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Everything You Need to Know About Edge Computing

Edge computing is the latest advancement in the world of computing. It has already started to change the view on data and how it's processed.

And while it does this, the demand for edge computing is rising exponentially. The edge computing market is growing in the US at a compound annual growth rate (CAGR) of 33.1%. Globally, projections indicate that this market will be worth 116.5 billion by 2030.

Data suggests that edge computing is fast gaining prominence. However, there are still many questions about edge computing ranging from what it is, how it works, why it's essential, and how it compares to cloud computing.

In this article, you will find answers to all these questions and more. It'll start by defining edge computing and discussing its history. Then, you'll get a closer look at how edge computing works and why it's so important. Finally, it'll explore some of the benefits and challenges of using edge computing in your business.

What Is Edge Computing?

Edge computing is a distributed computing system that processes data closer to the source. This eliminates latency and reduces the need for a direct connection between users and cloud-based services.

To achieve this, enterprise applications are near data sources like local edge servers and IoT devices. By doing this, organizations can draw insight from data much faster and accelerate response times.

The History of Edge Computing

While edge computing is largely an up-and-coming technology, you can trace its roots to the 1990s. This is when Akamai's content delivery network (CDN) was launched. CDN brought the ability to store and deliver content closer to the user.

As the company continued to work on 'Agile application-aware adaptation for mobility,' the concept of edge computing began to take shape. These efforts showed that it's possible to offload specific tasks to surrogates (powerful servers) by running different applications on mobile devices with limited resources.

It was only in the early 2000s that this concept officially became known as edge computing. After this, organizations like Microsoft and IBM began developing a new edge computing architecture generation.

This was made possible by integrating cloud computing, data centers, and fog nodes into a more robust edge computing platform.

Since then, edge computing has evolved rapidly to meet modern demands like streaming videos, virtual reality, and gaming. To achieve this, platforms like AWS Lambda were launched to allow developers to run code without building or managing infrastructure.

Components of Edge Computing

Edge computing comprises different components that work together to process data at the edge. These components include:

  • Gateways: Gateways are used to manage data and connect devices with cloud services. They provide the interface through which users can interact with edge nodes.
  • Edge nodes: These are computing devices like computers, routers, and IoT devices connected to the gateway. They are responsible for collecting data and sending it to the gateway.
  • Cloud services: Cloud services store and analyze data received from edge nodes. These cloud services can include databases, analytics tools, or machine learning algorithms.

Why Is Edge Computing Important?

Over the last two decades, explosive technological advancements have made the world more data-centric. Thanks to the advancement and availability of IoT devices businesses now have access to unprecedented levels of data.

While this is great, analyzing and drawing meaningful insight from vast amounts of data is challenging. And with 5G networks on the horizon, the rate at which data is generated will only increase.

This is where edge computing comes in. Edge computing allows businesses to store and analyze data closer to the source. This eliminates latency issues with cloud computing, making it easier for businesses to draw insight from their data in real time.

It also enables businesses to access more powerful computational resources at the edge of their network. This allows them to quickly process high volumes of data and address specific use cases requiring fast response times, such as autonomous vehicles.

How Does Edge Computing Work?

Traditionally, data produced at endpoints is transferred to a Local Area Network (LAN) via a Wireless Access Network (WAN) for storage and analysis. The insights drawn are then relayed back to the client endpoint.

In fairness, this method is effective and reliable, but it's to some extent. However, as internet-connected devices and the data they generate increase, the method loses effectiveness.

Edge computing is a distributed computing architecture that moves storage and computation closer to the source of data, which can be an endpoint device or sensor. This allows data to be processed and analyzed closer to the source, eliminating the need to pass through a central processing unit.

This means businesses can access the insights they need in real-time without waiting for data transfer from the cloud. As a result, businesses can make informed decisions and take action faster.

Key Features of Edge Computing

Edge computing has a few key features that make it unique from other computing models:

Ultra-High Network Performance

Cloud Edge is a revolutionary solution that provides ten times the performance of its competitors. You can expect as much as 200 Gbps on just one Intel Xeon server. It enables networks to scale swiftly and efficiently at the edge through its unique combination of linear scaling of the user, control, and management data planes.

Deployment Flexibility

Edge computing is highly flexible and can be deployed in any environment, including mobile, cloud, and on-premise. This allows businesses to deploy edge computing solutions in the most cost-effective way possible.

