What are the advantages and difficulties of IoT use in the automotive sector?

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What are the advantages and difficulties of IoT use in the automotive sector? IoT is currently gaining a lot of interest in the automotive industry. We define the basics of “What is IoT?” in this article. I’ll also introduce some real-world use cases in addition to that.

What IoT is

The term “Internet of Things,” or IoT, refers to a technology that connects various “things” around us as well as communication equipment like computers over the Internet. Things can be managed, observed, and studied once IoT is fully realised. You could, for instance, use your terminal to display the temperature and humidity of your home or control home appliances from outside. Additionally, it is anticipated that data gathered from a variety of IoT devices will be useful for more specialised applications after being subjected to AI analysis.

Benefits of utilising IoT technology

The automobile sector is one of several industries and businesses looking into using the Internet of Things. So what particular advantages do IoT integration in cars offer? Here are the two key advantages.

Autonomous driving becomes a reality

The use of IoT in autos is garnering the most interest in autonomous driving. Using IoT, sensors installed in cars gather data such as the driver’s position and driving habits and send it to the cloud. AI then carefully examines the data transmitted to the cloud. Then, the automobile receives the analytical data. Based on that information, the vehicle will be able to engage in safe autonomous driving that is better suited to the circumstances at hand.

The advantages of automated driving go beyond lightening the load on drivers. Additionally, it will be feasible to lessen traffic congestion and avoid accidents caused by things like tired driving and steering errors. In rural areas where there is little access to public transportation, autonomous driving will also make it safer and easier for elderly people to use cars.

In the not too distant future, self-driving automobiles might actually exist. 

Level 3 automatic driving, which enables the system to operate under specific settings like highways, will be available in Japan starting in April 2020. 

In the future, level 5 autonomous driving will also be used, in which the system is completely in charge of the driving.

Companies can anticipate greater customer engagement.

For businesses that sell cars, IoT can help increase consumer involvement. Customer engagement refers to the trusting relationship that develops between customers and businesses that offer goods and services. In other words, customers are more likely to prioritise checking out the company’s goods and services when their engagement with the brand is higher.

By gathering and analysing each customer’s driving data using IoT, automakers can offer services tailored to each individual customer.

For instance, it recognises the condition of the car and suggests maintenance at the ideal time. Alternatively, it can forecast “when and which road the customer will travel” and send out real-time alerts about the weather and traffic conditions based on the accumulated driving data.

On a daily basis, a more individualised service can be provided in this way. It is therefore highly anticipated that specific customers will be able to consistently draw high engagement.

Utilizing driving information from drivers is crucial for the marketing and development of new cars. What factors, with what types of drivers, and under what circumstances? We will be able to offer better products and services by gathering and analysing this information.

Concerns Regarding the Use of IoT Technology

He outlined the benefits of IoT implementation in the automotive industry, including the achievement of autonomous driving and improved customer interaction. However, there are still certain issues with IoT usage. In other words, resolving these problems will pave the way for IoT in the auto sector.

The main problems of concern are listed below.

security concern

Due to IoT, automobiles that have gone online are vulnerable to hacks. The same thing happens when a computer is hacked or infected with a virus. In the worst case scenario, an attacker could fully control the car if a cyberattack caused it to malfunction, such as suddenly braking. Unauthorized devices may be installed in vehicles by malicious third parties, and they may attempt attacks in open areas like public parking lots where anyone can enter.

There is a chance of significant harm if a car is attacked by a cyberattack while it is moving. Serious auto accidents and even fatalities may result from it.

It can also be challenging to assign blame in cases where an accident results from a cyberattack-related defect. The fact that there was a cyberattack would not be known if the criminal had removed the evidence of the attack from the network; instead, the driver’s operational error or a defective product might have been blamed. In addition,

A automobile with IoT capabilities has a typical car-like appearance. Drivers might not see the necessity for security as a result. However, a strong security system is needed to avoid attacks in order to employ automated driving safely and securely.

infrastructure construction

With the adoption of IoT in cars, a vast quantity of data will be gathered and exploited, including driving records from thousands or tens of thousands of drivers as well as information about the state of the roads and the weather. Automated driving systems can be developed to be more rigorous the more data is gathered and the more accurate it is.

But in order to manage and distribute it effectively, infrastructure like base stations and networks must be built. Another major concern is infrastructure security. If cybercrime is permitted anywhere in a network of millions of vehicles travelling to various locations, the resulting accidents could be much more serious than simple car accidents. It can be argued that the development of infrastructure and its security measures are crucial for these reasons.

Examples of IoT applications in the auto industry

IoT is causing a variety of changes in the automotive industry. There is already fierce competition among businesses to create IoT-based services for cars. We will pick up and introduce some common use cases right now.

involvement of wearable terminals

Cooperation with wearable terminals like smartwatches is progressively being established with the introduction of IoT in autos. In other countries, sharing route instructions between a car and a smartwatch is already available. The car will navigate to the specified location once a destination has been set on the smartwatch, and navigation will continue even after getting out of the car and starting to walk.

Furthermore, it is possible to remotely control the car’s air conditioning and lock and unlock the doors using a wearable device with a car-specific programme installed. Additionally, when a car is taken, it immediately contacts the operator and uses GPS to pinpoint the location, which aids in early discovery.

In this way, connecting IoT-enabled automobiles and wearable technology already has a number of use cases. We’ll keep coming up with innovative ways to use this connection with wearable technology.

Robot taxi dispatch

A “robot taxi” is being developed by ZMP and DeNA together. Self-driving taxis called robot cabs can be called and utilised through a mobile device. The automatic driving taxi will arrive at the specified location after you enter the destination and accept the price setting. The on-board camera detects you as a passenger and unlocks the door as you board. It will automatically choose the quickest route to your destination after you board.

Robotic taxis have the potential to replace traditional taxis as a convenient and safe way for foreigners visiting Japan who do not speak Japanese to get around the country’s tourist attractions. In areas with a lack of public transportation, it is also anticipated to become a daily mode of transportation.

Self-driving auto dispatch services have been started in other countries. Drivers are now on board just in case, but in the future, services could be offered without drivers.


The implementation of IoT is helpful for enhancing consumer interaction and driving data collection in addition to the realisation of autonomous driving. The ability to link cars and wearable terminals and to dispatch robot taxis have already been implemented as IoT functions. In line with security precautions, it can be argued that the integration of IoT into autos is steadily moving toward realisation.

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