But the rest of the article talks about the location of data and servers and it's relationship with the word "edge". Am I missing something? Why is the anecdote unrelated to the article?
There is, however, a (growing?) number of VCs with a purely financial background that approach investment decisions by establishing a framework of future trends/ developments (Crypto, Blockchain, Edge, Sharing Economy, E-Mobility and so on) and then vet potential investments based to how well companies align with these trends as well as basic suitability criteria (founding team, execution, traction etc.)
This isn't a bad thing per se as it might add a less biased view to investment decisions than the one made by the tech-founder-funds-tech-founder echo chamber, but it can lead to the level of detachment with the fundamentals of what one's talking about displayed in this article.
I believe the author intentionally wanted us to believe it was "the edge" based on your definition, but then wanted to make a point that "the edge" is now "the physical edge".
Another explanation would also be that a couple years ago the stereotypical technically-limited VC would ask if this app would be in "the cloud". The author used the same stereotype and adapted it to "the edge".
Personally, I immediately knew it's about cloud!edge, even when I saw the title. If you pay attention to current trending buzzwords (as I unfortunately do, skimming the things some people I work with post on company Slack), you'll learn that "edge computing" is the most recent buzzword in the cloud space.