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Similar to industrial development, sensors and instrumentation development could be classified into four categories: mechanical indicators, electrical sensors, electronic sensors, and smart sensors [205]. Recent evolutions and advancements of sensing technology in the field of Industry 4.0 are exclusively entitled as Sensor 4.0 [205].

Smart sensors are advanced platforms often associated with intelligent sensing and adaptive communication with physical and computational environments. They connect many different physical and informational subsystems that create the necessity for algorithms to quickly assess streamline analysis. Smart sensors could be linked together over wireless and cellular networks and carry larger volumes of data at reduced latency. Therefore, they are considered a key component for developing IIoT applications and providing efficient, reliable, and robust functionalities for a given system.

Along with the increased capabilities of smart sensors, they have also become more flexible, power efficient, and miniaturized. Fusing sensing and local computing capabilities provides a solid framework for intelligent machines used in smart environments.