What Is IoT Security? Common Challenges and How to Protect Your Devices

The rapid adoption of IoT technologies has significantly enhanced connectivity and convenience across industries, homes, and infrastructure. However, this expansion has also introduced numerous security challenges, driven by factors such as limited device capabilities, inconsistent security practices, and increased attack surfaces. 

Addressing these challenges requires an in-depth understanding of vulnerabilities, alongside effective solutions that emphasize robust authentication, encryption, proactive threat management, and comprehensive security frameworks. 

In this article, we explore some of the most prevalent IoT security challenges and propose practical, actionable solutions for mitigating risks and strengthening IoT ecosystems. We will also discuss how partnering with a reliable connectivity provider, like Zipit Wireless, can help you ensure device security through cellular network infrastructure.

What is IoT security?

IoT security refers to measures, technologies, and practices that protect internet-connected devices and networks from unauthorized access, data breaches, and cyber threats. While some IoT devices may have basic security components, they often lack robust, built-in security features or the ability to install security software on the device. IoT devices are typically designed to prioritize usability and efficiency to maximize their market reach and performance. However, this lack of protection can result in IoT devices being vulnerable to attackers and compromised connected networks.  

Many of the features that make IoT technology so powerful and useful to modern life and business applications also increase the risks of exploitation by attackers. Large-scale deployments create more complex security management requirements, and the “always-on” connectivity and remote access of many devices make them more readily accessible to hackers. Research indicates the average American has approximately 17 connected devices in their home, expanding the opportunities for malicious actors. 

IoT devices encompass a multitude of industries, applications, and functions. From wearable healthcare technology to smart home appliances to industrial equipment, IoT devices are leveraged in every sector. These tools use internet connectivity, data analytics, and personalized insights to promote greater convenience, improve productivity, and foster innovation. However, the ubiquity of IoT devices also means that hackers can access sensitive personal data, financial records, corporate documentation, and so much more if security is left unaddressed.  

Nine common IoT security challenges

Protecting IoT devices against cyberattacks is crucial to successful deployments, ongoing device monetization, and customer retention. IoT companies must address these challenges boldly and creatively to flourish. IoT devices have transformative implications for individuals and businesses, but they can pose major liabilities if left unsecured. From unencrypted data, insufficient resources, supply chain risks, poor network management, and advanced malware, IoT companies must be prepared to strategically tackle common IoT security threats. 

1. Weak authentication, authorization, and credentials

Hackers often attempt to gain unauthorized access to an account or encrypted data by systematically trying different passwords and login credentials. Unfortunately, many IoT devices use default credentials that are not very secure. These administrator logins and passwords may be replicated across an entire fleet or even an entire model of device across multiple deployments and customers. 

This poor authentication makes it easy for attackers to access default credentials or use brute-force cyberattacks to ascertain login information. Attackers are well-versed in obtaining illicit authorization, and generic usernames and passwords make it far simpler for them to seize control and exploit networks.

Solutions:

• Adopt strong password policies: Force IoT device users to adopt unique, complex passwords before deployment. Consumers and commercial users of IoT should immediately change default credentials upon device activation.
• Use multi-factor authentication: Require users to pass additional security measures beyond just passwords. This can be confirmed via SMS, within apps, or using biometric data like a fingerprint.
• Leverage device identity management: Ensure only authorized devices access networks by using tokens or digital certificates for device authentication.

2. Lack of encryption

IoT data is typically transmitted to a centralized location, like a public cloud, where it is then analyzed. When communication between devices and networks is unencrypted, sensitive data can be intercepted by attackers. This is known as an on-path attack, where attackers inject themselves between two parties that trust each other and collect private information to exploit for profit. Without proper communication protocols, malware attacks, ransomware, data breaches, and more can jeopardize the personal data collected by the devices. 

Solutions

• Use end-to-end encryption: Use TLS/SSL protocols to secure data communications.
• Practice data encryption at rest: Encrypt data stored within devices and cloud servers.
• Apply secure key management: Handle encryption keys through secure hardware modules or key management services.

3. Poor network security and segmentation

Since many IoT devices use Wi-Fi networks, there’s a greater risk that hackers can eavesdrop on network traffic and access personal data. Cellular networks are inherently more secure than Wi-Fi, as they are designed with strong security features. Cellular carriers also have robust, dedicated teams located in comprehensive network operations centers that manage and mitigate security threats. IoT devices connected via cellular networks are less exposed to common local threats like rogue access points, Wi-Fi sniffing, or network intrusion, since they bypass local LANs. 

