The paper studied the connection between internet of things (IOT) technology and transportation industry. Meanwhile,the definition of IOT in transportation was given. Concerning that many problems occurred during the process of traditional intelligent transportation system,the paper proposed a promising model of IOT in transportation. The advantage of the information utilization model from information to function was confirmed through comparative study. Finally,the model presented that a real interconnection of transportation would be achieved based on the unified information collection. It can greatly save cost on technology transfer,exploit potential value of information,and promote the emergence of a sustainable information service market and the industrial upgrade. The paper studied the connection between internet of things (IOT) technology and transportation industry. Meanwhile, the definition of IOT in transportation was given. Concerning that many problems occurred during the process of traditional intelligent transportation system, the paper proposed a promising model of IOT in transportation. The advantage of the information utilization model from information to function was confirmed through comparative study. Finally, the model presented that a real interconnection of transportation would be based on the unified information collection. It can greatly save cost on technology transfer, exploit potential value of information, and promote the emergence of a sustainable information service market and the industrial upgrade.