Over the last decade, the oil and gas industry has been facing a number of challenges, including decreasing oil prices, reducing cash flows, and the difficulty in adopting digital solutions for addressing the fluctuation of pricing and demand in the market. Further, the increasing demand for clean energy and sustainability is also affecting the growth of the market. The Internet of Things (IoT) technology offers solutions to the industry that can help overcome these challenges. One of the major requirements of oil and gas companies is the access to real time information across remote locations which is made possible with the use of IoT sensor data technology.
The current trend of low rate of demand of crude oil as compared to supply rate has resulted in a considerable decline in the price of crude oil since 2014. Since the lifting of global sanctions from Iran, the supply of crude oil has increased significantly. The demand for electric vehicles has increased over the last few years in lieu of the impending climate change, thus, the demand for crude oil has decreased drastically, especially in China, and the increased production of shale oil in the U.S. are collectively affecting the prices of crude oil, which is not expected to gain momentum in the coming years.