IOT in Auto-mobile Industry

This report investigates the impact of Internet of Things (IoT) technology on the Australian automobile industry. It analyzes the advantages and challenges of adopting IoT, including increased efficiency, enhanced customer experience, and potential issues like cost, connectivity, and regulatory hurdles. The report also examines the industry's transformation towards autonomous vehicles and the future of mobility.

RESEARCH REPORT

ABSTRACT
The purpose of this report is to identify the IOT process and its impact on Auto mobile
industry. Structure of this report is based on their working styles, as discussed above, firstly
research mention the purpose of this report, topic of report, problem statement, annotated
bibliography and other things that is essential for this research. By adopting IOT in Automobile
industry as its effect on profit margin and financial budgets the most. Australia is one of
technological advanced and forward-thinking country. In Australia there are 14.7 million internet
subscribers at the end of June 2018. This an increase of 3.6 percent from the end of December
2017. Further, advanced cars are already linked for a while, considering that they can connect
with smartphones, provide emergency roadside help, check in actual-time site visitors signals
etc., however this evolution is about to alternate. Internet of things as IOT simply a network of
internet or device that connect objects together and able to exchange and collect data. Auto-
mobile industry is huge range of organizations and firms involved in development, marketing,
design, manufacturing and selling of motor vehicles. Internet of things has been implemented in
Auto-mobile industry in different types of apps or methods.

TABLE OF CONTENTS
1. ANALYSE...................................................................................................................................1
1. Purpose....................................................................................................................................1
2. Topic........................................................................................................................................1
3. Structure...................................................................................................................................1
4. Problem statement...................................................................................................................1
5. Annotated bibliography...........................................................................................................1
2. LITERATURE REVIEW............................................................................................................3
Introduction..................................................................................................................................3
Theme 1: Usage of advance technology Internet Of Things (IOT) in automobile industry........3
Theme 2: The advantages of Internet Of Things IOT in the transformation of automobile
industry........................................................................................................................................5
Theme 3: Challenges faced in using Internet of Things (IOT) in auto-mobile industry.............8
3. CHALLENGES OR PROBLEM...............................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

Topic: IOT in Auto-mobile industry
1. ANALYSE
1. Purpose
The purpose of this report is to identify the IOT process and its impact on Auto mobile
industry. It helps to determine the whole procedure of implementing IOT in industry and how it
affects business growth and development. The main purpose of this report is to evaluate the
issues and challenges faced by industry while implementing IOT in its structure. With the help to
this report research get the best knowledge about IOT and identify how it works or perform in
entire industry. Reseracher considered as the best topic, it contributes to collect information more
and more about Internet of things.
2. Topic
The topic of this report is “IOT in Automobile Industry”.
3. Structure
Structure of this report is based on their working styles, as discussed above, firstly
research mention the purpose of this report, topic of report, problem statement, annotated
bibliography and other things that is essential for this research. In current report researcher can
used more things to make this study better, they can use primary data collection method which is
as much as effective as another. With the help of using this information collection way
researcher can improve report format more and more. Researcher can also use qualitative
research approach that can be beneficial for accomplishing this report. They can apply different
methods in this report that is relevant and helpful.
4. Problem statement
By adopting IOT in Automobile industry as its affect on profit margin and financial
budgets the most. It is a longer term process that might be difficult to handle or managed for long
period. Cannot run effectively and sustain for longer, IOT is difficult to operate by consumers.
IOT implementation process consume a lot of time of industry in which they have to focus a lot
more than the another projects. For implementing IOT in Automobile industry they have to wait
for governmental regulation which affect business success and growth.
5. Annotated bibliography
Article 1:
1

IOT is term that introduce in past years to describe objects that are capable to
communicate via internet (Wang, Chaudhry, & Li, 2016). Internet of things can dramatically
streamline how Auto-mobile industry will be managed and operated.
Article 2:
Auto-mobile industry around for some time and it has evolved ever since, but main
transformation that happen now from cars driven by people to vehicles driven by itself will
longer term effect community (Krasniq, Hajrizi, 2016)., industry moves towards IOT.
Article 3:
IOT (Internet of things) is becoming basic necessity and fast emerging need in general
life, the concept of using this technology in daily life is new (Dhall & Solanki, 2017), but it
impact on many functions and every day activities.
Article 4:
Automobile industry represent significant part accordant to transportation method in
general customer daily life (Weis and et.al., 2017).
Article 6:
Automobile industry in Australia is one of the fastest and largest growing industry
(Pawar & Rizvi, 2018), a lot of their products coming in market within IOT features.
Article 7:
From cars to air planes forms of transportation is essential and its aim is to meet business
or personal needs of displacement of products and persons (Luís-Ferreira and et.al., 2016). Those
wants include, reliability, safety and other things, by implementing IOT devices automobile
industry accomplish needs to consumer.
Article 8:
Internet cloud is based on real time auto-mobile monitoring system that influence on
services (Huo and et.al., 2015).
Article 9:
Automobile industry include a range of vehicles communication protocols that develop
for various vehicle applications (Aris, Sahbusdin & Amin, 2015).
Article 10:
Automobile industry is strategically centring on industrial markets and automotive
(Sowmya, Kumar & Srinivasa, 2017).
2

