As the Internet of Things (IoT) continues to grow at a staggering rate, securing this technology is vital. The following IoT security statistics reveal just how vulnerable our smart devices and other connected devices are.
From the rising number of cyberattacks on IoT devices to the economic consequences, here’s how this tech landscape looks today.
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Important IoT security statistics
These eye-opening stats put the current state of IoT security into perspective:
- The number of connected IoT devices is estimated to reach nearly 30 billion by 2030.
- There were 10.54 million attacks on IoT devices in December 2022.
- 84% of organizations have experienced an IoT-related security breach.
- Attacks usually start within five minutes of the average IoT device connecting to the internet.
- Yearly spending on IoT security will reach $122.3 billion by 2031.
General IoT stats and facts
These figures give more background on the history and growth of this technology.
1. The number of connected IoT devices is estimated to reach nearly 30 billion by 2030.
(Source: Statista)
By 2021, there were 11.28 billion devices connected to the Internet of Things (IoT). That’s already more devices than people alive on the planet.
More than 29 billion are expected by 2030, with the majority located in China. Additionally, given China’s record on human rights and high level of digital surveillance, some may see this as a concerning trend.
2. IoT could have a $12.5 trillion economic impact by 2030.
(Source: McKinsey Global Institute)
Considering this technology’s high economic impact, we should prioritize its security. We can expect that protecting these devices will require a lot of time and money.
3. The first IoT device was a Coca-Cola vending machine at Carnegie Mellon University.
(Source: IBM)
We can trace back IoT devices to the early 80s. David Nichols invented a Coke machine that could report its inventory back to a network.
It’s funny how that happened, though:
Nichols’ office at Carnegie Mellon University was some distance from the vending machine. He would often walk to find it empty or recently refilled with warm cans. But with this invention, he could track the status of his favorite beverage remotely.
4. Today, Smart TVs are the most common IoT device in the US.
(Source: DGTL Infra)
Excluding smartphones and computers, the most popular IoT device in the US is the television. 81% of households have Smart TVs. Additionally, smart speakers are second with 37%.
5. IoT Legislation is only just taking hold in the US and UK.
(Sources: CA.gov, TechCrunch)
Security is now becoming a matter of law in the US and UK.
California Senate Bill No. 327 came into effect in 2020. It requires manufacturers of connected devices to equip them with reasonable security features.
Furthermore, the UK government introduced the Product Security and Telecommunications Infrastructure Bill in December 2021 with similar requirements.
Stats about IoT security threats
These statistics look at how criminals attack IoT networks. They also reveal the scope of this threat to individuals and businesses.
6. There were 10.54 million attacks on IoT devices in December 2022.
(Sources: Statista 2, Kaspersky)
The sheer number of attacks on IoT devices is alarming. Kaspersky reported 1.51 billion breaches in 2021, up from 639 million in 2020. More recent data shows 10.54 million attacks last December alone.
(Source: Aruba)
The majority of commercial IoT adopters have suffered some form of security breach. So, it’s clear that more could be done for security!
Furthermore, more than half of those surveyed said the risk of attacks was the main obstacle to adopting the technology.
8. In most cases, routers and Telnet act as a gateway for IoT attacks.
(Sources: Kaspersky, Symantec)
It’s estimated that between half and 90% of IoT attacks utilize weaknesses in Telnet. Basically, it’s an aging application protocol that provides access to virtual terminals of remote systems. Additionally, infected routers are behind as high as 75% of attacks.
What’s more, experts believe a lot of IoT devices aren’t updated at the pace of traditional connected devices.
9. Default passwords are responsible for a quarter of IoT security breaches.
(Source: Symantec)
A lack of password-change enforcement means many IoT devices are vulnerable to password guessing. In addition, the most popular password in 2018 attacks was ‘123456.’ This was only second to devices without passwords (17%).
10. Attacks usually start within five minutes of the average IoT device connecting to the internet.
(Source: NetScout)
With the rise of fiber networks and mobile technologies like 5G, everything is getting faster, including attacks.
So, here’s the deal:
Cybercriminals know every weakness and have automated servers pinging for new devices all the time. So, they can target you within 5 minutes of connecting!
11. Half of businesses can’t detect IoT attacks on their network.
(Source: Gemalto)
Unfortunately, 52% of businesses admit to being woefully unprepared for IoT security breaches.
12. 80% of IoT users view the security features of devices as very important.
(Source: Economist Intelligence Unit)
When asked to rate on a scale of importance, far more users picked security (80%) and privacy (75%) features of devices as ‘very important.’ Meanwhile, only 47% rated affordability. 48% also chose ease of use on the same level.
13. Yearly spending on IoT security will reach $122.3 billion by 2031.
(Source: Strait Research)
The IoT security market was valued at $11.7 billion in 2022. This is expected to grow rapidly. In addition, studies estimate that security spending will surpass $122 billion by 2031.
IoT security statistics by sector
Although nearly every business is now part of the IoT, certain sectors stand out the most.
14. 60% of healthcare organizations globally are now using IoT devices.
(Source: Aruba)
The benefits of this technology for healthcare are numerous. Additionally, 80% of those surveyed said IoT helped increase innovation. 73% also saw it as a way to cut costs through efficiency.
What’s more, IoT devices are used in everything from remote patient monitoring and virtual care to full-blown smart hospitals.
