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10 ways 5G is transforming manufacturing

5G's bandwidth, latency and capacity advantages are essential to a vision of manufacturing that exploits AI, IoT and data analytics for greater flexibility and efficiency.

Modern manufacturing is undergoing significant changes, and many manufacturers believe that fifth-generation, or 5G, cellular connectivity will be critically important to the future success of the industry.

Indeed, adoption of 5G technology is now considered the key to the fourth industrial revolution (Industry 4.0), which focuses on improving efficiency and flexibility in manufacturing processes. Achieving these goals requires automation capabilities and seamless exchange of data in an environment where users and devices are always connected.

5G provides that environment by enabling high-bandwidth, low-latency and high-capacity wireless connectivity. Not only is 5G connectivity faster, but it is also more secure and stable than previous generations of cellular technology. For manufacturers, the move to 5G technology leads to real-time data analytics that drive increased efficiency, optimized processes, improved flexibility, more safety and reduced costs.

Coupled with advanced AI, 5G implementations are enabling manufacturers to cash in on more flexible, efficient and automated processes. They are also taking advantage of AI in applications for real-time quality-control analytics, predictive maintenance, machine-to-machine robotics communication and supply chain optimization.

Here are 10 of the most important ways 5G is transforming the manufacturing sector.

1. Industry 4.0

5G serves as the connectivity foundation for Industry 4.0, according to Michael Weller, global practice lead for manufacturing, energy and utilities at telecommunications provider Verizon Business.

Industry 4.0 requires a fully digital, data-driven and intelligent manufacturing environment. If Industry 4.0 is the brain, then 5G is the high-speed nervous system, said Vamshi Rachakonda, executive vice president at technology services provider Capgemini, in an email. It is the enabling technology that connects the physical world of the factory with the digital world of software, AI and data analytics.

You cannot have a true Industry 4.0 environment with its emphasis on real-time control, predictive analytics and automation without the powerful and reliable connectivity that 5G provides, Rachakonda said.

"We see 5G as having a symbiotic relationship with AI in manufacturing," Weller wrote in response to emailed questions. "The technology's low-latency secure connectivity drives Industry 4.0 by enabling smart factories to activate intelligent automation and interconnected manufacturing systems."

2. Improved data transfer and decision-making

One significant benefit manufacturers are seeing after adopting 5G is the ability to unlock and act on real-time data from the factory floor, Rachakonda said. No wonder approximately 75% of executives ranked 5G technology as critical to reindustrialization investments for their organization.

The reasons are simple: 5G provides a reliable, high-speed wireless network for connecting thousands of machines, sensors and systems. This capability enables companies to streamline their operations, enhance workforce productivity and reduce costs. He offered the example of mining, where companies are using private 5G networks to run automated vehicles, which boosts efficiency and improves worker safety.

5G also facilitates real-time information sharing across factory floors, meeting younger digital-first employees where they are to help them understand manufacturing processes and learn important skills.

Many manufacturers are currently operating in "capture and report" mode rather than "capture and react," Weller said. They're collecting IoT data but not yet turning it into actionable insights in real time. 5G technology addresses this gap by providing the connectivity needed to transmit large data sets from the factory floor, enabling real-time AI and edge computing integration across business operations.

3. Flexibility and adaptability

Deploying 5G technology and having more than one networking option enable manufacturers to create flexible, adaptable production environments that can evolve with changing demands.

"It enables the seamless integration of intelligent systems that define modern smart factories," Weller said. The technology also significantly reduces environmental impact by eliminating copper cabling, which typically contains 13 tons of copper per million linear feet, and by requiring fewer control systems, thereby reducing power consumption. Using 5G to simplify network architecture enables one cellular antenna to replace up to 10 Wi-Fi access points, he said.

4. Increased support and longevity for devices and batteries

The more that organizations use technology such as 5G and AI, the more that important things, such as battery life of connected devices, are affected, said Jeff Kagan, a wireless industry analyst.

"Power has become one of the most vital commodities. Battery power does not last forever. That's why improvements in batteries to keep devices online and working are key," Kagan said in an email interview.

The increasing need for power for new technologies like AI is likely to outstrip supply, Kagan said, requiring new ways of thinking and power policies that consider the needs of tomorrow. People do not want to see their electricity bills go up to support AI and other power-hungry technologies, he said.

5G connectivity can also provide the following benefits:

  • Reliability. Private 5G networks provide a stable, consistent connection that isn't susceptible to interference from other devices, which is critical for preventing business disruption.
  • Support. The reliability of 5G enables far more effective remote support. A technician can connect from anywhere in the world and get a real-time view of a machine's operations to diagnose a problem, guide an on-site technician and make adjustments.
  • Battery life. 5G's power-efficient design extends sensor battery life from months to several years and enables smaller batteries that reduce waste and lower costs. This is critical for managing the massive number of new devices that IoT sensor technology requires.

