We’re living in a world of technology. From smart products to data centers, our very way of life depends on how quickly we can receive and process information. Despite the computing capabilities of these facilities (data centers possess a power density that is 100 times more than that of a large commercial office building), the demand for faster processing power and larger cloud storage continues to rise; edge data centers, which are defined by their ability to offer faster speeds to those on the edge of larger networks, have started to gain traction in response.

Schneider Electric exemplifies the future of these smaller facilities. The French-based power management company believes that hyperscaling — or the ability to increase or decrease your data center’s architecture depending on your business’s demands — is the future of edge data centers. According to Dave Johnson, EVP of Secure Power at Schneider Electric, edge center opportunities fall into three key categories.

“First, is the commercial opportunity, where you have the retailers, healthcare, finance services, education and so on,” he said. “Secondly, is the industrial opportunity, covering everything from oil and gas to automation and manufacturing. Lastly, there are the edge opportunities provided by the [telecommunication companies] of the world. Provision at the base of cell towers, base station, central offices, are all opportunities in this new game.”

Though many businesses rely on data centers for storage or for their immense computing power, getting in on this new game is not a decision to be taken lightly. Data centers are notoriously expensive, often costing around $1,000 per square foot due to the electrical equipment, cooling systems, and the cost of the building itself. Edge data centers may be smaller, but you’d still need a remarkable amount of capital to get started — well beyond the average (according to Wells Fargo) $10,000 small businesses need to establish themselves.

At the same time, technology is advancing so quickly that only the most successful and forward-thinking companies — like Schneider Electric — are going to be able to keep up with the changing times. Steve Carlini, VP of innovation at Schneider, references this when it comes to 5G networks.

“What we are going to see in the next three years is faster performance of networks, but it really is going to be 4.5G in reality for the time being,” he said. “There will be deployments ready for 5G, so when it comes out, we can just switch. Even phones are only now coming out with 5G, and this will only be available in very isolated areas.”

Whatever happens, the hyperscaled edge data centers of Schneider Electric will be ready.