Under the background of power Internet of Things, massive heterogeneous data are in urgent need of processing and the demand for computing and communication resources is increasing dramatically. It’s an important application scenario for multi-edge computing terminals to cooperate with each other to improve the capacity of regional autonomy. For improving the information flow distribution and resource utilization of the system, this paper proposes a method of edge computing terminal deployment and service allocation. Firstly, the services processing architecture and the method of dividing data source node cluster are proposed. Secondly, a bi-layer model considering terminal deployment and service allocation is established. The outer model solves the problem of service allocation in edge computing terminal, and the inner model solves the problem of edge computing terminal deployment. Thirdly, the coupling relationship between the two-level optimization models is analyzed, and a bi-level optimization algorithm based on CPLEX is proposed to solve mentioned model. Finally, a numerical example is given to verify the effectiveness of the proposed method.