You may have heard the term IoT (Internet of Things), if not, you have more than likely experienced it. The Internet of Things involves increased machine-to-machine communication, it is built on cloud computing and networks of data-gathering sensors, it is mobile, virtual and instantaneous connection. Experts say it is going to make everything in our lives “smart”. IoT is growing exponentially; a decade ago there were about 500 million devices connected to the Internet, today there are 10 to 20 billion. In five years there could be 40 to 50 billion, some would even call it the next industrial revolution.
AIG has compiled a series of reports on IoT, while accessing one of the country’s chief economists. They explore several issues including major risks to consider: Privacy (data-mining activities), Cybersecurity (a $400 billion/year issue) and Liability (property & products).