FTC Report on Internet of Things Urges Companies to Adopt Best Practices to Address Consumer Privacy and Security Risks

In a detailed report on the Internet of Things, the staff of the Federal Trade Commission recommend a series of concrete steps that businesses can take to enhance and protect consumers’ privacy and security, as Americans start to reap the benefits from a growing world of Internet-connected devices.

The report is partly based on input from leading technologists and academics, industry representatives, consumer advocates and others who participated in the FTC’s Internet of Things workshop held in Washington DC on Nov 19, 2013, as well as those who submitted public comments to the FTC. Security was one of the main topics addressed at the workshop and in the comments, particularly due to the highly networked nature of the devices. In addition to the report, the FTC also released a new publication for businesses containing advice about how to build security into products connected to the Internet of Things. “Careful Connections: Building Security in the Internet of Things” encourages companies to implement a risk-based approach and take advantage of best practices developed by security experts, such as using strong encryption and proper authentication.