Differentiated Experiences

Edge computing allows businesses to differentiate customer experiences by creating personalized engagements tailored to individual needs. In so doing, businesses can provide more value to their customers and increase customer loyalty.

Integrated Virtual Probe and Realtime Analytics

The integrated virtual probe and real-time analytics capabilities of edge computing enable businesses to gain insights into customer behavior in near real-time. This helps businesses make informed decisions about how best to serve their customers.

Automation and Orchestration

Edge computing also can automate and orchestrate applications to streamline the deployment of new services and enable faster time-to-market. Such capabilities are invaluable in today's highly competitive market.

Decentralized Processing

Edge computing decentralizes data processing by allowing data to be processed and analyzed closer to the source. As a result, businesses can access insights faster and make better decisions on the fly.


As the threat of cybercrime increases, cybersecurity is one of the areas you cannot afford to mess up with. Edge computing is inherently secure as it eliminates the need to transfer data through a central processing unit. Therefore, you'll be better placed to protect your data from malicious attacks and reduces the risk of data leakage or theft.


Another key consideration when adopting new solutions is how they'll fit in with your company's needs as it grows. Since it's highly scalable, you can deploy edge computing in any environment, from mobile to cloud. This makes it easy for businesses to scale up or down depending on their needs.

How Edge Computing Compares to Cloud and Fog Computing

Edge computing, cloud computing, and fog computing are types of distributed computing architectures. They all have the same goal: to move data processing and storage closer to where data is generated. Let's take a look at how they compare:

Edge Computing

Edge computing is a distributed computing architecture that moves data processing and storage closer to the data source. It enables businesses to access insights in real time without waiting for data transfer from the cloud and take advantage of powerful resources at the edge of their network.

Cloud Computing

Cloud computing is a distributed computing architecture that moves data processing and storage to the cloud. It allows businesses to access vast amounts of storage and computational power without having to set up their own physical infrastructure.

Fog Computing

Fog computing is a distributed computing architecture that moves data processing and storage closer to the edge but not as close as edge computing. It enables businesses to access insights in real-time, but with a slight latency compared to edge computing.


There are several key differences between these three types of distributed computing architectures:

  • Location: Edge computing moves data processing and storage closest to the source of data, while cloud and fog computing move them further away.
  • Response time: Edge computing has the fastest response time, followed by fog and cloud computing.
  • Security: Edge computing offers better security due to its decentralized nature, while cloud and fog computing offer less.

Use Cases of Edge Computing

Edge computing can be used for various use cases, from improving customer experiences to automating industrial processes.


You can use edge computing in retail to provide customers with personalized shopping experiences. The real-time data it collects at the edge of your network will enable you to track customer behavior, and tailor offers that fit their needs.


Manufacturers can use edge computing to automate processes, reduce costs, and boost efficiency. For example, you can use edge computing to collect data from machines and sensors to monitor performance, detect issues, and optimize processes.


While it may seem like the last place edge computing may have an impact, agriculture is one of the major beneficiaries. Farmers can use edge computing to monitor crops and livestock.

The data it collects at the edge of your network will enable you to keep track of soil conditions, moisture levels, temperature, and more. This will help you optimize crop yields and improve animal welfare.

Autonomous Vehicles

As the autonomous vehicle industry grows, its success largely relies on the ability to collect and analyze data in real time. Edge computing can provide the necessary computational power and data storage capacity to make this possible.

Medical Device Monitoring

Millions of people rely on medical devices to monitor their vitals and diagnose conditions. Edge computing can provide the necessary computing power to remotely monitor these devices and alert medical professionals when there is an issue.

For example, it can collect data from medical devices such as heart monitors and glucose sensors, enabling doctors to make more informed decisions faster.

Video Conferencing

Video conferencing is becoming increasingly popular as a way to stay connected with colleagues, friends, and family.

Edge computing can help improve video conferencing quality by providing the necessary computational power and data storage capacity to process and send video data quickly. Doing so reduces latency and provides a better experience for everyone involved.

Workplace Safety

In specific sectors, workers face numerous risks daily. Without adequate safety measures, they may sustain injuries that affect the business through time off and legal and health care liabilities.

Edge computing can be used to monitor the safety of your workplace. For example, it can help identify hazardous conditions and alert personnel if there is a potential issue.

