IoT is the interconnections of various smart sensors and smart devices, and their communication is performed over the internet. A simple structure of IoT communication involves some basic components like sensors or devices, cloud, and user interface.

There is not much difference between simple IoT and industrial IoT (IIOT). However, they are considered different because of their applications. Simple IoT has end-users such as homes, buildings and offices, while the Industrial IoT is used for industrial purposes like supply chain, manufacturing, and other management processes.

The latest developments in industrial IoT are enhancing communication techniques. Currently, most communication is done through centralised servers or clouds which seem efficient, but it also has some issues like they can be prone to cyber-attacks (in case there are no such security policies in place), scalability issues, communication speed in case of more devices and performance during peak hours. To solve these issues leading IT companies like IBM, Microsoft, Linux, Amazon, and Waltonchain are working on the development of IoT networks based on blockchain technology.

Although blockchain technology is itself at a nascent stage, its advance features attracted leading IT companies to apply it in IoT. Blockchain in IoT will bring more advanced, secure and fast network for industrial use. Blockchain eliminates the few weaknesses that were associated with centralised systems. For instance, a distributed nature is more difficult to be hacked through cyber-attacks; more efficient towards scalability; and devices can communicate directly with each other locally, which make communication faster.

There are some companies like Vechain, NetObjex, Xage Security Fabric and Flowchain, which provides blockchain-based IoT platforms for businesses. There are also developments to make devices more IoT compatible with more advanced features. There is also a trend towards mobile apps for IoT.

The global market size of the industrial IoT is assessed in the range of US$ 50 billion to the US$ 150 billion in 2019 and is expected to grow at a CGAR of 15% over the next 5 five years. The assessment is derived from the industry research reports available in the market.