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Yet, there are also applications that benefit from processing data as close to users and devices as possible. Edge computing provides this capability. So, what is edge computing? What are the benefits of edge computing, and what should companies consider when assessing if they should invest in edge computing? ## What is edge computing? Edge computing brings the power of cloud computing closer to you. Most of the processing happens at the edge of the network instead of in centralized data centers, which may be located some distance away. Core services include computing  and storage. There are numerous use cases for edge computing, including in the retail, manufacturing, agricultural, energy and other sectors. ## What are some edge computing benefits? - Privacy and reliability: By keeping and processing data at the edge, it is possible to increase privacy by minimizing the transmission of sensitive information to the cloud. - Speed and efficiency: Edge computing brings analytical computational resources close to the end users and, therefore, can increase the responsiveness and throughput of applications. A well-designed edge platform closer to the user can significantly outperform a traditional regional cloud approach. ## Companies using edge computing by industry Companies are discovering why we need edge computing and also that the benefits of edge computing can help them to become more competitive in their respective industries, from retail to energy and utilities. ### Retail Brick-and-mortar retailers can leverage the benefits of edge computing in combination with IoT on a number of fronts, including customer experience, augmented reality, touchless checkout and store navigation. For example, [cashierless checkouts](https://progressivegrocer.com/future-checkout-may-be-no-checkout-all) are set to continue growing. Juniper Research predicts that [transactions using such smart technologies](https://www.datacenterdynamics.com/en/analysis/how-retail-being-pushing-towards-edge-computing/) will reach $387 billion in 2025, up from just $2 billion in 2020. ### Manufacturing Understanding the benefits of edge computing can help manufacturers gain insights from their [factory floors in near-real time](https://www.verizon.com/about/news/impact-on-manufacturing). Sensors and 5G-connected cameras could provide factory workers with actionable intelligence that can help improve productivity by anticipating equipment performance issues, help prevent product defects and design inconsistencies while also preserving quality and safety standards. They can also harness the benefits of edge computing by using augmented, mixed and virtual reality in the plant for training, health and safety monitoring.  ### Agriculture [Edge computing and 5G](https://www.verizon.com/business/resources/articles/s/how-5g-will-impact-the-future-of-farming/) are helping farms become smarter through improved crop monitoring and predictive maintenance of critical machinery by gathering data on equipment performance and health where 5G is available. As they modernize equipment, farmers can integrate more advanced edge computing capabilities. ### Automotive [Autonomous vehicles](https://www.verizon.com/business/en-in/resources/articles/s/self-driving-cars-edge-computing-5g/) could be heavily dependent on edge computing to provide information on traffic conditions to help reduce road congestion and improve safety by providing hazard and queue warnings regarding road construction conditions ahead, while also helping to improve the consumer experience through enhanced infotainment. ### Energy and utilities Energy and utility companies can harness the benefits of edge computing to help improve predictive maintenance because data can be analyzed at the edge and corrective actions taken without waiting for data to travel to a central location to be analyzed, followed by instructions returning to the site where the issue resides. The amount of infrastructure these companies have is enormous and expansive. For example, edge computing can enable near real-time performance to proactively monitor and manage the sensors and gateway devices needed to evaluate asset health and diagnostics. This near-real time performance   can pave the way toward a predictive maintenance model. ## 5G is key for edge computing If you're weighing the benefits of edge computing against the upfront costs, consider the high-level benefits first, and how you can leverage edge computing for a competitive advantage. Then, think about what these benefits mean for your business operations. Regardless of industry, edge computing can exploit faster wireless connectivity, which has been accelerated by the rollout of 5G. But the higher speed is also enabled by placing key functions closer to where the data is to reduce latency. While some data is best processed by a central cloud data center, users experience faster speeds in an edge computing model when the data doesn't have to travel as far. By not sending all data back to a central location, bandwidth requirements and costs are reduced. One of the other   benefits of edge computing is improved reliability. Operations and data can be distributed, and this decentralization makes your network more resilient. Although having more endpoints increases the number of attack surfaces, you can isolate devices and groups of devices through techniques such as [5G network slicing](https://www.verizon.com/business/resources/articles/s/understanding-the-benefits-of-5g-network-slicing-security/) for more robust security. ## Why we need edge computing: industries can leverage the edge While many organizations are not ready to deploy edge computing at scale, they are making moves to set themselves up for success. Tackling infrastructure modernization is an important first step in edge computing. Those that have completed the infrastructure modernization phase are moving on to [digital transformation initiatives](https://enterprisersproject.com/article/2021/2/how-digital-transformation-and-edge-computing-fit-together) that benefit from real-time data generated in edge locations Energy and utilities companies are excellent examples of the benefits of edge computing – receiving insights from connected devices to help them perform predictive maintenance, remote inspections, supply and demand forecasting and more. The key for businesses across a range of industries is to prioritize areas of infrastructure that can benefit from or need modernization the most. You don't need to transform your entire operations to take advantage of edge computing. A mobile edge computing (MEC) instance can be strategically deployed incrementally as part of a longer-term rollout. Verizon can help you [realize and maximize the benefits of edge computing](https://www.verizon.com/business/solutions/5g/edge-computing/), including lower end-to-end latency and local compute, storage and backhaul transport efficiencies, so you can develop and run applications securely and efficiently on a distributed infrastructure.   *The author of this content is a paid contributor for Verizon.* [](https://www.verizon.com) ## Let’s connect ArgentinaAustraliaAustriaBelgiumBrazilCanadaChileChinaColombiaCosta RicaDenmarkFinlandFranceGermanyHong KongIndiaIrelandItalyJapanKoreaLuxembourgMexicoNetherlandsNew ZealandNorwayPanamaPortugalSingaporeSpainSwedenSwitzerlandTaiwanUnited KingdomUnited StatesVenezuela Call sales [888-789-1223](tel:8887891223) Chat with us [Start live chat](https://www.verizon.com#chat) Have us contact you [Request a call](https://www.verizon.com/business/contact/request-consultation/) Get updates [Sign up for insights](https://www.verizon.com/business/opt-in) Already have an account?   [Log in](https://mblogin.verizonwireless.com/account/business/signin)[Explore support](https://www.verizon.com/business/support/) ## Join the conversation. 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