the promising implications of 5G for the logistics industry

Global 5G adoption is poised to hit 1 billion this year, with connections growing rapidly in recent months. For stakeholders in the logistics industry, 5G technology represents new hope for burying the enduring challenges the industry has faced. However, 5G has much more to offer than lower latencies and faster speeds.

There is no doubt that 5G will significantly affect the logistics industry, but it is a question of what that effect is. There are reasons to believe that 5G will make the logistics industry safer and more efficient.

The scope of possibilities for the logistics industry is enormous; 5G in logistics can enable better decision making, risk mitigation, and autonomous shipping. All of this lays the foundation for even greater advancements and ultimately revolutionizes the way we do logistics today. As new digitized supply chains define how we do business, logistics must be reinvented to meet modern demands.

Minimize supply chain risks

With its high level of complexity in the logistics industry, innovative technologies can make a significant difference. This is especially true for supply chain visibility, one of the main concerns of logistics professionals today, as they grapple with the perennial challenge of ensuring the safe transportation of goods.

COVID-19 has exacerbated this problem, as only 6% of companies report now on complete supply chain visibility.

By providing more bandwidth and higher speeds, 5G networks will make it much easier for people and businesses around the world to track their shipments and monitor their inventory in real time using IoT devices.

With so much information available about the location, condition, and status of each package or shipment at any given time, logistics companies can provide detailed updates on delivery progress and address customer inquiries more quickly and effectively.

For its part, 5G will provide the network foundation that will make IoT work more efficiently. By 2026, the 5G IoT market is expected to be priced at a massive price $40 billion.

The high bandwidth, low latency, and low power requirements of 5G networks mean that more connected devices can be supported in better ways than ever before. In general, 5G will allow tracking of several parameters at once and will allow more accessible and cost-effective solutions.

Autonomous Trucks

Trucking is one of the most important aspects of shipping. As of 2019, freight transport by road (mainly by truck) amounted to more than 75% of land freight transport. 5G is set to revolutionize the way road freight transport is done, marking the shift from labor-intensive processes to efficient and efficient operation.

The arrival of autonomous trucks on public roads will be a game changer for the logistics industry. It will significantly reduce transit times, human resources, and vehicle costs, translating into significant cost savings for businesses. Mainly it will be a great boost for companies that transport heavy goods, ensuring cheap car shipping and big machines.

However, completely autonomous trucks they require are still far from regular use. In addition, much work needs to be done on safety before they can be used on public roads. However, it is clear that 5G will be an essential part of this development because it can provide the extremely low latency required for autonomous vehicles to make split-second decisions.

Predictive Decision Making

Predictive decision making is critical in logistics, where decisions are often based on imperfect information about current and future conditions. For example, a predictive solution might suggest that delivery routes should be adjusted to minimize travel time or that goods should be delivered sooner to avoid potential supply chain disruptions caused by weather or other factors.

Since data analysis is crucial enabler of 5G adoptionAs the amount of data generated increases, we hope that 5G networks will help us make better decisions through faster access to more information.

Applied to the logistics industry, 5G will allow more connected devices and sensors to be used in predictive decision making within logistics. This will improve inventory management, reduce costs and increase customer satisfaction.

Advanced 5G technology would improve data logging from sensors placed in vehicles or containers, including traffic congestion, weather conditions, temperature, humidity levels, and various shipping conditions. This data can be used with geolocation information to predict problems that could affect transportation routes.


The multitude of advantages associated with 5G and the prospect of higher bandwidths will open up technologies in the Internet of Things, autonomous driving, data analytics, and more. And since it’s just getting started, the real question is how to make the most of 5G’s potential.

With all the promise that 5G holds, there is no doubt that it could be a dream come true for logistics companies globally as its adoption expands.

5G will bring new and unique business opportunities to logistics companies and improve collaboration between suppliers and customers.

Image credit: provided by the author; by ADMC from Pixabay; Thanks!

Daniel Moyanda


Content Writer | Digital Marketer | Thought leader. Also a contributor to Huffington Post, Entrepreneur, Dzone, SAP, InfoSec Magazine and more…

Leave a Reply

Your email address will not be published.