We meet daily with contact center owners and customer experience (CX) execs across all industries, geographies, and business sizes. Looking back at these conversations, it’s crystal clear that 2022 was a high-stakes year for call centers, with three primary challenges trending across all customers and continuing in 2023:

• Many organizations feel pressure to rapidly scale up their call center operations in response to macroeconomic changes. Uncertain conditions are forcing Contact Centers to be ever more cost-effective, and to find ways to generate revenue for the business.
• End users are increasingly demanding and less forgiving when it comes to CX. Users have a choice, and they expect brands to meet them where they are with superior experiences. Connecting with customers where they engage is one of the key components of superior CX—customers should not have to go through elaborate processes or unhelpful phone trees to get help but should rather have service available quickly and easily in their preferred channels. Consumers demand more intimate ways of connecting with brands and Conversational AI can create that critical interaction medium. 
• Organizations understand that AI can help address these challenges. However, many business leaders remain unsure how to successfully make the journey. A growing number of offerings are on the market, but many don’t deliver on their promise, with long and expensive integration requirements and unpredictable and underwhelming outcomes.

Helping our customers successfully address these challenges and opportunities was one of our top priorities last year and will continue to be a significant focus in coming months. In this blog post, we’ll review our Contact Center AI (CCAI) news from last year, as a primer for 2023. 

Looking back: Why 2022 was a big year for Contact Center AI

In 2022, we increased our strategic investment in CCAI, including expanding it to include a comprehensive, end-to-end contact center solution suite that is user-first, AI-first, and cloud-first. We launched Contact Center AI Platform, our Contact Center as a Service (CCaaS) offering, as part of the CCAI product suite that offers a modern, turnkey solution, designed with user-first, AI-first, and cloud-first design. During Google Cloud Next ‘22, we shared lots of great content on how organizations can use CCAI to improve customer experiences, including these breakout sessions:

• Delight customers in every interaction with Contact Center AI
• Power new voice enabled interfaces with applications with Google Cloud’s speech solutions

We also got a chance to hear how customers are using CCAI to better reach their own customers, including Wells Fargo and TIAA. We partnered with CDW to discuss Providing Better Customer Experiences and with Quantiphi in a webinar called “Elevating the Banking Experience with CCAI Platform.” Just recently, our customer Segra shared their success story.

Through these customer interactions, three key priorities have surfaced as we look forward to 2023: Elevate the customer experience, bring new forms of AI to drive new automation and accelerate time to value.

Looking forward: Elevate CX, integrate new forms of AI, accelerate time to value 

1. User-first: Meet them where they are with elevated Customer Experience.

As we have learned, users expect that brands meet them where they are and on their own terms and expectations. To do that, brands must integrate with and adopt the latest user-centric technologies and product best practices from consumer mobile and web apps. Enterprise B2C can’t exist anymore in a parallel world of different and often inferior user experience. Google has over 20 years of experience in building such consumer experiences, with multiple products successfully serving billions of users. Bringing these capabilities and experiences from our consumer products and research teams to our cloud offerings was a key component for our product offerings in 2022 and is a big part of our key investments in 2023. Moreover, a vast majority of CX user journeys start with a query on Google Search or YouTube. Connecting with the users at that point, even before they reach out directly to the contact center is a win-win, saving money for the brand and delivering immediate value to the user. By focusing on the user we created a superior  integrated omnichannel experience.

2. AI-first and cloud-first: Quality contact center growth depends on transforming to modern, Cloud, AI solutions.

For contact centers to evolve, they need to transform from cost centers to revenue generators. That requires modern Cloud and AI solutions. Conversational data spans across all parts of the contact center, opening new ways to generate value. Cloud capabilities of privacy, security and scale can enable personalized CX across channels, enabling key omnichannel experiences. From a study by McKinsey: “Cross-channel integration and migration issues continue to hamper progress. For example, 77 percent of survey respondents report that their organizations have built digital platforms, but only 10 percent report that those platforms are fully scaled and adopted by customers. Only 12 percent of digital platforms are highly integrated, and, for most organizations, only 20 percent of digital contacts are unassisted.” Traditional telephony technologies are becoming commoditized and struggle to keep up with ever more complex rule based systems. Leaders in applicative AI and Cloud technology are stepping up as the new partners for brands who understand they need to take the leap to the next generation CX solutions. .  