If the networks are not segmented properly, attackers can gain network-wide access by breaching an IoT device and laterally expanding. For example, an entire industrial plant’s data could become compromised if attackers can compromise a remote quality control monitor within the wireless network.

Solutions

• Use cellular networks: The built-in encryption, secure remote management, carrier-managed security, and dedicated cellular infrastructure all create a security environment far superior to that offered by Wi-Fi or Bluetooth connectivity. Cellular network operators typically offer monitoring tools, anomaly detection systems, and enhanced device visibility, helping promptly identify and mitigate threats or unauthorized activities.

• Implement least privilege access: Allow all users and devices to access only systems mandatory for their function. This minimizes the risk of attackers achieving a widespread breach. 
• Segment networks and access: Isolate IoT devices within dedicated network segments, preventing direct exposure to critical infrastructure and resources. Limiting nonessential communication enables more granular control, monitoring, and easier anomaly detection.

Learn more: Transitioning to Cellular IoT: How to Make the Switch

4. Limited visibility and awareness of security breaches 

Many IoT device users are not aware when their devices are compromised. Large, rapidly growing IoT deployments make incident management even more difficult, as more connected devices creates more opportunities for attacks. Administrators must monitor entire fleets, detecting security breaches, responding to unusual activity, and mitigating real-time risks in complex IoT ecosystems. 

Solutions

• Develop strong incident response plans: Develop clear, comprehensive, and tested incident response and recovery plans.

• Emphasize device visibility and logging: Maintain centralized monitoring and logging for IoT device activity and status.
• Security Information and Event Management (SIEM): Integrate IoT security data into centralized SIEM tools for rapid detection and responses.

5. Sophisticated malware threats

Modern malware targeting IoT devices is becoming increasingly advanced, often designed to evade detection, persist through reboots, and exploit vulnerabilities. They can compromise unsecured IoT devices and launch DDoS attacks, exfiltrating sensitive data and demanding payment.

Malware can also lock consumers out of their own devices through ransomware attacks. Embedded devices can contain malware if those devices are procured from unvetted sources or if design best practices are not followed. For example, devices using off-the-shelf embedded operating systems that have not been further locked down are vulnerable to these attacks. 

Solutions

• Utilize robust security protocols: Implement network-based monitoring tools to detect traffic patterns typical of botnet or command-and-control communications. Use behavioral analysis tools to identify device behavior that may indicate malware infection. Ensure devices can only run verified, untampered firmware. 
• Perform regular threat intelligence updates: Stay aware of evolving malware threats and update your defenses accordingly. 
• Vet vendors and components to minimize supply chain risks: Carefully choose trustworthy suppliers who follow robust security practices. 

6. Outdated software and firmware

The pressures of the competitive IoT market and intense development cycle often result in security gaps. Budgets are allocated to device production and new features rather than secure firmware, and updated security releases may be deprioritized. Left unremedied, these vulnerabilities can leave IoT devices open to attack. 

Many devices now include the ability to upgrade the firmware over the air (FOTA), allowing them to receive regular updates regardless of their location. These patches are not just relegated to optimization and new features, but can also provide security upgrades. However, this requires sophisticated device management to succeed.

Solutions

• Automate updates: Develop and automate a consistent schedule for firmware and software updates. 
• Optimize device lifecycle management: Clearly document and define support and maintenance timelines for devices
• Continuously scan for vulnerabilities: Monitor devices and systems regularly to identify and address outdated components. 

7. Limited device resources

IoT devices are designed to operate continuously and reliably while minimizing power consumption and data transmission. Their efficiency also presents a challenge. Devices often have limited processing power, battery life, and memory capacity, and much of this is devote to operational features. This can limit their advanced security capabilities.

Solutions

• Leverage lightweight cryptographic algorithms: Use optimized protocols specifically for resource-constrained environments. Balance security with resource usage by designing efficient security solutions. 
• Use edge security: Offload intensive security tasks (like threat detection) to edge devices or gateways.

