The Internet of Things (IoT) and Update on Cybersecurity Trends

Chuck BrooksVice President Sutherland Government Solutions

Brookings Institute, October 27, 2015

The Future

The next decade will lead us into an era of scientific breakthroughs that will change our way of life as we know it. We are on the cusp of accelerated technological advancement. We are experiencing a pace of innovation that is growing so quickly that it is becoming exponential. The list of technological achievements is perpetually expanding with each passing year

Futurist Dr. Michio Kaku characterizes this blazing technological shift as moving from the “age of discovery” to the “age of mastery.”

We have come a long way from the cumbersome, slow PCs of the 70s to Google Glass and paper-thin next generation communication devices. We are now at the footstep of quantum computing in The Cloud with flexible and wearable electronics.

Cisco, who terms the “Internet of Things”, “The Internet of Everything,” predicts that 50 billion devices (including our smartphones, appliances, and office equipment) will be wirelessly connected via a network of sensors to the internet by 2020.

The Digital age and “The Internet of Things”

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Some Key IoT; Definitions/Stats:

IoT refers to the general idea of things that are readable, recognizable, locatable, addressable, and/or controllable via the Internet.

Physical objects communicating with each other. (30 to 50 Billion objects by 2020)

People, data, things (machine to machine, machine to people) .

Cisco estimates that IoT will be valued at $4.6 Trillion for the Public Sector in the next ten years

604 million users of wearable biometrics by 2019 according to Goode Intelligence

The Digital age and “The Internet of Things”

* Areas of IoT focus: facilities & infrastructure management, industrial applications, energy (smart grid) , medical & healthcare, transportation, building/construction (smart buildings), environment (waste management), water resources, retail and supply chain, communications, and education (learning analytics). * Technology Trends: automation, robotics, enabling nanotechnologies, self-assembling materials, artificial intelligence (human/computer interface), 3D Printing Photovoltaics and printed electronics), wearables (flexible electronics) real-time analytics and predictive analytics, super-computing (faster and more connectivity), increased storage and data memory power, wireless networks, secure cloud computing, virtualization, * Policy Issues: ethics, interoperability protocols, cybersecurity, privacy/ surveillance, complex autonomous systems, best commercial practices.

The Digital age and “The Internet of Things”

IOT JOBS:

One-million shortage of qualified workers in the Internet security industry in the next five years

Two million jobs needed in information technology and communications in the next ten years

IoT-related patent filings with the Unites States Patent Office "overshadow all other technologies." The leading categories listed in the report are:

• Wired and wireless networking• Algorithm, encryption, and memory management computing• Control systems, power management, and hardware

infrastructure• Other patents in applications, testing, and measurement IOT

JOBS

The Digital age and “The Internet of Things”

Cheap sensors – Sensor prices have dropped to an average 60 cents from $1.30 in the past 10 years.

Cheap bandwidth – The cost of bandwidth has also declined precipitously, by a factor of nearly 40X over the past 10 years.

Cheap processing – Similarly, processing costs have declined by nearly 60X over the past 10 years, enabling more devices to be not just connected, but smart enough to know what to do with all the new data they are generating or receiving.

Smartphones – Smartphones are now becoming the personal gateway to the IoT, serving as a remote control or hub for the connected home, connected car, or the health and fitness devices consumers are increasingly starting to wear.

Ubiquitous wireless coverage – With Wi-Fi coverage now ubiquitous, wireless connectivity is available for free or at a very low cost, given Wi-Fi utilizes unlicensed spectrum and thus does not require monthly access fees to a carrier.

Big data – As the IoT will by definition generate voluminous amounts of unstructured data, the availability of big data analytics is a key enabler.

Technology Changes That Have Enabled The Rise Of IoT.

The Device MeshThe device mesh refers to an expanding set of endpoints people use to access applications and information or interact with people, social communities, governments and businesses. The device mesh includes mobile devices, wearable, consumer and home electronic devices, automotive devices and environmental devices — such as sensors in the Internet of Things (IoT).

Ambient User ExperienceThe device mesh creates the foundation for a new continuous and ambient user experience. Immersive environments delivering augmented and virtual reality hold significant potential but are only one aspect of the experience. The ambient user experience preserves continuity across boundaries of device mesh, time and space. The experience seamlessly flows across a shifting set of devices and interaction channels blending physical, virtual and electronic environment as the user moves from one place to another.

3D Printing MaterialsAdvances in 3D printing have already enabled 3D printing to use a wide range of materials, including advanced nickel alloys, carbon fiber, glass, conductive ink, electronics, pharmaceuticals and biological materials. These innovations are driving user demand, as the practical applications for 3D printers expand to more sectors, including aerospace, medical, automotive, energy and the military.

