As operators roll out 5G networks, new services and applications require that compute and storage resources move further to the edge of the networks — and into smaller markets and more remote locations.

Meanwhile, many operators are announcing their own edge clouds in their facilities located closer to customers than, say, a mega data center in Silicon Valley or Ashburn, Virginia. And now even the cloud giants themselves are getting into the edge game. Case in point: Amazon Web Services’ new edge computing service called AWS Wavelengths that CEO Andy Jassy announced last month at AWS re:Invent.

So for a data center and colocation powerhouse like Equinix, is edge computing a friend or foe? Equinix CEO Charles Meyers fielded this question at the Citi 2020 Global TMT West Conference this week. The short answer: Magic-8 Ball cannot predict now.

“[Edge] is something we need to be very aware of and cognizant of and figure out how it impacts how we execute our business,” Meyers said. “At some point in the future, we are going to want to extend the reach of Platform Equinix to a broader geographic scope,” but whether that will be in Equinix’s facilities or partners’ facilities has yet to be decided, he added.

Right now, customers can get the performance they need from putting infrastructure in Equinix’s existing facilities located in 54 metros worldwide, Meyers said.

“Now, in a fully densified 5G world will a set of use cases begin to emerge that are going to demand compute and storage and other resources at a further geographically distributed point? I think the answer to that is yes,” he continued. “And exactly how we play, it’s not totally clear to me, but I think it is quite possible that that would be in partnership with companies with whom we have a certain level of shared and aligned interest.”

This may include tower companies building micro data centers for edge computing at the base of their cell towers, or operators with branch offices located close to their customers. “We have great relationships with carriers, for example, and so I think that as a neutral party, playing in that space is a likely outcome,” Meyers said. “So, it's a space that we're watching very carefully.”

Ultimately, Equinix expects new services — such as edge computing — in addition to its traditional colocation and interconnection offerings to contribute to its bottom line, Meyers said.

“We’re currently a $5-plus-billion-dollar business. Can we be $10 billion? Sure, I think there's plenty of opportunity out there to be that,” Meyers said. “There are plenty of new opportunities if you look at, you know, how people are thinking about digital transformation, how they want to consume services.”

Meyers pointed to Equinix’s Network Edge product, announced over the summer, that lets enterprises deploy virtual network functions (VNFs) from Cisco, Juniper, and Palo Alto Networks within Equinix data centers, as an example of one of these new opportunities. “Being able to animate our value proposition through means above and beyond just traditional colo are things that we think are new opportunities, which is exactly why we're investing in the platform and product side of the business.”