The Internet of Things (or IoT) is the connection of everyday objects to the internet, allowing them to send and receive data. Most consumers think of smart TVs, smart fridges, or even door locks which are able to communicate with your phone, but there are numerous other devices which can be connected. IoT devices are used across many industries, but they are incredibly useful within logistics and transportation.
Analyst Gartner estimates that around 8.4 billion IoT devices were used in 2017, although some other experts estimate that number to be much higher. The number is also rapidly growing, a 31% increase in device numbers was seen from 2016 to 2017.
Statistica estimates that $40 billion will be spent on IoT in the transportation and logistics sectors in 2020. Significant improvements will be made throughout the manufacturing and distribution sectors. Vehicles are an obvious choice for IoT connections, but devices will also be utilized throughout the warehouse. In the warehouse, IoT devices will be used to create smart inventory management and to eliminate waste and damages. On the road, IoT devices are used for location and condition monitoring, as well as asset monitoring for refrigeration units.
As IoT continues its growth, more and more devices will be connected across the logistics and transportation industries. This technology helps to propel these industries forward, and create a competitive advantage for companies who invest in it.