Samsung SDS, the IT solutions and logistics service arm of South Korean electronics giant Samsung Group, has revealed a further implementation of blockchain during an official announcement on June 20th. The firm said it will use blockchain and artificial intelligence (AI) in its new logistics platform, known as Cello 3.0.
Cello 3.0 is an innovative logistics platform that integrates Samsung SDS’ global logistics knowhow, blockchain, and artificial intelligence.
Kim Hyung-tae, Vice President of the logistics business division of Samsung SDS, commented on the new platform during its release event:
We will provide services to global e-commerce sellers with CelloSquare 3.0, which combines cutting-edge IT with Samsung SDS global logistics operation experience.
Global e-commerce merchants will be able to reduce delivery time and costs by using the optimal shipping methods and events that CelloSquare 3.0 automatically selects.
In particular, CelloSquare 3.0 as a blockchain technology can not be tampered with, and it can prove the origin of international cargo, raising the reliability of the delivered product.
Currently, in the pilot project using blockchain technology, the buyer can easily check information such as the exporting country, the name of the exporting or importing company, and the distribution history to the NFC (short-range wireless communication) tag attached to the imported luxury goods.
In addition, CelloSquare 3.0 greatly improves convenience by providing a mobile tracking service that enables end users or shippers to view information on order or delivery status, as well as many other details, on their mobile phones in real time.
Samsung SDS will provide a premium service that predicts the sales volume of shippers and suggests logistics cost savings by analyzing sales and demand information based on machine learning.
On the same day, Samsung SDS signed a business agreement to link logistics information of IBK Industrial Bank and CelloSquare 3.0 with an export payment system. This allows the exporting SMEs to deliver after confirming the escrow account deposit of the trade price, thus enabling safe transactions.
More Firms Exploring Blockchain
Samsung is not the only company in the logistics sphere that is exploring how to integrate blockchain technology in its offerings. Other companies like DHL and FedEX are also exploring blockchain to enhance safety, efficiency and reduce costs.
Most of the firms in the logistics industry have realized that blockchain technology, when embedded in a platform, can raise product reliability as the technology prevents forgery and alteration of places of origin of international cargo.
By applying a blockchain technology that cannot be modified or stolen, it will prove the international cargo’s origin and increase the reliability of the product,
– Explained Hyung-tae.
The company did not however announce the release schedule of the much-awaited Cello 3.0.
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