Internet of Things: How Much Does it Cost to Build IoT Solution?
IoT is trending. Companies invest in new tech...
In 2020, the business IoT unit installed base is expected to reach 7.6 billion devices. 70% of Fortune 100 companies including General Electric and Cisco achieve innovation through the Internet of Things, which allows them to outpace competitors, meet the ever-changing customer demand and unlock the potential for new revenue streams. Seven in 10 executives claim IoT has helped their companies increase revenue by 1-15%.
However, there are two sides to every coin. Businesses looking to increase operational efficiency with IoT must assume full responsibility for the security and integrity of their connected systems, as the current regulations regarding the Internet of Things deployments remain a suggestion rather than enforcement, and only 10% of IoT vendors are confident in their product’s security.
IoT Device Security: What Makes Connected Gadgets Vulnerable to Hacker Attacks?
Technically, the major factors undermining the Internet of Things security can be summarized up in five points:
- Vague or non-existent IoT security standards.
- Inadequate IoT security solutions implemented at an enterprise scale.
- Weak password policies.
- Flawed IoT system design which restricts firmware updates.
- Documented vulnerabilities affecting hardware and software components of an IoT software ecosystem.
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Why Businesses Must not Ignore the Internet of Things Security Problems
- Between 2017 and 2018, security experts registered a 600% surge in IoT-related cyberattacks.
- 48% of companies using the Internet of Things have experienced at least one cyberattack. The same percentage of businesses (in the UK, the number amounts to 58%) cannot identify an IoT-related security breach in a timely manner.
- IoT devices with an IP address can be hacked and harnessed into giant botnets. The compromised gadgets may then be used for ad fraud, data theft, malware propagation and disruption of the Internet.
- 82% of IoT devices are released to the market without proper security risk assessment.
Security for IoT: Prevention is Better than Cure
The failure to properly secure business IoT deployments translates into direct financial losses; how much an IoT-related cyberattack will cost your company?
Following the Internet of Things security accident, an enterprise with the annual income of $ 5 million will bear losses equivalent to 13.4% of its total revenue; for prominent market players like Maersk, the world’s largest container shipping company, financial losses could reach $ 300 million due to serious business interruption and reputational damages.
What Measures Need to Be Taken to Enhance the Internet of Things Security?
Download our new white paper to discover how companies investing in the Internet of Things development could successfully create and implement an all-encompassing IoT security strategy!
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