5G will dramatically gain importance in providing wireless connectivity to industrial environments, especially in the context of Industry 4.0 and the automation of production processes and monitoring of machine conditions.
According to ABI Research, a global tech market advisory firm, by 2026, there will be 5.3 million 5G connections on the factory floor which will generate a revenue of more than $184 million (with a CAGR of 623% between 2021 and 2026).
Leo Gegs, research analyst at ABI Research, said: “As a technology, 5G will be a perfect fit to provide wireless connectivity on the factory floor, since it enables, for example, establishing a massive wireless sensor network or implementing Virtual Reality (VR) and Augmented Reality (AR) applications for predictive maintenance and product monitoring. Therefore, 5G offers immense operational benefits and productivity enhancements to the implementing manufacturer. Furthermore, the technology opens up new production opportunities by enabling artificial intelligence applications to be integrated into manufacturing processes.
“It is, therefore, highly important for network operators and infrastructure vendors to develop new business strategies taking into manufacturers’ requirements. Centrally, this should include moving away from selling connectivity as such and develop attractive pricing models for additional network capabilities.”