Gartner Identifies the Top 10 Strategic Technology Trends for 2016

Information of EverythingEverything in the digital mesh produces, uses and transmits information. This information goes beyond textual, audio and video information to include sensory and contextual information. Information of everything addresses this influx with strategies and technologies to link data from all these different data sources. Information has always existed everywhere but has often been isolated, incomplete, unavailable or unintelligible. Advances in semantic tools such as graph databases as well as other emerging data classification and information analysis techniques will bring meaning to the often chaotic deluge of information.

Advanced Machine LearningIn advanced machine learning, deep neural nets (DNNs) move beyond classic computing and information management to create systems that can autonomously learn to perceive the world, on their own. The explosion of data sources and complexity of information makes manual classification and analysis infeasible and uneconomic. DNNs automate these tasks and make it possible to address key challenges related to the information of everything trend.

Autonomous Agents and ThingsMachine learning gives rise to a spectrum of smart machine implementations — including robots, autonomous vehicles, virtual personal assistants (VPAs) and smart advisors — that act in an autonomous (or at least semiautonomous) manner. While advances in physical smart machines such as robots get a great deal of attention, the software-based smart machines have a more near-term and broader impact. VPAs such as Google Now, Microsoft's Cortana and Apple's Siri are becoming smarter and are precursors to autonomous agents.

Gartner Identifies the Top 10 Strategic Technology Trends for 2016

Adaptive Security ArchitectureThe complexities of digital business and the algorithmic economy combined with an emerging "hacker industry" significantly increase the threat surface for an organization. Relying on perimeter defense and rule-based security is inadequate, especially as organizations exploit more cloud-based services and open APIs for customers and partners to integrate with their systems

Advanced System ArchitectureThe digital mesh and smart machines require intense computing architecture demands to make them viable for organizations. Providing this required boost are high-powered and ultraefficient neuromorphic architectures. Fueled by field-programmable gate arrays (FPGAs) as an underlining technology for neuromorphic architectures, there are significant gains to this architecture, such as being able to run at speeds of greater than a teraflop with high-energy efficiency.

Mesh App and Service ArchitectureMonolithic, linear application designs (e.g., the three-tier architecture) are giving way to a more loosely coupled integrative approach: the apps and services architecture. Enabled by software-defined application services, this new approach enables Web-scale performance, flexibility and agility. Microservice architecture is an emerging pattern for building distributed applications that support agile delivery and scalable deployment, both on-premises and in the cloud.

Internet of Things PlatformsIoT platforms complement the mesh app and service architecture. The management, security, integration and other technologies and standards of the IoT platform are the base set of capabilities for building, managing and securing elements in the IoT. IoT platforms constitute the work IT does behind the scenes from an architectural and a technology standpoint to make the IoT a reality

Gartner Identifies the Top 10 Strategic Technology Trends for 2016

Data science is an encompassing category. It includes big data, advanced analytics and predictive computing, knowledge management, along with information sharing via the convergence to common smart platforms.

* Collaborative investment and information-sharing between government and private stakeholders will exponentially benefit innovation and data informatics in many key areas including homeland/national security, health and human services, public safety and transportation. Social media has also become part of the federal government ecosystem, sharing economy.

Data Science

* According to Eric Schmidt , CEO of Google, we produce more data every other day than we did from the inception of early civilization until the year 2003 combined. Therefore, organizing, managing and analyzing data is more important than ever.

* Big data and data analytics are collapsing the information gap and giving businesses and governments the tools they need to uncover trends, population movements, customer preferences, demographics, commerce traffic, transportation, etc. These tools can also help several industries, including the customer service by identifying caller trends, healthcare by flagging potential fraud and financial services by proactively flagging a borrower that is on the verge of lapsing in payment.

Data Science

* Digital Transformation includes digitizing the customer experience, data flow, supply chain management, governance, engagement, e-government and virtual government. In its basic description, it is turning paper into electronic records. Paper-based to electronically based systems of documentation requires data collection, processing and analysis.

* The United States Government maintains one of largest repository of documents in the world. Millions of supporting documents are compiled and stored every year by a multitude of government agencies which have a responsibility to preserve, secure, and retrieve vital information when needed. While paper documents are still very much routine for government operations, the goal has been to increasingly move from paper to electronic images.

Digital transformation

* Smart Cities integrate transportation, energy, water resources, waste collections, smart-building technologies, and security technologies and services. The term “smart city” connotes creating a public/private infrastructure to conduct activities that protect and secure citizens. This includes shared situational awareness and enabling integrated operational actions to prevent, mitigate, respond to, and recover from cyber incidents as well as crime, terrorism and natural disasters.

