2025 Technology Trends in Freight Shipping That Businesses Should Know

For companies involved in freight shipping, embracing technological advancements is essential for both operational efficiency and strategic positioning. As evidenced by the seemingly overnight emergence of AI-driven systems across industries of all kinds, innovation evolves quickly; both shippers and freight carriers alike must be quick to not only implement new technologies but also predict emerging trends to achieve and maintain a competitive edge.

Of all the latest innovations throughout the market, three technology trends have emerged as standouts in 2025 that businesses should pay close attention to. Adopting these trends can vastly streamline operations, reduce overall costs, and improve the delivery process from end to end.

Telematics and IoT Integration

Telematics and the Internet of Things (IoT) are significantly improving shipping companies’ ability to use real-time data for insights on vehicle performance, driver behavior, and cargo conditions. This type of detailed information helps shippers, carriers, and fleet managers make strategic decisions that vastly improve their processes and cost efficiency. They can better optimize their shipping routes, improve fuel efficiency, expand real-time visibility, enhance employees’ productivity and time management, and more.

Broadly, the Internet of Things is an architecture of devices and systems that all connect and “talk” to one another and exchange information through the internet and cloud computing. IoT-based systems in freight shipping can help digitize an entire supply chain with much greater visibility and faster data reporting, as well as mitigate against data loss thanks to cloud storage.

Increasingly, IoT devices employ the use of AI and machine learning to enhance data collection, automation, and forecasting. IoT systems can help identify more efficient storage solutions, automatically trigger re-orders of inventory, alert on temperature variances for sensitive cargo, and track deliveries on specific goods using digital tags without having to open a single box. Automated picking, packing, and sorting improve warehouse operations, while predictive AI helps companies improve elements of their future operations, such as inventory demand, ordering windows, staff planning, warehousing needs, and more. 

Telematics—a combination of “telecommunications” + “informatics”—is a part of the Internet of Things specific to sensors and GPS trackers. Telematics systems combine hardware and software to offer in-depth analytics of a business’s shipment and fleet status. Onboard GPS hardware tracks a driver’s location in real time; connected software systems collect that location data, as well as additional information such as maintenance data, vehicle speed and usage (including safety alerts like hard braking or cornering), fuel consumption, engine performance, and more.

Companies like Geotab, Samsara, and Fleet Complete offer comprehensive telematics and IoT solutions tailored for the trucking industry. Geotab offers proprietary telematics devices as well as software support for third-party hardware that may already be in use across a fleet, while Fleet Complete’s connected data intelligence systems offer enhanced visibility into fleet safety and efficiency, as well as sustainability reports that help businesses reduce their environmental impact.

Advanced Fleet Management Software

A fleet manager’s core task is to ensure their team is operating at maximum productivity for  minimum cost. While manual fleet management systems have been around for decades, it wasn’t until the 1990s that web-based systems became standard practice. Today, the newest fleet management software solutions are increasingly sophisticated, with a wide range of features like route planning, fuel management, driver scheduling, compliance tracking, and real-time vehicle tracking.

Fleet management technology distills complex data—including telematics information such as vehicle diagnostics, geolocations, fuel efficiency, and driver behavior—into actionable solutions, like automatic maintenance scheduling, route optimization, accurate delivery windows, and reducing fuel costs. Fleet managers can also easily track things like:

• Driver licensing and training
• Vehicle insurance records and renewals
• DOT requirements (as well as local, state, and national laws)
• Employee wages
• Procurement costs

These software solutions help trucking companies streamline their operations, reduce costs, ensure regulatory compliance, and improve customer service by providing accurate delivery estimates and real-time updates. They can also help managers reward positive driving and mitigate against dangerous liabilities. Data is often stored in the cloud as part of an IoT-based system, making it secure and easily accessible from anywhere.

Providers like Verizon Connect, Trimble, and KeepTruckin are leading the market with advanced fleet management software solutions. For example, Verizon Connect’s customizable platform offers elements including GPS and mileage tracking, fuel management, roadside assistance, service history logging, and comprehensive reporting on a cadence of your choice (daily, weekly, monthly, or quarterly), to name a few. Optional AI-powered dashcams mitigate dangerous driving and alert you within moments of a security incident. It also supports API-based telematics integration toolkits that can connect to payroll and billing platforms, maintenance software, and other third-party systems you may already be using. 

Big Data and Predictive Analytics

The use of big data and predictive analytics in the logistics industry is transforming how trucking companies operate. The term “big data” doesn’t just indicate large data sets; rather, it refers to massive amounts of data that are substantially diverse and complex, often difficult to manage and analyze using typical data analytics tools, and both generated and collected at high speeds.

For those in shipping, freight, and supply chain management, big data includes traditional data points like:

• Transit times
• Employee wages
• Insurance costs
• Fuel costs

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It also encompasses non-traditional, time-sensitive data like:

• Sensor- and GPS-generated data
• Weather events
• Unexpected maintenance and repairs
• Highway closures and traffic delays

The emergence of machine learning, AI, and IoT-based systems have opened the door to predictive analytics, which uses probability theories based on identified trends and patterns within historical data to predict future likelihoods. Businesses are able to analyze large volumes of complex data quickly, and use them to identify patterns and predict future outcomes that significantly improve efficiency. 

Companies like SAS, IBM, and Oracle offer powerful analytics platforms that can be customized for the trucking industry. Examples of predictive analytics in action include forecasting maintenance needs, thereby reducing breakdowns and fleet downtime; optimizing freight routes, resulting in less fuel costs and higher on-time delivery rates; and identifying risky driving behavior patterns, enhancing safety and reducing liability risk.

How Flock Freight Uses Emerging Tech for Smarter Shipping

As a leader at the forefront of freight technology, Flock Freight utilizes big data and predictive analytics to power our innovative Shared Truckload (STL) solution, FlockDirect®. This cutting-edge platform leverages AI and machine learning to find and fill empty spaces on trucks traveling on the most efficient routes.

Combining proprietary algorithms, operations research, and big data, FlockDirect® analyzes trillions of possibilities and matches compatible freight shipments to trucks traveling on the most efficient routes and schedules. Predictive analytics forecasts the poolability of shipments, while optimization algorithms use real-time data to find the optimal route. Data models of packing configurations and transit times create shipping options that significantly increase on-time delivery rates and reduce the risk of damage.

Stay Ahead of Shipping Technology Trends

From increased visibility and data sharing thanks to advanced telematics and IoT systems, to optimized costs and outcomes thanks to big data and predictive analytics, these trends offer shippers and carriers powerful tools to increase output while reducing costs. The future of shipping lies in even more intelligent technology; therefore, it’s critical for any businesses’ long-term health to evolve and adapt, no matter where they are in the supply chain.