In today’s hyper-connected world, the Internet of Things (IoT) has revolutionized how corporations operate, offering unprecedented efficiencies and capabilities. However, this technological advancement comes with a significant caveat: security vulnerabilities. IoT security for business is a very real issue. 

As businesses increasingly rely on IoT devices, like linked phones, laptops, tablets, security systems, thermostats, occupancy detectors and more, ensuring the security of these devices is paramount. In this blog, we’ll dive deep into the critical importance of IoT security for business, using lessons learned from notable attacks that highlight the devastating potential of IoT-related breaches.

IoT refers to the network of physical devices embedded with sensors, software, and other technologies to connect and exchange data with other devices and systems over the internet. While IoT offers numerous benefits, such as improved operational efficiency, enhanced data collection, and better customer experiences, it also introduces new security challenges.

Key IoT Security Challenges:

Massive Attack Surface

The sheer number of IoT devices increases the potential entry points for attackers. What makes it worse, is that many of these devices are out of sight out of mind until they don’t work, like your temperature control/thermostat, security system and smart locks, occupancy monitors, and more.

Weak Security Postures

Many IoT devices have inadequate security features, often lacking proper encryption or secure authentication mechanisms. When you are setting up these devices, many users also skip setting up what security there is, thinking they’ll come back to it later. Hint: you won’t.

Complex Ecosystem

The interconnected nature of IoT devices means that a breach in one device can potentially compromise an entire network. For instance, the Google or Alexa assistant in your office is connected to the same network as your much more protected laptop.

Limited Update Mechanisms

Many IoT devices do not receive regular security updates, leaving them vulnerable to new threats. Another issue is not being informed of these updates when they publish so your staff can complete them.

Notable IoT Security Breaches

To emphasize the gravity of IoT security, let’s examine some infamous attacks that underscore the vulnerabilities inherent in IoT devices.

The Jeep Hack

One of the most alarming examples of IoT vulnerabilities is the Jeep Hack. In 2015, cybersecurity researchers Charlie Miller and Chris Valasek demonstrated a chilling proof of concept as they remotely hacked a Jeep Cherokee from ten miles away. The Cherokee was going at speed I-64 near downtown St. Louis, when, by exploiting a vulnerability in the vehicle’s Uconnect Infotainment system, the researchers were able to control various functions of the car. Over an hour-long experiment, they took control of the radio, temperature controls, steering, brakes, and transmission. Even more terrifying, this hack enabled surveillance of the targeted Jeep’s GPS coordinates, measure its speed, and even drop pins to trace the route. This hack forced Fiat Chrysler to recall 1.4 million vehicles to address the security flaws. You can read more about it here. The hack even prompted Senators Ed Markey and Richard Blumenthal to introduce an automotive security bill.

Implications:

Safety

For companies in the automotive industry, IoT vulnerabilities can pose direct physical dangers to consumers.

Reputational Damage

Such high-profile breaches can severely damage a company’s reputation, leading to loss of customer trust and potential legal repercussions.

Financial Costs

Recalls to fix security issues can be extremely costly in terms of both market share and literal expense.

The Mirai Botnet Attack

The Mirai botnet is a replicating malware, designed to hijack IoT devices and turn them into remotely controlled “bots” capable of launching devastating cyber attacks. One software attack in particular in 2016 demonstrated the destructive power of compromised IoT devices. The Mirai malware infected thousands of IoT devices like IP cameras and home routers, turning them into a botnet that launched massive Distributed Denial of Service (DDoS) attacks. Dyn, a major DNS provider, was one of the most notable targets, and their DDoS resulted in widespread internet outages affecting sites like Twitter, Netflix, and Reddit.

Implications

Service Disruptions

DDoS attacks can cripple a company’s online services, leading to significant downtime and loss of revenue.

Data Breaches

Compromised IoT devices can be a gateway for attackers to infiltrate corporate networks and steal sensitive data

Increased Security Costs

Companies must invest in robust DDoS protection and incident response capabilities to mitigate such threats.

St. Jude Medical’s Cardiac Devices Attack

Medical devices are not immune to IoT vulnerabilities. In 2017, the FDA confirmed that certain St. Jude Medical’s cardiac devices were susceptible to cyber attacks. The vulnerabilities could allow hackers to deplete the battery or administer incorrect pacing shocks, posing a direct threat to patients’ lives.

With the amount of IoT devices present in a hospital or medical setting, including diagnostic machines and lifesaving technologies, IoT and network security certified in alignment with the Cybersecurity Maturity Model Certification is paramount. Even though hospitals and medical practices don’t fall into the Department of Defense parameters originally intended with the CMMC model, the level of life and death scenarios handled by medical staff daily place them at a similar security level.

Implications

Patient Safety

For healthcare providers and medical device manufacturers, ensuring the security of IoT devices is critical to protect patient safety.

Regulatory Scrutiny

Security breaches in medical devices can lead to increased regulatory scrutiny and potential fines.

Ethical Concerns

The potential harm to patients underscores the ethical responsibility of companies to prioritize IoT security.

The Target Data Breach

Although not exclusively an IoT attack, the 2013 Target data breach is a stark reminder of how interconnected systems can be exploited. Hackers gained access to Target’s network through a compromised HVAC system vendor, leading to the theft of 40 million credit and debit card accounts.

Implications

Supply Chain Vulnerabilities

As a business, organization, or corporation, you must ensure that your suppliers and partners adhere to stringent security standards. The bottom line is, if it’s on your property, you’ll be held liable for it, regardless of whether you or your staff was involved in the setup and daily operations or not.

Comprehensive Security Policies

A holistic approach to security that includes all connected systems is necessary to protect corporate networks.

The Verkada Camera Hack

In 2021, hackers gained access to Verkada’s security camera footage, exposing live feeds from hospitals, police departments, schools, and businesses. The breach was attributed to poor security practices, including the use of default passwords and a lack of multi-factor authentication.

Our position as an MSSP is that if you receive federal funding of any type, best practices dictate your security complies with federal levels, because you can be held liable otherwise. This would mean that police departments, schools, and other government entities are subject to the National Institute of Standards and Technology 800, an information security standard that provides a full catalog of security and privacy controls for US federal information systems.

Implications

Privacy Concerns

Unauthorized access to surveillance footage can lead to severe privacy violations and potential legal consequences.

Security Best Practices

Implementing strong authentication measures and regularly updating passwords are essential to securing IoT devices.

Conclusion

The rise of IoT presents significant opportunities for corporations but also introduces substantial security risks. The infamous attacks discussed here highlight the potential consequences of inadequate IoT security, ranging from financial losses and reputational damage to physical safety risks and regulatory challenges.

Organizations must adopt a proactive, comprehensive approach to IoT security, which includes:

Regular Security Assessments

Continuously evaluating and addressing vulnerabilities in IoT devices and pen-testing your network as a whole.

Strong Authentication Mechanisms

Implementing multi-factor authentication and ensuring secure password practices. This is an easy step to overlook or skip, but it’s vital in maintaining overall security.

Regular Updates and Patches

Ensuring that IoT devices receive timely security updates. Flag the IoT systems you have and set searches to be notified of new updates. Don’t rely on the company to inform you.

Employee Training

Educating employees about IoT security best practices and potential threats is a must, especially for facilities, security, and other staff who interact with these devices daily.

Comprehensive Security Policies

Develop and enforce policies encompassing all aspects of IoT security. Don’t forget them just because they’re not represented as a user in your network. If they have access, they need security.

By prioritizing IoT security, businesses, local government, schools, and other organizations can mitigate risks and harness the full potential of IoT technology, driving innovation and growth in a secure and resilient manner.