* Many companies are becoming proactive in preparing for the expansion of IoT. IBM recently announced that they are making a $3 billion investment in future IoT projects and initiatives such as smarter planet and smarter cities.

Smart Cities

* A “connected transportation system,” and more specifically “connected cars” allow for safer and more efficient urban mobility and is a priority for federal and state & local governments. Connected car technology is evolving rapidly and is now being tested.

* In a public/private partnership, the University of Michigan has created a 32-acre simulated city. It is called The Mobility Transformation Center (MTC), and it is designed to simulate traffic events and road conditions for automated and autonomous vehicles, is the largest test facility of its kind and run in partnership with the U.S. Department of Transportation as well as 13 companies, including GM, Ford and Xerox. When it’s fully developed, 30,000 cars will be deployed at the test facility and throughout Southeastern Michigan.

Connected Transportation

* Smart 3-D printing is trailblazing future manufacturing. 3-D printing connotes a three-dimensional object that is created layer by layer via computer aided design) programs. To be able to print the object, the computer divides it into flat layers that are printed one by one. By printing with advanced pliable materials such as plastics, ceramics, metals, and graphene there have already been breakthroughs in prosthetics for medicine and wearable sensors.

* The big advantage for government is that 3-D printing can be customized, produced rapidly and is cost effective.The possibilities for 3-D printing are seemingly limitless. Recently, Rolls-Royce announced it would use 3-D printing to make parts for its jet engines, and BAE Systems announced that fighter jets containing 3-D-printed parts are now being flown.

3-D Printing

* 3-D printing innovation are also making its way into printing electronics, sensors, and circuits. “Printed electronics” or electronic chips are fabricated by printing their features on top of thin surfaces. Using semiconducting and conductive inks and materials, 3-D printers can now print transistors, sensors, circuits, batteries, and displays.

* Xerox’s PARC, one of the world’s pioneering research and development (R& D) institutions, has developed jet-printing processes for printed and flexible electronics resulting in novel functionality and reduced manufacturing costs. PARC's printed and flexible electronic expertise can also be applied to consumer health and electronics products, high-functionality packaging, and electro-mechanical sensing in a broad range of medical and biomedical applications.

3-D Printing

* Emergent artificial intelligence (AI) and augmented reality technologies are no longer things of science fiction and will likely change operations in both the public and private sectors in the next decade.

* Companies are already developing technology to distribute artificial intelligence software to millions of graphics and computer processors around the world. Xerox PARC and Xerox Research Centre Europe have applied AI, machine learning, and natural language processing to solve a variety of business problems. AI can understand, diagnose, and solve customer problems — without being specifically programmed. And the Xerox WDS virtual Agent machine’s learning technology taps into intelligence gleaned from terabytes of data that the company obtains about customer interactions. It also has the ability to learn how to solve new problems. There are many implications for improving government service by utilizing this kind of AI technology, including next generation robotics .

* Augmented reality intertwines the physical and digital world by computer-generated sensory input such as sound, video, graphics, and sometimes even smell. Google Glass and Oculus Rift, are already good examples of these emerging technologies.

“Disruptive” Artificial Intelligence /Augmented Reality

SRT Global Commercialization Strategy – September 2010 | © 2010 PRTM Proprietary7 Ω

GLOBAL ECONOMY

PANDEMICS

RESOURCESENERGY

FOOD

RESILIENCE CAPACITY BUILDING

INTERNET OF THINGS

INFRASTRUCTURE

HEALTH WELLNESS

The number, growing complexity, and magnitude of systemic risk and opportunity challenges requires an unprecedented level of Private/Public sectorcollaboration

SECURITY

APPLIED INNOVATION

TRANSPORTATION

Proprietary & Confidential

SYSTEMIC RISKS

Challenges

Technology Verticals

Transportation

* Sustainability of infrastructure* Converged transportation ecosystems and monitoring* Autonomous and connected cars* Predictive analytics(parking, traffic patterns)* New Materials for stronger construction and resilience Energy * Solar power* Waste to biofuels * Protecting the Grid* Batteries (long lasting)* Renewables* Energy efficiency *

Transportation & Energy

* Health- Implantable devices; (bionic eyes, limbs)* DNA nanomedicines and delivery* Genomic techniques – gene therapy (Gene therapy to enhance strength, endurance and lifespan Gene therapy to enhance human intelligence) * Remote sensing tech (Wearables)* Medicine for longevity, enhancement* Real-time biomarker tracking and monitoring * Artificially grown organs * Human regeneration Human cells interfaced with nanotech* Cybernetics * Exoskeletons for mobility* *

