September 11, 2025 The Game Between 4G and 5G modems

The Game Between 4G and 5G modems: A Technological and Economic Choice in Industrial Scenarios
In the wave of the Industrial Internet, 4d modems, serving as a bridge connecting the physical and digital worlds, are undergoing a paradigm shift from traditional data relays to intelligent nodes. While 5G modems are redefining industry standards with millisecond-level latency and gigabit bandwidth, 4G modems continue to dominate over 70% of the global industrial market share, leveraging their mature ecosystem and cost advantages. This technological iteration is not a simple replacement game but a dynamic balance between the demands of industrial scenarios and the evolution of communication technologies.

1. Generational Leap in Technical Performance: The Disruptive Breakthrough of 5G modems

1.1 Qualitative Transformation in Communication Capabilities

The core advantages of 5G modems lie in their three key characteristics: peak data rates of 10 Gbps, end-to-end latency of 1 ms, and the capacity to connect millions of devices. Take the application of Xingchuang Yilian's SR830 in wind farms as an example. This device enables real-time collection and edge analysis of wind turbine vibration data via a 5G network, compressing fault diagnosis time from the 30 seconds required by traditional modems to just 0.8 seconds. This performance leap makes scenarios such as remote operation of industrial robots and real-time collaborative manufacturing a reality.

1.2 Revolutionary Innovation in Architectural Design

5G modems generally adopt the OpenCPU architecture, deeply integrating application processors with communication modules. A 5G modem equipped on an electric power inspection robot utilizes an embedded AI acceleration unit for local preprocessing of image data, reducing transmitted data volume by 92% while supporting dual-mode positioning (BeiDou/GPS) with centimeter-level accuracy. This software-hardware synergy equips the device with stronger adaptive capabilities in complex industrial environments.

1.3 Three-Dimensional Construction of Security Systems

Addressing the unique needs of industrial control systems, 5G modems introduce hardware encryption modules based on SE security chips. A 5G modem cluster in an automobile factory employs the national cryptographic SM9 algorithm for end-to-end encrypted transmission of PLC control instructions, shortening the key rotation period to 15 minutes and effectively defending against APT attacks. This security mechanism has enabled widespread adoption of 5G modems in critical infrastructure sectors such as energy and transportation.

2. Resilient Survival of 4G Modems: The Art of Adaptation in Industrial Scenarios

2.1 Precise Calculation of Cost-Effectiveness

In a smart agriculture project, the 4G modem USR-G771 demonstrated remarkable economic efficiency. Supporting LTE Cat-1 networks, the annual data cost per device is only 120 yuan, 83% lower than that of 5G solutions. Its built-in Modbus RTU-to-MQTT protocol conversion engine allows agricultural sensors produced before 2000 to connect to the Alibaba Cloud platform without modification, reducing the project transformation period from 18 months to 6 months.

2.2 Industrial-Grade Design for Environmental Adaptability

The USR-G771 adheres to military-grade protection standards. In an oil and gas pipeline monitoring project in the Taklimakan Desert, the device withstood extreme temperature differentials ranging from -40°C to +85°C, with an ESD protection rating of 8 kV contact discharge/15 kV air discharge. This robust design enables the 4G modem to maintain a 99.97% online rate in harsh industrial environments such as metallurgy and mining.

2.3 Flexible Expansion through Ecosystem Compatibility

A smart grid project revealed the ecosystem advantages of 4G modems. The USR-G771 supports both the power industry's 101/104 protocols and the IEC 61850 standard, achieving seamless interconnection with equipment from mainstream manufacturers such as Nari and Sifang through software-defined interface technology. Its FOTA remote upgrade capability shortens the device function iteration cycle from 3 months to 2 weeks, offering irreplaceable flexibility in scenarios with fragmented industrial protocols.

G771-E
4G Cat.1, 2GRS485,RS232MQTT, SSL/TLS




3. Scenario-Based Model for Investment Decisions: A Technological and Economic Perspective

3.1 Critical Point Analysis of Real-Time Demands

In collaborative manufacturing scenarios involving industrial robots, when the transmission latency of control instructions exceeds 10 ms, the trajectory error of robotic arms increases exponentially. Such scenarios necessitate the use of 5G modems, which reduce latency by 80% compared to 4G solutions. However, in non-real-time scenarios such as smart meter monitoring, the 200 ms latency of 4G modems fully meets requirements, with a lifecycle cost per device 65% lower than that of 5G solutions.

3.2 Economic Inflection Point of Data Density

Practical data from an automobile welding workshop shows that when the daily data generation per device exceeds 500 MB, the cost advantage of 5G modems in terms of data traffic becomes apparent. Their supported data compression algorithms improve transmission efficiency by fourfold, resulting in a lower Total Cost of Ownership (TCO) than 4G solutions over a 36-month period. However, for scenarios with daily data volumes below 100 MB, 4G modems remain the more economical choice.

3.3 Redundancy Design Strategy for Reliability

In safety-critical systems of nuclear power plants, the dual-link redundancy design of 5G modems enhances system availability to 99.999%. However, practical experience in a chemical park demonstrates that a hybrid networking solution combining 4G modems and LoRaWAN maintains 99.99% availability while reducing network construction costs by 72%. This heterogeneous network architecture is emerging as a new paradigm for high-reliability scenarios.


4. Technological Roadmap for Future Evolution: Integration and Transcendence

4.1 Transitional Solution with 5G RedCap

Gartner predicts that by 2026, modems supporting 5G RedCap will account for 35% of the market share. This lightweight 5G technology reduces module costs by 40% by cutting down on MIMO layers and bandwidth while maintaining low-latency characteristics. Test data from a semiconductor manufacturer shows that in intelligent warehouse AGV navigation scenarios, RedCap modems improve positioning accuracy by 30% compared to 4G solutions, with only a 15% increase in power consumption.

4.2 Deep Integration with AI Edge Computing

New-generation modems are evolving toward integrated "communication + computing" capabilities. An intelligent modem used in a photovoltaic power station incorporates a TensorFlow Lite engine for real-time spectral analysis of inverter current data, achieving a 92% accuracy rate in fault prediction. This edge intelligence capability transforms modems from data conduits into value nodes. It is estimated that by 2027, modems with AI inference capabilities will account for over 50% of the market share.

4.3 Foundational Support for Digital Twins

In a smart city project, 200,000 4G/5G modem nodes constructed a digital twin that perfectly mirrors the physical city. By collecting 12-dimensional data through modems, the system can predict water supply pipeline leaks 48 hours in advance, reducing emergency repair response times by 90%. This capability is reshaping the technological positioning of modems—from device connectors to urban neurons.


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Non-Zero-Sum Game of Technological Iteration

In the evolutionary path of the Industrial Internet, 4G and 5G modems do not simply replace each other but form a complementary technological ecosystem. For latency-sensitive scenarios such as electric power inspection and remote surgery, 5G modems are the only choice; whereas in cost-sensitive areas like environmental monitoring and smart agriculture, 4G modems remain irreplaceable. As technologies such as 5G RedCap and AI edge computing mature, future modems will evolve into intelligent terminals with communication, computing, and sensing capabilities, creating value far beyond mere data transmission. In this technological transformation, the true winners will be those who can precisely match scenario demands and achieve optimal technological and economic solutions.

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