Global Edge Computing Market Size, Share, Growth Analysis, By Type(Hardware and Software), By End-User(Manufacturing and Healthcare) - Industry Forecast 2024-2031

Global Edge Computing Market size was valued at USD 11.25 billion in 2022 and is poised to grow from USD 15.42 billion in 2023 to USD 192.40 billion by 2031, growing at a CAGR of 37.09% in the forecast period (2024-2031).

The increasing demand for real-time data processing, the deployment of 5G technology, and the proliferation of IoT devices are driving the growth of the global edge computing market. In the near future, it is anticipated that the industry will continue to grow as more businesses realize how edge computing can improve user experiences, reduce latency, and increase efficiency. The demand for effective data processing at the edge has arisen due to the exponential increase in data generation from several sources, such as autonomous vehicles, smart grids, and Internet of Things devices. Edge computing eases the strain on cloud infrastructure and network capacity by processing data locally to deliver real-time analytics and actionable insights. Furthermore, it is anticipated that the growing uptake of 5G networks would further boost the worldwide market. 5G technology is perfect for edge computing applications because it offers enormous bandwidth and extremely low latency. Applications that are sensitive to delay, such industrial automation, remote healthcare, and autonomous vehicles, perform better when combined.

Moreover, edge computing solutions are being deployed due to the increasing demand for connected and autonomous devices. For applications like self-driving cars, smart cities, and industrial IoT, edge computing allows devices to make choices more quickly and react to events in real time. But there are also significant difficulties facing the edge computing sector. Because data may be exposed to different risks due to decentralized computing, it is imperative to ensure data privacy and security at the edge. Furthermore, it can be difficult to develop and maintain edge computing equipment across geographically dispersed locations, and reliable network connectivity is needed.

Top-down and bottom-up approaches were used to estimate and validate the size of the Global Edge Computing Market and to estimate the size of various other dependent submarkets. The research methodology used to estimate the market size includes the following details: The key players in the market were identified through secondary research, and their market shares in the respective regions were determined through primary and secondary research. This entire procedure includes the study of the annual and financial reports of the top market players and extensive interviews for key insights from industry leaders such as CEOs, VPs, directors, and marketing executives. All percentage shares split, and breakdowns were determined using secondary sources and verified through Primary sources. All possible parameters that affect the markets covered in this research study have been accounted for, viewed in extensive detail, verified through primary research, and analyzed to get the final quantitative and qualitative data.

Global Edge Computing Market Segmental Analysis

The Global Edge Computing market is segmented by type, end-user, and region. Based on type, the market can be segmented into hardware and software. Based on end-user, the market is segmented into manufacturing and healthcare. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Drivers of the Global Edge Computing Market

The requirement for real-time data processing and analytics, the expansion of 5G networks, and the growing deployment of IoT devices are driving the global edge computing market. Edge computing brings computation closer to the data source, allowing for faster and more effective data processing. Because of this technology's capacity to lower latency, strengthen security, and increase application performance overall, it is becoming more and more popular across a range of industries, including healthcare, banking, and manufacturing. Leading computer companies are making large R&D investments to build cutting-edge edge computing solutions, suggesting strong growth potential for the industry.

Restraints in the Global Edge Computing Market

The absence of industry standards is one of the key factors impeding the growth of the edge computing market globally. Hardware, software, and networking protocols are not standard since edge computing has a wide range of use cases and applications. This may lead to problems with interoperability and complicate the adoption of edge computing solutions by organizations. Additionally, the high upfront costs associated with implementing edge computing solutions and the intricacy of managing dispersed infrastructure may serve as barriers to the market's expansion.

Market Trends of the Global Edge Computing Market

The growing use of artificial intelligence (AI) and machine learning (ML) technologies is one significant trend in the global edge computing market. Edge computing is turning into a vital component in facilitating the creation and implementation of AI and ML applications, as the Internet of Things grows and the requirement for real-time data processing increases. Edge computing can lower latency and increase the precision and speed of AI and ML algorithms by processing data closer to the source. Consequently, there is a notable trend in the market with an increasing need for edge computing solutions that support workloads involving AI and ML.