It can also provide real-time insights into the health of your equipment and processes, allowing you to address any problems before they become serious quickly. In turn, this will save time and money in the long run.

Things to Consider When Adopting Edge Computing

While edge computing offers many benefits, it’s important to understand the factors you should consider before jumping in.

  • Security: Security is always a top priority for distributed computing architectures. As edge computing moves data processing and storage closer to the data source, it increases the risk of security breaches. It's important to have a robust security plan to ensure your data is safe.
  • Data Storage: When dealing with large volumes of data, you must ensure that it's stored efficiently and securely. How you achieve this will depend on the edge computing system you are using and the amount of data being processed.
  • Network Connectivity: Ensuring good network connectivity is essential for edge computing. Without reliable connections, your data will be unreliable, and you won't get the most out of your system.
  • Cost: Edge computing can be expensive, so it's important to research and find ways to reduce costs where possible. This may involve leveraging existing infrastructure or using open-source solutions.

Top Challenges of Adopting Edge Computing

Adopting edge computing can be a daunting task, and there are several challenges you may face along the way.

Inefficient Usage of Bandwidth

For an enterprise with substantial endpoints, sending gigantic volumes of data from these devices to the cloud can be daunting. However, storing this information in a hybrid cloud environment is highly advantageous for any business.

Generally, businesses dedicate expansive bandwidth to their data centers while curtailing allocations for the individual endpoints. Edge computing requires that more capacity spreads across the network, however; this creates a need for greater throughputs at each node.

Data Privacy and Compliance

Data privacy is a significant issue in the age of cloud computing. Businesses need to be aware that transferring data to a cloud environment carries the risk of exposing it to potential breaches.

Edge computing helps to alleviate this issue by allowing businesses to keep their data on-site and process it using their infrastructure. This reduces the risk of data breaches and ensures businesses comply with industry regulations regarding the storage and processing of sensitive information.

Integration Challenges

Integrating edge computing into existing infrastructure can be a challenge. It requires careful planning and consideration of the various elements that must work together for the system to function optimally. This includes selecting the right hardware, software, and services.

Speed Bottlenecks

Edge computing relies on high-speed connections between the cloud and the endpoints. If this connection is not fast enough, it can cause latency issues which slow down data processing.

How to Buy and Deploy Edge Computing Systems

Buying an edge computing system can be daunting, but you should take several key steps to ensure success.

  • Research: Before buying an edge computing system, it's essential to research and compare different options. Consider cost, scalability, security, and compatibility with existing infrastructure.
  • Consult an expert: If you need help determining which system to buy or how to deploy it, consult a professional who can provide expert advice and guidance.
  • Test before deploying: Once you've chosen a system, test it in a non-production environment before deploying to ensure it meets your requirements.
  • Monitor performance: Edge computing systems need to be monitored to ensure they’re running smoothly and efficiently. Make sure you have the right tools in place to do this regularly.

The Future of Edge Computing

The future of edge computing is bright, with more businesses embracing the technology and taking advantage of its many benefits.

Edge computing will become increasingly important as the world moves towards an increasingly connected and digital future. More devices are connected to networks daily, leading to an increased need for faster data processing and analysis. Edge computing provides a way for businesses to cut down on their bandwidth and storage needs while providing high-quality data processing capabilities.

As businesses continue to embrace the technology, you'll see increased investment in edge computing solutions from both businesses and vendors to capitalize on its potential. You can also expect to see technological advancements that further improve edge computing solutions' capabilities.

Overall, the future is bright for edge computing, and it will be an important part of any business's technology infrastructure in years to come. Therefore, to get ahead of your competition you must begin investing in edge technology and choose the right partner.


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Frequently Asked Questions

Edge computing is a distributed processing model that allows businesses to keep their data on-site and process it using their infrastructure. This reduces the risk of data breaches and ensures businesses comply with industry regulations regarding the storage and processing of sensitive information.

There are several vital steps to take when buying an edge computing system. These include researching different options, consulting with a professional, testing the system before deploying it, and monitoring performance regularly.

The future looks bright for edge computing as more businesses embrace the technology and take advantage of its many benefits. You can expect to see increased investment in edge computing solutions from both businesses and vendors, as well as advancements in technology that further improve the capabilities of edge computing systems.