The global edge computing market size is expected to reach $155,9-billion by 2030, and is expected to expand at 37,9% CAGR from 2023 to 2030, according to a new report by Grand View Research.
Artificial intelligence (AI) integration into the edge environment is projected to drive market growth.
An edge AI system is estimated to help businesses make decisions in real time in milliseconds. The need to minimise privacy concerns associated while transmitting large amounts of data, as well as latency and bandwidth issues that limit an organisation’s data transmission capabilities, are factors projected to fuel market growth in the coming years.
Machinery control and precision monitoring are a few use cases that are well-suited for AI on the edge. The latency requirement for a fast-running production line must be maintained to a bare minimum, which can be accomplished by using edge computing.
Bringing data processing closer to the manufacturing facility can prove to be extremely important, which can be accomplished using AI. Artificial intelligence-based edge devices can be utilized in a wide range of end-point devices, including sensors, cameras, smartphones, and other IoT devices.
Moreover, the telecom edge is estimated to grow exponentially over the projected period. The telecom edge executes computing adjacent to the telco’s mini-data centres, which are operated on the telco-owned property.
Several telecom operators, including Telstra and Telefonica, are developing prototypes and pilot projects of open-access networks integrated with edge computing.
Edge will be at the forefront of the telecom industry once 5G technology is fully deployed. The telecom industry is in a great position to enhance edge computing, but telecom businesses risk being abridged by irrelevant edge suppliers if they do not move up the value chain.
Presently, edge computing use cases have outpaced initial infrastructure deployments, and are projected to provide momentum to edge computing infrastructure and use case investments.
Edge computing is predicted to become more ubiquitous and evolve toward platform-centric solutions over the projection period.
With this development, edge platforms can reduce the infrastructure intricacy using orchestration software and sophisticated management, and provide user-friendly environments for programmers to implement innovative edge services and applications.
The automotive edge
The research company notes that the global automotive electronics market size is expected to reach $468,17-billion by 2030, expanding at a CAGR of 8,8% during the forecast period.
Increased safety and security concerns would fuel demand for car electronics as governments around the world try to reduce the number of road fatalities.
The growing need for driverless automobiles, electric vehicles, and cutting-edge vehicle technologies is also anticipated to drive the automotive electronics industry.
Some of the notable technologically cutting-edge features that are anticipated to fuel market expansion throughout the forecast period include alcohol ignition interlocks, emergency call systems, and accident data recorder systems.
Advanced safety systems with functions like automated emergency braking and blind-spot recognition are now more widely used since they are more affordable. The use of automotive ECUs and sensors used in these systems is then anticipated to increase, driving the growth of the automotive electronics industry throughout the course of the forecast period.
Additionally, these characteristics follow government laws and policies and are thought to open the door for the adoption of autonomous vehicles. The electronic operations in these vehicles are controlled by ECUs and sensors, which raises the need for these parts.
The automotive electronics industry is also affected by the recent semiconductor chip shortages globally. The automakers have been severely impacted by the shortage of semiconductor chips, which has forced them to temporarily cease production in their facilities as a result of the pandemic supply-chain gyrations and escalating demand.
In April 2021, General Motors and Ford announced plans to temporarily shut down their factories due to a shortage of semiconductor chips. The chaotic ordering from the automotive OEMs makes it harder for chipmakers to understand where they need to allocate supply to meet real and short-term needs.