Sunday, July 4, 2021

Edge Computing Segment Revenue Forecasts Vary Wildly

The edge computing market is a complicated mix of different products, ranging from servers and software to computing-as-a-service and other revenue sources such as colocation (real estate) and connectivity services (public and private). For that reason, analysts do not yet agree about the relative revenue contributions of edge computing segments. 


It is reasonable to assume that much of the revenue represents hardware and infrastructure sales. 

Others believe software, platforms and analytics will drive as much as 45 percent of edge computing revenue.  


source: Grandview Research 


But some also believe as much as 66 percent of service revenue will be captured by hyperscale computing-as-a-service suppliers.  


Globally, edge computing revenues were estimated to reach US$3.4 billion in 2020, reaching $15.2 billion by 2026, growing at a compound annual growth rate of 27.7 percent.  Hardware will represent as much as $8.8 billion by 2026, garnering 58 percent of total revenues, estimates Global Industry Analysts.


in the United States market is estimated at $1.6 Billion in 2021. China, the world's second largest economy, is forecast to reach a projected market size of $2.1 billion by about 2026, Global Industry Analysts also predicts. 


Japan and Canada, each forecast to grow at 24.2 percent and 28.1 percent respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 24.7 percent CAGR, according to Global Industry Analysts.


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