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Edge data centers to hit $300B by 2026 as IoT and AI drive demand

The market for edge data centers is on track to reach $300 billion by 2026. This growth comes as technologies like IoT and AI increasingly require faster, localized data processing, making edge data centers essential.

By bringing computing power closer to data generation, edge data centers enable real-time decision-making. This proximity enhances efficiency, boosts security, and improves reliability by reducing latency and minimizing interference risks. As businesses and individuals continue their digital transformation, edge data centers are rapidly expanding. Notably, this expansion is addressing infrastructure challenges in regions like Asia-Pacific and MENA.

JLL’s research indicates that the edge IT market, valued at $153 billion in 2020, will more than double within six years. This growth reflects a global shift towards digital solutions that demand quick, reliable data processing.

Jonathan Kinsey, EMEA Lead at JLL, emphasizes the growing importance of edge computing: “As technology evolves, the need for fast, reliable data processing increases. Edge computing brings this capability closer to users, ensuring smooth operations and happier customers.”

Edge data centers are poised to play a crucial role in the future of digital services. As these facilities expand, they will shape the global IT landscape, providing the necessary infrastructure to support the next wave of technological advancements.

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