U.S. Multi-access Edge Computing Market Size, Share & Trends Analysis Report By Solution (Hardware, Software, Services), By End-use (IT & Telecom, Datacenters, Automotive, Energy & Utilities), And Segment Forecasts, 2024 - 2030

Market Size & Trends

The U.S. multi-access edge computing market size was valued at USD 1.25 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 44.1% from 2024 to 2030. Multi-access edge computing (MEC) converges and moves network, computing, storage, and application capabilities to edge nodes that are close to things and data sources. The growing adoption of IoT devices across several industries is expected to drive market growth. The need for faster decision-making in industries such as IT and telecom, manufacturing, transportation and logistics, and datacenters is encouraging the adoption of MEC technology.

The deployment of MEC, along with 5G, offers a provision for effective network slicing, which provides optimum experience to enterprises and individuals when combined with local computing capabilities. The implementation of 5G in the U.S. has enabled technological advancements in smart cities, smart manufacturing, supply chain management, real-time monitoring, and asset management. Incremental mobile traffic and rising pressure of operational costs are further promoting enterprises to adopt MEC, owing to demand amongst users to optimize revenue generation, resource utilization, and network operations.

Multi-access edge computing is predicted to go together with heavy network traffic applications, which in many cases culminates in 5G. The edge infrastructure for automotive applications needs higher computing power as compared to the MEC appliance in retail applications. However, the sheer number of MEC appliances in retail would outnumber those in V2X. Some of the key parameters that will define the adoption of MEC in the coming years include the cost, criticality of information, and speed.

The emergence of different technologies and applications is expected to change traditional systems to improve efficiency and latency. Technological advancements in EVs are expected to overtake traditional combustion engine vehicles and conventional vehicles. Key companies in the automotive market are engaged in the evolution of the EV market due to the necessity to serve future EV customers as well as the enormous growth potential.

Moreover, a dynamic shift of global consumers on an OTT platform has augmented the adoption of MEC solutions. The surge in the adoption of digital media content is anticipated to boost market growth. Technologically advanced infrastructure with low-latency networks will improve the sales statistics of the OTT. Short-video content, rapid sales of mobile devices, and faster internet connectivity have bolstered the growing use of multi-access edge computing in OTT.

Market Concentration & Characteristics

The market is characterized by a moderate to high level of mergers and acquisitions. As the market continues to grow, companies are aiming to expand their service offerings and geographic reach by acquiring other companies or merging with them. For instance, in March 2023, Hewlett Packard Enterprise announced an agreement to acquire OpsRamp, an IT operations management company. This move is expected to reduce the operational complexity of multi-vendor and multi-cloud IT environments that are in the public cloud, colocations, and on-premises.

The market is also subject to increasing regulatory scrutiny. Due to the increasing adoption of edge computing solutions, concerns have arisen about the protection of sensitive data that is processed at the edge. This has led to the introduction of new regulations and guidelines, such as the California Consumer Privacy Act (CCPA), which aims to protect the privacy and security of personal data.

Since edge computing is uniquely designed to address the growing need for real-time data processing and analytics, there are limited number of technological substitutes for the market. Real-time data processing and analytics cannot be achieved through traditional cloud computing solutions. Although fog computing and distributed computing can perform similar functions, they are not direct substitutes for MEC.

The market is driven by the demand from specific industries and applications, such as healthcare, finance, and manufacturing, which means the market is heavily dependent on the demand from a small number of large end-users. As a result, a few key players dominate the market and hold significant bargaining power over suppliers and service providers.

Solution Insights

Based on the solution, the software segment dominated the market with the largest revenue share of 48.0% in 2023. The segment growth can be attributed to the emerging need among industries to study and analyze data generated by several IoT devices in MEC ecosystems by using specially designed software. The use of need-specific software is necessary to exercise load synchronization, distributed processing, and multi-level load balancing. Furthermore, a software-defined access layer can be used as an extension of the distributed cloud, thus offering better networking capabilities to network participants.

The hardware segment is also estimated to witness substantial growth in revenue generation during the forecast period. This is owing to a significant increase in the number of connected devices and the subsequent need to analyze data generated via enhanced servers and datacenters. Furthermore, the emergence of hybrid computing architecture platforms enable companies to engage in faster data analysis, thus facilitating wide-scale data analysis practices.

End-use Insights

Based on end-use, the IT & telecom segment dominated the market in 2023. This growth can be attributed to the rolling out of 5G technology in several countries, which offers remarkable growth prospects for the industry. The incremental adoption rate of MEC architecture by various SMEs and enterprises enables hardware manufacturers and software developers to come up with MEC specific products and applications at competitive prices, thus facilitating further adoption of MEC technology.

The energy & utilities segment is expected to grow with the highest CAGR during the forecast period. Oil rigs and energy generation plants have several embedded networks and various sensors to monitor and gain insights on the performance of all components in the system. The need to gain quick insights into the functioning of oil rigs and energy generation plants makes MEC architecture deployment imperative for energy and utilities.

Key U.S. Multi-access Edge Computing Company InsightsSome of the key players operating in the market include Advantech Co., Ltd., Hewlett Packard Enterprise Development LP, and Juniper Networks, Inc.

• Advantech Co., Ltd. provides hardware, software, system integration, customer-centric design services, automation products, global logistics support, and embedded systems.

• Hewlett Packard Enterprise Development LP (HP) offers enterprise solutions across cloud, data centers, and workplace environments.

Saguna Networks Ltd. is an emerging player in the U.S. multi-access edge computing market.

• Saguna Networks Ltd. specializes in providing solutions and services regarding mobile networks content acceleration, edge cloud computing, cloud computing in Radio Access Networks (RAN), and NFV. The Hewlett Packard Enterprise Company, Dell EMC, Akamai Technologies, Inc., and Vodafone Group plc are significant clients of the company.

Recent Developments

• In July 2023, Advantech launched a high-performance module, SOM-2533. SOM-2533 features Intel's Core i, Celeron, Pentium, and Atom x7000 processors. This can be used for a range of applications including medical, transportation, industrial control, and automation.

• In February 2021, Saguna Networks Ltd. announced new product generation vEdge+, a groundbreaking integrated MEC and UPF product ready for 5G networks. 

U.S. Multi-Access Edge Computing Market Report Scope

U.S. Multi-access Edge Computing Market Report Segmentation

This report forecasts revenue growth at country level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the U.S. multi-access edge computing market report based on solution, and end-use: 

• Solution Outlook (Revenue, USD Million, 2018 - 2030)

  • Hardware

  • Software

  • Services

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • IT & Telecom

  • Smart Cities, Smart Homes, & Smart Buildings

  • Datacenters

  • Energy & Utilities

  • Automotive

  • Manufacturing

  • Retail

  • Healthcare

  • Others