With the informatization of demand response in power industry, large-scale intelligent terminals will be connected to the grid. It will exert great pressure on the core nodes of the power communication network and make high requirements on cloud. Traditional centralized cloud cannot provide support for mass terminals or ensure their service quality.A new computing mode, edge computing, which is characterized by decentralization, marginalization, real-time performance and security, can complete a considerable part of computing, management and business support tasks by using local resources and facilities. Analyzing the relationship between edge computing and cloud computing, the architectures of edge computing at home and abroad,and the characteristics of edge cloud are summarized. Under current status of demand response, the applications of edge computing in demand response are expounded, and a double-layer cloud computing system is built. The prospect for edge cloud deployment is made according to the research on its problems.