Smiths Interconnect brings a diverse portfolio of complementary products and advantaged capabilities in ruggedized custom connectors, contacts, RF components and optical transceivers for harsh environments. Smiths Interconnect also brings leading semiconductor test capabilities that complement Molex’s data communications and data center solutions to support growth in AI, along with a strong medical interconnect capability to support Medtech customers.

“We are excited to finalize the Smiths Interconnect acquisition, which expands our portfolio and engineering expertise worldwide,” said Joe Nelligan, CEO, Molex. “Along with their products and technology, we are excited about the Smiths Interconnect’s global team and the strong customer relationships that they have established.”

As the largest acquisition in Molex’s history, the addition of Smiths Interconnect positions Molex to drive innovation across the high-reliability interconnect market—encompassing aerospace and defense, space exploration, industrial, medical and semiconductor test industries. The combination of Smiths Interconnect’s capabilities with Molex’s global footprint, engineering strength, culture and financial strength enables Molex to deliver increased value to customers around the world. 

“This acquisition reinforces Molex’s position as a leader across every sector where high reliability is critical,” said Michael Cole, SVP and president, Aerospace and Defense Solutions Division, Molex. “By unifying these high-reliability solutions under the Molex banner, we provide a borderless platform that enables engineers to leverage ruggedized, precision-engineered connectivity.”

The Smiths Interconnect acquisition expands Molex’s global footprint to over 90 plants across 22 countries, and its global headcount to over 55,000 employees. The integration creates strong design and technical alignment to enhance innovation and solution capabilities to provide more value to customers. 

This news builds upon the November 2024 acquisition of AirBorn by Molex, a foundational milestone in serving customers in the aerospace and defense market.

“The integration of Smiths Interconnect into the Molex engineering ecosystem is a significant win for the global design engineering community,” said Lew LaFornara, SVP, Global Interconnect Business Strategy, TTI. “As a prominent Smiths Interconnect distributor, we are excited to continue offering our customers access to a robust line of mission-critical solutions—spanning aerospace and defense, medical, industrial and semiconductor test—all backed by Molex’s world-class logistics and technical support."

www.molex.com

The POC focused on a real-world logistics picking workflow. During the project, the HMND 01 Alpha Wheeled robot received task instructions from the SAP AI agent, autonomously navigated to the designated pallet, retrieved a KLT box, and delivered it to a trolley. The robot then repeated the cycle as part of the order-fulfillment flow, showing its ability to integrate into existing warehouse operations.

The POC was powered by Humanoid’s proprietary KinetIQ AI stack, a four-layer AI framework for end-to-end orchestration of humanoid robot fleets across different environments. HMND 01 robots operated as a flexible fleet, directly tasked through SAP Business AI as autonomous agents, allowing the fleet to be instantly reallocated as production demands shifted. This orchestration layer ensured the robots were highly available, adaptable, and flexible.

A key milestone was achieved during the final integration phase. Humanoid’s robot API connected directly to SAP’s APIs through the SAP Joule agent layer. As a result, SAP Extended Warehouse Management was able to send tasks to the robot over the internet and manage its actions remotely, without relying on a local, custom-built control system. For Humanoid, this was the first time its robot had been controlled by an external enterprise system in a live production environment. With KinetIQ allowing robots to integrate into existing facility management structures, the robot became part of the company’s core IT system that manages orders, inventory, and tasks.

“Embodied Joule represents a fundamental shift in how robots understand and respond to business needs,” said Dr Lukasz Ostrowski, head of embodied AI and Robotics at SAP SE. “This proof of concept in the manufacturing industry allows us to demonstrate how humanoid robots can act as extensions of an organisation’s operations by providing business context awareness and integration with existing workflows.”

The project ran from January to February 2026 and followed a structured rollout plan: physical twin development, in-house testing, site preparation, and on-site deployment, including setup, training, optimization, and stakeholder demos. The robot delivered strong and successful results under real operational conditions. Moreover, the robot successfully handled three different tote types and operated with an 8 kg dual-arm payload limit.

