Cloud Computing and Mobile Connectivity are both converging on enterprise
applications, and many participants in the market are confused about how these
two big ecosystems will come together.
Mobile Experts has just released a new report that examines
five different business models for Edge Computing for enterprise applications,
and makes predictions for the likely outcome.
According to Mobile Experts, Edge Computing infrastructure investments are
driven from two vectors:
- Operators
will be able to offer low latency services to enterprises in industrial
automation, as well as key consumer applications such as gaming and AR/VR.
- Cloud
service players will be able to support more of the enterprise IT workload
if they can move their computing infrastructure closer to the enterprise,
either through the public network or with on-premises networks.
"Cloud computing has taken a 'bite' out of traditional enterprise
networking," commented Principal Analyst Kyung Mun. "Now, we see an
opportunity for Cloud computing to take another bite, by allowing enterprises
to automate more of their processes through better networking. To accomplish
this, AWS, Microsoft Azure, and Google will need to move closer to the user for
lower latency, and will need to work with network providers like the
Telcos."
The report explores in-depth the new use cases such as
private LTE/5G, cloud gaming, and others that drive investment toward Near Edge
'micro' data centers, as well as Far Edge and On-Prem facilities.
Overall, the edge computing server shipments will grow at over 50% CAGR from
about 6,000 in 2018 to over 74,000 in 2024, representing over 3M CPU and GPU
cores in 2024. Hardware equipment, software, and services will grow from about
$240 million in 2018 to just under $2 billion in 2024. According to the report,
the edge computing trend expands from centralized hyperscale data centers to
distributed edge cloud nodes, the CAPEX spend on Near Edge data centers will
represent the largest segment.
"Edge computing represents a convergence point for Telco and cloud
service providers to enable new enterprise applications with faster and more
responsive (5G) network capabilities along with more distributed cloud
computing environments. Evolving market and technology dynamics will
create explosive growth in the near term," remarked Principal Analyst
Kyung Mun.
Subscribers to Mobile Experts research will receive:
- Full
access to the 70-page Edge Computing for Enterprises 2019 report;
- 38
detailed charts and figures;
- The
detailed Excel file with forecast data through 2024;
- Quarterly
market share, shipment, adoption updates;
- Quarterly
Expert INSIGHT strategic reports;
- Access
to the analysts behind the reports.
For more about this report, click here.