3. Accelerating time to value while future proofing investments with predictable and measurable value

Reducing upfront implementation investment and accelerating time to value can be a challenge for contact center solutions. Scaling Cloud and AI can provide a faster path advanced conversational AI, can help address these challenges. Let’s look at three examples:

• Out of the Box(OOTB) integrated transcription, chat and voice summarization, and topic modeling — This saves customers money by reducing agent handling time for every chat and call, as well as providing valuable insights that can be used for quality management, contact center optimization and automation, agent and user churn prediction, business insights, and revenue opportunities.
• AI based chat and voice calls steering  paired with info-seeking virtual agents — Together these deliver higher Customer Satisfaction at scale while reducing cost –  by significantly reducing waiting queues and being routed to the wrong agent, as well as automating away total handling time.
• Reduced time to full automation — Reduce the complexity of conversation modeling, prebuilt components and APIs for shorter time to value and more predictable outcomes, and metrics driven ML-Dev & QA tools and playbooks.

With these new capabilities, our customers can now see results as soon as they implement CCAI. We’re excited to get our customers to where they want to be faster!

And there you have it: a quick overview of CCAI and its progress in 2022 and what’s coming in 2023. For more details, check out the documentation or our CCAI solutions page.

Like countless other industries, farming is going digital and undergoing big changes—driven by access to more actionable information. The agriculture business can now gather and analyze georeferenced data from satellites, combined with data from IoT sensors in fields, crop rotation and yield histories, weather patterns, seed genotypes and soil composition to help increase the quantity and quality of crops.

This is essential for businesses in the agriculture industry, but it’s also critical to address growing food shortages around the world. 

At S4, we create technology to de-risk crop production. We provide customers seeking agricultural risk management solutions with the tools to make better, data-driven decisions for their crop planning, based on machine learning and proprietary algorithms.

We interpret plant evolution on a global scale with predictive modeling and analytics, and offer super-efficient risk-transferring solutions. Our multi-cloud platform includes a petabyte-scale database, an open source stack, and—after 50 proof-of-concept evaluations—BigQuery for our data warehouse and the Cloud SQL database service to handle OLTP queries to our PostgreSQL database.

These PoCs included, among others, Microsoft Azure Data Lake Analytics, IBM Netezza, Postgres/PostGIS running on IBM bare-metal servers with SATA SSDs and on Google’s Compute Engine with NVMe disks, and on-premises memSQL, CitusData and Yandex ClickHouse. 

Weeding out risk in an uncertain market

According to recent research, climate extreme events like drought, heat waves, and heavy precipitation are responsible for 18-43% of global variation in crop yields for maize, spring wheat, rice, and soybeans. This is a clear trend for other crops as well. Such variation poses risks of food shortages as well as large financial risks to farmers, insurers, and regions dependent on successful crop yields. Also, it creates vast humanitarian difficulties.

Our mission at S4 is to help de-risk crop production by matching the right data with analytics tools so farmers and other participants in the agricultural value chain can plan better, resulting in more reliable food supplies.

In a nutshell, we create indices out of biological assets. These indices measure yield losses on crops that are caused by the effects of weather and other factors, which are then used as underlying assets for products, such as swap/derivative contracts and parametric insurance policies, to transfer risk to the financial markets.

We enable insurers and lenders to buy and sell agricultural risks through the futures market. Also, our other products help farmers and seed and fertilizer companies provide customized genotype recommendations and fertilization requirements. This helps to optimize planting by geography, resources, and crop species, monitor phenological, pests and humidity evolution throughout the crop season, and estimate yields.

Local communities benefit from S4’s technology, as the ability to manage weather risks allows farmers to stabilize their cash flows, invest more to produce more with fewer risks, and develop in a more sustainable manner.

Growing data sources, reducing costs, accelerating performance

With the volume of diverse data sources and analytical complexity both growing at a very fast pace, we decided that using a major cloud services provider with a broad roadmap and global partnerships would be beneficial to S4’s future evolution.

At the same time, we wanted to bring our services to users faster and cut costs by consolidating our on-premises technology stack. When we started evaluating providers, our leading criteria included a powerful geospatial database and data analytics tools along with excellent support, all at a competitive price. GCP prevailed in nearly all criteria categories among the 50 companies we measured. 

