**Abstract**

Digital ecosystems are going through a period of change due to the advancement in technologies such as Internet of Things (IoT) as well as proliferation of less expensive hardware sensors. Through this chapter, we present current emerging trends in IoT in different industry sectors as well as discuss the key privacy challenges impeding the growth of IoT to reach its potential in the smart home context. The majority of the existing literature on IoT smart home platforms focuses on functionalities provided by smarter connected devices; however, it does not address the concerns from a consumer's viewpoint. Thus, the key questions are: What are the privacy concerns related to IoT, particularly from a "smart home device" consumer viewpoint? What are the existing remedial approaches for privacy management? This chapter proposes a framework to assist smart home user and IoT device manufacturer to make informed privacy management decisions. The findings of this research intend to help practitioners and researchers interested in the privacy of IoT-enabled smart systems.

**Keywords:** IoT, smart sensors, data governance, privacy, framework

### **1. Introduction**

In last few years, we have observed a growing interest in IoT applications, which are being developed for the industries and ecosystems such as healthcare, smart home, manufacturing and agriculture ecosystems [1]. Presently, it is anticipated that there are about 16 billion IoT units installed worldwide generating vast amount of data. According to forecast reports from Frost and Sullivan, the number of interconnected objects is expected to increase above 60 billion by 2024 [2]. Aggregated data collected from different sensors are being used by organizations increasingly to gain data-driven business insights.

The growth of IoT has been possible due to the advancement of technologies like cheaper hardware sensors, ipv6, wireless coverage, smartphones and processing power of CPU [3]. While the use of IoT worldwide has been high, the maturity level of the solutions using this technology is varied. In this chapter, we highlight the various components making up IoT, evolution of IoT and the concerns related to privacy. We particularly focus on the IoT uses in the smart home context.

IoT ecosystem stands on the building blocks of multiple underlying technologies such as sensing (sensors and actuators), connectivity (mobile), analytics and computing. A typical IoT ecosystem involves the following stages [4].


The term "Internet of Things" was officially introduced in 1998–1999 by Kevin Ashton of automatic identification center (Auto-Id) at Massachusetts Institute of technology (MIT). Kevin suggested that Internet-connected RFID technologies can be used in supply chains to keep track of items without human involvement [5]. The philosophy of IoT further gained momentum in 2005, thanks to the formal acceptance of IoT in a world summit on information society (WSIS) in Tunisia [6]. However, the concept of IoT applications can be traced back to 1982 when one of the first attempts of an IoT application was developed at Carnegie Mellon University. The Internetconnected coke machine was able to report the drinks contained and whether the drinks were cold [7] (**Table 1**).


**11**

**Table 2.** *IoT applications.*

*Privacy of IoT-Enabled Smart Home Systems DOI: http://dx.doi.org/10.5772/intechopen.84338*

**Table 1.**

*IoT evolution (adapted from [3, 8, 9]).*

**Industry Use case**

**Year Discovery** 1991 Bluetooth

 Wi-Fi (CSIRO, IEEE) 3G cellular mobile (UMTS) 4G cellular mobile (LTE) IoT term coined

2008 5G cellular mobile

Technologies [10].

the track [11].

2005 United Nations mention IoT

2008 Cloud computing term coined 2012 Cisco introduces fog computing

2020 Industry expects 20 billion IoT devices worldwide

Smart City Smartbin offers Smart Waste Monitoring through Smart Sensors & Route Optimization

developing abnormal patterns and sends them back for inspection to prevent failure on

residential and commercial water meters. The project involved placing water meter sensors on 66,000 devices that used to be manually read and recorded [15].

In this IoT example, the company is using sensors to measure oil extraction rates,

sophisticated sensor instruments, collecting data on changes in Arctic ice [16].