“This proof of concept shows what matters: humanoid robots operating inside real production environments, connected to enterprise systems and measured against operational standards. That’s the bridge between experimentation and deployment. We’re proud of the progress we have achieved together with SAP and Martur Fompak, and are grateful to our partners for the trust to test our Alpha Wheeled humanoid where it really counts — on the factory floor,” said Artem Sokolov, founder and CEO of Humanoid.

The team is currently preparing for the next on-site phase of the project, where the integration will be further validated in live production conditions. After completion, partners also plan to jointly assess the POC results, evaluate potential pathways to deploy Humanoid’s robots at Martur Fompak facilities, and explore more complex use cases and workflow scenarios within the production environment.

thehumanoid.ai

To improve electrical insulation between high-power components, the CHO-THERM HV Series incorporates robust dielectric layers. Alongside impressive thermal performance, these properties are designed to meet the stringent engineering demands of modern automotive and industrial systems. The materials exhibit dielectric constant as low as -0.05 at 1 MHz (ASTM D150 test method) and dissipation factor down to 2.8 at 1 MHz (Chomerics CHO-TM-TP13).

“CHO-THERM HV marks an important addition to our technology portfolio, meeting the thermal management needs of systems where enhanced electrical insulation is paramount,” says Keith McDonald, International Director of Sales, Parker Chomerics. “The materials offer superior performance across a broad spread of applications that include automotive electronics and on-vehicle power systems, lighting assemblies, high-voltage sensors and actuators, and electric vehicle charging stations.” 

CHO-THERM HV is also suited to alternative energy power conversion/inversion systems, heavy-duty industrial equipment and industrial motor controllers. Parker Chomerics engineered the materials to provide effective thermal transfer from heat-generating components such as CPUs, GPUs and high-power busbars to heat-dissipating components like cold plates, heatsinks, cooling pipes and vapour chambers. 

Additional benefits extend to minimal outgassing, V-0 flammability compliance under the globally recognised UL94 standard and ultra-low compression force characteristics that simplify installation. With Shore 00 hardness ratings of 30–35, CHO-THERM® HV solutions conform readily to uneven or textured mating surfaces, eliminating air gaps and improving thermal contact. 

Customers can now specify the pads in standard sheet formats for high-volume processing or select custom die-cut configurations tailored to complex geometries. Four RoHS-compliant material variants are available, with specialists from Parker Chomerics ready to assist with the optimal selection. PSA (pressure-sensitive adhesive) bonding options are available where added adhesion strength is necessary.

ph.parker.com/gb/en/series/thermally-conductive-pads

The event brings together over 1000 research and industry experts from across the continent to share ideas, create new connections and celebrate the best of robotics, one of the most important technologies that will shape the future of society for generations to come.

Since it first began in 2010, ERF has been hosted in many great cities and industrial powerhouse regions across Europe. Hosting ERF in Birmingham for the first time will, say the organisers, offer an opportunity to anchor conversations about the future of robotics within a region where innovation is not abstract but applied daily: in factories, laboratories, and innovation centres deploying next generation artificial intelligence, automation and robotics at scale.

ERF in Birmingham will be organised and hosted by The Manufacturing Technology Centre (MTC), the West Midlands-based research and technology organisation, and the University of Birmingham, in partnership with euRobotics, the European robotics association.

Birmingham is a fitting setting for an event of this kind. The city draws on its region’s industrial heritage with roots that reach back to the very birth of the industrial revolution, a proud history of manufacturing and precision engineering, a long-established and internationally acclaimed automotive sector, a fine tradition of research and innovation, with universities offering globally-recognised academic excellence, and a large, skilled, diverse population.