Aim:
To determine the usage of Internet of Thing (IOT) in automobile industry.
Objectives:
 To identify usage of advance technology Internet Of Things (IOT) in automobile
industry.
 To identify the advantages of IOT in the transformation of automobile industry in
Australia.
 To determine the challenges faced in using Internet of Things (IOT) in automobile
industry.
2. LITERATURE REVIEW
Introduction
Literature review is very important part of any research report as it provides the critical
analysis and the integration of information from a number of sources as well as consideration of
ant gaps in the literature and possibilities for the future research. This literature review providers
the reader with a picture about the topic of the report. This present literature reviews is based on
the themes that is prepared in the basis of objectives of the research report. The purpose of
writing a literature is to provide a clear understanding of the usage of Internet of Things (IOT) in
automobile industry.
Theme 1: Usage of advance technology Internet Of Things (IOT) in automobile industry.
According to the Zhong and et.al., (2017) the interconnection via internet of computing
devices embedded in everyday objects that enables to send and received data. It is the extension
of internet connectivity into physical device's ad everyday objects. It is one of the best advance
technology. Australia is one of technological advanced and forward thinking country. In
Australia there are 14.7 million internet subscribers at the end of June 2018. This an increase of
3.6 percent from the end of December 2017 (Future of Automotive Industry of Australia, 2017).
It is not possible to today to stand quite without having advance technologies. Caron and et.al.,
(2016) said that there was time the idea of autonomous vehicles was considered a vision of the
future, the technologies are available at that tome were not enough to support that vision.
However, the development of technologies like Internet Of Things (IOT). There was a time
when there was the idea of autonomous vehicles which was considered a vision of the future.
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Auer and Zutin, (2017) said that, the development of Internet of Things (IOT) and Artificial
Intelligence (AI) have a tremendous growth in automobile industry.
As per the views of Del Giudice, (2016) Internet of Things are the fancy technology for
the future of automobile industry. The usage of IOT is great in the automotive industry as it
enable the transportation to the grater efficiency and capabilities of management as well as it is
leading us to the future of intelligent. As per the research conducted in the global market, it has
been estimated that the use of IOT will reach to the US$ 106.32 billion by 2023. It will save the
resources like tome and money as well as maximise the productivity. The most application of
IOT is very interesting in automotive industry. Caron and et.al, (2016) said that, IOT in vehicle
infotainment as smarts application are being baked in the car system that provides many benefits
such as telematics, entertainment and navigation. Google has partnered with different auto
makers in order to integrate with the application like Play stores, Google Assistant and google
maps that provides information about the vehicle infotainment system. IOT has also connected
the external devices with the car system like Bluetooth devices, smart phones etc. Drivers are
now can go any where through the application of IOT. For example, Hyundai Motor Company,
Australian Automotive parts are the players in automotive industry that are leading in the world
as they have inserting the advance application in the car system to provide optimum facilities to
the drivers.
As per the findings of Auer and Zutin, (2017) Internet Of Things (IOT) has make the
entire industry very fast and forward as they are monitoring the car system in automotive
industry. The battery life of car is also monitored by Internet Of Things (IOT) as driver can
check the status of battery life. All the data or information about the car like total litres of petrol,
total running of car, seat belf notification, servicing of car and Aall such informations are
transferred to cloud that help to check these informations. In addition to this, IOT is also used in
predicting the capacity of battery when it turns low. Notifications of the services and all other
things are also held by installing the IOT applications. In addition to this, IOT does bnot only
used by drivers but is also connected wit the company as when the notifications are arrived in
both i.e. for company and drivers. Raza and et.al., (2017) argued that, there are various
drawbacks of using Internet of Things (IOT) like breach of privacy, over reliance on technology
and many others by which organisation are not thinking more that either to insert the data or not.
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Perera and et.al., (2018) also said that, Automobile industry is also using IOT as it is also
providing the predictive maintenance as with the help of this organisation as well as people could
monitor the functional metrics of vehicles parts such as status of engine temperature, electrical
wiring by which organisation could measure the performance and also forecast the performance
of the vehicle parts. However, Liao and et.al., (2017) stated that, organisations in automotive
industry are also using IOT as external sensors like cameras and proximity sensors which helps
in blind spot detection as well as aids in easy parking as well as safer driving. In additions to this,
drivers are also safe as thy could thanks the advance sensors which can supervise the
environment as well as surrounding patters in order to ensure the safer driving. Thus, with the
use of IOT automotive industry are growing continuously with the great pace and the future of
automotive industry is also very bright. The technologies or applications like Internet Of Things
(IOT) continues to grow as they are opening a host of market opportunities in the automotive
domain.
Theme 2: The advantages of Internet Of Things IOT in the transformation of automobile
industry.
As per the Pilloni, (2018) the auto-mobile enterprise has been operating from longer time
period and it has evolved ever but the predominant modification that is occurring now from
motors driven via human beings to cars driven by way of themselves can have a long term effect
on society. Further, advanced cars are already linked for a while, considering that they can
connect with smartphones, provide emergency roadside help, check in actual-time site visitors
signals etc., however this evolution is about to alternate. Further, Internet of things(IoT) is an
excellent network of integrated gadgets speaking and transferring the records with each other
accompanied via evaluating the gathered facts for useful data leading to higher choice making
and purchaser involvement.
However, Lee and Lee, (2015) also said that, the automobile industry is getting ready for
the modification, to transport to self-using vehicle industry, and the impulsive force behind this
is the quick growing era,i.e. Internet of things (IoT). Further, IoT will redesign the car industry
and simultaneously, the auto enterprise will offer a huge increase to IoT. Thus, the capability and
the possibilities of this technology is brilliant will provide various advantages to the automobile
5

