P res e nte d by

AN IoT IN THEENTERPRISE

VISUAL REPORT

THE INTERNET OFOPPORTUNITIES

RISKSTHINGS

1206:15

Organizations that believe their competitive advantage is dependent on the Internet of Things (IoT)72%

Source: Verizon

The Early Word

MANUFACTURING

66% 61%

Monitors risks, secures company assets and increases staff safety

Improves the reliability or performance of products and services

HEALTHCARE

54% 82%Enhances products and services with information

Streamlines and automates back-office processes

Here’s what those deploying IoT have to say about their experience so far

Source: Verizon

RETAIL

84% 89%Improves experience through informationexchange with customers

Offers greater insight into customer preferences and behaviors

TRANSPORTATION AND DISTRIBUTION

83% 83%Provides greater visibility into operational performance and risks

Drives the creation of new business models

FINANCIAL SERVICES

77% 77%Provides a critical competitive advantage

Provides opportunities to collaborate with new partners

Source: Verizon

A quick look at what’s happening now — and what’s ahead

85% Organizations exploring or implementing an IoT strategy

25% Testing or implementing IoT-related projects

66% Devices now number inthe thousands

32% Greater than 5,000 devices across organization

Source: AT&T

The Next Big Thing?

W H E R E E N T E R P R I S E S A R E I N V E S T I N GA S T H E Y P R E P A R E F O R I o T

Security

46%

42%

Infrastructure

39%

46%

Bandwidth

39%

39%

Third-party solutions providers

30%

30%

Hosted solutions

34%

25%

Applications

31%

41%

IoT device staff

10%

19%

Analytical capabilities

25%

37%

IoT device managers

12%

49%

Today

Next 12 months

Source: Spiceworks

Gartner estimates 4.9B objects are nowonline as part of the Internet of Things

Gartner predicts the Internet of Things will be made up of

units by 2020

The Internet of Thingswill generate

in net profit for enterprisesover the next decade

Source: Cisco

25B

$14.4T

Cause for Concern

1 in 3IT pros who feel their organizationis unprepared for a complex cyberattack

A lack of faith in security protocols doesn’t bode well

73%

Think their company will be hacked through an IoT device

72%

Lack confidence in the security measures implementedby IoT device manufacturers

90%

Say IoT devices have security and privacy issues that need to be addressed

84%View IoT devices as a top security concern due to increased network entry points

50%Say their department isn’t fully aware how many IoT devices are in use

Sources: Spiceworks, ISACA

47%Expect a cyberattackin the next year

38%Lack the time and staff

NEARLY HALF OF IT PROS DON’T MONITOR IoT DEVICES

47%Don’t see the value

37%Lack the budget

Source: Spiceworks

Insufficient password protection

80%

WHAT MAKES IoT DEVICES A SECURITY RISK?

80%Serious privacy concerns

70%Hackers can identify user accounts

70%Doesn’t encrypt data to the Internet/local network

60%Doesn’t encrypt data during software download

Source: Economist Intelligence Unit

THE MOST COMMON SOURCES OF IoT BREACHES

SNEAK ATTACK: IoT-RELATED HACKS

53%Smart watches, fitness trackers, and other wearables

50%Security camera and other video equipment

46%Locks, gates, and other physical security measures

45%Appliances

41%RFID readers, badge readers, and other sensor devices

39%Thermostats and other environmental controllers

32%Projectors and other peripherals

Source: Spiceworks

Country: Saudi Arabia

Target: Saudi Aramco oil company

Country: Germany

Target: Undisclosed steel mill

Responsible group: Unknown

Act of cyberterrorism: Gained control of smelting furnace, causing it to overheat

Damage: Significantly interrupted mill operations

Responsible group: Cutting Sword of Justice

Act of cyberterrorism: 35,000 workstations breached

Damage: No production impact, though recovery took several months

Source: CNNMoney Source: Wired

Funding the Fight How enterprises are budgeting for the battle against hackers

68%Say their companies

are investing in IoT security in 2016

50%of those are earmarking at least

25%of their security budget

Source: AT&T

ALLOCATIONS FOR IoT SECURITY

44%0-25%

32%26-50%

14%51-75%

4%76-100%

0-25%

26-50%

51-75%

76-100%

Start by thinking about the security impact. What protocols should you put in place? Those concern-ing data transport, privacy, and storage are no brainers. Which is why you should give deep thought to anything you might have missed. Chances are, you’ll have to satisfy either legal or regulatory concerns (perhaps even both).

From there, you’ll want to move on to how you verify IoT devices. Are they intelligent enough to self-identify, or will you need to help them along? Then, there’s the issue of authentication. While some have a native root of trust, others don’t.

Better Safe Than Sorry

What you can do to minimize your IoT liability

When it comes to adopting IoT devices, we offer this advice: be cautiously optimistic. As the preceding facts and figures show, there’s just as much risk as reward. So how can you get the carrot and not the stick?

Beyond recognizing devices, you’ll have to decide how much access you’re willing to grant. You don’t want to impede usability with overly restrictive precautions, but you’ll want to weigh the level of risk in every imaginable scenario. For instance, do you implement lockouts? If so, are they based on idle time or number of attempts?

There’s also the issue of encryption. You’ll likely want to safeguard data as it comes and goes. SLS/TLS encoding is tablestakes, as is a firewall and deep packet inspection. Additionally, you could proactively embed protective measures into the devices (or gateways). The options include antivirus software, whitelisting, and memory protection.

Across a device’s life cycle, you’ll want to require cryptographic signatures, conduct penetration tests, and push patches as required. And what action do you take in the throes of an incident? Do you quarantine or completely shut down? Anything can happen — and likely will — so it’s best to have contingency plans in place.

While all of this seems like an enormous amount of work, the potential upside is indisputable. Enterprises deploying IoT at scale are gaining efficiencies in customer-facing, back-office, and supply-chain operations. You can, too. Using the insights we’ve shared here, you should be able to plan carefully and execute flawlessly.

Anything can happen — and likely will — so it’s best to have contingency plans in place.

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