Karol Janik, ERF2027 general chair, and robotics and sutomation technology manager at the MTC said: “For more than two centuries, the West Midlands has stood as one of Europe’s most enduring centres of industrial ingenuity. From the steam engine to today’s breakthroughs in robotics, AI, advanced manufacturing, clean energy or healthcare, this region has repeatedly shaped the technological direction of the continent. Birmingham and the wider West Midlands remain one of its most innovative industrial heartlands: a dense ecosystem of global manufacturers, world leading research institutes, dynamic automation and robotics companies, and a new generation of ambitious entrepreneurs.

“Add to this a city with a rich and varied cultural offer spanning classic and contemporary, clubs to concert halls, gigs to galleries and from theatres to Think Tank, Birmingham’s famously interactive museum of science, and the considerable attractions of the UK’s ‘second city’ are obvious."

As the organising team prepares for this landmark event, it invites organisations, innovators, and industry leaders to partner as sponsors and exhibitors. This is a unique opportunity to showcase technologies, products, and services to a diverse and influential audience at the forefront of robotics, AI and automation in Europe and beyond. Interested parties are encouraged to contact the organising team to learn more about sponsorship and exhibition packages and secure their place at ERF 2027.

erf2027.eu/about/
 

Named the Technology Roadmaps initiative, it leverages expertise from Skunk Works to support the sovereign development and delivery of cutting-edge defence technologies to UK customers.

The company said the initiative introduces a grassroots model, focused on collaboration with small and medium UK enterprises (SMEs) while building on existing relationships with UK government organisations, academic institutions and industry partners in areas identified in the UK’s Strategic Defence Review.

Identified technology priorities include artificial intelligence, autonomy, cyber, material technologies and space manufacturing, and initial projects will focus on creating immediate capability from existing technologies. The initiative will share best practices, contribute to ecosystem learning and deliver purposeful innovation for the UK’s defence needs.

The announcement follows the successful delivery last year of Skunk Works first international project, the TIQUILA uncrewed aerial system programme for the British Army. Other recent successful Skunk Works UK activities include  “Project DEIMOS” live-fly demonstrations that showcased interoperability between the Royal Air Force’s F-35 fleet and NATO allies, and the collaboration with BAE Systems’ FalconWorks to develop a range of uncrewed autonomous air systems for global allies, announced at DSEI last September.

Tier 1 membership of the MTC will also see Lockheed Martin collaborate with that UK organisation on core research, capabilities and investments, and play a leading role in managing projects that address key challenges faced by defence industry supply chains.

“Lockheed Martin recognises that for the UK Government, defence is an engine for growth, and cooperation of this type delivers for the UK, the US and their allies - moving technology faster, driving supply chain resilience and creating shared economic growth for all parties,” said Paul Livingston, CBE, chief executive for UK and NATO at Lockheed Martin.

“The Technology Roadmap initiative with UK industry and partners such as MTC will help us build on the long legacy of transatlantic excellence to deliver mutual security benefits today and into the future,” said OJ Sanchez, vice president and general manager, Lockheed Martin Skunk Works.

Sir Rick Thompson, KCB, CBE, managing director of defence at the Manufacturing Technology Centre, said: “Lockheed Martin joining the MTC as a Tier 1 member sends a clear signal about the strength of the UK’s defence industrial base and our innovation ecosystem as it continues to grow in response to an increasingly uncertain world. By working with partners like Lockheed Martin, we can help companies across the supply chain adopt the technologies they need to compete, scale and seize the opportunities created by the government’s Defence Industrial Strategy as a driver of growth.”

Specific projects conducted in collaboration with the MTC will focus on delivering scalable, adaptable and agile manufacturing with reduced costs and lead times for customers. The efforts will concentrate on additive manufacturing, automation, augmentation and digital integration, addressing common challenges such as accelerating the delivery of new technologies to the front line.

The membership is also intended to accelerate SME technology readiness levels, helping emerging concepts progress more rapidly toward deployable solutions. The effort aligns with Lockheed Martin’s SMEUnite initiative which has grown to include over 180 British companies.

