DELRAY BEACH, Fla., Sept. 8, 2025 /PRNewswire/ — According to MarketsandMarkets™, the Edge Data Center Market is anticipated to experience substantial growth, with its valuation projected to increase from USD 50.86 billion in 2025 to USD 109.20 billion by 2030, reflecting a robust CAGR of 16.5%.
Browse 150 market data Tables and 80 Figures spread through 250 Pages and in-depth TOC on “Edge Data Center Market – Forecast to 2030”
Scope of the Report
- Market Size Available for Years: 2020–2030
- 2025 Market Size: USD 50.86 billion
- 2030 Projected Market Size: USD 109.20 billion
- CAGR (2025–2030): 16.5%
- Segments covered: Component, Application, Deployment, End User, Enterprise
- Region Highlight: North America accounts for the largest market during the forecast period
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This growth is driven by the rising demand for ultra-low-latency performance, real-time analytics, and localized data processing across verticals. Edge data centers constitute critical infrastructure, enabling organizations to manage the exponential increase in data generated by IoT devices, 5G networks, and advanced applications in artificial intelligence and machine learning. By situating compute and storage resources closer to end users, these facilities reduce dependency on centralized cloud environments, enhance network efficiency, and support mission-critical applications, including autonomous vehicles, industrial automation, and smart city initiatives. Moreover, the integration of advanced technologies and adherence to stringent data security regulations are accelerating adoption among enterprises and service providers. Although deployment complexity and cost optimization remain key challenges, the significant advantages in performance, scalability, and operational resilience underscore the strategic importance of edge data centers. Their capability to deliver high-speed, localized computing positions them as a cornerstone of next-generation digital infrastructure and global digital transformation strategies.
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.
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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.
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Top Key Companies in 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).
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