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Edge Computing Market Size, Share & Trends Analysis Report By Component (Hardware, Software, Services, Edge-managed Platforms), By Industry Vertical (Healthcare, Agriculture), By Region, And Segment Forecasts, 2020 to 2030
Edge computing products facilitate enhanced processing power and data transmission between connected devices. Shift in consumer preference for smart devices over conventional vehicles, and homes drives the demand for edge computing components such as services, software, and edge-managed platforms. Industrial automation trends that employ artificial intelligence (AI), and machine learning (ML) to curb costs and increase production capacities also contributes to growth.The global edge computing market exhibits a skyrocketing growth trajectory with 30% CAGR during the forecast period (2020 - 2030). Edge computing sensors, and routers act as input mechanisms for industrial automation. When combined with edge-managed platforms, organizations can remotely monitor, and control production processes. Market players are investing in expanding their global footprint in high-growth regions such as East Asia.
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Key Takeaways of Edge Computing Market Study
North America leads global sales with 46% share of the total market value. Presence of prominent edge computing companies in the US are primary drivers of growth for market players.
South Asia & Oceania offers the most lucrative opportunities with the highest double-digit growth rate of 32% during the forecast period. Surge in economic digitization of countries such as Indonesia, Singapore, and Malaysia is pushing the adoption of edge computing in this region.
Energy & utilities accounts for the largest share of the market value. The 18% share can be accredited to cost efficiency and enhanced control over energy grids offered by edge computing products.
Datacenters is the most financially rewarding application segment with a meteoric 32.5% CAGR through 2030. Innovation in infrastructure and data transmission models drive the demand from this application segment.
Hardware is the most selling component segment with more than 46% share of the total market revenue. Surging adoption of AI, ML, and the Internet of Things (IoT) furthers the demand for hardware components such as edge nodes, sensors, and routers.
Edge computing services offer the most remunerative opportunities with a stupendous 31.5% CAGR during the projection period. Disruptive start-ups working on AI, ML, and IoT leverage the cost efficiency of edge computing services over buying hardware. This is a major driver for growth of this component segment.
Digital Transformation Due to COVID-19 Lockdowns- Key Growth Factor
Workforces across industries and companies are adopting digital methods of collaboration due to the COVID-19 pandemic. This has led to a surge in demand for edge computing capabilities by IT companies that offer collaboration products. Google LLC, Zoom Video Communications, and Datacenter providers are some examples of edge computing. As the user counts increase, so will the need for enhanced edge computing. For instance, Zoom Video Communications has been buying servers across the world to increase its user capacity. The company has witnessed a huge uptake in user counts since nationwide lockdowns were imposed to contain the spread of COVID-19.
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Similarly, Google LLC is increasing its processing power to facilitate the use of its products such as Hangouts, Google Classrooms, and Google Business. The trend of digital transformation among organizations and consumers alike, presents exponential growth opportunities for market players. Further, it is expected that once on-board, users of edge computing will realize the benefits of the varied range of products and continue to generate demand during the forecast period.
Find More Valuable Insights on Edge Computing Market
Fact.MR, in its new offering, brings to fore an unbiased analysis of the edge computing market, presenting historical demand data (2015-2019) and forecast statistics for the period, 2020-2030. The study divulges compelling insights on the edge computing market on the basis of component (hardware (sensors/routers, edge nodes/gateways, and others), software, services, and edge-managed platform), applications (energy & utilities, industrial, transportation & logistics, smart cities/smart homes/smart buildings, healthcare, agriculture, retail, datacenters and others), and across six major regions (North America, Latin America, Europe, East Asia, South Asia & Oceania, and Middle East & Africa).
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