Headquartered in London, Lockheed Martin UK, the UK arm of Lockheed Martin Corporation, contributes around £2 billion to the national economy each year and sustaining around 26,000 British jobs – 2000 directly and 24,000 more across 800 supply chain partners, more than 500 of which are SME businesses.

As a trusted British-American strategic defence partner for over 85 years, it combines innovation, ingenuity and exploration to boost resilience, grow industrial capacity, sustain high-value jobs, and deliver meaningful economic impact on both sides of the Atlantic.

Lockheedmartin.com

www.the-mtc.org

Rivr, based in Zurich, develops small autonomous robots designed to deliver packages over short distances, particularly in urban environments. Its technology focuses on navigation in pedestrian areas, using onboard sensors and edge computing to operate without constant cloud connectivity.

The acquisition fits into Amazon’s broader logistics strategy, which includes warehouse automation and drone delivery through Prime Air. Rivr’s robots are intended to handle the final segment of delivery – from a parked vehicle to the customer’s doorstep – an area that still relies heavily on human labour.

Rivr’s system is designed to integrate with existing logistics software, allowing coordination with delivery routes, schedules, and tracking systems. This could enable Amazon to incorporate the robots into its current delivery network with fewer structural changes.

The deal reflects ongoing industry interest in automating last-mile delivery to reduce costs and improve efficiency. However, widespread deployment of sidewalk delivery robots will depend on regulatory approval and local infrastructure conditions.

Amazon has not announced a timeline for large-scale rollout.

Electric motor systems are among the largest consumers of electricity worldwide. According to the International Energy Agency (IEA) and Electric Motor Systems Platform (EMSA), they account for approximately 50 to 53% of global electricity consumption, with around 70 per cent of this used in industrial applications alone. Despite this, many motors currently in operation are outdated and inefficient, leading to unnecessary energy waste.

Technidrive’s scrappage scheme has been developed to address this challenge directly. Businesses can now trade in existing motors or drives to receive a scrappage valuation and a tailored upgrade recommendation based on their specific application. Eligible upgrades to new high-efficiency WEG motors, supplied and commissioned by Technidrive, qualify for trade-in credit, making the move to modern technology more cost-effective.

The scheme features a simple assessment and approval process, compliant recycling and disposal of old equipment as part of a wider energy savings plan. By reducing upfront investment, the scrappage allowance can significantly shorten payback periods for businesses upgrading legacy equipment.

Upgrading to IE3, IE4, IE5 or IE6 motors presents an opportunity to reduce lifetime energy use, cut operational expenditure and improve long-term reliability. Technidrive also provides access to the WEG payback tool, enabling customers to compare efficiency classes, forecast energy savings and calculate return on investment. 

Where speed control is possible, the addition of a variable speed drive (VSD) can also offer further savings by matching motor output to real-time demand. The payback tool includes an additional option to include a VSD for centrifugal applications, providing insight into how this can lead to efficiency gains. Technidrive can then also assist with VSD selection and integration.

“Energy efficiency should be a priority for manufacturers and processors facing rising electricity prices and increasing sustainability targets,” says David Strain, technical director at Technidrive. “What many businesses don’t realise is how much value may be tied up in the equipment they already own. By combining trade-in credit with a properly engineered upgrade and commissioning service, we’re helping our customers to modernise with confidence and to build a greener, more cost-effective operation.”

www.technidrive.co.uk

A key element of the BMW Group's drive to advance the digitalisation and use of artificial intelligence in production, 'physical AI' combines digital artificial intelligence (AI) with real machines and robots. This enables intelligent systems such as humanoid robots to be integrated into real-world production processes.

“Digitalisation improves the competitiveness of our production, here in Europe and worldwide. The symbiosis of engineering expertise and artificial intelligence opens up entirely new possibilities in production,” said Milan Nedeljković, member of the board of management of BMW AG, Production.