Our previous platform architecture included a hybrid relational database that used Compute Engine for virtual machines and Cloud Storage for database backup. The RDBMS was slow. Maintaining our own data warehouse was complex and expensive.

We wanted to use machine learning and neural networks, but couldn’t do so easily and affordably. The complexity of that system meant that products or services requiring small changes or additions to the data model translated to expensive expansions of infrastructure or project time.

Also, agronomical or product teams couldn’t test these changes by themselves, always requiring the intervention on no small part of the IT team, which led to further delays.

We added GCP services like BigQuery as S4’s cloud data warehouse and use BigQuery GIS for geospatial analysis, Cloud Dataflow for simplified stream and batch data processing, and Cloud SQL for queries to the S4 database platform, which have all made a huge impact on our services and bottom line.

Database and analytics costs have decreased by 40% and customers are receiving our analytical results 25% faster. In addition, we’ve eliminated the time-consuming downloading of images, reducing storage and processing costs by 80%, because we no longer need expensive tools licenses, and have greatly reduced classification processing times.

Our customers working in the agriculture industry are also benefiting from this infrastructure change. They are now able to speed up their data analytics using our GCP-based platform.

“S4 products and technologies unlock the full potential of satellite imagery for crop prescriptions, monitoring and yield estimates,” says Nicolás Loria, Manager of Marketing Services, Southern Cone, Corteva Agriscience.

“We’ve worked with S4 for the last three (and starting year number four) crop seasons as its team capabilities, data integration capacities, and analytics insights have allowed Corteva to perform an entire new solution. Thanks to S4’s customized 360° approach, fast response and delivery times, we have safely outsourced our remote crop analytic technical needs.”

Also, this new architecture has allowed us to scale our models and databases with almost no limits, at a fraction of the cost vs. the previous models.

We’ve saved a lot of time on executing processes and reduced work needed by our internal teams to do certain tasks, like preparing images, converting them, validating results, and more. Using Google Earth Engine has decreased the execution time of daily tasks anywhere from 50% to 90% of the previous time, going from an average time of 30 minutes to between four and 15 minutes, depending on the task.

In addition to saving money and time, we are able to focus on innovation with the GCP performance and features we’re using. We’re able to seamlessly add satellite data to analytics using both public datasets and our own private data, and deliver GIS data management, analytics, crop classification and monitoring in real time.

We can do semi-automatic crop classification and classification using spectral signatures with Google Earth Engine. Later this year, we’ll be using neural networks for pattern recognition and machine learning in new applications to improve crop yields and fine-tune risk models. And using GCP and Google Earth Engine infrastructure means we can run models for customers in South America and around the world, since Google Earth Engine has global satellite imagery available. 

We’ve heard from our customer Indigo Argentina that they’re able to bring customers data insights faster.

“We are working with S4 in the development of two different applications for satellite crop monitoring and yield assessment,” says Carlos Becco, CEO, Indigo Argentina. “S4’s technology allowed us to manage and analyze multiple sources and layers of information in real time, letting us uncover valuable insights in Indigo’s own microbiome technologies, and at a very competitive cost.” 

Analytical products and app development thrive with GCP

With GCP, we are updating and improving algorithms that we built manually with machine learning processes to develop drought indices for upcoming crop seasons. Algorithms can recognize specific phases of crop phenology (e.g., bud burst, flowering, fruiting, leaf fall) and correlate them with photosynthetic activity, light, water, temperature, radiation, and plant genetics factors. Other analytical products like crop monitoring, pre-planting recommendations, financial scoring, and yield estimation can now do a lot more for users by offering multiple layers and datasets, faster image processing, and real-time access via APIs.

We also replaced our bare-metal S4 app deployment with the App Engine serverless application platform. It provides tighter integration between the S4 platform and our BigQuery data warehouse for integration with marketplaces and third-party solutions.

We get all of these Google Cloud features with all the benefits of managed cloud services, from multiversioning and security to automatic backups and high availability.

At S4, we trust technology to decode plant growth and help protect farmers and their communities from climate change. With growing food shortages due to increasing populations and intensifying weather, data and analytics can have a huge impact in lowering financial risks and improving agricultural yields. It’s one sector where cloud, database, analytics, and other technologies are combining to improve business outcomes and affect the lives of billions of people. Learn more about S4’s work and learn more about data analytics on Google Cloud.