8. Privacy concerns

IoT devices collect massive amounts of personal and business data, making them prime targets for unauthorized sharing, misuse, and exploitation. Security is an essential part of earning trust and building loyalty with your customers, which are crucial to your business longevity. Ensure that all data you capture and process is protected by highlighting and addressing your customers’ privacy concerns. 

Solutions

• Design with privacy in mind: Integrate privacy protections directly into devices and services from inception.
• Minimize data collection: Only collect and store necessary information to reduce risk. 
• Comply with regulations: Follow relevant regulations such as GDPR and HIPAA to ensure transparency and consent.  

9. Inconsistent standards and regulations

The IoT ecosystem lacks coherent, universal security standards, making it difficult for many developers to gauge what measures they should take to safeguard their devices and customers. However, many individual industries are now highly internally regulated (most notably the financial services and healthcare sectors). This creates added complications, as some devices are used across multiple industries. Manufacturers must ensure compliance with sometimes contradictory industry regulations without any overarching IoT security guidelines.

Solutions

• Collaborate on industry standards: Encourage participation in industry alliances to define unified security standards and best practices.
• Certify compliance: Seek third-party certifications to verify adherence to best security practices. 

What industries face the greatest IoT security challenges?

With the widespread proliferation of IoT devices, almost every industry is at risk for security breaches if they do not implement proper security measures. Something as simple as a smart thermostat can create an entry point to an entire home or building and put other network-connected devices at risk. 

However, some industries do face more significant security risks due to the high-stakes nature of their operations and the sensitivity of the data they collect. Healthcare, industrial and manufacturing applications, transportation, energy, and financial services are all prone to cyberattacks. 

• Healthcare: Hospitals and clinics use IoT devices to monitor biometric patient data, collect diagnostics, and track assets. However, outdated software and unencrypted devices can leave patient information exposed in data breaches. Strong IoT security is paramount to healthcare IoT use cases because disruptions can have life-threatening implications if medical devices are compromised. 
• Industrial: Factories and manufacturing plants use industrial IoT for automation and predictive maintenance. When these devices are run on legacy systems, there is often minimal security, leaving them exposed to sabotage, operational downtime, and infrastructural attacks. 
• Energy: Utility monitoring systems rely on IoT for real-time insights and control. These devices, like oil rigs or water treatment facilities, are often located in remote locations. When compromised, essential services can be disrupted, and energy grids can be manipulated by malicious actors. 
• Transportation: Smart vehicles, telematics, public transportation systems, ride-sharing services, and logistics networks all use IoT for routing, safety, analytics, and monetization. However, when hijacked, valuable business and cargo data can be obtained and ransomed. 
• Financial services: Fraud, data theft, and exploitation are all massive risks when financial services undergo cyberattacks. Financial data and disrupted transactions are some of the most common targets for attackers, so any IoT application in the financial sector must leverage highly sophisticated security measures to protect its clients’ money and private information.

Tools for IoT security

Security should be a top priority for IoT developers throughout the entire device lifecycle, from the design and development phase to deployment and ongoing maintenance. The following tools and practices play a critical role in establishing a secure IoT ecosystem:

API security

APIs are essential for data exchange in IoT systems. Securing APIs ensures that data transmitted between devices, applications, and services remains protecte d against interception, tampering, or unauthorized access.

Network security

A comprehensive network security strategy protects both the physical and digital components of an IoT infrastructure. This includes deploying firewalls, anti-malware tools, intrusion detection and prevention systems (IDPS), and blocking unauthorized IP addresses. Avoid unnecessary exposure by disabling port forwarding and closing unused ports.

Network access control (NAC)

NAC tools help identify, authenticate, inventory, and manage every device on a network. By establishing a baseline of trusted devices, organizations can monitor for anomalies and block unauthorized or rogue connections.

Security gateways

Security gateways act as intermediaries between IoT devices and the broader network, providing critical functions such as traffic filtering, firewall enforcement, protocol translation, and encryption. They reduce the risk of exposing devices directly to the internet.

Patch management

An effective patch management system ensures devices receive timely software and firmware updates. This can be achieved through automated tools or remote over-the-air (OTA) updates to address newly discovered vulnerabilities.

Network segmentation

Segmenting IoT devices into isolated network zones limits their access to critical enterprise systems. This reduces the attack surface and prevents compromised devices from moving laterally across the network.

Public key infrastructure (PKI) and digital certificates

PKI enables secure communication through encryption and authentication. Digital certificates and asymmetric key cryptography ensure data confidentiality and integrity, and verify the identity of connected devices.

