Opportunities and Challenges Brought by Domestic Substitution to Industrial Ethernet Switch

Currently, China has the world's largest mobile population, the most active e-commerce industry, the richest manufacturing group, and the fastest growing market. The information industry is becoming an important pillar of the national economy. At the same time, with the deep integration of "Internet plus", Industry 4.0 and national basic industries, "localization, autonomy and controllability" has always been the fundamental policy of the country.

The government launched the "Internet+" action plan, advocating the safety and controllability of the whole industry, which is closely related to strengthening national security. Especially in key industries, the trend of localization substitution is irreversible, and the self controlled core network products are gradually playing an important supporting role in many industries.

Domestic substitution of industrial Ethernet switches refers to the use of domestically produced switches to replace imported industrial Ethernet switches. This trend brings opportunities and challenges to industrial Ethernet switches.

Opportunities:

Convenient interface customization: Due to the closer proximity of domestic substitution to the domestic market, it can better meet the needs of domestic enterprises, such as adapting to specific industrial environments through customized interfaces.

Cost reduction: Localized substitution can reduce the procurement cost of industrial Ethernet switches, giving domestic enterprises a competitive advantage in cost.

Localized services: Localized production and services bring higher reliability and lower response time, which can provide better after-sales service and technical support for domestic users.

Local industry development: Promoting domestic substitution can promote the rapid development of the domestic industrial Ethernet switch industry, increase the scale and competitiveness of the local industry.

Technological progress: Localized substitution can promote technological research and development, and promote the development of domestic industrial Ethernet switch enterprises towards higher technological levels and more innovative directions.

Challenges:

Technical difficulty: Industrial Ethernet switches are highly technology-intensive products. To achieve true domestic substitution, it is necessary to overcome technical difficulties and improve the ability and level of independent research and development.

Market share: In the domestic market, domestic substitutes still face pressure from foreign brands, and their market share is not enough to pose a sufficient threat to foreign brands.

Marketing strategy: In terms of brand marketing and market promotion, domestic industrial Ethernet switch companies are still in a relatively disadvantaged position in competition with foreign brands.

Production capacity: Localization substitution requires continuous improvement of one's own production capacity, including production scale, product quality, production process, and so on.

Overall, domestic substitution has brought opportunities and challenges to industrial Ethernet switches. In this trend, domestic industrial Ethernet switch enterprises need to actively develop and master core technologies, promote integrated innovation, continuously improve product quality and marketing strategies, in order to enhance their competitiveness in the domestic market and influence in the international market, and promote the rapid development of the industry.

In the view of Houshi Network, enhancing the independent research and development capabilities of network core technologies and achieving breakthroughs in the localization of core software and hardware equipment have become strategic tasks that need to be addressed urgently. This is also the way out to solve the supply and demand contradiction in the localization of key industrial Ethernet switch industries. With the gradual release of industry users' demand for localization, the future market competition will also become more intense. Localized brands not only need to face comprehensive challenges such as technology, price, channels, product experience, service capabilities, but also need to constantly insert the banner of localization from the low end to the high end, from focusing on technical indicators to focusing on application experience.