Korea’s LG Uplus aims to boost revenues from smart factory solutions
Korean telecommunications operator LG Uplus said it aims to increase sales from its smart factory solutions business by sevenfold within the next five years, Korean news agency Yonhap reported.
LG Uplus has been developing industrial solutions that use its 4G and 5G networks to automate workload and improve safety, according to the report.
The Korean carrier noted that its smart factory solutions are currently being used in 150 locations across the country by approximately 100 corporate customers.
LG Uplus said it expects the overall smart factory market in Korea to be worth up to KRW200 billion ($171.3 million) annually in five years. The telco said it aims to capture more than half of that market.
The report also highlighted that LG Uplus’ enterprise infrastructure solution sector, which includes its smart factory business, recorded sales of KRW134.2 billion in the second quarter of the year, climbing 34.3 compared to the year-ago period.
The telco’s CEO Hwang Hyeon-sik previously said that LG Uplus aimed to raise the company’s share of sales from non-telecom services to 30% of the total by 2025 from current 20%
LG Uplus’ smart factory business includes a motor diagnosis solution that uses a big data-based algorithm to predict signs of motor malfunction in factories by analyzing electrical data.
The Korean carrier also offers a smart video safety system that analyzes video and sound in real time to detect and notify safety issues, including sparks, smoke or steam, and abnormal temperatures.
Other Korean carriers are also offering solutions in the smart factory space.
Last year, SK Telecom, the country’s largest mobile operator, had released a subscription-based smart factory solution for small and medium-sized manufacturers that optimizes their equipment maintenance.
The carrier said it aims to support small and medium-sized manufacturers with affordable smart factory capabilities to boost automation and improve operational efficiency
The 5G-powered service places sensors onto manufacturing equipment, which collect and analyze data to calculate maintenance periods.
SK Telecom said that the system can help manufacturers reduce maintenance expenses by 15% and could extend the lifespan of equipment by more than 20%.
The telco also said the platform enables manufacturing firms to quickly deploy services at facilities, while a monthly subscription reduces the initial cost burden. SK Telecom is also offering customers smart factory operations training and IoT terminal installation.
South Korea rolled out the world’s first commercial 5G network on April 3, 2019, with the nation’s three carriers — SK Telecom, KT and LG Uplus — aggressively promoting the new service to consumers.
South Korea ended June with a total of 16.47 million 5G subscribers, according to the latest data from the Ministry of Science and ICT.
5G subscribers at the end of June represented 23% of the total 71.63 million mobile subscriptions in the country. The latest data marks an increase from 15.84 million in May.
The country’s largest carrier, SK Telecom, ended June with a total of 7.7 million subscribers in the 5G segment, followed by KT with 5 million and LG Uplus with 3.7 million.