Last year, the BMW Group successfully implemented a pilot project with humanoid robots at its Spartanburg plant in the United States. The insights gained from this project are being leveraged to further develop and scale Physical AI applications.

Unified IT and data model in the production system

Artificial intelligence is already an integral part of the BMW Group’s production system. From the virtual factory with digital twins and AI‑enabled quality controls to intralogistics with autonomous transport solutions, intelligent systems are used in almost all production steps.

A prerequisite for the effective use of artificial intelligence in production is a unified IT and data model across the entire production system. The BMW Group has consistently transformed isolated data silos into a unified data platform in its production system meaning that all data is consistent, standardised, and available at all times. This enables digital AI agents to take on increasingly challenging tasks autonomously and in complex environments while continuously learning and becoming available for additional areas of application. The introduction of intelligent and autonomous decision‑making agents marks a paradigm shift in production. In combination with robots, these digital AI agents are what make up Physical AI.

“Our aim is to be a technology leader and to integrate new technologies into production at an early stage. Pilot projects help us to test and further develop the use of Physical AI – that is, AI‑enabled robots capable of learning – under real-world industrial conditions,” said Michael Nikolaides, senior vice president production network, supply chain management at BMW Group.

Digitalisation and artificial intelligence are core elements of BMW iFACTORY and are the foundation for future‑proof, flexible, and competitive production.

Humanoid robotics complements existing automation

The BMW Group is strategically expanding its automation portfolio to include Physical AI and humanoid robotics. Humanoid robots are viewed as a value‑adding complement to existing automation. Particularly, they demonstrate potential in monotonous, ergonomically demanding, or safety‑critical tasks. The goal is to relieve employees and further improve working conditions.

Its consistent data platform in production makes the BMW Group an attractive partner for technology companies seeking to test the possibilities of Physical AI – particularly humanoid robotics – in an industrial environment under real-world conditions. By setting up the new “Center of Competence for Physical AI in Production”, the BMW Group is taking the next step in consolidating its expertise and ensuring that the full range of knowledge can be leveraged across the organisation.

The BMW Group is following a clearly structured approach. Technology partners are evaluated according to defined maturity and industrialisation criteria and tested in pilot projects under real-world production conditions. Following a theoretical assessment, an evaluation is carried out at the manufacturer’s site in the laboratory using real use cases from the BMW production system to test integration capability. If this phase is successful, it is followed by an initial test deployment under real-world production conditions at a BMW Group plant and subsequently the actual pilot phase.

First pilot project with humanoid robots in Europe

In collaboration with Hexagon, a long‑standing, established partner of the BMW Group in the field of sensor technology and software, the first pilot project in Europe is now underway. Hexagon’s organisational unit located in Zürich, Hexagon Robotics, specialises in Physical AI and presented its first humanoid robot, AEON, in June 2025. Following an initial theoretical evaluation phase and successful laboratory tests, there was an initial test deployment at BMW Group Plant Leipzig in December 2025. A further test deployment is planned from April 2026 to ensure full integration for the actual pilot phase starting in summer 2026.

The deployment in Leipzig is focusing on testing a multifunctional application of the robot. It is based on AEON’s design, whose human‑like body allows a wide range of hand and gripper elements or scanning tools to be flexibly attached and enables dynamic use on wheels. During testing and later in the pilot phase, the robot will be used in the assembly of high‑voltage batteries and in component manufacturing.

Successful pilot at BMW Group Plant Spartanburg 

The world’s first deployment of humanoid robots at a BMW Group plant took place at the Spartanburg plant in the United States in 2025, in collaboration with the technology company Figure AI. The results demonstrated that Physical AI can deliver measurable added value under real-world conditions. Within ten months, the robot Figure 02 supported the production of more than 30,000 BMW X3, working ten-hour shifts daily from Monday to Friday. Figure 02 handled the precise removal and positioning of sheet metal parts for the welding process – a task that is particularly demanding in terms of speed and accuracy while also being physically exhausting. In total, it moved more than 90,000 components and covered approximately 1.2 million steps in around 1,250 operating hours.

