"HPE (US), Dell Technologies (US), Cisco (US), Supermicro (US), IBM (US), Nvidia (US), Huawei (China), Broadcom (US)."
Edge Data Center Market by Component (Edge Hardware (Servers, Gateways, Sensors, Devices), Edge Software (Data Management)), Edge Application (Edge AI & Inference, Real-time Processing & Control, Immersive & Interactive Experiences) - Forecast to 2030.

The global Edge Data Center market is expected to grow at a compound annual growth rate (CAGR) of 30.6% over the course of the forecast period, from an estimated USD 38.36 billion in 2024 to USD 190.33 billion by 2030. AI is helping financial institutions discover irregularities, stop cyberattacks, and improve regulatory compliance—all of which have a substantial impact on risk management and fraud detection. Artificial intelligence (AI) risk management algorithms evaluate credit, liquidity, and market volatility risks in real-time, enabling businesses to make preemptive strategy adjustments. Furthermore, AI fraud detection systems use behavioral analytics and deep learning to identify suspicious activity and identify fraudulent transactions, greatly lowering financial crime.

Infrastructure will register the largest market share during the forecast period

The infrastructure segment is positioned to capture the largest market share in the edge data center market, driven by the increasing demand for resilient, scalable, and high-performance digital infrastructure to support next-generation applications. This segment encompasses essential components such as servers, storage systems, networking equipment, power generation and backup solutions, cooling technologies, and security mechanisms. With the accelerated adoption of IoT, 5G networks, artificial intelligence, and real-time analytics, organizations require low-latency, high-efficiency infrastructure to manage complex workloads, positioning this segment as a primary growth driver. Edge data centers demand modular and flexible infrastructure designs to accommodate evolving technological requirements, ensuring operational continuity and seamless data processing. Additionally, stringent data security and compliance mandates are prompting enterprises to invest in robust, redundant infrastructure to enhance reliability and minimize downtime. Vendors are increasingly focusing on energy-efficient and sustainable solutions to optimize the total cost of ownership while addressing environmental considerations. The prominence of the infrastructure segment highlights its critical role in enabling localized, high-speed computing, supporting mission-critical operations, and driving the continued expansion of the global edge data center ecosystem.

By application, the AR/VR & immersive experiences segment is poised for the fastest growth during the forecast period

The AR/VR & immersive experiences segment is positioned for the fastest growth during the forecast period, driven by the increasing demand for advanced, interactive, and real-time digital experiences across verticals. The proliferation of augmented reality (AR), virtual reality (VR), and mixed reality (MR) technologies is reshaping enterprise operations, entertainment, education, healthcare, and retail sectors by enabling highly engaging and immersive user interactions. Edge data centers play a critical role in supporting these applications by providing low-latency, high-bandwidth, and localized computing resources, which are essential for seamless real-time rendering and data processing. As organizations prioritize next-generation digital experiences, investments in specialized infrastructure and high-performance computing capabilities are intensifying, further accelerating the adoption of AR/VR solutions. Additionally, the convergence of AI, 5G connectivity, and immersive technologies is enhancing content delivery, interactivity, and personalization, thereby strengthening user engagement and operational efficiency. The rapid evolution of AR/VR ecosystems underscores the strategic importance of this segment in driving innovation, creating new revenue streams, and reinforcing the transformative potential of edge data centers in global digital initiatives.

North America accounts for the largest market during the forecast period

North America is expected to hold the largest market share in the edge data center market, driven by the region’s advanced technological infrastructure, widespread adoption of digital solutions, and robust investments in next-generation computing capabilities. The presence of leading cloud service providers, hyperscale data center operators, and innovative technology vendors has established North America as a critical hub for edge computing deployment. The growing demand for low-latency performance, real-time data processing, and localized computing is fueling the expansion of edge data centers across the region. Key factors contributing to this dominance include rapid adoption of IoT devices, 5G network rollouts, artificial intelligence, and machine learning applications across industries such as healthcare, manufacturing, finance, and smart cities. Furthermore, stringent regulatory frameworks and strong emphasis on data security and compliance are driving organizations to deploy localized edge solutions to ensure operational continuity and safeguard sensitive information. Investment in energy-efficient, modular, and scalable infrastructure further enhances the operational efficiency and reliability of edge facilities. Overall, North America’s leadership in technological innovation, infrastructure development, and enterprise adoption positions the region at the forefront of the global edge data center market, setting a benchmark for growth and digital transformation worldwide.

Unique Features in the Edge Data Center Market

Edge proximity and ultra-low latency — Edge data centers are deployed physically close to users and devices (in malls, cell towers, campus POPs or street cabinets), so they dramatically reduce round-trip time for traffic-sensitive apps like AR/VR, gaming, autonomous vehicles and real-time industrial control. This proximity is the single most defining feature that separates edge from traditional centralized facilities.

