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FTC: IoT needs trust of American consumers to reach full potential

The Internet of Things (IoT) will continue to invade our home lives and workplaces, but the FTC has concerns that it hopes to address
By: Michael Hatamoto | Connectivity & Communications News | Posted: Jan 27, 2015 10:15 pm

The Federal Trade Commission (FTC) released a 55-page study focused on the Internet of Things (IoT), admitting that there are "numerous" and "potentially revolutionary" benefits to consumers - but at major privacy and security risks that must be addressed.




For companies making connected devices, the FTC hopes to see security built directly into devices immediately, instead of waiting to add it in later. Furthermore, it's important to train employees regarding security, so they can take it more seriously while designing - or using - connected technologies.


"The only way for the Internet of Things to reach its full potential for innovation is with the trust of American consumers," said Edith Ramirez, FTC Chairwoman, in a press statement. "We believe that by adopting the best practices we've laid out, businesses will be better able to provide consumers the protections they want and allow the benefits of the Internet of Things to be fully realized."


One last major concern regarding IoT is how - and what - is done with collected information. The FTC wants consumers to be given choices to determine how information is collected and used.


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