"With its low latency and higher capacity, 5G will enable ultra-reliable connections for mission-critical tasks, while also introducing new power demands that can affect battery performance, particularly on older devices," Weller said. "The overall impact will vary significantly depending on the device type, network infrastructure and application."

5. Real-time equipment monitoring

5G's high-speed connectivity enables real-time supply chain visibility and data-driven decision-making while boosting overall equipment effectiveness, machine uptime and secure protection of critical systems. 5G also enables flexible network integration with other connected devices, ensuring uninterrupted communication across supply chain components, Weller said.

Manufacturing environments are becoming increasingly visual and data-intensive, which calls for strong wireless networks to support real-time computer vision, digital collaboration tools and immersive worker experiences. Ultimately, 5G enables manufacturers to quickly respond to changes while maintaining optimal performance.

6. AR/VR-based remote assistance

At the data layer, 5G supports massive IoT integration by streaming high volumes of sensor data without lag, enabling instant AI insights and harnessing edge computing for faster decision-making, according to Jay Lawrence, CEO of Equus Compute Solutions, a provider of digital infrastructure services, including 5G connectivity. Remote operations become more practical because managers can monitor equipment virtually, conduct digital audits and troubleshoot issues without costly delays.

5G technology also creates opportunities for remote sites that use satellite connectivity where fiber infrastructure isn't feasible. These locations are often the most dangerous and technologically behind, so they benefit significantly from enhanced connectivity, Weller said.

5G's ultra-reliable, low-latency connectivity creates the essential backbone for interconnected workers, mobile robotics, sensors, scanners, cameras and augmented reality/virtual reality (AR/VR) systems that drive the flexible, efficient operations essential for modern manufacturing.

"For employees, immersive AR and VR training supports faster skill development, connected tools simplify complex tasks, and seamless data-sharing accelerates collaboration," Lawrence said in emailed responses. "Quality control processes are strengthened by AI-powered vision systems that detect defects instantly, continuous monitoring that enforces compliance and real-time alerts that enable immediate corrective action."

7. Reduced security vulnerabilities

5G networks provide the connectivity needed to deploy security options that create protective layers around legacy manufacturing systems, addressing vulnerabilities in decades-old operating systems while maximizing machine uptime and productivity.

8. Smart manufacturing practices

5G enables wireless connectivity for mobile automation, including autonomous mobile robots, automated guided vehicles and material-handling equipment, such as forklifts and pallet handlers.

While manufacturers are currently implementing low-risk AI projects in non-core areas due to security and computing concerns, 5G is providing the reliable infrastructure needed to support mobility and real-time coordination of technology in discrete manufacturing applications, such as pick-and-pack operations, pre-inspection and basic assembly, Weller said.

Meanwhile, smart factories benefit from the convergence of robotics, AI and IoT into unified systems that enable autonomous operations and scalable, fully automated ecosystems, according to Lawrence.

9. Edge computing benefits

5G's true potential is often realized when it is combined with edge computing -- a model where data is processed locally, right on the factory floor, instead of being sent to a distant cloud, Rachakonda explained. The combination of 5G's speed and edge computing's local processing power enables decisions to be made in milliseconds, marking the next major step in creating truly intelligent, autonomous industrial environments.

10. Reduced overhead costs

5G delivers significant cost savings through reduced wired network complexity, lower infrastructure requirements and decreased power and cooling needs.

The benefits of 5G extend directly to the bottom line, with predictive maintenance reducing downtime, lower energy consumption driving efficiency, and fewer infrastructure requirements cutting setup costs, Lawrence said.

"Machine productivity is also elevated, as real-time optimization and AI-driven performance maximize throughput while automated updates minimize interruptions," he said.

How 5G and AI will affect the future of manufacturing

In addition to the benefits that 5G is already bringing to manufacturing, when combined with the capabilities of AI, 5G connectivity will boost data analysis and automation, enabling manufacturers to become even more nimble, efficient and scalable. Manufacturers will increasingly benefit from 5G's low latencies, high-speed data capabilities and unmatched bandwidth.

Further, 5G will enable communication among machines, robots and devices on the factory floor to share and act on data in real time. That will allow for greater efficiencies, increased production and decreased downtimes.

"The future of manufacturing is about using data to make better, faster decisions, and 5G provides the robust, potentially lower-cost, low-latency connectivity needed to make that a reality," Rachakonda said. "It moves operations beyond the constraints of wired connections and enables the widespread use of technologies like AI, IoT and advanced automation that are the hallmarks of a modern, competitive manufacturing operation."

Manufacturers will need such advanced connectivity to support their increased demand for next-generation technologies, Lawrence said. 5G offers unparalleled scalability with its ability to connect thousands of IoT sensors, machines and systems to a single facility, and its reliability ensures mission-critical operations run smoothly, thereby avoiding costly delays and disruptions.

"More than just an upgrade, 5G serves as the enabling fabric of the smart manufacturing revolution," he said.

David Weldon is a freelance writer in the Boston area who covers topics related to IT, data management, infosec, healthcare tech and workforce management.

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