Electronic Giants, Samsung are seeking to use blockchain technology to track its global shipments. Song Kwang-woo, the Vice president at Samsung SDS Co. told Bloomberg that the tech giant hopes to reduce its shipping costs by up to 20 percent by using a distributed ledger system.
Samsung SDS was established as the ICT arm of the Samsung Group. It is responsible for the application of innovative technologies like blockchain and artificial intelligence (AI) in Samsung’s operations. Through Samsung SDS, the parent company has expanded its blockchain operations in the areas of finance and logistics while pioneering blockchain for manufacturing.
Song, who in charge of blockchain activities at Samsung SDS, expressed optimism about the initiative. While describing blockchain as a core platform to fuel Samsung’s digital transformation, he noted that “it will have an enormous impact on the supply chains of manufacturing industries.”
Blockchain Technology for Shipping and Logistics
The interest in blockchain has grown rapidly in recent months. Buoyed by the popularity of bitcoin, the technology has had better reception in the mainstream sectors than Bitcoin or cryptocurrencies in general. Due to the potential and diverse application of the technology, individuals, institutions, and governments are positioning themselves to explore its benefits.
Shipping and Logistics are areas where blockchain have proved very useful. Recording and verifying shipping details over a blockchain ledger is known to reduce time these kinds of paperwork as well as shipping costs. Last month, Alibaba’s Subsidiary T-Mall made plans to transfer details of shipments to a blockchain ledger to be easily tracked. the biggest container shipping line, Maersk, is working with IBM to apply blockchain on an industry-wide scale. In January the companies entered a partnership to create a platform that will track cargoes and automate shipping paperwork. This platform will be powered by blockchain technology.
Solomon Sunny is the market reporter for Smartereum, one of the global leaders in Ethereum, blockchain and currency news. He produces technical price updates on digital currencies and writes recent developments about blockchain.
