5G is not enough for MSPs to enter smart manufacturing

According to ABI Research, the market-foresight advisory firm, mobile service providers (MSPs) are not leading the smart manufacturing movement.

The MSP manufacturing market is only anticipated to be worth US$2.6bn by 2022, the company claims.

“The manufacturing market has grown without MSPs so far, and if they don’t play their cards right, it will continue to do so,” said Pablo Tomasi Senior Analyst at ABI Research.

“UnTelco – the need for MSPs to think and act beyond their traditional boundaries – in manufacturing is about entering a well-entrenched sector developing new market strategies and partnerships.”

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“MSPs have a chance to enter the smart manufacturing market building from the ground up, gaining trust as partners, and proving that the value of their offering is beyond what is currently delivered in the market.”

“5G is a promise, but alone is not enough and with doubts on what business model will support it, 5G’s ability to integrate with legacy technologies, and the actual results delivered in harsh factory environments, there is much uncertainty about whether 5G will be a game-changer for MSPs in manufacturing.”

The firm advises that MSPs focus on what the sector wants, as well as making strategic partnerships to be competitive in the market, such as the recent pairing of Orange and Siemens.

With 5g technology not anticipated to hit factories for the coming few years, MSP’s should align with industrial vendors in order to be successful.