The quick read: Two industry giants, IBM (information technology) and A.P. Moeller-Maersk (shipping) are joining forces to create a global supply chain management platform based on blockchain technology. Their new joint venture, Hyperledger Fabric 1.0, aims to standardize shipping logistics in an efficient manner. Maersk controlls 51 percent of the joint venture. IBM controls 49 percent of the new company, which will be based in New York. (LinuxInsider)
What to look for:
This new blockchain company will have two primary services offered to customers. First, its blockchain will create a digital information pipeline allowing for end-to-end visibility of a supply chain in real time. The second service, and arguably the most attractive aspect of this blockchain joint venture, is Paperless Trade. As the service implies, it’ll automate paperwork filings required in shipping products using blockchain-based smart contracts. This should allow for quicker approval of documents, and also create more legally binding agreements. In short, blockchain offers the potential to make the shipping industry more profitable and efficient. (The Motley Fool)
Smart take: Two of blockchain’s key features, distributed ledgers and immutable trust, are critical components in shipping, logistics and supply chain management. These sectors are natural fits with blockchain technology, and it’s no accident that there are currently several ventures in various stages of gestation trying to enter this same space.