In 2013, long before the world was discussing clean energy and sustainable practices, two IIT Madras graduates — Swapnil Jain and Tarun Mehta — had an idea to develop India’s first-ever electrical scooter.

This was at a time when auto manufacturers were still focusing on fossil-fuel-driven vehicles and ‘eco-friendly’ mobility solutions were more a trendy alternative catering to a niche market.

The duo founded Ather Energy in 2013 and launched their first fully-electric scooter, the Ather S340, in Bengaluru in 2016. Since then, the company has released several new models into the market and is planning to expand to eight more cities by the end of the year.

To support the smooth running of their vehicles, lower costs, improve time to market, and create great customer experience, Ather turned to Google Cloud.

Read the Full Story on YourStory

In the United Kingdom, the popularity of online grocery shopping is expected to surge from about 6% of the market today to 9% by 2021, according to market research firm Mintel. One of the pioneers of online-only grocery retailing is Ocado, based in Hatfield, Hertfordshire in the U.K. Since starting commercial deliveries in 2002, the company has grown to 600,000 active customers, 260,000 weekly orders, and £1.39 billion in annual revenue.

Ocado takes supermarket trips out of the equation by enabling shoppers to purchase items online through its convenient web and mobile applications. Items are then picked and packed in automated warehouses and shipped directly to customers in a one-hour time slot of their choosing. Ocado’s delivery punctuality is 95%, order accuracy is 99%, and its service footprint now reaches more than 70% of the U.K. population.

“Google Cloud Platform gives us the flexibility and performance to tackle the large and complex data challenges unique to our business.”

—Paul Clarke, Chief Technology Officer, Ocado

The company achieved its success by building in-house almost all the technology and automation that powers its end-to-end e-commerce, fulfillment, and logistics platform. Ocado also developed a new platform, the Ocado Smart Platform (OSP), which offers large brick-and-mortar grocery retailers around the world access to a best-in-class solution for online grocery.

Democratizing machine learning

The shopping journey for online grocery retailing differs significantly from other e-businesses. Customers often buy dozens of products at once, a single household may have multiple buyers using multiple devices, and product shelf life may only be a couple of days.

“We often say that having built an end-to-end platform that can do online grocery scalably and profitably, we can do other forms of online retail; but the reverse does not necessarily follow,” says Paul Clarke, Chief Technology Officer at Ocado. “Google Cloud Platform gives us the flexibility and performance to tackle the large and complex data challenges unique to our business.”

The Ocado business model takes advantage of consumers’ shifting preferences and the links between digital technology and shopping experiences.

“Google Cloud Machine Learning Engine gives us the agility we need. Our developers were able to try out TensorFlow and see firsthand the benefits of machine learning in the cloud.”

—Paul Clarke, Chief Technology Officer, Ocado

The company has been building machine learning into its systems for over five years. Until recently, Ocado machine learning applications required specialist data scientists, typically with PhDs in machine learning, who would build these solutions from the ground up. It also required the specialist who set up the system and costly on-premises infrastructure to train and run these systems.

However, working with Google as a private alpha testing site for Google Cloud Machine Learning Engine accelerated its adoption of artificial intelligence (AI).

“We’ve been talking about how the cloud could democratize AI for some time,” says Paul. “Google Cloud Machine Learning Engine gives us the agility we need. Our developers were able to try out TensorFlow and see firsthand the benefits of machine learning in the cloud.”

TensorFlow is an open source software library for machine learning developed by the Google Brain team. Ocado developers, engineers, and data scientists now use TensorFlow for many of their machine learning projects. They deploy the models they build on Google Cloud Machine Learning Engine, which lets them train models faster across servers, desktop computers, and mobile devices through a single application program interface (API). Additionally, Google Cloud Machine Learning Engine integrates easily with the other Google Cloud Platform products used widely at Ocado.

What do customers really want?

One of the first TensorFlow models Ocado created was a machine learning algorithm that tags and categorizes customer emails and then prioritizes them for response.

The contact center receives thousands of emails each day and Ocado wanted to automate determining which ones needed to be answered immediately and which ones could wait.

