Fourth Industrial Revolution Now is More About AI than IoT

Until artificial intelligence seemingly swept nearly everything before it, the “Fourth Industrial Revolution” or “Industry 4.0” was mostly about applying sensors and the internet of things to machinery used in factories. Recently, we are more likely to hear it said about applied AI. 

When the term “Fourth Industrial Revolution”  was popularized (notably by Klaus Schwab of the World Economic Forum starting around 2016), its initial core was the fusion of physical and digital realms. 

The Internet of Things was viewed as the key enabler, referring to the network of physical devices, sensors, machines and software that allows machines and computers to collect and exchange data. In a factory setting, this meant equipping machines with sensors to gather real-time data on their performance, environment, and output.

Of course, the issue, as always, is not “data” as such but the ability to wring useful insights from data. For that reason, we are starting to hear AI mentioned as driving the Fourth Industrial Revolution. 

Revolution	Key Characteristics	Approximate Time Period
First Industrial Revolution	Mechanization of production using water and steam power. The transition from agrarian and handicraft economies to industry and machine manufacturing.	Late 18th to mid-19th Century (c. 1760s - 1840s)
Second Industrial Revolution	Mass production driven by the widespread use of electricity and the advent of the assembly line (e.g., in steel, oil, and automobile industries).	Late 19th to early 20th Century (c. 1870s - World War I)
Third Industrial Revolution	The Digital Revolution, involving the use of electronics, IT, and automated production. The rise of computers, the internet, and early automation.	Mid-to-late 20th Century (c. 1950s - 1970s onwards)
Fourth Industrial Revolution?	Fusion of the physical, digital, and biological spheres, use of artificial intelligence. `	21st Century (2024 and forward)