Samsung implements a blockchain for improvement of logistics and saving billions of dollars

On April 16, 2018 Samsung Electronics announced implementation a blockchain system for management of a huge global network of deliveries which the company has. Due to new technology the South Korean giant expects to save billions of dollars.

Logistic the solution blockchain for Samsung was developed by subsidiary company — Samsung SDS. Her vice president Song Kwang-woo who is responsible for a blockchain projects said that a new system will have a huge impact on supply chains in manufacturing industry.

Samsung implements a blockchain system for improvement of logistics and saving billions of dollars

The blockchain is the key platform stimulating our digital transformation — he said.

Samsung Electronics decided to use a blockchain for reduction of time and increase in process performance of start of products and their deliveries to end users.

In Samsung SDS expect that in 2018 the platform will process delivery of 488 thousand tone of aviation loads and 1 million twenty-foot equivalents (the unit of measure of capacity of cargo means equal on volume to a twenty-foot container) consisting of smartphones, displays and other products. It is supposed that the innovation will cut down expenses on the goods delivery on 20%.

Professor of industrial mechanical engineering at the Korean university in Cheong Tae-su considers that use of a blockchain finally will make products of Samsung more competitive as the company will be able to accelerate time necessary to start deliveries of devices after their announcement.

Bloomberg calls Samsung by one of the first global producers which took a serious step to parts of use of a blockchain. According to forecasts of analysts of Gartner, thanks to technology of the company will gain $176 billion an additional income worldwide by 2025.^[1]

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