For example, a first-time customer expressing their delight in using Ocado doesn’t need to be responded to with the same urgency as a customer who is missing an item from their order or who won’t be home to receive the delivery.

“Enabling agents to respond without having to sort through less-urgent emails improves Ocado’s responsiveness and customer service.”

—James Donkin, General Manager, Ocado

“We get a lot of emails from customers saying, ‘Our service was great,’ or ‘The driver was very courteous,'” says James Donkin, General Manager, Ocado. “But when issues like weather or road conditions potentially affect delivery, we often get surges of urgent questions. Enabling agents to respond without having to sort through less-urgent emails improves Ocado’s responsiveness and customer service.”

Using Google Cloud Machine Learning Engine, TensorFlow, and a large data set culled from several years’ worth of manually categorized customer emails, Ocado experimented on which kind of neural network architecture would best prioritize emails. After testing its models, Ocado implemented the highest-performing one and has been able to respond to urgent messages four times faster. The company also discovered that 7% of its emails don’t require a response at all, which means call center representatives now have more time to devote to higher priority messages.

“Without Google Cloud Machine Learning Engine, it would have been a lot harder to succeed on a project like email classification,” says Roland Plaszowski, who has recently managed several big data projects and initiatives at Ocado.

“Even if we invested significantly in infrastructure, it would be difficult to manage because of the computational intensity. It’s challenging and expensive to run machine learning projects at the same time without infrastructure that you can scale easily.”

Ocado also uses machine learning to predict customer behavior and improve experiences. By analyzing order data, Ocado makes shopping as frictionless as possible. For example, the ordering system can pre-populate customers’ shopping carts with items they are most likely to purchase, remind customers about items they may have forgotten, and notify them of multi-buy offers they haven’t completed, for example, only buying one of a buy one, get one free offer. Based on machine learning from previous purchase data, the Ocado system can also offer new products that are likely to delight customers.

“You will regularly see items that are more personally relevant to you instead of items that are being promoted more generally,” says James. “I’m a vegetarian, so I’m offered specials for vegetarian products that I normally buy and new ones that I’ve never bought. I’m also less likely to see things that I’m not interested in.”

Machines and machine learning

Within the Internet of Things (IoT), Ocado is looking to enhance its warehouse robots with machine learning. An integral part of the OSP, thousands of robots continually stream data into Google Cloud Storage and Google BigQuery.

Ocado data scientists apply machine learning to create a type of swarm intelligence that enables warehouse robots to work cooperatively to achieve a common goal. Projects include modules to search robot telemetry data, such as whether a battery pack is operating within standard tolerances or whether firmware has been successfully loaded, and use it to optimize maintenance schedules or detect patterns in wear and tear.

“Another challenge we’re looking at is how to embed machine learning directly into robots so they become smarter in terms of self-testing, exception handling, and error recovery,” says Paul. “This is a challenging combination of IoT, data analytics, and machine learning that we believe Google BigQuery and Google Cloud Machine Learning are particularly well suited to helping Ocado achieve.”

Scaling for new business

Scalability is also a major reason behind some of Ocado’s cloud initiatives, including the migration of all its on-premises data to the cloud. Ocado wanted to improve customer experiences, empower business teams with greater insight, and reduce IT overhead, so it consolidated onto Google Cloud Platform.

“The old databases just weren’t fast enough,” says Paul. “We needed a solution that could scale with the amount of data we generate and how we use it. Google Cloud Storage and Google BigQuery now provide the backbone, from a data point of view, for the Ocado Smart Platform.”

Ocado estimates its business, product, and transaction data is approaching two petabytes. Combining customer and supply chain data helps both internal Ocado operations and the company’s ambitions to commercialize OSP.

“When compared with other options for expansion internationally, selling OSP as a managed service lets us turn companies that could have been competitors into customers,” says Paul. “We want to build OSP once and then turn it on for multiple business-to-business customers.”

Each time Ocado adds a new hosting customer to OSP, it will launch a customized instance to fit that customer’s requirements. The capacity and performance of each new OSP instance must be able to scale quickly as the backend platform for established retailers with large numbers of products, customers, and transactions.

