Network edge data centre forecast

STL Partners’ network edge data centre forecast 2023 – 2027

This dashboard presents the key findings of STL Partners’ network edge data centre forecast. Its purpose is to provide answers to key questions such as:

  • How many edge data centres will telcos build and make available for consumer/enterprise applications?
  • How much capacity of telco edge computing will there be globally?
  • How much of telco edge computing will be used for distributed core network functions vs. consumer/enterprise applications?
  • What proportion of telco edge data centre capacity will be taken up by hyperscalers’ platforms?

The dashboard presents a summary of our model output and the associated graphics for the world’s regions and the data for 80 of the leading telecoms operators. You can now segment by individual operator too and see their forecast buildout.

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Download accompanying spreadsheet

STL Partners forecast has been updated to reflect the changing scope and architecture options of the network edge

This report details a forecast of the capacity available for non-RAN applications at the network edge over the next five years. The network edge is defined as facilities for edge computing within the telecoms network – mobile, fixed or converged sites. The model focus on sites that will be owned and operated by telecoms operators.

We have revised down our network edge data centre forecast, although a CAGR of 31% is still predicted over the next five years

Our accompanying 2023 survey results point towards strategies for filling existing network edge sites and proving the demand for more. The network edge remains nascent from a monetisation perspective, with most providers either not charging at all, or charging at discounted rates, the customers that they do have. STL Partners recommends that network edge providers build expertise beyond infrastructure and connectivity in target use case and industry vertical areas to further stimulate demand where there is already early traction.

Segments

  • Type of workload
    • Core network functions
    • Edge applications
  • Site
    • Access site
    • Access aggregation
    • Transport aggregation
  • Edge server owner
    • Telecoms operator
    • Hyperscaler
    • Neutral third-party host
  • Region
    • Europe & Central Asia
    • East Asia & Pacific
    • Latin America & Caribbean
    • Middle East & North Africa
    • North America
    • South Asia
    • Sub-Saharan Africa
  • Country
  • Telecoms operator