5G Manufacturing smart factories target supply chain uncertainties

By Staff

While 4G technology was primarily for smartphones, a vast range of devices can be accessed by 5G networks. As the opportunity for more, and different types of, machine-to-machine (M2M) connected devices connect to a 5G network, a rise in the types of services related to (smart) communications, and smart manufacturing will also surface. Welcome to the smart factory.

Under the umbrella of Internet of Things (IoT) we see smart appliances and smart homes, smart cars, smart buildings, smart factories, and more. From a revenue and profit-making perspective, smart factories are destined to leverage revenues from 5G networks. Immediately.

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As product development cycles and time between iterations in the marketplace becomes shorter for manufacturers, and the need for supply chains to become more responsive to consumer and end-user demands (while such demands become more diverse, and detailed), these changes are impacting how manufacturers respond to changes in the market.

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OEM manufacturers, and their contract electronics manufacturing services partners, are both being pressed further to find and implement innovative ways to become more competitive. Every manufacturing CEO should be considering solutions to manufacturing and supply chain threats with implications to your business treasury and your cost basis.

5G Use cases, spectrum, technologies and architecture extend beyond mobile

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From a manufacturer’s perspective, production efficiency is no longer a sustainable differentiator. 5G will allow manufacturing factories greater options when addressing the complexities of manufacturing uncertainties.

[Hourly] Manufacturing wages: Asia nations v developed economies
[Annual] Manufacturing worker cost: Asia nations v China

5G networks are important for manufacturers to integrate smart factories and telecommunications firms in the cloud and 5G and M2M integrators are poised to generate lots of revenue from inevitable changes on the smart manufacturing factory horizon.

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To put this in perspective, 5G networks are able to accommodate 10 times more connected devices than any 4G network, and with 1/10 the latency. The difference is the volume of data and data speed transfer v 4G will be enormous.

5G Commercial launch readiness in Asia

Given ASEAN (and greater Asia’s) continued attractiveness for manufacturing destinations, as of Q119, below is status across various Asia locations for 5G readiness.

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