Access to data from billions of connected devices offers a business edge that is often too much for companies to resist, with more and more businesses being formed on this very premise of data collection. What does this mean for enterprises in 2019? They will be increasingly connected to the Internet of Things (IoT) using more and more endpoints. While this technology definitely is exciting and has its benefits, it also does expose enterprises further to threats, with many more attack vectors for hackers to choose from. Security and innovation must go hand in hand if advancements in technology are to be adopted at a rapid pace, and with more IoT applications now available on the cloud, there are certainly serious security concerns on the table. It is possible to circumvent some of these issues through measures such as using a proxy, and especially for critical infrastructure, the proxies need to have reliable server uptime. We list down the major 2019 IoT security issues of concern.
Financial Crime Driven By IoT
Escalating financial crime and synthetic identity fraud continues to be a significant issue for companies that engage electronic payments. Machine learning has proven its benefits over rules-based systems, and many companies recognize the need to integrate information across different lines of business, so that fraud patterns can be detected early on using deep learning. If companies are unable to provide successful model risk management strategies, they will have challenges when it comes to compliance.
Model Risk Management
A well-known discipline to ensure the validity of models used in key processes, such as credit underwriting in financial services, this approach will start to become more important for other industries in 2019, if they wish to realize the full value of their analytical models and data, while managing their organization’s risk and exposure.
As hackers increasingly try to infiltrate IoT, machine phishing will become a popular approach. For instance, hackers can send false signals to operational networks, which prompt plant owners or operators to take dangerous actions based on false data and put their lives at risk.
Increased Severity Of Attacks
DdoS attacks in recent years have exploited vulnerabilities in tens of thousands of IoT devices, effectively shutting them down with massive amounts of traffic. With the advancement of technology, these attacks will evolve to target critical infrastructure, such as transport networks or electricity grids, which may be running on old, outdated software and highly susceptible to attacks. A greater cause for concern is that 40 percent of industrial sites are connected to public internet, leaving them open to attacks on the network by almost anybody.
Poor Legacy Security
With more critical infrastructure systems coming online, cyber-attacks can have serious physical consequences, be it damage to property or harm to other human beings. As many IoT devices lack the basic protections, such as an extremely strong password protection, any interconnected systems are also left open and vulnerable to attack. Traffic grids, public water supply systems and more could be compromised, and the consequences can be devastating.