Global Edge Computing Market - Forecasts from 2018 to 2023

The global edge computing market was valued at US$975.735 million in 2017 and is expected to grow at a CAGR of 29.66% over the forecast period to reach a market size of US$4,636.604 million in 2023. The market growth of this technology is majorly attributed to increasing penetration of Internet of Things (IoT) in many regions across the globe. Increasing investments by major industry players into Internet of Things in such regions is fuelling innovation and is accelerating the process of development and commercialisation of a wider range of connected products and solutions. Smart TVs, for instance, are witnessing an impressive year-on-year increase in adoption on account of rising disposable incomes and changing lifestyles across the regions. Gaming consoles are also witnessing rapid adoption as game developers continue to integrate technologies like Virtual Reality, Augmented Reality and others into their offerings to enhance customer experience. Increasing focus of customers towards offering advanced connected solutions with minimum latency is steering them towards newer technologies like edge computing which is driving their market growth. Rising concerns regarding data security are further steering many industry players towards edge computing which allows them to keep data near to source, thus minimising the risks of data theft while data travels from host to remote servers and back to host. This is driving the growth of edge computing market.

Increasing investments by major industry players into Artificial Intelligence (AI) has been another major contributing factor for the growth of this market. In order to strengthen the growth of technologies like Natural Language Processing, Context-Aware computing and many others under this umbrella is drifting them towards edge computing which offers numerous benefits that support the growth of these technologies. This is boosting the growth of this market. The growth of this market will continue to remain strong as many industry players are coming together in order to tap the complete potential of this technology. For instance, OpenFog is a consortium whose members include companies like arm, Cisco, Dell, Intel, Microsoft, Toshiba, Princeton University, Foxconn, General Electric, Hitachi, Ltd., Verizon Communications and SAKURA internet, along with some universities like ShanghaiTech University, Purdue University, and National Chiao Tung University among others. As these stakeholders continue to join forces and fuel innovation through the power of synergies, the market is anticipated to witness a solid growth over the projected period.

By Product Offerings

By product offerings, the global edge computing market is segmented into hardware, software, and services. Software holds a major share in this market owing to the presence of a large number of platform and solution providers in this market. Other offerings like hardware and services will also witness a good growth over the projected period.

By End-user

By end-user industry, the global edge computing market has been segmented into energy and power, oil and gas, automotive, transportation and others. Automotive and transportation industries hold a major share in this segment. Growth of this market in these industries is attributed to increasing investments by industry players into new technologies which can return better value to the customers. Players in other industries are also pumping huge investments into research and development to fuel innovation in order to offer better solutions to the customers, thus boosting the growth of this market.

By Geography

Geographically, the market is segmented into North America, South America, Europe, Middle East and Africa and Asia Pacific. North America holds a major share in this market on account of state-of-the-art research infrastructure and presence of a good number of market players in this region. The market in Asia Pacific is expected to witness an impressive growth over the forecast period. This growth will be supported by increasing investments by major industry players into research and development in this region.

Competitive Insights

The major companies providing AI for healthcare industry are IBM Corporation, Intel Corporation, Google, Inc., Microsoft Corporation, Cisco, AT&T and Dell among others.

Segmentation:

The global edge computing market is segmented by product offerings, end-user industry, and geography:

By Product Offerings
Hardware
Software
Platform
Solution
Services

By End-User Industry
Energy and Power
Oil and Gas
Automotive
Transportation
Others

By Geography

North America

• U.S.


• Canada

South America

• Brazil


• Argentina

Europe

• UK


• Germany


• France


• Spain

Middle East and Africa

• Saudi Arabia


• UAE

South Africa

Asia Pacific

• Japan


• China


• South Korea


• India