Even Samsung understood the potential of the blockchain technology.
Apr 17, 2018 Posted / 976 Views
One of the one of the world's biggest smartphone manufacturing company, Samsung is looking forward to implementing the blockchain technology for its shipping services which is spread globally throughout the world.
According to Song Kwang-woo, the blockchain chief at Samsung SDS Co., the group’s logistical and information and technology arm, Samsung Electronics Co. is likely to adopt the distributed ledger system in order to track all their Global shipments which worth of almost billions of dollars. This technology implementation would reduce the shipping cost by almost 20%.
While all the other companies are just planning to deploy the distributed ledger technology in order to track all of their products including cross-border payments and tracking a life cycle of Chickens. Samsung has become one of the world's global markets to deploy the technology practically.
“It will have an enormous impact on the supply chains of manufacturing industries,” said Song, who’s also a vice president at SDS. “Blockchain is a core platform to fuel our digital transformation.”
The blockchain technology has gained the limelight due to the Bitcoins exponential rise in the price. The blockchain technology has already been entitled to a second biggest thing after the internet that the world has ever experienced. Its adoption by the corporate world is not that much until now but Gartner Inc. predicts that the technology will be worth $176 billion by 2025.
The implementation of blockchain Technology in the shipping industry reduces a lot of paperwork which is to be carried out by the people at ports also when the goods are transferred from one authority to another. The documentation cost for shipments is twice when compared to the automated shipping system which is embedded by the blockchain Technology.
This year SDS is expected to handle 488,000 tons of air cargo along with 1 million 20-foot-equivalent (TEU) shipping units. All these cargoes would be including the organic light-emitting diode displays and also Samsung Galaxy S9s manufactured by the Samsung Electronics. The implementation of blockchain Technology could help reduce the shipping time and meet the deadlines for the launch of the products. According to Cheong Tae-su, a professor of industrial engineering at Korea University, this adoption would be a very major blow to the rivals giving competition to it especially in the emerging consumer markets like China.
“It cuts overhead and eliminates bottlenecks,” Cheong said. “It’s about maximizing supply efficiency and visibility, which translates into greater consumer confidence.”
In toto, the blockchain technology has been adopted by various fields. It is considered that the blockchain technology has the real potential to solve most of the real world practical problems. From providing solutions in the electoral system, providing smart contracts to develop trust, helping in the development of cryptocurrencies, and also now providing assistance in the shipment service, the blockchain technology is the most widely used and implemented one these days.
Applancer is an open platform for discussion on all things like Blockchain , Cryptocurrency and Ico news updates. As such, the opinions expressed in this article are the author's own and do not necessarily reflect the view of Applancer .
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