The Economic Impact of Cloud Technologies on the Industry 4.0 Development

Author:

Reznikov R.ORCID,

Abstract

This article explores the profound economic impact of cloud technologies on Industry 4.0, focusing on how these technologies are revolutionizing the industrial sector. It delves into the transformation of IT investments from capital expenditure (CAPEX) to operational expenditure (OPEX) due to cloud computing. This shift is making advanced digital technologies more accessible and affordable, particularly for small and medium-sized enterprises (SMEs). By reducing the need for significant upfront investments and providing scalable, pay-as-you-go solutions, cloud computing significantly enhances the return on investment (ROI) for Industry 4.0 initiatives. A comparative analysis of major cloud service providers—Amazon Web Services (AWS), Google Cloud Platform (GCP), and Microsoft Azure—reveals the diverse range of services and economic benefits they offer for Industry 4.0 applications. AWS leads with comprehensive IoT and machine learning services, GCP excels in data analytics and AI capabilities, and Microsoft Azure provides robust enterprise integrations and hybrid cloud solutions. The article also addresses critical challenges such as security, compliance, and the risks associated with cloud provider lock-in. It offers strategic insights into cost management practices that can maximize the economic benefits of cloud adoption, such as leveraging multi-cloud strategies and utilizing auto-scaling and reserved instances. Furthermore, the article includes case studies from leading industrial companies like Siemens, General Electric, BMW, and ABB. These examples illustrate how cloud-based Industry 4.0 solutions enhance operational efficiency, reduce costs, and drive innovation. For instance, Siemens leverages AWS for scalable IoT solutions, GE utilizes Azure for data-driven industrial insights, and BMW employs GCP for advanced data analytics to improve manufacturing processes. In conclusion, cloud technologies are essential enablers of Industry 4.0, offering significant economic advantages and fostering innovation and efficiency. By overcoming historical barriers to entry, especially for SMEs, and providing flexible, scalable solutions, cloud computing is transforming the industrial landscape, driving growth, and facilitating the widespread adoption of advanced manufacturing technologies.

Publisher

Luhansk Taras Shevchenko National University

Reference16 articles.

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