Rising Need for Zero-Latency Transfer Opens Up Opportunities for Edge Computing

“Edge data centres are particularly focusing on high-density cooling solutions such as rack-mounted cooling and advanced cooling solutions like evaporative/adiabatic cooling, direct liquid cooling/immersion cooling, and economizer segment/free cooling,” said Energy Analyst Vasanth Krishnan. “Meanwhile, market participants are expanding their data centre footprint to Tier II and Tier III cities to develop their network at the edge, creating opportunities in these cities for other participants in the value chain.”

Frost & Sullivan’s recent analysis, Global Impact of Edge and 5G Technology on Data Centers, Forecast to 2022, examines the forms of edge computing, 5G and its advantages, and the major trends that will shape the market for edge-based data centres. It also presents the current and future revenue estimates for the data centres, and the strategies adopted by cloud, colocation, and enterprise-class data centre providers.

“It is important for market participants to forge partnerships and leverage existing relationships in the industry in order to unlock new revenue streams,” noted Krishnan. “Colocation providers will look to penetrate Tier II and Tier III cities where the workload potential is expected to increase, while enterprise-class users are likely to opt for edge-based colocation services or push their own networking infrastructure to the edge.”

The current market ecosystem for edge data centres is diverse, with all classes of providers looking to pursue edge as part of their strategy. For greater growth opportunities, data centre operators and owners need to:

• Invest in edge through a merger, acquisition, or collaboration with an edge-focused firm.
• Continue to ensure zero downtime with best-in-class latency standards.
• Expand in Tier II and Tier III cities.

Global Impact of Edge and 5G Technology on Data Centers, Forecast to 2022 is part of Frost & Sullivan’s global Energy Storage Growth Partnership Service program.

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