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Digital Technology Trends Driving the Auto Industry

Learn how Industry 4.0, 5G and real-time data, digital twins, additive manufacturing and more are helping optimize automotive production.

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Orange Industrial Robot Arms Assemble Skateboard style EV Battery Pack on Automated Production Line. Electric Car Smart Factory Equipped with Robotic Arms. Battery Module Installation Process Top View

Industry 4.0 is about applying smart practices and technology in manufacturing. It represents a significant shift in outlook and operations, particularly for the automotive industry. It builds on intelligent connected cloud technologies that allow diverse components and systems to work together. This creates a manufacturing framework that delivers consistently refined and scalable process improvements.

Smart automotive plants use robotics, industrial IoT sensors and machines, together with analytics, to gain a competitive advantage. However, there is an increasing requirement for low-latency and compute-intense decisions to be made near the points of operation. For this reason, there is a growing use of private and hybrid 4G/5G networks to support edge computing and AI on the plant floor.

Why 5G?

The use of private wireless networks using 5G technology supports the concept of small-footprint, low-latency robots and cobots that can be easily reconfigured without any expensive wiring to work safely near workers in assembly cells.

Low-latency messages, crucial to real-time decision making, allow a robot to communicate with a centralized operator framework about the required operations, providing manufacturers with greater visibility over an entire process.

5G networks also offer strong cybersecurity measures, protecting sensitive manufacturing data. 5G’s reliable and fast connectivity also is essential for integrating AI and edge computing into manufacturing operations.

Key Takeaways

  • Intelligent cloud-connected technologies, robotics, and industrial IoT are enhancing efficiency and scalability.
  • Private and hybrid 4G/5G networks support edge computing and AI, improving automation, cybersecurity, and flexible factory setups with reconfigurable robots and cobots.
  • Real-time data collection feeds digital twin technology, allowing manufacturers to simulate process changes, improve tracking and enhance supply chain visibility.
  • Sustainability concerns, shipping costs, and evolving EV production are driving a shift toward localized supply chains, additive manufacturing and build-to-order production models.

Digital Twins Take Hold

 

As the growth of real-time data collection progresses throughout OEMs' manufacturing plants and along the supply chain, this will feed and create a rich continuum of data from the cloud to the machine edge. This requires a data tiering strategy that classifies, actions, and stores data and will be the feedstock for the emerging use of digital twin software.

 

A digital twin is a virtual representation of a physical object. This can be a machine at the lowest level, but it can scale to represent a real-time digital counterpart of an entire production facility, and the products produced. This tool has enormous potential for simulating new configurations and predicting the impact of changes in processes in the plant.

 

Real-time data collection is important for the auto industry because it allows for better tracking and tracing across the connected supply chain. This ensures that components, software variations, and updates are monitored throughout the lifetime of a vehicle and its digital twin, enhancing efficiency and reducing the risk of errors.

 

Shifting Gears

The Wards Intelligence Survey Q1 2021, which surveyed 262 automotive professionals in the North American automotive industry, provides valuable insights into the industry's approach to smart manufacturing and electric vehicle (EV) production. The survey found that 72% of organizations have some plans for smart manufacturing, and a further 45% anticipate investing more in this area.

However, the status quo of some of these processes may change if EV demand and production processes radically shift. Concerns related to sustainability and carbon footprint are already making OEMs pay attention to the sourcing and packaging of battery raw materials and components. This, combined with shipping costs, is forcing a review of the benefits of smaller local manufacturing and supply ecosystems.

The need to differentiate offerings against multiple players and adapt to local market requirements could also drive the use of additive manufacturing, or 3D printing, allowing increased variation later in production on a more build-to-order basis but with local delivery. 

 

 

The Journal From Rockwell Automation and Our PartnerNetwork™ is published by Endeavor Business Media.

Theresa Houck, Executive Editor, The Journal From Rockwell Automation and Our PartnerNetwork magazine
Podcast
8 Key Industrial Automation Trends in 2025

** Named Best Podcast 3 Consecutive Years! 2022-2024 Apex Award of Publication Excellence.

Digitization is accelerating at an unprecedented pace, and advanced technologies are helping manufacturers create a connected, smart factory, increase efficiency and mitigate the skilled worker shortage. In this episode of Automation Chat, Executive Editor Theresa Houck discusses 8 important industrial automation trends affecting you.

Learn about smart technologies and strategies, including artificial intelligence, edge & cloud computing, digital twins, virtual reality, augmented reality, robots and cobots, connected worker technology, wireless private 5G connectivity and more.

Listen on your favorite podcast app or on the web.

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Topics: The Journal Automotive & Tire

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