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Edge Data Center Market to be Worth $34.91 Billion by 2030: Grand View Research, Inc.

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SAN FRANCISCO, Nov. 22, 2022 /PRNewswire/ -- The global edge data center market size is anticipated to reach USD 34.91 billion by 2030, according to a new report by Grand View Research, Inc. The market is expected to expand at a CAGR of 17.9% from 2022 to 2030. Increasing adoption of the internet of things across various end-use industries, the rapid growth of mobile and IoT applications, and the rising popularity of online streaming and e-commerce services are major drivers of the market. It is anticipated that factors including the increasing adoption of 5G technology to improve communication, rising spending on data center technology, increasing demand to reduce data center complexity, and development in the AR/VR technology will also contribute to the market growth.

Grand View Research Logo

Key Industry Insights & Findings from the report:

  • By component, the solution segment accounted for the largest revenue share of over 85.0% in 2021 and is anticipated to maintain its dominance over the forecast period. Surged use of hardware and software solutions such as networking equipment, DCIM, analytics, IT racks, enclosures, and power and cooling systems in data centers is contributing to the market growth.
  • The service component is expected to register the highest growth rate of 19.8% during the forecast period as they provide organizations with an understanding of the transformation roadmap. In addition, professional services improve service delivery and simplify IT operations.
  • In terms of facility size, the large facility segment dominated the market and captured a revenue share of over 75.0% in 2021. The growth can be attributed to the massive availability and use of edge data center facilities with 12 to 49 racks with a power draw of 12 to 14 kW/rack.
  • The small and medium facility size is expected to exhibit the highest growth rate of 18.7% during the forecast period. The small and medium facility segment includes facilities with 1 to 12 racks with a power draw of 8 to 12 kW/rack.
  • In terms of the end-use industry, the IT and telecom segment accounted for the largest revenue share of over 35.0% in 2021 and is anticipated to maintain its dominance over the estimated timeframe. The rapidly growing IT and telecom industry across the globe is creating more demand for edge data centers.
  • The manufacturing and automotive segment is expected to expand at a CAGR of 20.4% during the forecast period. The rapid adoption of industrial IoT and the growth of autonomous vehicles are boosting segment growth.
  • North America held the largest share of over 30.0% in 2021 and is expected to retain its position over the forecast period. The high adoption of edge data center solutions and services in this region is the major factor behind the market growth.
  • Asia Pacific is expected to expand at the highest CAGR of 18.7% during the forecast period owing to the rise in investments in the IT sector and rapid growth of the end-use industries.

Read 100 page full market research report, "Edge Data Center Market Size, Share & Trends Analysis Report By Component (Solution, Service), By Facility Size (Small & Medium Facility, Large Facility), By End-use Industry, By Region, And Segment Forecasts, 2022 - 2030", published by Grand View Research.

Edge Data Center Market Growth & Trends

Furthermore, COVID-19 has increased the penetration of technologies such as 5G, IoT, cloud, and edge computing. Owing to the global adoption of the work-from-home policy, the demand for edge data centers has witnessed a remarkable rise during the pandemic period. The pandemic has forced the major workforce to work remotely, which has resulted in a growing number of companies investing in IT services. The need for data centers has increased over the past few years as a result of this expanding digitization.

Edge Data Center Market Segmentation

Grand View Research has segmented the global edge data center market based on component, facility size, end-use industry, and region:

Edge Data Center Market - Component Outlook (Revenue, USD Million, 2017 - 2030)

  • Solution
    • Hardware
    • Software
  • Service
    • Professional
    • Managed

Edge Data Center Market - Facility Size Outlook (Revenue, USD Million, 2017 - 2030)

  • Small and Medium Facility
  • Large Facility

Edge Data Center Market - End-use Industry Outlook (Revenue, USD Million, 2017 - 2030)

  • IT and Telecom
  • BFSI
  • Healthcare And Lifesciences
  • Manufacturing & Automotive
  • Government
  • Gaming And Entertainment
  • Retail And E-Commerce
  • Others

Edge Data Center Market - Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America
    • U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
    • Italy
    • France
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • UAE
    • Saudi Arabia
    • South Africa
    • Rest of MEA

List of Key Players in Edge Data Center Market

  • Cisco Systems Inc.
  • Dell Inc.
  • Eaton
  • Fujitsu
  • Hewlett Packard Enterprise Development LP
  • Huawei Technologies Co., Ltd.
  • IBM
  • NVIDIA Corporation
  • Schneider Electric
  • Vertiv Group Corp.
  • CommScope
  • 365 Data Centers

Check out more related studies published by Grand View Research:

  • Secure Access Service Edge Market - The global secure access service edge market size is expected to reach USD 11.29 billion by 2028, registering a CAGR of 36.4% from 2021 to 2028, according to a new study conducted by Grand View Research, Inc. The existing networking technologies are complex and difficult to manage but easy for cybercriminals to intrude. The growing preference for remote working practices, increase in traffic across public clouds, and the rising dependence on data centers are further adding to the data security risks. At this juncture, the growing demand for ensuring secure access to data and networks is driving the need for advanced network approaches and technologies. The subsequent need for a unified and simplified approach to strengthen network security has resulted in the emergence of SASE.
  • Data Center As A Service Market - The global data center as a service market size is expected to reach USD 461.4 billion by 2030, expanding at a CAGR of 26.2% from 2022 to 2030, according to a study conducted by Grand View Research, Inc. The market is expected to witness high growth owing to a rise in data traffic, high data center ownership costs, and the rising adoption of cloud computing. Furthermore, the increasing requirement for network capacity expansion by various network operators to provide a better customer experience by reducing latency is expected to drive the adoption of data center-as-a-service (DCaaS).
  • Data Center Colocation Market - The global data center colocation market size is expected to reach USD 117.82 billion by 2028, recording a CAGR of 13.3% from 2021 to 2028, according to a study conducted by Grand View Research, Inc. Several businesses and cloud service providers are shifting toward colocation or multi-tenant data centers, which is a key factor contributing to the market growth. Colocation is the preferred choice among numerous enterprises as it offers increased cost benefits compared to building and maintaining their own data center facility. Colocation data centers also offer operational flexibility while scaling up infrastructure to accommodate larger data volumes. With the rising costs of land, property, and IT infrastructure, these data centers are a viable option for SMEs due to limited IT spending.

Browse through Grand View Research's Communications Infrastructure Industry Research Reports.

About Grand View Research

Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research Helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.

Contact:

Sherry James
Corporate Sales Specialist, USA
Grand View Research, Inc.
Phone: 1-415-349-0058
Toll Free: 1-888-202-9519
Email: sales@grandviewresearch.com
Web: https://www.grandviewresearch.com
Grand View Compass | Astra ESG Solutions
Follow Us: LinkedIn | Twitter

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© 2022 PR Newswire
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