The pilot confirmed that humanoid robots can safely perform precise, repetitive work steps – such as positioning components with millimetre precision – and provided important insights for the further deployment of Physical AI in production.

During the initial test phases with Figure 02, it was essential to involve all areas of the production IT infrastructure, occupational safety, production process management, and shop floor logistics at an early stage.

One key finding was that the transition from the laboratory to the actual production environment was faster than expected. Motion sequences trained in the laboratory could be quickly transferred into stable shift operation. To ensure smooth coexistence with existing systems, integration into the BMW Smart Robotics ecosystem was implemented via standardised interfaces.

The body shop was deliberately selected for the test phase in Spartanburg, as it already has a high degree of automation. BMW Group employees in this area have extensive experience in integrating new technologies and processes. For example, material supply on the line is already carried out almost exclusively via automated smart transport robots (STR). The project team’s early communication ensured transparency from the outset and promoted acceptance. The deployment of humanoid robots was met with great interest among employees and quickly became a natural part of everyday work during the course of the project.

The BMW Group and Figure are currently evaluating additional use cases for deploying the Figure 03 robot.

www.bmwgroup.com

Meanwhile, China is taking the lead in terms of supply chain transparency, digital twin technology, automation, and AI. India, Mexico, and the US. are also modernising and implementing things faster than companies in the United Kingdom, for example. In fact, according to companies’ own assessments, the level of digitalisation in the UK’s industrial sector has even declined. 

Bodo Philipp, CEO of MHP Consulting UK said: “Our analysis makes one thing clear: China and the US are driving the transformation of their manufacturing sectors with a strong focus on software and data, while the United Kingdom and the German-speaking markets of Germany, Austria, and Switzerland have yet to build similar momentum. Only six and three percent of companies respectively are very familiar with Software-Defined Manufacturing, compared to 30 percent in China and India. Without the strategic integration of production control, data, and software, it will become increasingly difficult to remain competitive internationally.”

More than 1200 people from industrial companies were surveyed for the Industry 4.0 Barometer 2026. Specifically, they were asked to assess the status quo with regard to Industry 4.0 in their own companies in the DACH region (Germany, Austria, Switzerland), the United Kingdom, the US, China and, for the first time, India and Mexico. The study highlights successes, but also reveals gaps in the subjects surveyed, including supply chain transparency, digital twin technology, Artificial Intelligence (AI), and Software-Defined Manufacturing (SDM).

UK digitalisation declines

Internationally, the degree of digitalisation ascertained in industry continues to rise, with the overall barometer figure increasing from 48% (2022) to 66% today in all subject areas. However, two regions have fallen significantly behind: The United Kingdom declines to 62% (-2% compared to the previous year). The DACH region (Germany, Austria, Switzerland) remains stagnant at 57%. Meanwhile, China reaches 72% (+3%), the US 69% (+3%), India 68%, and Mexico 67%

“The degree of digitalisation in industry is increasing worldwide, with Europe also making progress,” said Dr Johann Kranz, Professor of digital services and sustainability at LMU Munich. “In a comparison between countries, however, the US and China are implementing digital production technologies faster and taking a more integrated and scalable approach than European companies. India and Mexico, which we were analysing for the first time, are also showing better results in some cases.”

Causes of the faltering transformation

If the digital transformation is being hampered, it is usually due to technical reasons: heterogeneous legacy systems, fragmented data landscapes, and limited interoperability make it difficult to adopt new technologies. By way of example, 40% of surveyed companies in the United Kingdom cite data silos as a barrier, while 47% point to their legacy IT systems. It is a similar picture at companies all over the world. Yet this year’s study reveals that these classic obstacles are overcome at different speeds, particularly in the areas of digital twin technology, Artificial Intelligence, and Software-Defined Manufacturing.

