Five Reasons Bosch Is Jumping On The Ethereum Blockchain

Bosch, the world’s largest automotive company, is now running prototypes using Ethereum which is the world’s second largest blockchain. This makes Ethereum the biggest competitor to IOTA, which the multi-billion dollar giant has been working with since 2017. BOSCH has also been working with Hyperledger, one of BOSCH’s partners within MOBI. MOBI refers to Mobility Open Blockchain Initiative.

The multinational has not yet revealed how it intends to use Ethereum and its smart contract technology. But BOSCH has demonstrated a use-case for the Ethereum blockchain in the past. A trial of electric car charging ports which will transact and communicate autonomously with vehicles was introduced by BOSCH at its annual conference, BCW2019, held last week in Berlin.

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As announced on BOSCH’s website, “the Ethereum platform allows such projects, including for example, in the case of Bosch applications, autonomously charging and paying EV.”

Reasons for BOSCH jumping on the Ethereum blockchain

1. It needs self-driving technology and IoT connectivity.

2. BOSCH is eyeing the distributed ledger technology as a necessary system to restore trust in the internet by democratizing it.

3. It prefers Ethereum as it believes that it is a secure and trusted network which provides a foundation for real-world applications to operate from.

4. Its need for a transparent yet immutable network which has the ability to tailor the experience of customers by providing relevant results. It will help them become aware of the requirements of customers and adopt the right measures to match them accordingly.

5. BOSCH has laid out its plan for the “economy of things.” This showcases a world of the machine to machine communication. It needs Ethereum for this, as it needs sensors and smart contracts to operate in conjunction to provide a seamless experience to customers.

 

As per BOSCH’s press release on blockchains, “To build trust in digital ecosystems, we need open platforms and an internet in which users have the power to decide for themselves. If users are “captive,” a web platform provider can change its terms of use at will. By gaining independence from the big internet players, users no longer have to blindly accept such changes.”

 

BOSCH Limited is a manufacturer and trader of automotive products in India and international destinations. It offers consumer goods, industrial, automotive, and energy, and building technology products. It also provides packaging solutions, system solutions, and a service portfolio for confectionery and food industries. It was founded in 1951. It has its headquarters in Bengaluru, India. It is a subsidiary of Robert Bosch GmbH. It also specializes in thermo-technologies, indoor climate and domestic hot water technologies, solar thermal systems, heat pumps, condensing technologies, and home appliances.

 

BOSCH has had a solid relationship with IOTA, followed by Hyperledger. IOTA is not a blockchain. It is one which claims to go beyond a blockchain. IOTA Tangle resolves the scalability challenges of existing blockchains and enables the transfer of value without transaction fees. However, observers say that IOTA, which is a rival to Ethereum, was not addressed by BOSCH at its annual conference. One main advantage of Ethereum over other blockchain networks is its nature of being a fully open source blockchain.

 

BOSCH plans to use Ethereum as a trial. Whether it would choose IOTA, Hyperledger, or Ethereum or choose to combine all three is unknown. There are even chances for BOSCH to roll out its blockchain. Whatever may be the outcome of this, blockchain will be brought to a future near you.