Private 5G Revolutionizes Manufacturing with Significant Cost Savings and Enhanced Safety Measures, New Study Finds

Private 5G networks can significantly improve operational efficiency and productivity in manufacturing processes — and enhance worker safety and cybersecurity, too, according to new study by ABI Research.

The ABI white paper, Private 5G Drivers & Use Cases in Manufacturing, describes how and why manufacturers are re-evaluating their commitment to traditional wired and Wi-fi connectivity, calling Private 5G “a compelling alternative.”

The new study explores how “Industry 4.0” is enabling industries to adopt more digital and automated approaches to production and quality control, and explains why reliable network connectivity is so important. “Seamless connectivity,” the paper says, “is key to success (and)…essential for adopting technologies such as asset tracking and the use of Automated Guided Vehicles (AGVs), or robotics, digital twins, connected work, and the connected factory.”

Sharing data from a recent survey of more than 100 manufacturers, the Verizon Business-sponsored paper reveals that four specific desired business outcomes are the main drivers for investment in both Information Technology (IT) and Operational Technology (OT):

• Improved Security (IT, 54%; OT, 47%)
• Increasing Capacity (OT, 42%)
• Increasing Flexibility (IT, 46%)
• Quality Goals (IT, 38%; OT, 39%)

Private 5G networks, the paper explains, can support the attainment of these goals.

Efficiency, productivity and safety get a boost with Private 5G

According to ABI Research’s qualitative research discussions, manufacturers have documented reductions in operational costs, including energy savings of up to 20% and maintenance cost reductions of 25% to 30%, driven by higher efficiency of operations, and predictive and preventative maintenance.

With better connectivity, manufacturers can implement more comprehensive safety measures, including real-time monitoring of equipment and environments. This has led to a reported decrease in workplace accidents, in some cases by more than 40%.

Getting started

“5G technology can play a crucial role for manufacturers on their path to digital transformation,” the paper says, while offering advice on how manufacturers gain confidence in deploying a private cellular network.

One key piece of advice: “With ongoing advancements in cel­lular technology, manufacturers should partner with network technology companies to ensure their network remains upgradable and future-proof, facilitating the transition from wired to wireless connectivity in factory settings.”

To learn more about how Private 5G networks from Verizon are transforming manufacturing, click here.