Resolution of Privacy and Security Issues Vital for the Success of the Internet of Things

Digital identification ecosystem can benefit from a connected environment by improving the detection & eradication of possible attacks, finds Frost & Sullivan

Jan 14, 2016, 09:10 ET from Frost & Sullivan

MOUNTAIN VIEW, Calif., Jan.14, 2016 /PRNewswire/ -- Even as the Internet of Things (IoT) creates new usages, systems and ways to manage and store data, there is a parallel need for impermeable privacy policies and protection from security threats and data breaches. Smart objects enjoy a high degree of autonomy and therefore, IoT security and privacy solutions need to exhibit similar levels of smartness/autonomy to better detect, react and remove possible attacks.

New analysis from Frost & Sullivan, From Internet of Things to Internet of Everything (, finds that the number of connected devices will reach around 22 billion by 2019, with connected cars representing 24.0 percent and wearable devices 17.1 percent. In a conservative scenario, the connected devices market will register a compound annual growth rate of 18.4 from 2013 to 2019.

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"IoT is an especially promising market for the digital identification ecosystem," said Frost & Sullivan Digital Transformation Global Program Director Jean-Noël Georges. "With IoT rapidly touching all spheres of communication, the digital identification industry has found considerable merit in entering the machine-to-machine (M2M) market by providing specific SIMs or modules that determine whether or not to allow a machine access to the network."

An important case in point was the entry of Gemalto to this industrial market with the acquisition of Cinterion in June 2010. At the time, it was a significant strategic move for a digital identification company to foray into the M2M market which eventually led to embrace this concept as well by developing specific M2M portfolios.

Digital identification market participants play a huge role in managing the security and privacy issues of IoT; however, the lack of regulations governing this space is reining in IoT expansion and interoperability. Participants can nevertheless leverage their hardware, software and service knowledge to develop best-in-class platforms that better address IoT requirements and follow the trend's evolution into the Internet of Everything.

"Currently, with the experience acquired during over the air and trust service management platform deployments, digital identification stakeholders are able to propose an approach that provides flexibility and convenience in the integration phase," noted Georges. "Based on license-fee models, coupled with a transactional license, IoT integration services appear to be attractive in terms of revenues."

From Internet of Things to Internet of Everything is part of the Digital Identification ( Growth Partnership Service program. Frost & Sullivan's related studies include: What's Hot in ICT 2015, Transforming National eID Programs and Services into a Mobile Success Story, Are Digital Transactions Secure Enough?, and Analysis of the Global Mobile Biometrics Market. All studies included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

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SOURCE Frost & Sullivan