Is IoT a Security Risk for Businesses? Here’s How to Implement Smart Technology Safely

Author: Sergey Fedorovich, Producer of Programs/Projects within the IBA Group

The Internet of Things (IoT). Smart technologies are quickly spreading not only across our homes but also SMBs and enterprises. In warehouses, hospitals, and offices, they help to look at automation, efficiency, and decision-making from the new angle. But before you can take advantage of digital transmission for your home, you need to be aware of the situation.

Is there IoT in Business?

IoT in business context is a network of connected devices that manage data. It can be smart heating, ventilation and air conditioning systems in the climate mode (HLK) and video systems, predictive tools. What is the purpose? Improve analysis, efficiency and choose an intelligent approach to the work process.

Examples:

1. Automated climate control.

2. Real-time tracking in warehouses.

3. Cost-saving energy usage.

4. Remote diagnostic.

Gartner predicts by 2030 there will be more than 29 million IoT devices across the USA, including commercial areas. But there is still a cybersecurity issue across the topic.

Understanding the security landscape

Taking into account that IoT in business often contains sensitive and secure data related to internal processes and client info, every unsecure device can potentially become a vulnerable entry point to cyberattacks and business failure. 

Cases:

Mirai Botnet was attacked because of poorly secured IoT devices in 2016. As a result it was a massive DDoS attack, taking down many internet platforms. 

Ongoing security breach of the video surveillance system and the intelligent control systems access due to outdated firmware and default data accounting.

These cases are all great examples that many errors are typically a failure of humans and a lack of governance.

How to remove IoT Risks in business?

To leverage IoT effectively and securely, organizations must take a strategic and proactive approach:

1. Set up strong passwords

Change a default username and passwords on all connected devices, then from time to time update them.

If there is a multifactor that ensures the authenticity, then it can be used.

2. Network

Use a different VLAN or Wi-Fi network for IoT devices to isolate them from core systems.

3. Select reliable partners

Work with providers that follow robust security protocols and offer ongoing support and firmware updates.

4. Automatic updates

Establish a clear process for manual updates.

5. Monitor & Audit

Align it with your internal cybersecurity and compliance strategies.

How to get started with IoT in business?

In order to ensure the smooth process of IoT implementation, take into account the following information:

1. Identify a low-complexity use case with measurable ROI.

2. Involve internal IT and security teams.

3. Establish metrics and risk thresholds.

4. Use professional services or system integrators with domain-specific experience.

Final thought

Smart devices are becoming a critical layer of business infrastructure. But as many other things they are not valuable as themselves. Only the right usage, security practices, and reliable vendor partnerships can make business benefit from them.

At IBA Group, we help organizations across industries implement IoT solutions that are secure, scalable, and aligned with business goals. Whether you're digitizing operations or exploring connected products, we’re here to support your transformation—safely and strategically.