast period. Europe has diverse business needs, as several large retailers and manufacturing companies demand robust and scalable IT infrastructure solutions. The region has always been a challenging market for cloud providers due to the stringent regulations and security standards regarding user data privacy. In Europe, there is a growing demand for hyperscale data center facilities and data center colocation owing to the availability of green power and favorable climatic conditions. As per findings, the Netherlands has the most advanced hyperscale data center facilities and hosts online services of major cloud providers.
Market Dynamics
Drivers
- Surge in IoT Devices
- Low Latency Requirements
- Role of 5G Deployment
- Decentralization of It Infrastructure
- Rise of Edge Computing
Restraints
- Heavy Initial Capital Investment
- Regulatory Compliance
Opportunities
- Growing Demand for Smart City Initiatives
- Growing Demand for Edge Data Center as a Service
- Development in AR to Reduce Latency
Challenges
- High-Speed Network Connection in Remote Areas
- Rise in Data Privacy and Security Concerns
Key Topics Covered:
Executive Summary
- Edge Data Center Market Size and Growth, 2020-2022 (USD Million, Y-O-Y %)
- Edge Data Center Market Size and Growth, 2023-2028 (USD Million, Y-O-Y %)
- Global Edge Data Center Market to Witness Significant Growth
- North America to Account for Largest Share in 2023
- Fastest-Growing Segments of Edge Data Center Market
Premium Insights
- Overview of Edge Data Center Market - Increasing Demand for Reduced Network Traffic and Improved Application Performance to Drive Growth
- Edge Data Center Market, by Component, 2023 Vs. 2028 -Solutions Segment to Account for Larger Market Share During Forecast Period
- Edge Data Center Market, by Facility Size, 2023 Vs. 2028 - Large Facility Segment to Account for Larger Market Share During Forecast Period
- Edge Data Center Market, by Vertical, 2023-2028 - IT & Telecom Vertical to Account for Largest Market Share During Forecast Period
- Edge Data Center Market: Regional Scenario, 2023-2028 - Asia-Pacific to Emerge as Best Market for Investment in Next Five Years
Case Study Analysis
- Case Study 1: Leading Edge Data Center Company Uses Ecostruxture to Ensure Reliable Connectivity
- Case Study 2: New Data Center Technologies Helped Zaxby Reduce Cost and Lower Infrastructure Need and Complexity
- Case Study 3: Dawiyat Deployed Modular Data Center Solution for Complex Management and Urgent Need to Reduce Cost and Boost Efficiency
- Case Study 4: Five9 Helped Achieve Increased Uptime, Improved Customer Ratings, and Prevented Outages
- Case Study 5: Custom Mobile Backups Helped Protect Communication Provider's Network
Company Profiles
- 365 Data Centers
- Cisco
- Commscope
- Compass Datacenters
- Dartpoints
- Dell
- Eaton
- Edge Centres
- Edgeconnex
- Equinix
- Flexential
- Fujitsu
- Hpe
- Huawei
- Huber+Suhner
- IBM
- Nvidia
- Panduit
- Rittal
- Sba Edge
- Schneider Electric
- Siemon
- Smart Edge Data Centers
- Sunbird
- Ubiquity Management, LLC
- Vapor Io
- Vertiv Group
- Zella Dc
- Zenlayer
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 191 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value (USD) in 2023 | $10.4 Billion |
| Forecasted Market Value (USD) by 2028 | $29.6 Billion |
| Compound Annual Growth Rate | 23.2% |
| Regions Covered | Global |
For more information about this report visit https://www.researchandmarkets.com/r/jnhurb
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