Edge computing is estimated to be worth $43.4 billion by 2027, representing a CAGR of 37.4%. Why the growth? Latency requirements for businesses in all sectors have created the need for something to supplement centralized cloud computing. Edge computing shortens the distance between users and data, which provides a low latency experience for real-time applications. 

Today, more organizations are using powerful applications to forecast their business’s future and analyze customer data. These data-hungry applications are too much for centralized cloud infrastructure to handle alone. However, when coupled with edge computing, organizations get the performance they need to power innovative technologies like ML, AI, and fog computing. Let’s take a look at some of the applications pushing edge computing forward and paving the way for innovation.

Let’s take a look at some of the applications pushing edge computing forward and paving the way for innovation. 

Machine Learning Relies on Large Data Sets

Machine learning is used to perform powerful calculations that impact sectors like analytics, life sciences, and finance. However, machine learning has a challenge. For it to work successfully, it needs large, diverse data sets. These data sets allow machine learning algorithms to learn and make accurate predictions about the world in which we live.

Edge servers help organizations do these powerful calculations on-premises. This capability is important since data transmission during both development and production can place heavy loads on an organization’s infrastructure. Transmitting raw data sets over the network for processing can cause significant slowdowns and even make the work impossible.

Edge computing can reduce network traffic by 80%, which provides indisputable improvements to latency and overall algorithm performance.

AI Applications Demand Real-Time Performance

AI was projected to grow from $27.23 billion in 2019 to $266.92 billion by 2027 —  a nearly tenfold increase. This growth is due to the variety of profit-building applications of AI. Businesses use AI to test future actions that can potentially improve their asset performance through the use of digital twins, which are virtual replicas of elements of the real world. Additionally, digital twins can be used to improve shop floor performance, optimize logistics, and predict maintenance needs.

Edge computing supplies the infrastructure needed to power these AI applications in real-time. Additionally, edge computing provides a separate layer of computing power that helps increase privacy, security, latency, and load balancing, all of which are essential to high-performance AI applications.

Fog Computing Provides Superior On-Premise Computing

Fog computing improves performance by placing data and applications in the ideal location. By using on-premise devices connected via LAN, it allows businesses to move processing power up the network allowing for larger, more powerful servers than those available on edge devices. How does this setup benefit organizations?

Fog computing provides numerous benefits to organizations, like real-time analytics, enhanced data security, and reduced operational costs. For example, by processing data locally through fog computing, you reduce the amount of times data is transferred to the cloud and eliminate a potential attack vector for hackers.

Fog computing also supports more compute-intensive tasks like AI and ML algorithms. These tasks require the analysis of immense amounts of raw data, which is too expensive to constantly transfer to the cloud and too vast for gateway devices to handle. Fog computing gives organizations access to on-premise HPC servers that can tackle the most complex ML calculations.

Edge Server Solutions Will Continue To Fuel Business Growth


Leaders may fear the distributed nature of edge computing because it presents logistical challenges. However, those willing to take their business into new horizons are likely to see major competitive advantages over their competitors. Improved latencies, better security, and lower TCO are only a few of the ways edge computing can benefit your business.

A partner like Intequus can simplify the logistics of edge computing by providing full-service edge server solutions. Our team can help manage vendor relationships, create custom hardware, and maintain that hardware over its entire life cycle. Contact us to learn more.

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