According to the Enterprise Research Centre, only 2% of SMEs in the UK achieve a turnover of £1 million within three years. And only 7% of established firms grow past £3 million, with SMEs registering employment growth dropping from 20% to 13% in 2024.
Growth is becoming increasingly challenging, with factors ranging from click-through rates to connectivity hindering SMEs from progressing in the turbulent UK economy.
In terms of connectivity, global businesses report facing major financial and human costs from critical IoT connectivity failures. From that, almost two-thirds are losing sales and customers. It’s down to the simple fact that, especially in industries such as energy, industrial, testing, and management, where the environments are harsher, high-voltage connectivity is a precursor to long-term SME growth.
Read on to find out more.
What Does High-Voltage Connectivity Mean?
High-voltage connections deliver superior performance in demanding situations. For context, electricity is measured in volts (V) and kilovolts (kV), with there being 1000 volts in a kilowatt. In the UK, the standard domestic supply is typically 230V. With high-voltage connectivity, the voltage is typically in the thousands.
It’s impossible for harsh environments and extreme conditions to function on a standard electrical supply. The demands on critical electrical components would simply be too high, and so high voltage connectors become essential. They’re giving SMEs the connectivity they need to power the significant advancements in operational systems and technology.
The Link Between Reliable Connectivity and Long-Term SME Growth
Granted, not every industry or SME needs high-powered connectors. Standard SMEs running an online marketing business, for example, wouldn’t need to invest in the more costly high-voltage connections.
That said, many businesses in niches where the electrical environment and demand are harsh, such as automation or energy and industrial, will require the power and reliability that high-voltage solutions deliver, especially as the SME grows. High-demand applications and equipment, such as robotics, machines, and renewable energy technology, experience environmental, physical, and practical constraints that less technical businesses don’t.
Essentially, high-power connections keep these businesses performing at the peak level needed. High voltage can also transmit electricity more effectively over long distances with reduced energy loss, leading to improved grid stability and more connectivity for industries that often provide wireless solutions.
The Challenge of Connectivity for SMEs
In the industries we’ve been talking about, the issue goes further than keeping a website online.
These are complex industries relying on automation and advanced systems to deliver solutions to customers. Poor connection or low-powered connection that doesn’t meet the demand of the environment the equipment and systems operate in disrupts supply chains, reduces production output, damages relationships, and creates delays in product life cycles.
The result of that is far more costly and potentially widespread than simple website downtimes.
Depending on the industry, high-powered connections are becoming an essential requirement. They reduce costs, improve connectivity, and power SMEs towards the growth they’re looking for. We’re arguably in a more automated, Industry 4.0 era than ever before, and it’s solutions like this that are enabling the high-power systems to thrive.