industry. Internet of things is increasing rapidly within automobile sector and remodelling it by
the way of reducing the costs of the automobile industry, enhancing productiveness and
presenting higher purchaser experience. Thus, from manufacturing devices to car maker parts,
each person and segment within the automobile industry is experiencing the benefit of IoT.
As per the findings of Dehran, Agrawal and Midha, (2018) many advanced IoT programs
coming up within the automobile sector and more exactly in passenger car segment which is
inclusive of apps consolidation, guidance gear, innovative hardware that permits the users to
connect to their vehicles through smartphones, tablets etc. Moreover, IoT has proven to be
innovative for car makers. Further, the precious facts generated from IoT gadgets help auto
makers to display the car performance, understand driving styles and essentially pass promote
and up trade relevant services and merchandise to the customers of the cars. However Islam and
et.al., (2015) said that, except passenger cars, insurance businesses within the automobile
industries are making use of IoT to display the habits and driving styles of drivers, vehicle
elements carriers make use of IoT on the store floor to amend the functional efficiency by way of
lowering failure and downtime of the producing tools, further, logistics and supply chain control
companies within this industry are using IoT for cargo monitoring and fleet control. Thus, IoT
will modify the car allied industries more effectively. Further, With the support of this Internet of
Things, new designs of cars will be able to enhance their demand, distribution and valuation
across vehicle insurance in addition to finance sector as well. However, one of the most
important demanding situations for automobile industry is that safety can be tackled with the
help of automotive internet of things.
As per the views of Del Giudice, (2016) with the help of Internet of Things, the
automotive cars will consist of increasing cellular statistics associativity and integration. Further,
cellular devices becomes control gadgets that will operate connected automobile capabilities and
thus, automatic driving will become the standard. Further, records will go with the flow from
advanced mobile gadgets, to advanced connected automobile and advanced towns and
infrastructure. Further, automatic cars will posses vast capability to not only develop new
merchandise and improvements, but additionally lead to the advent of the latest organizations
and business structures with the automobile industry.
As per the Kaiwartya and et.al., (2016) new technologies has proven entire
transformation in the automotive industry as these changes are both speedy and break up. It is
6