Ocado’s first OSP customer, Morrisons, is already benefiting from this first-of-a kind solution. Morrisons is one of the UK’s four largest supermarkets and uses OSP to power its online retail business. Using Google Cloud Platform, Ocado has stored, processed, and analyzed terabytes of Morrisons’ data using a dedicated data lake and Google BigQuery.

In addition to using Google Cloud Platform for OSP, Ocado also adopted it for its own online grocery retail business operation. Ocado originally used the Apache Spark and Apache Hadoop open-source frameworks on Google Compute Engine for its data platform. Moving to Google BigQuery frees Ocado business analysts from the complex query setup and workflows associated with Spark and Hadoop. Plus, it lets Ocado share data analytics with suppliers and partners.

Google BigQuery is well integrated with TensorFlow on Google Cloud Machine Learning Engine and Google Cloud Dataproc, the Apache Spark and Apache Hadoop service that lets Ocado use open source data tools for batch processing, querying, streaming, and machine learning. Google Cloud Dataflow and Google Cloud Dataproc handle cluster management, and provide an easy-to-use framework so developers can spend less time and money on administration and more time on delivering valuable business features.

Switching from Hadoop to Google BigQuery revealed a series of cost and performance improvements. For example, Ocado no longer needed to decide how many instances to bring up in a cluster or wait for the instances to spin up. Google handled everything.

“We simply ran our queries and paid for the resources that we use,” adds Roland. “One big win with Google BigQuery is we don’t have to do maintenance. Best of all, we saw Google BigQuery outperform our Hadoop cluster by over 80 times on our largest dataset, and for only two-thirds the cost.”

Whether with the cloud or within their own data centers, enterprises have undergone a period of remarkable consolidation and centralization of their compute resources. But with the rise of ever more powerful mobile devices, and increasingly capable cellular networks, application architects are starting to think beyond the confines of the data center, and looking out to the edge. 

What exactly do we mean by edge? Think of the edge as distributed compute happening on a wide variety of non-traditional devices — mobile phones of course, but also equipment sensors in factories, industrial equipment, or even temperature and reaction monitoring in a remote lab. Edge devices are also connected devices, and can communicate back to the mothership over wireless or cellular networks. 

Equipped with increasingly powerful processors, these edge devices are being called upon to perform tasks that have thus far been outside the scope of traditional IT. For enterprises, this could mean pre-processing incoming telemetry in a vehicle, collecting video in kiosks at a mall, gathering quality control data with cameras in a warehouse, or delivering interactive media to retail stores. Enterprises are also relying on edge to ingest data from outposts or devices that have even more intermittent connectivity, e.g., oil rigs or farm equipment, filtering that data to improve quality, reducing it to right-size information load, and processing it in the cloud. New data and models are then pushed back to the edge; in addition, we can also push configuration, software, and media updates and decentralize processing workload.

Edge isn’t all about enabling new use cases – it’s also about right-sizing environments and improving resource utilization. For example, adopting an edge model can also relieve load on existing data centers. 

But while edge computing is full of promise for enterprises, there are many pieces that are still works in progress. Further, developing edge workloads is very different from developing traditional applications, which enjoy the benefits of persistent data connections and run on well-resourced hardware platforms. As such, cloud architects are still in the early days of figuring out how to use and implement edge for their organizations. 

Fortunately, there are tools you can use to help ease the transition to edge computing — and that likely fit into your organization’s existing computing systems. Kubernetes, of course, but also higher level management tools like Anthos, which provides a consistent control plane across cloud, private data center and edge locations. Other parts of the Anthos family – Anthos Config Management and Anthos Service Mesh — go one step further and provide consistent, centralized management to your edge and cloud deployments. And there’s more to come.

For the remainder of this blog post, we’ll dive deeper into the past and current state of edge computing, and the benefits that architects and developers can expect to see from edge computing. In a next post, we’ll take a deeper look at some of the challenges that designing for edge introduces, and some of the advantages the average enterprise has in adopting the edge model. Finally, we’ll look at the Google Cloud tools that are available today to help you build out your edge environment, and look at some early customer examples that highlight what’s possible today — and that will spark your imagination for what to do tomorrow. 

The evolution of edge computing 

The edge is not a new concept. In fact, it’s been around for the last two decades, spanning many use cases that are prevalent today. One of the first applications for edge was to use content delivery networks (CDN) to cache and serve daily static website pages near clients, for example, web servers in California data centers serving financial data to European customers. 