15. In the retail industry alone, the IoT market size is estimated to be worth $94.44 billion by 2025.
(Source: Grand View Research)
2022 data values IoT in the retail market at $42.38 billion. It’s set to more than double by 2025.
Furthermore, this growth is attributed to a rise in in-store IoT technology. For example, Google Cloud is now supporting shelf-checkout processes. Other tech includes Radio-Frequency Identification (RFID) tags as well as smart shelves.
16. Retailers unanimously agree that the benefits of IoT outweigh the security risks.
(Source: PWC)
When there’s money to be made, the risks seem less important. 94% of retailers believe implementing IoT has pros that outweigh the cons.
However, that doesn’t mean they’re sidestepping responsibility. 62% of retailers surveyed say it’s on them to deliver adequate security and privacy. Moreover, 57% are proactive in addressing privacy concerns. Still, only 43% are taking measures to prevent data breaches.
17. 83% of businesses in the industrial sector that adopt IoT report significant increases in efficiency.
(Source: Aruba)
IoT is here to stay, with the majority of adopters in the industrial sector saying it significantly boosts efficiency. It’s used primarily to maintain essential industrial functions. Moreover, the use of IP-based surveillance cameras is on the rise.
18. The Smart clothing sector is estimated to grow to $5.3 billion by 2024.
(Source: MarketsandMarkets)
The growing awareness about health and fitness is creating a huge demand for smart clothing. This includes smart textiles that can sense and adapt to environmental conditions, as well as embeddable electronics.
Smart clothing also has a large military and defense application.
IoT privacy statistics
When all devices are connected, they also generate more data. However, this poses serious privacy concerns for individuals, businesses, and governments.
19. 73% of Americans are skeptical about the privacy of their IoT devices.
(Source: Mortgage Cadence)
While this tech can make our lives easier, the public has a healthy distrust when it comes to privacy. 59% are worried that their device might be listening-in or otherwise monitoring their activities.
20. 74% of users worry about losing their civil rights because of IoT.
(Source: Economist Intelligence Unit)
In the case of smart energy meters, there’s been no opt-out option for data collection. In addition, around three of every four people fear this could weaken their civil rights.
21. 55% of companies believe third-party IoT providers must better comply with IoT security and privacy regulations.
(Source: Gemalto 2)
It’s no surprise that more than half of companies feel third-party providers should be adhering to privacy regulations.
Part of this is also a concern that providers aren’t handling companies’ confidential information properly.
22. Despite fears of data collection, 97% of organizations struggle to create value from it.
(Source: Aruba)
Just because IoT is facilitating data collection, it doesn’t necessarily mean organizations know what they’re doing with it. Besides, on the corporate level, 39% of businesses aren’t actually collecting or analyzing any data from their IoT networks.
23. 59% of Americans with concerns about climate change are willing to give up IoT data privacy.
(Source: ValuePenguin)
More than half of climate-concerned Americans are willing to use energy-saving smart devices that share their data. Moreover, they’re also willing to pay more for the privilege.
Overall, 45% of Americans believe that the environmental benefits of IoT devices outweigh their privacy concerns.
Home IoT security statistics
The IoT has a significant impact on homes, transforming them into smart and connected spaces. Naturally, all of this tech also requires securing. So, with such a rapid uptake, many consumers have privacy and security concerns.
24. Spending on smart IoT devices is expected to reach $170 billion by 2025.
(Source: Statista 3)
The IoT is now so pervasive in our homes that it’s impossible to purchase brand-new products that aren’t ‘smart.’ This means consumer spending is exponentially rising as old tech is replaced.
25. US Households already have a total of 22 connected devices.
(Source: Deloitte)
From thermostats to lightbulbs, each US home has an average total of 22 IoT devices.
26. The number of smart homes is projected to exceed 400 million globally by 2025.
(Source: Statista 3)
Globally, there will soon be hundreds of millions of smart IoT networks within homes. Additionally, this will allow household members to manage everything via a remote smartphone app.
27. 79% of US consumers have concerns about their IoT devices.
(Source: YouGov)
The largest concern is data privacy and security. Meanwhile, 29% say they’re worried about the internet going down. Furthermore, 23% are concerned about remembering passwords.
28. 65% of Americans wouldn’t adopt smart-home devices that collect data for insurance discounts.
(Source: PolicyGenius)
Home users value their data privacy and are strongly against trading access, even if it’s for an insurance discount.
29. 40.8% of connected households have at least one device vulnerable to hacking.
(Source: Avast)
Interestingly enough, the majority of these vulnerabilities (69.2%) are caused by weak passwords.
30. 62% of US IoT device users are worried about their smart security systems or cameras getting hacked.
(Source: Mortgage Cadence)
Many US consumers rely on IoT devices to secure their homes. Despite this, more than half are afraid that they’re prone to hacking.
Wrap up
These IoT security statistics highlight the technology’s incredible growth, but also a widespread concern over data privacy and security.
Moreover, we have yet to see how these concerns play out. But in just a few years, tens of billions of devices will be connected.
Sources
- Statista
- McKinsey Global Institute
- IBM
- DGTL Infra
- CA.Gov
- TechCrunch
- Statista 2
- Kaspersky
- Aruba
- Symantec
- NetScout
- Gemalto
- Economist Intelligence Unit
- Strait Research
- Grand View Research
- PWC
- MarketsandMarkets
- Mortgage Cadence
- Gemalto 2
- ValuePenguin
- Statista 3
- Deloitte
- YouGov
- PolicyGenius
- Avast