By processing, filtering and caching data at the edge, these centers reduce backhaul traffic to central clouds, lower bandwidth costs and conserve wide-area network capacity (especially important where backhaul is expensive or constrained). That makes edge deployments ideal for high-volume telemetry, video streaming and IoT burst traffic.

Edge nodes are typically much smaller (micro or modular data centers, prefabricated huts, or ruggedized cabinets) and designed for easy, repeatable rollouts across many sites. This modularity enables fast geographic scale-out and targeted capacity placement without the long build cycles of hyperscale campuses.

Edge deployments are often tailored for industry verticals (telecom RAN, manufacturing/IIoT, healthcare imaging, retail personalization, smart cities), which drives specialized designs (deterministic compute for control systems, local compliance, or short-term burst storage). Vendors therefore offer verticalized stacks rather than one-size-fits-all designs.

Major Highlights of the Edge Data Center Market

Latency reduction & real-time processing: With proliferation of IoT devices, 5G networks, autonomous systems, video streaming, augmented/virtual reality, etc., there is strong demand for data to be processed close to where it is generated. This dri0076es edge deployments.

5G, AI, IoT & emerging technologies: 5G roll-out, AI (especially inference, real-time analytics), more connected devices are pushing the need for distributed compute capacity.

Data sovereignty, regulatory & privacy concerns: Regions/organisations want to process/store data locally for compliance, privacy, risk mitigation. That encourages edge data centres rather than all in central cloud facilities.

Top Companies in the Edge Data Center Market

The major players in the edge data center market include HPE (US), Dell Technologies (US), Cisco (US), Supermicro (US), IBM (US), Nvidia (US), Huawei (China), and Broadcom (US).

HPE

Hewlett Packard Enterprise is a global edge-to-cloud technology company focused on delivering intelligent solutions that enable organizations to harness the full potential of their data. Its portfolio spans cloud services, high-performance computing, AI, compute, intelligent edge, software, and storage. Through the HPE GreenLake platform, the company offers a unified hybrid cloud experience, empowering enterprises to optimize operations, drive innovation, and accelerate digital transformation. Leveraging decades of expertise, HPE continues to help businesses build resilient, data-driven models across edge and cloud environments.

On January 9, 2024, HPE announced a definitive agreement to acquire Juniper Networks in an all-cash transaction valued at approximately USD 14 billion, or USD 40 per share. This acquisition is set to double HPE’s networking business and position the company as a leader in AI-native and cloud-native networking solutions. By integrating Juniper’s advanced AI-driven networking technologies, including Mist AI and cloud platforms, with HPE Aruba Networking and edge-to-cloud offerings, the combined portfolio will deliver innovative solutions for hybrid cloud and AI-driven infrastructures. This strategic move reinforces HPE’s edge-to-cloud vision and strengthens its role in high-growth, high-margin sectors. The transaction is expected to close by late 2024 or early 2025, pending regulatory approvals.

Broadcom

Broadcom Inc. is a global leader in technology solutions, offering a comprehensive portfolio of semiconductor devices, networking hardware, storage systems, and enterprise software. The company serves critical sectors such as cloud computing, telecommunications, data centers, and cybersecurity, focusing on delivering high-performance connectivity, security, and scalability. With its strong expertise in both hardware and software, Broadcom enables next-generation technologies, including AI, edge computing, and hybrid cloud solutions. Headquartered in Palo Alto, California, Broadcom operates globally with a commitment to innovation, operational excellence, and customer-centric strategies. To reinforce its leadership in edge and AI-driven environments, Broadcom announced significant advancements in its Software-Defined Edge portfolio. These include enhanced VMware VeloCloud Edge appliances (models 710, 720, 740) equipped with integrated Fixed Wireless Access and satellite connectivity to ensure resilient edge networking. The introduction of VeloCloud SASE secured by Symantec further strengthens cloud access, security, and performance across distributed networks. Additionally, VMware Edge Compute Stack received critical updates, featuring zero-touch orchestration, pull-based architecture, and advanced monitoring capabilities, simplifying edge deployments. These innovations underscore Broadcom’s strategic focus on delivering intelligent, secure, and scalable solutions for managing AI and non-AI workloads across complex, distributed edge environments.

Media Contact
Company Name: MarketsandMarkets™ Research Private Ltd.
Contact Person: Mr. Rohan Salgarkar
Email: Send Email
Phone: 18886006441
Address:1615 South Congress Ave. Suite 103, Delray Beach, FL 33445
City: Florida
State: Florida
Country: United States
Website: https://www.marketsandmarkets.com/Market-Reports/edge-data-center-market-142018469.html

 

Information contained on this page is provided by an independent third-party content provider. XPRMedia and this Site make no warranties or representations in connection therewith. If you are affiliated with this page and would like it removed please contact [email protected]