Internet of Things (IoT) Consent Management Platform for Privacy, GDPR
IoT consent is one of many data privacy challenges for connected internet of things (IoT) devices. Businesses need to provide notice of the company’s privacy practices and obtain consent for the collection, usage and sharing of the data obtained by the IoT device. If you are a designer or manufacturer of internet of things devices that needs a consent management system to protect the privacy of your users and comply with various privacy laws such as the General Data Protection Regulation (GDPR), call Clarip at 1-888-252-5653 for a demo of our consent software.
It should come as no surprise that there are heightened data privacy concerns among consumers at the same time that connected devices are enabling companies to collect more data than ever. Although the industry can engage in a number of practices such as data minimization to reduce concerns, the ability of these devices to gather an unprecedented amount of data and share it electronically over the internet.
The internet of things refers to physical devices around the world that are connected to the internet. The ecosystem includes everything from connected cars to home appliances to certain wearable devices such as fitness activity trackers. The IoT devices collect and send information about how they are being used. These devices have grown so much that there are far more “things” connected to the internet then people alive. It is estimated that by 2020 there will be 50 billion IoT devices. Some of the devices that are connected include: Air Quality Monitor, Baby Monitors, Cars, Doorbells, Health and Fitness Trackers, Home Appliances, Kitchen Appliances, Light bulbs, Locks, Navigation Systems, Security Cameras, Smoke Detectors, Speakers, Thermostats and Tracking Devices.
One of the best methods for device manufacturers to protect themselves amid this explosion of data collection and build trust among their users is to provide notice and choice concerning data privacy to users. While there has not been a Cambridge Analytica moment involving the internet of things yet, the Federal Trade Commission has pursued a number of investigations and there are plenty of reasons for concern.
The Federal Trade Commission issued a report on privacy and security in a connected world in January 2015. The report covered the discussions at a November 2013 workshop held by the FTC among participants that largely agreed on the potentially revolutionary benefits of connected devices but were concerned about the potential harms to consumers.
One of the things that emerged from the report was that despite the fact that IoT devices often do not have a user interface, the FTC believes that offering consumer’s notice and choice about data collection is important. Although the best practices set forth by the FTC in its 2012 Privacy Report indicated that policies that are consistent with consumer expectations and the nature of the transaction do not need notice and choice because the cost will likely outweigh the benefits. However, after the Facebook – Cambridge Analytica scandal, additional precautions might be warranted.
Update: Businesses will also need to evaluate how they plan to comply with the California Consumer Privacy Act of 2018 with respect to their IoT devices. Neither AB-375 or SB 1121 mentions the Internet of Things, but the data collected by those devices and held by the company will be covered under the law. We will be closely following the best practices adopted by technology companies with respect to this aspect of California’s new privacy law.
If you are looking to gather consent for the data collection, usage and sharing of your IoT device, call Clarip at 1-888-252-5653 for a demo of our consent management software.
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