PUBLISHER: The Business Research Company | PRODUCT CODE: 1888230
PUBLISHER: The Business Research Company | PRODUCT CODE: 1888230
Edge cloud interconnect refers to the integration of edge computing infrastructure with centralized cloud environments through high-speed, low-latency network connections. Its primary goal is to enable seamless data transfer, real-time processing, and workload distribution between edge locations and cloud data centers. This improves performance for latency-sensitive applications, optimizes bandwidth utilization, and ensures reliable scalability across distributed networks.
The main components of edge cloud interconnect are hardware, software, and services. Hardware includes computational platforms, analytical devices, and laboratory instruments used to identify, design, and optimize small molecules targeting specific disease pathways. It is deployed through public cloud, private cloud, and hybrid cloud models, and serves organizations of all sizes, including small and medium enterprises as well as large enterprises. Key applications include content delivery, Internet of Things (IoT) integration, data analytics, network optimization, and other applications, serving end users such as telecommunications, information technology (IT) and information technology-enabled services (ITeS), healthcare, banking, financial services, and insurance (BFSI), retail, manufacturing, media and entertainment, and others.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the information technology sector, particularly in hardware manufacturing, data infrastructure, and software deployment. Higher duties on imported semiconductors, circuit boards, and networking equipment have raised production and operational costs for tech firms, cloud service providers, and data centers. Companies relying on globally sourced components for laptops, servers, and consumer electronics are facing longer lead times and increased pricing pressures. In parallel, tariffs on specialized software tools and retaliatory measures from key international markets have disrupted global IT supply chains and reduced overseas demand for U.S.-developed technologies. To navigate these challenges, the sector is accelerating investments in domestic chip fabrication, diversifying supplier bases, and adopting AI-driven automation to enhance operational resilience and cost efficiency.
The edge cloud interconnect market research report is one of a series of new reports from The Business Research Company that provides edge cloud interconnect market statistics, including edge cloud interconnect industry global market size, regional shares, competitors with a edge cloud interconnect market share, detailed edge cloud interconnect market segments, market trends and opportunities, and any further data you may need to thrive in the edge cloud interconnect industry. This edge cloud interconnect market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The edge cloud interconnect market size has grown exponentially in recent years. It will grow from $5.10 billion in 2024 to $6.26 billion in 2025 at a compound annual growth rate (CAGR) of 22.7%. The growth in the historic period can be attributed to rising adoption of cloud-based business models, increasing demand for real-time data processing, expansion of data center infrastructure, growth in enterprise digital transformation initiatives, expansion of global internet connectivity, and increasing investment in hybrid cloud strategies.
The edge cloud interconnect market size is expected to see exponential growth in the next few years. It will grow to $14.04 billion in 2029 at a compound annual growth rate (CAGR) of 22.4%. The growth in the forecast period can be attributed to rising demand for low-latency connectivity, increasing focus on sustainable data infrastructure, growing cross-border data exchange requirements, expansion of remote work and distributed enterprises, surge in adoption of data-intensive applications, and increasing emphasis on regulatory compliance and data sovereignty. Key trends in the forecast period include technological advancements in edge-to-cloud orchestration, improvements in interconnection fabric automation, innovations in distributed computing frameworks, developments in intelligent network routing systems, research and development in latency optimization solutions, and advancements in scalable data exchange architectures.
The growing adoption of 5G networks is expected to propel the growth of the edge cloud interconnect market going forward. 5G networks refer to the fifth generation of mobile network technology designed to deliver faster speeds, ultra-low latency, and greater connectivity for devices and applications. 5G networks are expanding due to the widespread rollout of high-speed infrastructure that enables faster data transmission and supports the increasing connectivity needs of advanced digital applications. Edge cloud interconnect supports 5G network expansion by enabling low-latency, high-speed data exchange between distributed edge sites and central clouds to deliver real-time connectivity and optimized network performance. For instance, in March 2025, according to 5G Americas Inc., a US-based wireless industry trade association, North America reached 289 million 5G connections by the end of 2024, representing a 67% year-over-year growth from 196 million connections at the end of 2023. Therefore, the growing adoption of 5G networks is driving the growth of the edge cloud interconnect market.
Major companies operating in the edge cloud interconnect market are focusing on developing technologically advanced products, such as advanced air-gapped systems, to enhance security, autonomy, and data sovereignty. Advanced air-gapped systems refer to high-security computing environments that are physically isolated from external networks, including the internet, to prevent unauthorized access or cyberattacks. For instance, in July 2024, Google LLC, a US-based technology company, launched the Google Distributed Cloud air-gapped appliance, an advanced air-gapped system designed to deliver cloud-native services and artificial intelligence (AI) workloads in disconnected and high-security edge environments. It includes customer-controlled management and operation capabilities, enabling organizations to meet the most demanding data sovereignty and security mandates without operator intervention from Google. It improves edge-to-cloud continuity, operational resilience, and real-time decision-making in mission-critical deployments.
In March 2025, BSO Network Solutions Limited, an Ireland-based connectivity and cloud infrastructure company, acquired InterCloud SAS for an undisclosed amount. With this acquisition, BSO aims to strengthen its edge cloud interconnect capabilities by gaining InterCloud's software-defined interconnect platform, cloud on-ramp network, and multi-cloud connectivity expertise, expanding its global reach and service efficiency. InterCloud SAS is a France-based software-defined cloud interconnect company specializing in secure multi-cloud and edge-to-cloud connectivity solutions.
Major players in the edge cloud interconnect market are Amazon.com Inc., Alphabet Inc., Microsoft Corporation, Verizon Communications Inc., Alibaba Group Holding Limited, AT&T Inc., IBM Corporation, Oracle Corporation, Vodafone Group Public Limited Company, Orange S.A., Nippon Telegraph and Telephone Corporation, Lumen Technologies Inc, American Tower Corporation ( through CoreSite ), Equinix Inc., Digital Realty Trust Inc., Ciena Corporation, Akamai Technologies Inc., Zayo Group Holdings Inc., Megaport Limited, and PacketFabric Inc.
North America was the largest region in the edge cloud interconnect market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in edge cloud interconnect report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the edge cloud interconnect market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The edge cloud interconnect market consists of revenues earned by entities by providing services such as network planning, cloud migration, performance monitoring, infrastructure management, interoperability testing services, and troubleshooting. The market value includes the value of related goods sold by the service provider or included within the service offering. The edge cloud interconnect market also includes sales of edge routers, network switches, cloud gateways, interconnect fabrics, optical transceivers, and edge servers. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Edge Cloud Interconnect Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on edge cloud interconnect market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for edge cloud interconnect ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The edge cloud interconnect market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.