Dublin, Oct. 20, 2025 (GLOBE NEWSWIRE) -- The "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" report has been added to ResearchAndMarkets.com's offering.
The edge data center market is experiencing significant growth, driven by the rapid adoption of edge data center technologies across multiple industries. With the global market projected to expand from approximately USD 50.86 billion in 2025 to USD 109.20 billion by 2030, edge data centers play a critical role in supporting this expansion. These facilities enable real-time data processing and analytics closer to the source, reducing latency and improving efficiency in applications such as IoT, AI, and machine learning. Increasing demand for low-latency solutions and compliance with stringent regulatory requirements for data security further accelerate market growth.
Additionally, the integration of AI and automation within edge infrastructures allows organizations to achieve smarter and more autonomous operations. However, the market faces challenges, including the complexity of deploying and managing distributed infrastructure, ensuring seamless integration with legacy systems, and addressing security concerns in highly decentralized environments.
Despite these constraints, rising investments in edge infrastructure and advancements in connectivity technologies such as 5G are expected to enhance adoption, making edge data centers a cornerstone for future digital ecosystems and a key enabler for sectors such as manufacturing, healthcare, and smart cities.
By end user, hyperscalers & cloud service providers to account for the fastest growth during the forecast period
Hyperscalers and cloud service providers are projected to experience the highest growth rate in the edge data center market during the forecast period, primarily driven by the escalating demand for low-latency services and the ability to process massive volumes of data generated by IoT, artificial intelligence, and advanced analytics applications. As organizations intensify their digital transformation strategies, hyperscalers are strategically extending their infrastructure closer to end-users by deploying edge data centers to optimize application performance and minimize network congestion.
This approach enables critical use cases, including autonomous vehicles, industrial automation, and real-time content delivery, which require localized computing capabilities. Furthermore, the rapid adoption of 5G technology is accelerating demand for edge facilities, as cloud providers aim to deliver ultra-reliable and high-speed connectivity at the network's edge.
Increased investments in modular and micro-edge data centers further support this expansion by providing scalable and geographically adaptable solutions. While challenges such as cost efficiency and seamless integration with existing infrastructures persist, hyperscalers and cloud service providers hold a competitive advantage through their extensive resources, technological expertise, and ability to deliver integrated cloud-to-edge solutions. This positions them as key drivers in shaping the next phase of edge data center infrastructure development.
Network edge data center to hold the largest market share during the forecast period
Network edge data centers are expected to hold the largest market share in the edge data center landscape, driven by their critical role in delivering high-performance connectivity and low-latency processing closer to end users. These facilities are strategically deployed at network aggregation points or near telecom infrastructure, enabling faster data transmission and improved bandwidth efficiency for applications requiring real-time responsiveness. The rising adoption of 5G networks and the exponential growth of IoT devices are significant factors fueling demand for network edge data centers.
These centers support essential use cases, including smart city solutions, connected vehicles, video streaming, and mission-critical industrial applications, where latency and network reliability are paramount. Additionally, telecom operators and service providers are making substantial investments in distributed network edge infrastructure to enhance the quality of service and accommodate increasing traffic from emerging technologies such as AR/VR and AI-driven applications. Their ability to combine compute, storage, and networking resources at the edge positions them as an indispensable component of modern digital ecosystems. Despite challenges related to deployment complexity and energy management, network edge data centers will remain a dominant segment, enabling businesses to achieve enhanced user experience and operational efficiency in an increasingly connected world.
North America should focus on accelerating 5G-enabled edge data center deployments, enhancing regional interconnectivity, and implementing energy-efficient technologies to meet increasing demand for low-latency applications and comply with stringent data sovereignty regulations, while Asia Pacific should emphasize large-scale infrastructure investments, strategic telecom partnerships, and modular edge solutions to support rapid digitalization, IoT expansion, and localized computing needs across emerging economies.
North America is the largest edge data center market, shaped by mature interconnection campuses, dense CDN footprints, and high enterprise cloud adoption. Since 2023, two shifts stand out: gen AI inference is pushing GPU-dense, modular expansions in metro and regional edge sites; and major carriers are broadening 5G standalone/MEC coverage, drawing latency-sensitive workloads into the network edge. Designs emphasize sustainability retrofits, liquid-cooling pilots, and higher rack densities. Asia Pacific is the fastest-growing market, propelled by rapid 5G densification, mobile-first commerce, and Industry 4.0 programs across manufacturing hubs.
Regional data-sovereignty frameworks are steering more localized processing, while cloud-telco collaborations are creating metro edge zones that pair peering, caching, and AI inference with private 5G. Build styles favor prefabricated modules and energy-efficient cooling suited to hot, high-humidity climates. Key developments since 2023 include nationwide 5G SA launches in multiple APAC countries and the enactment of new data-protection rules (e.g., India's DPDP law) that reinforce regional processing. Together, these dynamics point to steady scale in North America and outsized growth momentum in Asia Pacific.