Training and education

Security is a shared responsibility. Developers, manufacturers, IT security staff, and end users must understand IoT-related risks and follow best practices. Ongoing training helps manufacturers stay current with evolving threats and enables users to configure and operate devices securely.

What are the best practices for IoT security?

Implementing strong security practices is essential to protecting IoT devices, data, and networks from increasingly sophisticated cyber threats. Ensure a comprehensive approach to secure IoT environments across their entire lifecycle by partnering with trusted connectivity providers, emphasizing customer privacy, and leveraging cellular networks.  

1. Ensure network security through cellular connectivity

Devices deployed on cellular networks are inherently more secure than Wi-Fi. Using cellular connectivity for IoT devices provides a highly secure alternative to traditional local network connections. Wi-Fi networks are largely dependent on the customer for security. Manufacturers cannot influence the end-user’s Wi-Fi configuration and security features. 

Cellular networks are managed by telecom providers who continuously monitor, update, and secure their infrastructure, providing enterprise-grade protection for connected devices. 3GPP defines strong security standards for cellular networks like LTE-M, LTE Cat 1 bis, NB-IoT, and 5G, ensuring all data is transmitted over encrypted channels. Devices on cellular networks are also isolated from local network vulnerabilities. They also use SIM-based authentication to securely authenticate with the mobile network, ensuring only authorized users and devices access data and services. 

2. Vet partnerships and select authorized connectivity resellers

Choosing a high-quality connectivity partner is closely tied to the success of a device company. Authorized resellers and entities trusted by the cellular carriers are more secure and reliable than unauthorized vendors.   

For example, Zipit Wireless is an authorized reseller partner and a trusted entity to Tier-1 cellular carriers. These carriers are committed to finding solutions to security and supporting our device manufacturers rather than simply booting them off the network when there’s an issue. Through the strength of Zipit’s pre-existing relationships, manufacturers can access these advanced security protections without needing to negotiate directly with the carriers. Enhanced security and reliability ensure your products don't become blacklisted by carriers or customers due to security issues.

Learn more: MNO, MVNO, MVNE, and MVNA Explained

3. Prioritize subscriber security and privacy

Integrate robust security from the beginning of your IoT development cycle and continuously monitor for behavioral anomalies and suspicious activity. Any device manufacturer implementing ecommerce solutions or credit card-based subscriptions must validate that their infrastructure design puts the subscriber's financial security at the forefront. If your IoT application accesses sensitive and personal data, the success of your enterprise hinges on your ability to protect your customers’ privacy. 

IoT devices are renowned for their ability to boost productivity and streamline operations through updates and new product launches. However, security should never be sacrificed for quicker deployments or faster feature releases. Choosing a partner that focuses on subscriber security, like Zipit Wireless, helps prevent security issues and allows manufacturers to direct their focus toward innovation.  

Partner with Zipit Wireless and access superior cellular network security

Ultimately, the responsibility of IoT security falls on device manufacturers. From the outset of the design phase, OEMs must be attentive to security concerns and engineer devices that can safeguard customer data while offering them transformative services. Security will present perpetual challenges, and IoT companies must remain alert, flexible, and responsive to the shifting landscape of cyberattacks and malware strategies. 

However, a strategic partnership with Zipit Wireless can help relieve some of the pressure and offer device manufacturers access to premier security solutions. Zipit Wireless’s cellular connectivity services offer expansive global coverage through top-tier networks, designed to support a wide variety of data applications across any network technology. Our services accelerate deployments, facilitate sustainable growth, and simplify billing solutions, all without sacrificing security. Our cellular carrier partners continuously update their protocols in response to IoT security challenges, vigilantly monitoring for threats and offering OEMs the highest level of full-spectrum network security. 

We also offer proprietary, industry-leading connectivity management and billing platforms. These platforms offer streamlined solutions to track customer data usage and device behavior, simplify customer invoicing, manage SIMs and plans across carrier networks, and more. Not only do these solutions help your IoT company launch global deployments with ease, but they also improve security measures. These platforms offer unparalleled data-driven insights, organizational control, and operational efficiency, equipping your business with the knowledge required to elevate security. 

If you are interested in learning more about how a partnership with Zipit Wireless can elevate your IoT application, contact us to learn more about our services. 

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