These differences are particularly striking in the case of digital twins. The barometer figure for their use in plants and machines has risen from 54 to 62 percent, while in logistics it has increased from 61 to 67% representing the largest jump from the original figure of 30% (2022). This shows that the digital twin is taking off faster than any of the other technologies addressed in the survey.

Across all application fields, China is clearly in a leading position when it comes to the digital twin. This is especially evident in the context of logistics, where 84 percent of Chinese companies say they partly or fully use this technology. This is followed by Mexico (74%), India (68%), the US (61%), and the United Kingdom (54%), with the German-speaking markets lagging behind on 42 percent.

AI hype gap

China and the US also take a leading role in the use of Artificial Intelligence in production environments. When partly or fully using AI, Chinese players are out in front on 71%, followed by India on 61%, and the US on 57%. Mexico (51%) and the United Kingdom (48%) are in the middle of the field, while the DACH region (Germany, Austria, Switzerland) is behind on 37%.

These findings reveal that many European companies are taking a rather cautious approach here. To date, they have only been using AI on a pilot basis, with a lack of deep integration into production processes. At the same time, the future impact of AI is rated highly. By way of example, 61% of companies in the United Kingdom expect it to have a “significant” or “groundbreaking” impact in the next five years. This gap highlights the fact that smart algorithms cannot be productive without solid foundations in terms of data infrastructures, sensor technology, and digital twins. Accordingly, AI remains a future promise in industrial practice but will not become an effective productivity factor (“AI hype gap”).

Software-Defined Manufacturing (SDM) is the new key skill

SDM separates production control from physical hardware and creates a central software layer that makes the manufacturing process flexible and scalable across different sites. CIOs play a key role here by becoming architects of the digital factory and taking responsibility for IT/OT integration, data literacy, and investment prioritization. Companies with a CIO state much more frequently that they are familiar with the SDM concept (+33.2%) and are more likely to integrate it into their overall strategy (+18.4%). There is also a greater propensity to invest (+13.8 %), while the proportion of the budget earmarked for maintenance expenses is lower (-26.2%).

When comparing familiarity with the still nascent SDM concept, India and China are blazing a trail, with 30% of respondents in each of these countries attesting to a “very high” level of familiarity. The proportion is significantly lower in the United Kingdom (6%) and in the German-speaking markets (3%). The US (14%) and Mexico (18%) are in the middle of the field.

Further upheavals are expected

The majority of respondents worldwide expect significant upheavals in the next ten years as a result of digitalisation and software-driven approaches, with 31% holding the firm belief that their industry will undergo fundamental change and another 51% considering it likely. Once again, there are considerable regional differences in this assessment. In India, for example, 44% of respondents are convinced that software-driven approaches are altering their industry, while the figure in the United Kingdom is only 17%.

Digitalisation requires a real willingness to invest: 71% of respondents in India state that their companies are willing to spend significant sums of money on new digital technologies. Mexico (65%) comes next, followed by the US (59%). The figure is critical for the United Kingdom, where just 36% are willing to invest. Only the DACH region (Germany, Austria, Switzerland) is scoring lower at 29%.

“European companies are focusing on efficiency and cost optimisation, which means that strategic potential for growth, flexibility, and innovation often remains untapped,” explained Prof Christina S. Reich from FOM University of Applied Sciences, who is also a manager at MHP. “Emerging markets such as India, China, and Mexico, meanwhile, are pursuing more differentiated strategic goals. India, for example, is specifically focusing on improving quality due to its historical competitive position and global pressure. The aim here is to meet international standards and open up new markets.”

Overall, the findings highlight the fact that Europe is facing a huge modernisation task. The main way for companies to maintain their competitive ability on the international stage lies in breaking down the technical barriers, standardising IT/OT structures, and consistently gearing production toward software-based, scalable architectures. Software-Defined Manufacturing is becoming a yardstick for future industrial viability – and a critical success factor in the context of Industry 4.0.

