According to market database, major industry verticals that make use of edge computing include manufacturing, energy & utilities, government & defense, telecommunications, media & entertainment, retail, transportation & logistics, healthcare, banking, and others.
Market research suggests that the convergence of edge computing and the Industrial Internet of Things (IIOT) has allowed organizations to tap the power of edge computing resources. A greater shift towards digitalization due to COVID-19 has led to advancements in this market according to market research tools . The edge computing technology offers various advantages such as reduced storage costs, low latency processing, and enhanced performance.
Classification Based on Components:
Market database suggests that the components that provide a holistic picture of edge computing include hardware, platform, and services components. According to market research tools, the hardware vertical has experienced a greater share in the market. As hardware components are required to deploy the decentralized architecture of edge computing at scale. Advancements in hardware components are expected to provide faster data transmission, reduce network traffic, and minimize costs by the use of lightweight frameworks. The prominent growth segments in the components market can be studied through Global Market Database. The market research tool provides free market data across 600+ markets. Such a mix of factors has contributed towards an optimistic market outlook for hardware components.
Varied Applications:
Market database states that edge computing technology is versatile and is used in different applications which are dependent on the type of industry vertical. According to market research tools, based on the global market and its applications for edge computing, the market is divided into smart cities, industrial internet of things (IIOT), remote monitoring, content delivery, augmented reality (AR), virtual reality (VR), autonomous vehicles, and others. According to market research tools, the industrial internet of things (IIOT) has commanded a greater share in the edge computing market. Market research states that this is due to an increase in the number of connected devices for industry operations which make use of a huge volume of data and require faster processing.
Market research suggests that the smart city vertical is expected to be the fastest-growing for edge computing services. According to the market database, the deployment of smart cities requires the processing of a huge volume of data from multiple sources and make use of advanced analytical abilities to make decisions in real-time. Market research tools state that smart cities are expected to require edge computing for different applications such as real-time traffic monitoring, security & surveillance, smart power grids, and much more. Autonomous vehicles are another significant contributor to the edge computing global market. Market database states that as the number of connected vehicles has increased, they are expected to require robust solutions for faster communication and processing at different locations. Automotive Edge Computing Consortium (AECC) is an organization that has started to provide the best practices for autonomous vehicles and drive computing convergence in the industry.
Growth Catalysts:
Market research tools state that the increased adoption of IoT devices is expected to drive the demand for low latency processing and access. According to the market database, as big data is the new norm to generate insights, there is a great need for hyper-localized data centers which have the desired storage capacity. Market research states that the demand for the efficient analytical solution offered via virtual environments for automated decision-making is expected to fuel the demand for edge computing technology.
COVID-19 accelerated the migration towards cloud architecture. The change in market outlook and the fast paced business recovery associated with the pandemic can be studied through Global Market Database. The market research tool provides a detailed analysis of the drivers, restraints, and challenges of a sector.
The U.S Market Perspective:
According to the market database, the region has experienced a greater share in the edge computing market. Market research suggests that this is due to the presence of major players in the country. U.S was one of the early adopters of edge computing technologies and drove the convergence of IIOT and edge computing services. According to the market database, the presence of next-generation startups and conducive government policies have contributed to the demand for edge computing in this region.