How Internet of Things (IoT) Will Revolutionize the Automobile Industry

The Internet of Things (IoT) is a relatively new technology that has the potential to transform the automobile industry. Integrating IoT into vehicles, can make it more efficient, smarter and safe to ride. Predictive maintenance, Car2Car communication, Wi-Fi capabilities backed by 3G/4G/5G functionality, and improved fleet management are just a few of the ways IoT-based solutions are revamping the automotive sector. This blog will shed light on the advantages of IoT in the automotive industry and its role in shaping the future of the automobile industry.

Top 5 advantages of integrating IoT into automobiles

The Internet of Things is now gaining traction in the automobile industry. All around the globe, automobile manufacturers are leveraging this technology in order to stay competitive in the market. The top 5 advantages of integrating IoT into automobiles are as follows:

  1. Predictive Maintenance

Predictive maintenance can help both private owners and fleet managers to obtain the necessary information ahead of time. It makes use of IoT sensors to gather data on the performance of various parts of a vehicle, collected data is transmitted to the cloud in real time, and assess the risks of malfunction. Following the processing of information, a driver is notified and advised of any essential servicing or repair to eliminate potential mishaps.

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With IoT connectivity tools, drivers no longer have to face the hassle of unexpected breakdowns on the road.

  1. OTA

Visiting service centers for software upgrades is not only annoying for car owners, but also expensive due to the massive labor required. Furthermore, many car owners ignore software updates entirely, putting themselves at risk of outdated software that is not only slow and inefficient, but also vulnerable to cyberattacks.

Over The Air (OTA) updates eliminate these risks by making software updates fast and simple. Original equipment manufacturers (OEM) can simply distribute the updates over the internet so that the vehicles will download and install on their own.

  1. Fleet Management

The adoption of IoT technology allows the business to trace the whole journey of their vehicles. The basic objective of this monitoring is to keep the fleet under control, foresee difficulties, provide timely maintenance, and identify the best route. As a result, IoT-based fleet monitoring helps businesses to track real time vehicle positions, conduct remote auto diagnostics, manage vehicle routes and mileage while saving time and money.

  1. Improved Engineering

Automobile manufacturers can make use of IoT technology to acquire important information concerning critical business components such as vehicle design and service provided. IoT sensors can be used to collect information on how drivers interact with their vehicles. Manufacturers can change the design of vehicles based on which functions are used or unused. They can create a better model that incorporates key elements while eliminating others that aren’t, this can in a way boost sales.

  1. Connected Cars
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Connected car is the latest trend dominating the automotive industry. It will be connected to the internet either through an inbuilt chipset or SIM card. Connected vehicles can download over the air updates, offer onboard WiFi connectivity and access other online services.

Nowadays, automobile manufacturers offer a specific smartphone app that enables users to communicate to the vehicle over a wireless network. The software allows users to remotely handle functions such as locking/unlocking doors, turning headlight on/off, engine start/stop, opening sunroofs, and even honking the horn. The app will also assist in locating the automobile using the internal GPS.

Apart from these, certain high end connected cars also come with benefits of remote parking. This feature enables the driver to get out of the vehicle and guide the car using a smart app to park the vehicle in a highly congested area. This not only eliminates the hassle of parking in narrow spaces but also the risk of accidents.

Futuristic applications of IoT in the automobile industry

The Internet of Things has opened up a whole new world of possibilities in the automotive industry. IoT technology can help automobile manufacturers to improve customer experience, boost global market share, and save operational expenses. Now let’s take a look at the future of IoT applications in automobile industry:

Theft detection

The need to monitor car equipment has become apparent during manufacturing and maintenance processes. RFID tags will identify the stolen parts as well as the exact time of the incident and IoT sensors will enable real-time tracking of each component. In future, GPS tracking systems will be integrated with Google Maps to aid in tracking down the culprits of the theft.

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Self-driving cars

The world is going to witness roads filled with self-driving cars in the near future. Based on a number of sensors located throughout the vehicle, autonomous vehicles will develop a map of their surroundings such as nearby vehicles, traffic blocks, pedestrians on road etc and will operate without human intervention.


IoT services have uplifted the face of the automobile industry in tremendous ways. Its deployment resulted in several dramatic advancements such as vehicle safety, comfort, and elegance. Embedded IoT sensors on the vehicle’s surface help to prevent collisions and enforce safe and hassle- free driving. By leveraging IoT technology into automobiles, both drivers and vehicle manufacturers are sure to reap benefits.

Also See:

Internet of Things (IoT): The Future of Tech

6 Technologies to Shape the Professional World in the Coming Years

Author Bio

Manju Amarnath is an enthusiastic content writer working at ThinkPalm. She has a keen interest in writing about the latest advancements in technology. Apart from writing, she is a classical dancer, embraces fashion attires and loves spending time with her pets.