About the Industry 4.0 Barometer 2026

The Industry 4.0 Barometer has been published since 2018 by the management and IT consultancy MHP in cooperation with Prof Dr Johann Kranz from Ludwig Maximilians University (LMU) Munich. The 2026 edition analyses the statements of 1,206 people from industrial companies in the DACH region (200), the United Kingdom (202), the US (200), China (200) and, for the first time, India (200) and Mexico (204). The most strongly represented sectors are mechanical and plant engineering and information and communication technology, each with 13%, followed by the automotive industry (10%). The participants have roles across all hierarchical levels, most frequently working in IT (23%) and production (24%).

The questionnaire covers four areas – technology, IT integration, strategy, and goals – while equally examining barriers and drivers. There was also a focus on Software-Defined Manufacturing this time. Recommended courses of action round off the study for decision-makers, along with success stories from user companies and expert interviews.

The full study can be downloaded at:

www.mhp.com/newsroom

Tailored for McLaren, Rescale’s digital engineering platform, powered by NVIDIA, applies a ‘perfect-fit’ AI stack to bring rapid speed and scale throughout the design and engineering development process.

McLaren can now explore more design space, run complex test and simulations significantly faster, tune every component with greater precision and reduce manual, repetitive tasks through leveraging engineering agents. As well as dramatically accelerating product development, it also protects McLaren’s engineering heritage by creating an environment for teams to focus on high value design and engineering thinking. 

Nick Collins, chief executive officer of McLaren Automotive, explained: “This is a genuine strategic transformation for the business. By continuously compounding and optimising our data, our intelligence and our engineering philosophies at unimaginable speed, we can deliver product developments at pace, while protecting the DNA of our company.”

Within the Rescale environment, the platform is trained exclusively on McLaren data and utilises NVIDIA AI infrastructure, AI physics models and agentic engineering libraries. This creates a unified platform approach that connects McLaren CAE, systems engineering and design into a unified AI data fabric which continuously learns and optimises while adhering to the integrity of McLaren’s quality standards and performance characteristics.

“Our foundational platform allows McLaren to leverage the latest agentic engineering technologies powered by NVIDIA AI infrastructure, providing a compounding source of competitive advantage for engineers in critical areas of product development, such as carbon materials, structural dynamics, durability, and ultimately the programmatic scaling of engineering excellence across every discipline, to deliver world-class products faster,” said Joris Poort, Founder and CEO of Rescale.

“The future of automotive engineering is being rewritten by agentic AI and advanced simulation, turning decades of design heritage into a live, generative engine that accelerates every stage of the vehicle lifecycle,” said Tim Costa, Vice President & General Manager, Computational Engineering at NVIDIA. “By integrating Rescale’s unified control layer with NVIDIA’s open models for agentic AI and accelerated physics, McLaren is compressing years of traditional simulation into hours of real-time design exploration.”

Transforming McLaren’s product development lifecycle

AI-accelerated workflows allow McLaren to operate and explore beyond the constraints of traditional physics and computational modelling methods. 

• Faster Virtual Simulation: AI-driven physics significantly cuts simulation time with every test feeding new data back into the system to continuously improve surrogate models and AI agents’ understanding of the physical world.
• Rapid Design Exploration: Engineers can evaluate thousands of design iterations in hours, covering multiple physics and engineering domains, fundamentally changing how rapidly an optimal performing design can be achieved.
• Real-Time Performance Prediction: Machine learning models enable instant predictions of manufacturing performance, for example in the production of high-performance carbon fibre structures and components.
• Agentic Engineering: Rescale helps McLaren automate complex repetitive engineering tasks, boosting expert productivity by 3x on infrastructure powered by NVIDIA.
• Knowledge-based Engineering: Rescale’s platform builds 'engineering knowledge graphs that capture insights from previous work, powering the agentic engineering workflows and accelerating product development decisions.

cars.mclaren.com