Transport Spanish train operator RENFE uses Siemens' high-speed train and monitors train

Agriculture Semios uses sensors and machine vision technology to track pest populations in orchards, vineyards, and other agricultural settings [12]

Financial Sector Progressive Insurance uses Snapshot to determine Insurance premium for car drivers [13]. Healthcare Abilify MyCite (aripiprazole tablets with sensor) has an ingestible sensor embedded in the pill that records that the medication was taken [14]. Government US municipality has implemented smart meter monitoring for the entire town's

Utility US oil and gas company is optimizing oilfield production with the Internet of Things.

temperatures, well pressure and more for 21,000 wells [15]. Environment Autonomous sailboats and watercraft are already patrolling the oceans carrying

IoT has produced a number of sophisticated solutions that are growing in popularity among businesses. Many sectors have already graduated to this technology, and are putting IoT to use for digitizing their daily activities. The prominent adapters of IoT are Smart City, Retail, and Manufacturing. Some of the most notable

Although, there is a growing interest in IoT applications in different industry sectors, challenges in adoption exist. The key questions are: What are the privacy concerns related to IoT, particularly from a "smart home device" consumer viewpoint? What are the existing remedial approaches for privacy management? This chapter aims to address the above-mentioned questions. The remainder of this chapter is organized as follows. Section 2 presents various privacy concerns of IoT before proposing a novel framework to address IoT concerns from a consumer's perspective in Section 3. This is followed by an initial validation of the framework in

applications rolled out in the marketplace are given in **Table 2**.

Section 4 before we draw conclusions in Section 5.

#### *Privacy of IoT-Enabled Smart Home Systems DOI: http://dx.doi.org/10.5772/intechopen.84338*


#### **Table 1.**

*Internet of Things (IoT) for Automated and Smart Applications*

transmitted.

drinks were cold [7] (**Table 1**).

**Year Discovery**

 Electricity (lightning) Practical electromagnetism Faraday: Electromagnetic induction Maxwell: Theory of electromagnetism

1887 Hertz: Radio waves 1895 Marconi: Radio telegraph 1907 First public use of radio

1927 First car radio 1928 First TV broadcast

1911 First mobile transmitter (Zeppelin) 1915 First wireless voice transmission

1933 First mobile phone (Germany, in-car)

1961 Cloud computing precursor (John McCarthy)

1981 First wireless IoT connection(Coke machine, GSM)

1958 First hand-held mobile phone

1969 Internet precursor (ARPANET) 1973 1G cellular mobile (NTT, Japan)

1982 International Internet 1988/89 World Wide Web 1990 2G cellular mobile (GSM)

1950s UNIVAC(UNIVersal Automatic Computer) Ia mainframe

analyze in computing platforms.

and of varying computational capability and complexity.

• Data collected from things are processed by applications.

• Using various connectivity technologies such as Wi-Fi, Zigbee, NFC, Bluetooth, cellular (2G/3G/4G/5G) and low-powered WAN, data are

• Things are fitted with electronics, software, actuators and sensors. They can be battery operated, electricity powered or use RFID transponders. Things collect raw data from the environments. Each thing has a unique identifiable address

• Applications collect data in real time from different things to store, process and

• Insights are derived from the collated data using robust analytics enabling informed business decisions to be taken involving process and people.

The term "Internet of Things" was officially introduced in 1998–1999 by Kevin Ashton of automatic identification center (Auto-Id) at Massachusetts Institute of technology (MIT). Kevin suggested that Internet-connected RFID technologies can be used in supply chains to keep track of items without human involvement [5]. The philosophy of IoT further gained momentum in 2005, thanks to the formal acceptance of IoT in a world summit on information society (WSIS) in Tunisia [6]. However, the concept of IoT applications can be traced back to 1982 when one of the first attempts of an IoT application was developed at Carnegie Mellon University. The Internetconnected coke machine was able to report the drinks contained and whether the

**10**

*IoT evolution (adapted from [3, 8, 9]).*


#### **Table 2.**

*IoT applications.*

IoT has produced a number of sophisticated solutions that are growing in popularity among businesses. Many sectors have already graduated to this technology, and are putting IoT to use for digitizing their daily activities. The prominent adapters of IoT are Smart City, Retail, and Manufacturing. Some of the most notable applications rolled out in the marketplace are given in **Table 2**.

Although, there is a growing interest in IoT applications in different industry sectors, challenges in adoption exist. The key questions are: What are the privacy concerns related to IoT, particularly from a "smart home device" consumer viewpoint? What are the existing remedial approaches for privacy management? This chapter aims to address the above-mentioned questions. The remainder of this chapter is organized as follows. Section 2 presents various privacy concerns of IoT before proposing a novel framework to address IoT concerns from a consumer's perspective in Section 3. This is followed by an initial validation of the framework in Section 4 before we draw conclusions in Section 5.
