3 Major Challenges IoT is Facing

3 Major Challenges IoT is Facing

The Internet of Things (IoT) phenomenon—ubiquitous connected things providing key physical data and further processing of that data in the cloud to deliver business insights— presents a huge opportunity for many players in all businesses and industries. Many companies are organizing themselves to focus on IoT and the connectivity of their future products and services.

For the IoT industry to thrive there are three categories of challenges to overcome and this is true for any new trend in technology not only IoT:

  • Technology
  • Business
  • Society


This part is covering all the technologies needed to make IoT systems function smoothly as a standalone solution or part of existing systems. Cloud Security Alliance (CSA)  listed some of the root causes of such technological challenges:

  • Many IoT Systems are poorly designed and implemented, using diverse protocols and technologies that create complex configurations.
  • Lack of mature IoT technologies and business processes.
  • Limited guidance for life cycle maintenance and management of IoT devices.
  • Limited best practices available for IoT developers.
  • There is a lack of standards for authentication and authorization of IoT edge devices.
  • There are no best practices for IoT-based incident response activities.
  • Audit and Logging standards are not defined for IoT components.
  • Restricted interfaces available IoT devices to interact with security devices and applications.
  • No focus yet on identifying methods for achieving situational awareness of the security posture of an organization’s IoT assets.


The bottom line is a big motivation for starting, investing in , and operating any business, without a sound and solid business model for IoT we will have another bubble , this model must satisfy all the requirements for all kinds of e-commerce; vertical markets, horizontal markets, and consumer markets. But this category is always a victim of regulatory and legal scrutiny.

End-to-end solution providers operating in vertical industries and delivering services using cloud analytics will be the most successful at monetizing a large portion of the value in IoT. While many IoT applications may attract modest revenue, some can attract more. For little burden on the existing communication infrastructure, operators have the potential to open up a significant source of new revenue using IoT technologies.


Understanding IoT from the customers and regulators prospective is not an easy task for the following reasons:

  • Customer demands and requirements change constantly.
  • New uses for devices—as well as new devices—sprout and grows at breakneck speeds.
  • Inventing and reintegrating must-have features and capabilities are expensive and take time and resources.
  • The uses for Internet of Things technology are expanding and changing—often in uncharted waters.
  • Consumer Confidence: Each of these problems could put a dent in consumers’ desire to purchase connected products, which would prevent the IoT from fulfilling its true potential.
  • Lack of understanding or education by consumers of best practices for IoT devices security to help in improving privacy, for example change default passwords of IoT devices.