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Key Facts About Implementing IoT in The Transportation Industry

Internet of Things (IoT) technology has made significant advancements and is being successfully implemented across various industries.

According to Statista, the total Internet of Things (IoT) market worldwide was worth around $251 billion in 2022 and is forecast to rise to more than $621 billion in 2030.

With such growth, numerous industries, including healthcare, power engineering, and transportation, have embraced IoT to enhance their operations.

In this article, we will focus on the role of IoT in transportation and explore how companies are effectively utilizing it to meet their transportation requirements while improving fleet management, supply chain logistics, and other related aspects.

Role of IoT in transportation

The Internet of Things (IoT) plays a crucial role in transforming the transportation industry by enabling intelligent data exchange between vehicles, infrastructure, and various stakeholders.

Here are some key ways in which IoT is revolutionizing transportation:

  • Smart and connected vehicles: IoT enables vehicles to be equipped with sensors, communication devices, and embedded systems that collect and transmit real-time data. This connectivity allows vehicles to communicate with each other and the surrounding infrastructure, improving road safety, traffic management, and efficiency.
  • Intelligent traffic management: IoT helps optimize traffic flow by collecting data from various sources, such as GPS devices, traffic sensors, and surveillance cameras. This data can be used to monitor traffic conditions, identify congestion areas, and improve overall traffic management.
  • Fleet management and logistics: The integration of IoT in fleet management enables operators to track and manage their vehicles with exceptional efficiency. By utilizing sensors and GPS devices, fleet managers can receive real-time information on vehicle location, fuel consumption, engine performance, and maintenance requirements.
  • Intelligent infrastructure: IoT technology can be integrated into transportation infrastructure, such as roads, bridges, and traffic lights. This integration enables real-time monitoring of infrastructure conditions, including structural health, traffic patterns, and environmental factors. By collecting and analyzing this data, authorities can make informed decisions regarding maintenance, repairs, and infrastructure improvements.
  • Passenger experience and safety: IoT technology plays a crucial role in enhancing the passenger experience by providing real-time information on arrival and departure times, delays, and alternative routes. In addition, passengers can stay consistently informed and up-to-date with the help of user-friendly mobile apps or convenient in-vehicle displays.

How IoT is improving the transportation industry

The Internet of Things is a mature technology used as the backbone of intelligent digital solutions in many industries, including transportation.

For example, FedEx and UPS companies use GPS-enabled IoT apps for delivery tracking and fleet management; Tesla, BMW, Audi, and many others manufacture IoT-enabled connected cars; Amazon, Maersk Line, DART, and others transform their supply chains using the Internet of Things.

There are many more large and small businesses that implement IoT for their transportation needs. Let’s have a look at some key examples of how IoT is improving the transportation industry.

IoT-enhanced railways

Railways have long been used for cargo transportation as a cheaper option than road transport due to their ability to transport larger and heavier loads over greater distances. However, railway systems have long been using older technologies in transportation management, making many processes slower.

Internet of Things systems can significantly improve railway performance, monitoring, and control. That’s why the UK company NetworkRail has launched an Intelligent Infrastructure (II) program aimed at improving services for passengers and freight customers using IoT technology.

Another example is the Dutch railway company NS, which uses IoT for data analytics to improve work between departments, resulting in 92.6% of Dutch trains arriving on time.

Transport monitoring and management system

A wide range of businesses heavily relies on their supply chains. This means that for effective goods and materials delivery, they have to manage and maintain a complex system of manufacturing, packing, storing, delivery, and more. All these activities can be considerably enhanced with IoT.

On top of that, with the help of IoT, companies can gather, process, and analyze supply chain data from storage availability in warehouses and inventory management using RFID tags, to fleet management with GPS and onboard diagnostics (OBD) to trip planning when IoT technology is combined with Artificial Intelligence solutions.

Connected cars

Empowered with IoT technology, vehicles can establish an internet connection with each other and road infrastructure.

This improved monitoring helps to better arrange passenger and freight transportation on the roads, making it much safer and faster. The primary ways of using IoT monitoring systems in connected cars include:

  • Driver behavior monitoring and adjustment of driving style to less risky
  • Alerting of overspeeding, braking, etc.
  • Traffic jam monitoring and route planning through less busy roads
  • Road infrastructure adjustment to the traffic, e.g., adjustment of traffic lights, parking times, etc.<