Edge Computing Market by Component, Application, End-Use

List of Tables

The Edge Computing Market was valued at USD 6.01 billion in 2023, expected to reach USD 7.27 billion in 2024, and is projected to grow at a CAGR of 20.96%, to USD 22.79 billion by 2030.

Edge computing refers to the processing of data closer to its source, such as sensors or devices, rather than relying on centralized data centers far away. This technology is crucial as it reduces latency, enhances real-time data processing, and saves on bandwidth costs, thus driving the necessity across numerous industries. It finds application in various end-use sectors such as healthcare, automotive (for autonomous driving systems), industrial manufacturing, agriculture (for precision farming), and smart cities. The market for edge computing is being driven by the proliferation of IoT devices, increasing demand for low-latency processing in critical applications, and the need for substantial bandwidth efficiency. Telecommunication companies are major players due to their expansive infrastructure, while tech giants continue investing in edge solutions to improve service offerings. A key growth factor is the need for processing large amounts of data generated at the network's edge, which cloud computing alone cannot efficiently manage. Opportunities arise from burgeoning 5G technology, which enhances edge computing capabilities by offering faster and more reliable data processing. However, challenges such as security concerns, connectivity issues, and the high cost of implementation could hinder growth. Limited standardization and interoperability among devices also pose significant barriers. To overcome these limitations, businesses can focus on innovation areas such as enhancing edge AI capabilities, developing energy-efficient edge hardware, and strengthening edge-to-cloud connectivity. Collaboration with telecommunications providers and industry-specific partnerships can also open new pathways. This market is dynamic, with new advancements continuously emerging, providing a ripe environment for innovation and research that can spur business growth. By focusing on developing secure, scalable, and standardized solutions, companies can position themselves as leaders in the edge computing market, ensuring sustainable success.

KEY MARKET STATISTICS
Base Year [2023]	USD 6.01 billion
Estimated Year [2024]	USD 7.27 billion
Forecast Year [2030]	USD 22.79 billion
CAGR (%)	20.96%

Market Dynamics: Unveiling Key Market Insights in the Rapidly Evolving Edge Computing Market

The Edge Computing Market is undergoing transformative changes driven by a dynamic interplay of supply and demand factors. Understanding these evolving market dynamics prepares business organizations to make informed investment decisions, refine strategic decisions, and seize new opportunities. By gaining a comprehensive view of these trends, business organizations can mitigate various risks across political, geographic, technical, social, and economic domains while also gaining a clearer understanding of consumer behavior and its impact on manufacturing costs and purchasing trends.

Market Drivers
- Growing adoption of IoT across industries
- Rising demand for low-latency processing and real-time, automated decision-making solutions
- Surmounting exponentially increasing data volumes and network traffic
Market Restraints
- High initial capex for infrastructure
Market Opportunities
- Emergence of autonomous vehicles and connected car infrastructure
- Lightweight frameworks and systems to enhance efficiency of edge computing solutions
Market Challenges
- Vulnerability issues with edge nodes

Porter's Five Forces: A Strategic Tool for Navigating the Edge Computing Market

Porter's five forces framework is a critical tool for understanding the competitive landscape of the Edge Computing Market. It offers business organizations with a clear methodology for evaluating their competitive positioning and exploring strategic opportunities. This framework helps businesses assess the power dynamics within the market and determine the profitability of new ventures. With these insights, business organizations can leverage their strengths, address weaknesses, and avoid potential challenges, ensuring a more resilient market positioning.

PESTLE Analysis: Navigating External Influences in the Edge Computing Market

External macro-environmental factors play a pivotal role in shaping the performance dynamics of the Edge Computing Market. Political, Economic, Social, Technological, Legal, and Environmental factors analysis provides the necessary information to navigate these influences. By examining PESTLE factors, businesses can better understand potential risks and opportunities. This analysis enables business organizations to anticipate changes in regulations, consumer preferences, and economic trends, ensuring they are prepared to make proactive, forward-thinking decisions.

Market Share Analysis: Understanding the Competitive Landscape in the Edge Computing Market

A detailed market share analysis in the Edge Computing Market provides a comprehensive assessment of vendors' performance. Companies can identify their competitive positioning by comparing key metrics, including revenue, customer base, and growth rates. This analysis highlights market concentration, fragmentation, and trends in consolidation, offering vendors the insights required to make strategic decisions that enhance their position in an increasingly competitive landscape.

FPNV Positioning Matrix: Evaluating Vendors' Performance in the Edge Computing Market

The Forefront, Pathfinder, Niche, Vital (FPNV) Positioning Matrix is a critical tool for evaluating vendors within the Edge Computing Market. This matrix enables business organizations to make well-informed decisions that align with their goals by assessing vendors based on their business strategy and product satisfaction. The four quadrants provide a clear and precise segmentation of vendors, helping users identify the right partners and solutions that best fit their strategic objectives.

Strategy Analysis & Recommendation: Charting a Path to Success in the Edge Computing Market

A strategic analysis of the Edge Computing Market is essential for businesses looking to strengthen their global market presence. By reviewing key resources, capabilities, and performance indicators, business organizations can identify growth opportunities and work toward improvement. This approach helps businesses navigate challenges in the competitive landscape and ensures they are well-positioned to capitalize on newer opportunities and drive long-term success.

Key Company Profiles

The report delves into recent significant developments in the Edge Computing Market, highlighting leading vendors and their innovative profiles. These include ADLINK Technology Inc., Amazon Web Services, Inc., Axellio, Azion Technologies Ltd., Cisco Systems, Inc., ClearBlade, Inc., Dell Inc., Digi International Inc., EdgeConneX Inc., General Electric Company, Google LLC, Hewlett Packard Enterprise Development LP, Huawei Technologies Co., Ltd., Intel Corporation, International Business Machines Corporation, Juniper Networks, Inc., Litmus Automation Inc., Microsoft Corporation, Moxa Inc., Saguna Networks Ltd., and Schneider Electric.

