Data and Business Intelligence Glossary Terms

Edge Computing

Edge Computing is a way of processing data near the source of the data itself, instead of sending it across long routes to data centers or clouds. Imagine having a small but powerful computer inside every smart device in your home, from fridges to doorbells, making quick decisions without having to constantly talk to a far-away computer server. In business intelligence, edge computing is used to analyze data right where it’s created—like on factory floors, in retail stores, or within smart devices—which can lead to faster insights and immediate actions.

This approach is helpful because it reduces the time it takes for data to travel, which can be critical for actions that rely on quick responses, such as autonomous vehicles reacting to obstacles or doctors remotely monitoring patients’ vital signs. Edge computing enables real-time data processing without latency, meaning there’s virtually no delay, and decisions can be made swiftly.

For businesses, edge computing means that large amounts of data can be processed locally, and only the needed insights are sent back to the central system, saving bandwidth and reducing cloud storage costs. It also adds an extra layer of security because sensitive data can be analyzed and stored on-site, reducing the risk of data breaches during transfer. Edge computing represents a shift towards a more distributed IT architecture, where local devices take a more active role in data processing, leading to smarter and faster business operations.


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