The automotive supply chain is incredibly complex, consisting of numerous types of parts, hardware/software/firmware suppliers, distributors, dealers, regulatory agencies and insurance companies. Trusted suppliers are thoughtfully selected and managed, as well as checked and certified for quality, reliability and consistency. Blockchain technology enables the development of secure digital product memory records from the source of the raw materials, to how and where they were manufactured, including their maintenance and recall history. Product and assembly ownership, authenticity, trading, purchase and license use of each component can be protected with blockchains, allowing multiple supply chain partners to collaborate easily. Blockchains could significantly streamline supply chain processes, especially those that rely on regulatory and compliance approvals.
Blockchain technology is a foundational technology that has opened up a world of innovative opportunities for the automotive industry. OEMs could use blockchain technology as a platform to enhance their overall cybersecurity for vehicles, validate software bills of materials, enable secure micropayments, strengthen identity management and improve data validation. Blockchain will add the levels of trust and security necessary for a self-driving future for example.
The consensus view is that blockchain can fundamentally demonstrate huge efficiencies within industrial ecosystems and as you may recall from our recent article of the RAZR Hub and their project to build a supply chain that uses blockchain/smart contract technology specifically integrated into the build of ultra-sports cars by Sarthe Special Vehicles. This will be intetesting to watch!