The Internet of Things (IoT) denotes the collection of devices that can have autonomous data communication with each other. Through IoT devices, organizations can collect critical user data and analyze it to develop new solutions and enhance user experience. According to Statistica, with the proliferation of chip technology, the world will have almost 31 billion IoT devices by 2020. As the number of devices increases, the average data volume of users also grows. It is, therefore, essential to avail data protection and security solutions to protect critical business data.
In this blog post, we have discussed common data protection challenges and how we can address them using IoT.
IoT devices can generate a large amount of critical data, both personal and financial to perform tasks. The collected data is prone to cyberattacks since it can be used by criminal entities for an unfair advantage. IoT security has become a serious concern these days as consumers and companies do not have any idea if data gets misused. Many companies indulge in monetizing the collected data. When consumers do not have any control over their data, it exposes businesses to regulatory risks. It is, therefore, essential to maintain data privacy.
Below are three examples that show the magnitude of data protection issues with the advent of IoT technologies:
The automotive industry is witnessing disruption with the implementation of usage-based insurance or UBI. Through this system, insurance companies are able to calculate fair and accurate premiums based on users’ driving patterns and behavior. For best results, various driving information about the policyholder is collected through a black-box that the company installs in the car. The data collected is about the type of car, speed and distance traveled, timings when drivers are on the road and the way they approach corners and braking.
Since a lot of critical data about a policyholder’s driving pattern and behavior is collected, data privacy becomes a major concern. Some interesting questions that arise are:
The data privacy loopholes in the wearable gadget industry overpower its limited advantages. For instance, a healthcare wearable accesses users’ health-related data such as pulse rate, step count, sleeping hours, etc. It is, therefore, essential for device manufacturers to address the following privacy concerns-
Even with a stronghold in the market these devices face some serious data protection issues listed below:
Since IoT devices are finding applications in multiple business verticals like healthcare, security, retail, logistics, the data privacy concern is rising. Consumer data obtained through smart devices can have serious implications if they fall in the wrong hands. It is, therefore, necessary for manufacturers to evaluate privacy regulations before distributing the products to retailers for sale.
Below are the few essential steps to restore trust in IoT:
We, at Oodles, develop data protection solutions in compliance with privacy regulations such as GDPR. Our team follows a methodological approach to not leave any loopholes for effective data protection and privacy.
Drop us a line to get started.