IoT Manufacturers Not On The Ball With Security And R&D Credits are Blind Spots

Application of the Internet of Things (IoT) enabled 72% of manufacturers to see increases in productivity and 69% saw improved profitability in the past year. According to The MPI Internet of Things Study, sponsored by BDO, half of plant production and equipment processes are already being managed via the IoT, and that number is set to climb.

Findings exclusive to BDO reveal, however, that many manufacturers are leaving cybersecurity and research and development (R&D) financing out of their IoT strategies—if they’ve built a strategy at all. Almost one-in-five (19%) are unsure or not confident in the ability of their current cybersecurity program to address security concerns associated with the IoT. Additionally, a majority (58%) of manufacturers aren’t planning to claim tax credits and incentives for their IoT investments, with 37% reporting they aren’t aware R&D credits are available to them.

According to the report, because cyber attackers often exploit third-party vulnerabilities to gain access to their eventual targets, any security gaps in manufacturers’ supplier networks could be dangerous. Most manufacturers are cognizant of and actively address third-party cyber risk, but 27% of manufacturers surveyed do not have a security policy in place for their supply-chain partners and other vendors. For more details, visit https://www.bdo.com