Explained: From the cloud, computing moves to the edge

By 2025, says the global research and advisory firm Gartner, companies will generate and process more than 75% of their data outside of traditional centralised data centres — that is, at the “edge” of the cloud.

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Edge computing enables data to be analysed, processed, and transferred at the edge of a network.

Cloud computing — by which remote servers hosted on the Internet store and process data, rather than local servers or personal computers — is ready to move to the next level. Amazon, Microsoft, and Alphabet, the parent company of Google — the technology giants that provide cloud computing infrastructure to major corporates and governments — want to leverage 5G wireless technology and artificial intelligence to enable faster response times, lower latency (ability to process very high volumes of data with minimal delay), and simplified maintenance in computing.