fact that the entire automotive industry has been changed with the high pace as technologies. In
order to meet the demands of customers, organisations are installing this application in their
operations and functions but especially in car system. The main advantage of IOT in the
automotive industry is better customer satisfaction. Customer satisfaction is the core
achievements of all organisation because customers are backbone of the organisation. In
Australia, the vehicles that are available in the market has at least 10 million lines of important
codes of software. Like, with the IOT, organisation could also detect the defects and call the
customers for services and maintenance that raises the satisfaction of customers. However, Kong
and et.al., (2017) argued that, customer satisfaction is not only achieved by installation of IOT
and other technologies but it is achieved by the managing these applications like proper responds
and updated etc. only installation is not satisfied the needs and expectation of customers.
As per the views of Caron and et.al., (2016) IOT is also very beneficial in design ideation
of the vehicle as it makes very easy and effective to manage the life-cycle of the products by
raising the timeline of production as well as engineering. These alternations result in faster
regular marketing of goods as well as amend the satisfaction level of customers. The cost of
production and manufacturing is also controlled and decreased by differentiate the elements of
non-value driving and eliminating them from future designs. The designs isolations opportunities
includes of applying synthetic techniques as well as equipments in order to monitor the
performance as well as improve the process of ideation and design.
According to the Zhong and et.al., (2017) real time scheduling is another advantage of
IOT in automobile industry. The quality is the main focus in real time monitoring as it is very
important to gain competitive advantages. Automotive industry implement lean principles or
manufacturing approach that aids them to achieve better customer satisfaction and reduces the
cost of production. In addition to this, automotive industries used to connect the customers
through IOT application as with that they take the views of customers so that they can be aware
of the demands and expectations of the customers. Lee, (2017) stated that, the infrastructure of
IOT also aids in remotely collect the information in order to acquire the condition of car, usage
of car, location, habits of drivers and others information. The absolute after-market service
ecosystem can be develop to bring forth new opportunities of revenue by gathering, examining
and monetizing the information extracted from the millions of vehicles on the road. There is a
example of manufacturers can leverage the engagement and usage information collected from the
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vehicles to offer to their customers targeted commercial contents and offers, such as paid
upgrades for new features or infotainment content.
Theme 3: Challenges faced in using Internet of Things (IOT) in auto-mobile industry
According to that Hassanalieragh and et.al., (2015) When it comes to buy a car,
technology comes first and they are the new deal breaker for the auto mobile industry. From the
past study of car tech impact study from the auto trader, 89 percentages of buyer are willingly
wait for the up coming new technological features in the vehicles. And nearly half of the buyer
switch the brand to get the best technological vehicle in order to get best out of the many vehicle.
Recent study of the IBM auto industry excutive4s found that technological factors ranked top in
the survey that impact their market now and and 2025. the increasing choice of the customers of
the technological features of using internet of things may create some challenges in the front of
the auto mobile industry. These challenges are as follows:
As per the views of Lee and Lee, (2015) The connected vehicle conundrum, The first
challenge facing by the auto mobile industry is vehicle conundrum that is competing with the
mobile device makers. Most in the cars system still now days can not compete with the third
party applications. This put the manufactures in the same path. This allows the services like
android app and apple car play but this create the problem and make the limit of using it that
what application and services are available in the vehicle and how that works in touch screen.
When it comes to the technology such as On star which released in 1996 as a safety and security
service, had a important place rather than only used for emergency assistance. But now all these
are moved toward integrating with Apple Car play and Android auto duo to customer demand
across their digital devices. Solving this connected vehicle conundrum requires a manufacturers
to increase and raise the role of the services provider. Therefore, it is very necessary to
implementation of Internet of Things in the auto-mobile industry in the future time.
In order to that Farahani and et.al., (2018) Rewriting the rules which means Making to
moved and shifts to the service provider, it comers with the challenges that to define the rules
around connected vehicle like,what security measures will be used and what security measure
will be put in place, what type of consent and privacy agreements need to exist and the most
important who will get the data. In recent study of IBM which surveyed both OEMs and
automotive executives, have found that 73 percent of automotive have collaborate with other
industries which gibes the best offer and opportunities for growth through 2025.
8