As connectivity has improved and software evolved, the edge has evolved too, and the focus has shifted towards using edge to distribute services. First, simple services expanded from static HTML to javascript libraries or image repositories. Common functions like image transformation, credit and address validation support services followed. Soon, organizations were deploying more complex cloudlet and clustered microservices installations, as well as distributed and replicated datasets. The term “endpoint” became ubiquitous, and APIs profilerated. 

In parallel, there’s been an explosion of creativity in hardware, microcontrollers and dedicated edge devices. Fit-for-purpose products were deployed globally. Services like Google Cloud IoT Core extended our ability to manage and securely connect these dispersed devices, allowing platform managers to register tools and leverage managed services like Pub/Sub and Dataflow for data ingestion. And with Kubernetes, large remote clusters — mini private clouds in and of themselves — operate as self-healing, autoscaling services across the broader internet, opening the door to new models for applications and architectural patterns. In short, both distributed asynchronous systems and economies have blossomed.

What does this mean for enterprises? For the purposes of this series, edge means you can now go beyond the corporate network, beyond cloud VPCs, and beyond hybrid. The modern edge is not sitting at a major remote data center, nor is it a CDN, cloud provider, or in a corporate data center rack — it’s just as likely to look like 100 of these attached to a thousand sensors.

Edge, in short, is about having hardware and devices installed at remote locations that can process and communicate back the information they collect and generate. The edge management challenge, meanwhile, is being able to push configuration and software/model/media updates to these remote locations when they are connected.

Enable new use cases

Today, we have reached a new threshold for edge computing — one where micro-data-processing centers are deployed as the edge of a fractal arm, as it were. Together, they form a broad, geographically distributed, always-on framework for streaming, collecting, processing and serving asynchronous data. This big, loosely coupled application system lives, breathes and grows. Always changing, always learning from the data it collects — and always pushing out updated models when the tendrils are connected. 

Right now, the rise of 5G is pushing the limits of edge even further. Devices enabled with 5G can transmit using a mobile network — no ISP required — enabling connectivity anywhere within reach of a cell tower. Granted, these networks have lower bandwidth, but they are often more than adequate for certain types of data, for example fire sensors in forests bordering remote towns that emit temperature or carbon monoxide data periodically. Recently, Google Cloud partnered with AT&T to enhance business use of 5G edge technology but there is so much more that can be done. 

Reduce data center investments

In addition to enabling the digitization of a broad range of new use cases, adopting edge can also benefit your existing data center.

Let’s face it: data centers are expensive to maintain. Moving some data center load to edge locations can reduce your data center infrastructure investment, as well as compute time spent there. Edge services tend to have much lower service level objectives (SLOs) than data center services, driving lower levels of hardware investment. Edge installations also tend to tolerate disconnectedness, and thus function perfectly well with lower SLOs — and lower costs. 

Let’s look at an example of where edge can really reduce costs: big data. Back in the day, we used to build monolithic serial processors — state machines — that had to keep track of where they were in processing in case of failure. But time and again, we’ve seen that smaller, more distributed processing can break down big, expensive problems into smaller, more cost-effective chunks. 

Starting with the explosion of MapReduce almost 20 years ago, big-data workloads were parallelized across clusters on a network, and state management was simplified with intermediate output to share, wait for, or restart processing from checkpoints. Those monolithic systems were replaced by cheaper, smarter, networked clusters and data repositories where parallel work could be executed and rendered into workable datasets. 

Flash forward to today, and we are seeing those same concepts applied and distributed to edge data-collection points. In this evolution of big data processing, we are scaling up and out to the point where observation data is so massive that it must first be prefiltered, and then preprocessed down to a manageable size and still be actionable. Only then should it be written back to the main data repositories for more resource-intensive processing and model building.

In short, data collection, cleanup, and potentially initial aggregation happens at the edge location, which reduces the amount of junk data sitting in costly data stores. This increases performance of the core data warehouse, and reduces the size and cost of network transfers and storage! 

The edge is a huge opportunity for today’s enterprises. But designing environments that can make effective use of the edge isn’t without its challenges. Stick around for part two of this series, where we look at some of the architectural challenges typically encountered while designing for the edge and how we begin to address them.