Market Segmentation & Coverage

This research report categorizes the Edge Computing Market to forecast the revenues and analyze trends in each of the following sub-markets:

Based on Component, market is studied across Hardware, Services, and Software.
Based on Application, market is studied across Analytics, Augmented Reality, Location Services, and Smart Cities.
Based on End-Use, market is studied across Energy & Utilities, Government & Defense, Healthcare & Life Sciences, Manufacturing, Media & Entertainment, Retail & Consumer Goods, Telecommunications, and Transportation & Logistics.
Based on Region, market is studied across Americas, Asia-Pacific, and Europe, Middle East & Africa. The Americas is further studied across Argentina, Brazil, Canada, Mexico, and United States. The United States is further studied across California, Florida, Illinois, New York, Ohio, Pennsylvania, and Texas. The Asia-Pacific is further studied across Australia, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. The Europe, Middle East & Africa is further studied across Denmark, Egypt, Finland, France, Germany, Israel, Italy, Netherlands, Nigeria, Norway, Poland, Qatar, Russia, Saudi Arabia, South Africa, Spain, Sweden, Switzerland, Turkey, United Arab Emirates, and United Kingdom.

The report offers a comprehensive analysis of the market, covering key focus areas:

1. Market Penetration: A detailed review of the current market environment, including extensive data from top industry players, evaluating their market reach and overall influence.

2. Market Development: Identifies growth opportunities in emerging markets and assesses expansion potential in established sectors, providing a strategic roadmap for future growth.

3. Market Diversification: Analyzes recent product launches, untapped geographic regions, major industry advancements, and strategic investments reshaping the market.

4. Competitive Assessment & Intelligence: Provides a thorough analysis of the competitive landscape, examining market share, business strategies, product portfolios, certifications, regulatory approvals, patent trends, and technological advancements of key players.

5. Product Development & Innovation: Highlights cutting-edge technologies, R&D activities, and product innovations expected to drive future market growth.

The report also answers critical questions to aid stakeholders in making informed decisions:

1. What is the current market size, and what is the forecasted growth?

2. Which products, segments, and regions offer the best investment opportunities?

3. What are the key technology trends and regulatory influences shaping the market?

4. How do leading vendors rank in terms of market share and competitive positioning?

5. What revenue sources and strategic opportunities drive vendors' market entry or exit strategies?

Product Code: MRR-4348D129FAF6

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Growing adoption of IoT across industries
  - 5.1.1.2. Rising demand for low-latency processing and real-time, automated decision-making solutions
  - 5.1.1.3. Surmounting exponentially increasing data volumes and network traffic
- 5.1.2. Restraints
  - 5.1.2.1. High initial capex for infrastructure
- 5.1.3. Opportunities
  - 5.1.3.1. Emergence of autonomous vehicles and connected car infrastructure
  - 5.1.3.2. Lightweight frameworks and systems to enhance efficiency of edge computing solutions
- 5.1.4. Challenges
  - 5.1.4.1. Vulnerability issues with edge nodes
5.2. Market Segmentation Analysis
- 5.2.1. Component: Extensive adoption of software for efficient management and orchestration of resources
- 5.2.2. Application: Growing preference of analytics to ensure faster, data-driven decisions
- 5.2.3. End-Use: Wide use of edge computing in healthcare and life sciences for real-time patient monitoring
5.3. Porter's Five Forces Analysis
- 5.3.1. Threat of New Entrants
- 5.3.2. Threat of Substitutes
- 5.3.3. Bargaining Power of Customers
- 5.3.4. Bargaining Power of Suppliers
- 5.3.5. Industry Rivalry
5.4. PESTLE Analysis
- 5.4.1. Political
- 5.4.2. Economic
- 5.4.3. Social
- 5.4.4. Technological
- 5.4.5. Legal
- 5.4.6. Environmental

6. Edge Computing Market, by Component

6.1. Introduction
6.2. Hardware
6.3. Services
6.4. Software

7. Edge Computing Market, by Application

7.1. Introduction
7.2. Analytics
7.3. Augmented Reality
7.4. Location Services
7.5. Smart Cities

8. Edge Computing Market, by End-Use

8.1. Introduction
8.2. Energy & Utilities
8.3. Government & Defense
8.4. Healthcare & Life Sciences
8.5. Manufacturing
8.6. Media & Entertainment
8.7. Retail & Consumer Goods
8.8. Telecommunications
8.9. Transportation & Logistics

9. Americas Edge Computing Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Edge Computing Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Edge Computing Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. SECO and Qualcomm join forces to launch new edge computing solutions for Industrial IoT
- 12.3.2. Bengaluru-based KaleidEO Becomes the First Indian Firm to Deploy Edge Computing in Space
- 12.3.3. Nokia and Kyndryl Expand Global Network and Edge Computing Alliance
12.4. Strategy Analysis & Recommendation

Companies Mentioned

1. ADLINK Technology Inc.
2. Amazon Web Services, Inc.
3. Axellio
4. Azion Technologies Ltd.
5. Cisco Systems, Inc.
6. ClearBlade, Inc.
7. Dell Inc.
8. Digi International Inc.
9. EdgeConneX Inc.
10. General Electric Company
11. Google LLC
12. Hewlett Packard Enterprise Development LP
13. Huawei Technologies Co., Ltd.
14. Intel Corporation
15. International Business Machines Corporation
16. Juniper Networks, Inc.
17. Litmus Automation Inc.
18. Microsoft Corporation
19. Moxa Inc.
20. Saguna Networks Ltd.
21. Schneider Electric