A study by reichelt elektronik shows: Reliable connection standards are the basis, but faster protocols like 5G are gaining popularity
Sande, Germany, July 2023 – Automated production lines, driverless transport systems and human-machine or machine-to-machine communication all rely on smooth data transmission – and ideally work in real time. In terms of connectivity standards, are European companies equipped to meet these challenges? And is there still potential for improvement? And if there is, where? reichelt elektronik recently got to the bottom of things by conducting a survey, asking 1.250 companies from Germany, the Netherlands, France, and Italy on about their stance and status on all things data transmission technology.
Reliability, security and 5G – what companies want
Various connectivity standards optimize the integration of machines, sensors, actuators and controllers, which contributes to increased efficiency, optimization of industrial processes and faster fault diagnosis. Thus, connectivity plays a crucial role for industrial companies. With this background, it is hardly surprising that European companies consider high reliability (47%) and high security (47%) to be particularly relevant. By contrast, special capabilities such as the transmission of particularly large data packets (19%) or especially wide network coverage (15%) are less in demand.
That is why companies rely primarily on widespread wireless networks such as Wi-Fi (68%) and Bluetooth (47%). But even the still relatively new mobile communications standard 5G is already in use at half (50%) of all companies surveyed and has thus overtaken its predecessor 4G (43%).
To cover all technical specifications, companies are turning to hardware to help them make the most of their connectivity standards. Hardware characteristics that are particularly important to companies in this regard relate to dust resistance (45%), water resistance (43%), as well as heat resistance (35%).
Wi-Fi routers are used most frequently by companies (49%), while dedicated servers are in second place with 44 percent and the LAN cable comes in third place with 36 percent of respondents reporting use. For greater security, 38 percent of participants report their company using firewalls to prevent unauthorized access to their own network.
More than half stick with current hardware – despite need for better functionality
In addition to cyberattacks, there are other challenges companies face with the various interfaces used to connect devices and components: 87 percent of respondents say they have problems with data transfer. For example, when data transfer is still too slow (26%), or the system is generally overwhelmed with the amount of data (23%). Problems also occur when the connection between the various devices cannot be maintained (19%) or the connection keeps breaking down (19%).
Nevertheless, 47 percent do not plan to make any new investments regarding hardware within the next two years. The main reason for this is that solutions often come with requirements for implementation, such as laying new cables, which would be too costly (63%). If new technology can be purchased, companies are primarily looking for better compatibility between different devices (39%) and faster data transmission (39%).
Trend topics 5G, cybersecurity and interoperability
When it comes to investments into technology, 43 percent of respondents see the future in the 5G mobile communications standard and would invest there. They hope this will improve the performance of data transmission – a trend that 40 percent expect to gain traction within the next five years. According to the survey, in addition to better data transmission, security will become an even greater focus (45%). Which is why 33 percent would make further investments into cybersecurity measures. But in terms of hardware, 31 percent see better interoperability between individual components as a clear trend for the future.
“The topic of connectivity cannot be underestimated,” comments Thomas Kruse, product manager for network technology at reichelt elektronik. “Companies today are positioned well and appreciate reliable data transmission. But this is just the beginning. In the next few years, we will see major changes in this area, led by the widespread use of 5G. These data transmission protocols open up many new opportunities for companies, but at the same time also challenge them to rethink their own infrastructure, including hardware.”
Images: Adobe Stock, reichelt elektronik
