According to a report by KPMG, a renowned accounting firm, the need for companies to digitally transform their current business models is all the more pressing as the effect of the pandemic unfolds, where 5G technology and edge computing are likely to play an important role in the recovery of global economy. Boosted by the rapid development in 5G and edge computing, the manufacturing industry is expected to grow by 51% in 2019-2023, representing an increase of market opportunities valued at US$ 206 billion within the manufacturing ecosystem.
The 5G commercialization in China is accelerating at a progressively faster pace, as state policies favors the execution of development strategy for IIoT innovation and propels the joint development of industrialization and Informatization. Ministry of Industry and Information Technology (MIIT) had released the “Action Plan for Development of Industrial Internet Network Infrastructure (2021-2023)”. Liu Liehong, Vice Minister of MIIT, stated earlier that over 718,000 5G base stations have been built in China, accounting for about 70% of the world's total. In addition, 5G networks in standalone mode have covered all cities in the country, with over 200 million terminal connections established, and the average household usage of 5G mobile traffic has surpassed 4G usage by 50%. The Chinese telecommunication industry has invested over 260 billion in the 5G telecom network infrastructure and has since rolled out the 5G terminal pilot program in over 30 provinces across the country, with its implementation covering over 10 sectors, including energy, medical care, transportation, education, and cultural tourism. Meanwhile, the 5G telecommunication network in Hong Kong will be established by April 2020, and the local government is actively accelerating 5G commercialization in support of state policies.
PRIMACH has been responding to the PRC government's call to develop the IIoT platform with considerable human and material resources. In 2019, The“LEAP" Control System developed by PRIMACH became a key project for developing IIoT in Hebei Province. In 2020, PRIMACH applied 5G technology and developed the "5G+ IIoT" asphalt mixing plant. The first smart asphalt mixing plant developed by PRIMACH made use of 5G technology to enable real-time remote production control and simultaneous machinery status update for plant controllers, allowing efficient and effective macro management even when such workers are located thousands of kilometers away from the actual production unit.