Health & Medicine

Law Enforcement

Law Enforcement: * Surveillance (chemical and bio sensors, cameras, drones)* License plate readers* Non-lethal technologies* Forensics* Interoperable communications

* Biometrics: Security screening by bio-signature: Every aspect of your physiology can be used as a bio-signature. Measure unique heart/pulse rates, electrocardiogram sensor, blood oximetry, skin temperature

Finance: * Mobile payments* Mobile banking* Identity management* Biometric Security: access control facial recognition, voice recognition, iris and retina scanners, fingerprint sensors on tablets and smartphones – pass keys Agriculture: * Aqua farming* Water purification* New food manufacturing and production tech* Food security

Finance & Agriculture

• Over 43% of companies had breaches last year (including mega companies such as Home Depot, JPMorgan, and Target. Moreover, the intrusion threats are not diminishing. For example, British Petroleum (BP) faces 50,000 attempts at cyber intrusion every day.

• OPM Breach

• According to the think tank Center For Strategic and International Studies (CSIS), cyber related crime now costs the global economy about $445 billion every year

Cybersecurity

• Defining and monitoring the threat landscape• Risk Management (identifying, assessing and responding to threats-

i.e. NIST Framework: Identify, Protect, Detect, Respond, Recover)• Protecting critical infrastructure through rapid proto-typing of

technologies and Public/Private cooperation• Modernizing security Architectures:• Better encryption and biometrics (quantum encryption, keyless

authentication)• Automated network-security correcting systems (self-encrypting

drives)• Technologies for “real time” horizon scanning and monitoring of

networks• Access Management and Control• Endpoint protection• Diagnostics, data analytics, and forensics (network traffic analysis,

payload analysis, and endpoint behavior analysis)• Advanced defense for framework layers (network, payload, endpoint,

firewalls, and anti-virus)• Enterprise and client Network isolation to protect against malware,

botnets, insider threats

Cybersecurity; Industry Priorities

* Cybersecurity, information assurance, and resilience are the glues that will keep our world of converged sensors and algorithms operational. This has become one of the largest areas of government spending at all agencies and is consistently ranked the top priority among government and industry CIOs in surveys.

* In the U.S., most (approximately 85 per cent of the cybersecurity critical infrastructure including defense, oil and gas, electric power grids, healthcare, utilities, communications, transportation, banking, and finance is owned by the private sector and regulated by the public sector. 2014 was the year of the breach for many large corporations in a variety of sectors.

* The leader civilian agency in the government for public/private cooperation in cybersecurity is the Department of Homeland Security (DHS).

Cybersecurity ; Government

There is a growing need for the following in government :

1) Better encryption, authentication, and biometrics (quantum encryption, keyless authentication, etc.);

2) Automated network security and self-encrypting drives to protect critical infrastructure in all categories;

3) Protecting critical infrastructure through technologies and Public/Private cooperation;

4) Technologies for “real time” horizon scanning and monitoring of networks;

5) Advanced defense for framework layers (network, payload, endpoint, firewalls, and anti-virus);

6) Diagnostic and forensics analysis.

Cybersecurity

Innovation requires the meshing of ideas, strategy and effectivecommunication

The problems that exist in the world today cannot be solved by the level of thinking that created them.

Charles (Chuck) Brooks serves as the Vice President for Government Relations & Marketing for Sutherland Global Services. Chuck leads Federal and State & Local Government relations activities. He is also responsible for the Marketing portfolio (Media, PR, Digital Outreach, Thought Leadership, Strategic Partnering, Branding) for the Federal and State & Local markets. Chuck is also an Advisor to the Bill and Melinda Gates Technology Partner network and serves on Boards to several prominent public and private companies and organizations. Chuck has extensive service in Senior Executive Management, Marketing, Government Relations, and Business Development and worked in those capacities for three large public corporations. In government, he served at the Department of Homeland Security as the first Director of Legislative Affairs for the Science & Technology Directorate. He also spent six years on Capitol Hill as a Senior Advisor to the late Senator Arlen Specter where he covered foreign affairs, business, and technology issues. In academia, Chuck was an Adjunct Faculty Member at Johns Hopkins University where he taught graduate level students about homeland security and Congress. He has an MA in International relations from the University of Chicago, and a BA in Political Science from DePauw University, and a Certificate in International Law from The Hague.

Twitter: @ChuckDBrooksLinked in Profile: http://www.linkedin.com/in/chuckbrooks

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