As per the view of Coates, Hammoudeh and Holmes, (2017) Instead of facing problem or
ignoring it vehicle makers that provide the services mus leverage best in sales of third party to
provide the bes offer to the connected costumers and to satisfy them. As the company that stands
behinds other industry and enterprises that enable the foundation of technological adoption. Top
overcome the challenge by using internet of thing in the auto mobile industry, IBM takes the first
approach to empower those companies. for solving this companies must define their set of rules
for connected vehicle system. After having the conversation with the engineers, marketers, legal
and sales what they recommand about the set rule of the vehicle system.
According to that Frustaci and et.al., (2018) Auto-mobile industry is highly connected
Internet of Things (IoT) which is beneficial in relation to the digital revolution. IoT and related
digitalization technologies will lead is fundamental shift in the world of mobility. Internet of
Things helps to building tin up gradability which means shorter life cycle of electronic software
and hardware, customer highly expect that their cars will smoothly accommodate the latest
gadgets and automatically update them whenever needed. It is given rate of technology
development which can pose the real challenges. With these challenges, cars creators are finding
out new modes to decrease overall products costs, build in larger flexibility and different their
vehicles in time period in which software is fast becoming as key differentiators as body design
and fuel economy. For car makers, empowering linked cars is just the starting of the digital
journey. The progress of in-car tech and independent driving the capacities will open new
markets such as proactive control notification and cognitive e-commerce. Therefore, it is very
necessary to implementation of Internet of Things in the auto-mobile industry in the future time.
As per the views of Hassanalieragh and et.al., (2015) there are largest challenges of IoT
will be connectivity and ways of link by people and network the million of linked cars on the
road. As per power and battery, bandwidth consumption is also challenge of IoT which is faced
by car makers. With the using the IoT in business, it is to understand the consumer problem
statement and their value of industry. The utilization of IoT is very critical as per highest
hardware compatibility issues within the Auto-mobile industry. Through this, data connectivity
has wider developed. Therefore, existing some areas where data connectivity is an Internet of
Things implementation challenges. Using this technology, it is challenge for players included
when its comes to capture that value. The preparation for an Internet of Things modify
automotive future. The cruise control is the main challenges of using the Internet of Things in
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auto-mobile industry. This means leaning into shift toward self driving cars through leveraging
edge computing capacities. It is critical once automation become commonplaces and there is no
longer requirements to deliver driver specific applications for day to day commute. The
implementation of IoT is critrical challenge as per analytics challenges which includes data
processing, cleansing and representation. Therefore, leaving enough space for extensibility to
add real time and predictive analytics to Iot solution. Therefore, it is very necessary to
implementation of Internet of Things in the auto-mobile industry in the future time.
3. CHALLENGES OR PROBLEM
Consume time- Internet of things as IOT simply a network of internet or device that
connect objects together and able to exchange and collect data. Auto-mobile industry is huge
range of organizations and firms involved in development, marketing, design, manufacturing and
selling of motor vehicles. They implement IOT as whole industry that create many problesm, if
they adopt internet of things device in its products, it consumes a lot of time as it is a longer term
process which required more and more time to change and restructure industry product
manufacturing structure. As long process of implementing IOT auto-mobile industry face many
issues which can be affect its productivity and profitability.
Increase costs- Internet of things has been implemented in Auto-mobile industry in
different types of apps or methods. Certainly, cost of this process get increase more and more as
it depend a lot on particular types as industry use different features and technologies. It is one of
the more complex technology that needed more investment if any organization wants to
implement it its business structure. IOT device includes range of hardware devices and there
prices is based on its quality and work performance. Cost of internet of things gadgets is much
higher than Industry expectations which is difficult to adopt or implement.
Waiting for governmental regulation- In Australia there are some businesses embraced
IOT technology that can be beneficial or not. Auto-mobile industry can adopt internet of things
as whole in which they need to wait for government official regulation and approval. The cloud,
Common internet and the IOT are not tied to one particular state, nation or city, who is
responsible for setting these regulations. Many experts suggest that IOT regulation is essential,
they have to formulate any guidelines or standards for public to follow. These regulations take
10

time as Auto-mobile industry need to work hard and wait for time that has not been decided
before.
Need more focus for implement IOT- Internet of things is system that interrelate with
computing program or devices, if Auto-mobile industry implement IOT they have to focus a lot
in which their concentration is get distract and do will not be able to full focusing on another
project in workplace. IOT includes connected security program, cars, speaker system, electronic
appliances etc. If IOT is used by Auto-mobile industry it need to managed appropriately which
required a lot of focus as implement.
Connectivity problems- Internet of things has been connected with computer systems
and vehicles devices etc. IOT utilize in current form the centralized, workstation, server client
model to provide connectivity to different servers and systems. It is quite ineffective as
implement in Automobile industry. More over than 20 billion single units connect to IOT, which
is a matter of time as connection with products issues get arise more and more.
CONCLUSION
The present reports is based on Internet of things which can be adopt and implement by
Automobile industry in Australia. It has been concluded impact of IOT and problems that arise in
industry while they are implementing it its business model. The current study discussed about the
analyse of report and purpose of this study.
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