NEWS 10 HYDRAULICS & PNEUMATICS June 2026 www.hpmag.co.uk manufacturers report using less than half of the operational data they collect effectively, pointing to a persistent gap between data generation and decisionmaking. Closing this gap is likely to be one of the most important factors in determining future competitiveness. More broadly, UK manufacturing is showing clear signs of maturity. Smart manufacturing technologies are now widely deployed, and adoption is accelerating as organisations focus on scaling what works rather than piloting new tools. Artificial intelligence is increasingly seen as the technology most likely to deliver meaningful operational improvements, reinforcing its central role in the next phase of industrial transformation. Taken together, the findings suggest that UK manufacturing is entering a new phase of digital transformation. The foundations have been laid, investment is established and adoption is widespread. The next challenge is execution — turning digital capability into consistent, scalable performance in an increasingly complex industrial landscape. UK at a glance 87% of UK manufacturers say digital transformation is essential 27% of operating budgets allocated to industrial technology 49% have already invested in AI, with 38% planning further investment 53% have invested in generative AI, with 33% planning adoption Cybersecurity is the leading AI use case at 48% 62% have invested in cybersecurity technologies Cybersecurity is the leading AI use case for UK manufacturers, cited by 48% of organisations 27% have deployed digital twins, with 47% planning investment (88% total) 45% of operational data is used effectively 40% cite rising labour costs as the top workforce challenge 36% cite change management as a key barrier 38% of employees are engaged in reskilling programmes 48% identify AI as the technology with the greatest operational impact Danfoss enters exclusivity agreement to acquire Alfagomma Danfoss has recently announced it has entered into an exclusivity agreement to conclude the acquisition of Alfagomma. The intention to acquire Alfagomma aligns with Danfoss’ LEAP 2030 strategy, part of which is to accelerate profitable growth within the Fluid Conveyance division, a core business within the Danfoss Power Solutions segment. Alfagomma, headquartered in Italy, is a leading global manufacturer of hoses, fittings, couplings, and connectors with approximately EUR 600 million in annual sales, 4,500 employees, and operations across 28 production and assembly sites globally. Combining the businesses of both Alfagomma and the Fluid Conveyance division would create a global leader in hydraulic and industrial hose manufacturing and distribution. Since 2021, Danfoss has significantly strengthened its Fluid Conveyance business through the acquisition of Eaton’s Hydraulics business and, most recently, Hydro Holding in Italy, while continuing to invest in equipment, technology, and infrastructure. Today, Fluid Conveyance is a core and fastgrowing business within Danfoss Power Solutions. Both companies will operate independently throughout the process, maintaining continuity and business as usual for customers, suppliers, and employees. Danfoss intends to complete the transaction and remains strongly committed to investing in the business and maintaining the footprint in Italy. Since 1961, Danfoss has sustained a strong presence in Italy with a current workforce of more than 1,100 employees across 14 sites. Danfoss considers Italy a core country for future development, with a clear long-term commitment to strengthen the operations, support the industrial base, and ensure stability, growth, and continued investment in the people, capabilities, and operations of Alfagomma. BT and Ericsson have joined the Manufacturing Technology Centre (MTC) as members, helping to accelerate the adoption of 5G technologies across the UK manufacturing sector. Through the membership, BT and Ericsson will deploy and showcase a portfolio of 5G-enabled manufacturing demonstrations at MTC’s facility, underpinned by indoor and outdoor 5G standalone connectivity delivered through Ericsson’s Private 5G solution. BT’s advanced 5G network capabilities, Ericsson’s global leadership in 5G solutions, and MTC’s expertise in industrial innovation will enable UK manufacturers to explore, test and scale 5G-enabled production in a realistic environment. This live end-to-end 5G environment will allow manufacturers to see applications in action, understand the business case, and work with experts from BT, Ericsson and MTC to develop proof of concepts, and shape pilots and deployments in their own factories. Demonstrations will showcase automated smart factory applications, including a 5Gconnected battery recycling line, predictive maintenance using connected sensors and AI analytics, and extended reality for immersive training and operational support. Over the next three years, BT, Ericsson and MTC will expand and refresh the demonstrations in line with the industry’s shift to increasingly autonomous, software-driven, intelligent factories, ensuring the work remains tightly aligned to the UK’s industrial priorities. Joe Darlington, Director of Engineering at MTC commented: “Advanced and reliable connectivity is fundamental to allowing digital systems to work together seamlessly on the factory floor.?By welcoming BT and Ericsson into our membership, we can give industry an ideal environment to explore, trial and adopt 5G solutions, helping UK manufacturers to leverage digital technologies and harness them to enhance productivity and business growth.” BT and Ericsson join MTC to accelerate 5G adoption in UK manufacturing
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