Over the past few years, rapid innovations in internet technology-particularly advancements in cloud computing, edge computing, and IoT-have revolutionized traditional industrial automation systems. Power distribution automation systems have charted the future course for electrical panel manufacturers.
What is a panel manufacturer? In the electrical field, "complete equipment manufacturers" is the common term for factories producing complete sets of switchgear equipment, also known as panel manufacturers or panel factories.
In China, the business model of panel cabinet manufacturers is an extremely simple cost-driven approach. This is especially true in regions with high concentrations of complete equipment manufacturers, where the vast majority are small and medium-sized enterprises. Most domestic complete equipment manufacturers procure various components, assemble them into cabinets with "virtually no added value," and then resort to "unscrupulous means" to sell their finished products to diverse end-users.
What about the current state of these plants? Low-to-medium voltage switchgear manufacturers require minimal capital and technical expertise, with low industry barriers to entry. This leads to inconsistent product quality, intense competition, and steadily declining average profit margins. Since most remain small-scale operations stuck in basic assembly processes, their technical sophistication is limited. They aspire to product development but struggle with talent and funding constraints, hindering progress. Consequently, they lack significant differentiation from competitors, further limiting profit margins.
With the optimization of power systems and the rapid advancement of smart grids, switchgear equipment is trending toward systematization, integration, and intelligence. The old practices of simple assembly and imitative manufacturing no longer meet technological demands. Manufacturers now face critical technological transformation and upgrading, urgently requiring enhanced capabilities in overall system solution design, functional optimization, and system architecture.
So where does the future path lie for complete equipment manufacturers? Power distribution automation systems point the way forward for electrical panel manufacturers. With advances in information technologies like the internet, cloud computing, big data, and the Internet of Things, various industries are actively integrating with modern information technologies. People's production and lifestyles are undergoing tremendous changes, evolving from digitalization and cloud-based operations toward intelligence and service-oriented development.
Concurrently, the central government strongly supports the integration of modern information technology across industries. Promoting "enterprise cloud adoption" and implementing "cloud-based management" have become key measures for advancing the convergence of industrialization and informatization.