FTC issues report and business advice on Internet of Things

In a detailed report on the Internet of Things, released today, 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. [...]
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. [...]
Source: Press release
From the Conclusion:
The IoT presents numerous benefits to consumers, and has the potential to change the
ways that consumers interact with technology in fundamental ways. In the future, the Internet of
Things is likely to meld the virtual and physical worlds together in ways that are currently
difficult to comprehend. From a security and privacy perspective, the predicted pervasive
introduction of sensors and devices into currently intimate spaces – such as the home, the car,
and with wearables and ingestibles, even the body – poses particular challenges. As physical
objects in our everyday lives increasingly detect and share observations about us, consumers will
likely continue to want privacy. The Commission staff will continue to enforce laws, educate
consumers and businesses, and engage with consumer advocates, industry, academics, and other
stakeholders involved in the IoT to promote appropriate security and privacy protections. At the
same time, we urge further self-regulatory efforts on IoT, along with enactment of data security
and broad-based privacy legislation.