Competitive Landscape
The report includes a study of key players offering edge data center market. It profiles major vendors in the edge data center market. The major market players include Supermicro Computer Inc. (US), Lenovo (China), Cisco Systems (US), IBM (US), Western Digital (US), Delta Electronics (Taiwan), Huawei (China), Vertiv (US), Schneider Electric (France), Eaton (Ireland), Siemens (Germany), ABB (Switzerland), General Electric (GE Vernova) (US), Fujitsu (Japan), Arista Networks (US), Nutanix (US), Pure Storage (US), Cummins (US), Rittal (Germany), Legrand (France), Sunbird Software (US), Modine (US), Riello UPS (Italy), Submer (Spain), Dell Technologies (US), Broadcom Inc. (US), NVIDIA Corporation (US), Hewlett Packard Enterprise (HPE) (US).
Research Coverage
The report's scope covers detailed information regarding the major factors, such as drivers, restraints, challenges, and opportunities, influencing the growth of the edge data center market. A detailed analysis of the key industry players was done to provide insights into their business overview, solutions, and services; key strategies; contracts, partnerships, agreements, product & service launches, and mergers and acquisitions; and recent developments associated with the edge data center market. This report also covers the competitive analysis of upcoming startups in the edge data center market ecosystem.
The report provides insights into the following:
- Analysis of key drivers, restraints, opportunities, and challenges.
- Product Development/Innovation: Detailed insights into upcoming technologies and launch activities in the market.
- Market Development: Comprehensive information about lucrative markets across varied regions.
- Market Diversification: Exhaustive information about new products, untapped geographies, and investments.
- Competitive Assessment: In-depth evaluation of market shares, growth strategies, and service offerings of leading players.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 380 |
| Forecast Period | 2025 - 2030 |
| Estimated Market Value (USD) in 2025 | $50.86 billion |
| Forecasted Market Value (USD) by 2030 | $109.2 billion |
| Compound Annual Growth Rate | 16.5% |
| Regions Covered | Global |
Key Topics Covered:
Market Dynamics
- Drivers
- Surge in AI/ML and Real-Time Analytics Accelerating Demand for Low-Latency, Distributed Edge Infrastructure
- Rising IoT Deployments Accelerating Demand for Distributed Edge Infrastructure
- 5G Network Slicing and Ultra-Low Latency Services Fuel Demand for Edge Infrastructure
- Challenges
- Integration Challenges With Legacy Infrastructure and Core Data Centers
- Power and Cooling Constraints in Space-Restricted Edge Installations
- Opportunities
- Rise of Liquid Cooling in AI-Driven Data Center Infrastructure to Meet Next-Gen Density Requirements
- Emerging Edge Software Platforms - Virtualization, Orchestration, Analytics & AI
Case Studies
- SK Telecom's Deployment of 5G Multi-Access Edge Computing
- Procter & Gamble Accelerated Global Manufacturing With Azure IoT Edge Solutions
- Afterpay Accelerated Fintech Operations With Digital Realty Edge Computing
- TED Enhanced Media Delivery and Productivity With 365 Data Centers' Edge Infrastructure
- Georgia Tech Advanced High-Performance Research With Databank's Edge Data Centers
Competitive Landscape Strategic Profiles of Leading Players & Their Playbooks for Market Dominance
- Key Players' Strategies/Right to Win
- Revenue Analysis
- Market Share Analysis, 2024
- Brand/Product Comparison
- Company Evaluation Matrix: Key Players, 2024
- Company Evaluation Matrix: Startups/Smes, 2024
- Company Valuation and Financial Metrics of Key Vendors
- Competitive Scenario and Trends
Company Profiles In-Depth Look at Their Strengths, Weaknesses, Product Portfolios, Recent Developments, and Strategic Moves
Major Players
- Dell Technologies
- Broadcom
- HPE
- Nvidia
- Supermicro Computer Inc.
- IBM
- Lenovo
- Schneider Electric
- Cisco
- Huawei
Other Players
- Eaton
- Cummins
- Siemens
- Ge Vernova
- ABB
- Delta Electronics
- Legrand
- Modine
- Rittal
- Vertiv
- Western Digital
- Arista Networks
- Nutanix
- Fujitsu
- Sunbird
- Pure Storage
- Stulz
- Coolit System
- Submer
- Riello Ups
- Device42
- Chatsworth Products
- Green Revolution Cooling
- Active Power
For more information about this report visit https://www.researchandmarkets.com/r/45ditl
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