Top 5 Industrial IoT (IIoT) security challenges & ways to overcome them

What we’re driving at here: your business cannot afford to take cybersecurity lightly. Particularly, if you operate in highly competitive sectors like manufacturing and supply chain management. And especially if your company has tapped into the Internet of Things software development — just like 72% of your rivals.

From detecting anomalies in equipment performance before failures occur to monitoring inventory levels in real time using RFID tags and BLE beacons, there are many exciting IIoT applications and benefits to consider. And just as many ways your IIoT solution could compromise your entire IT infrastructure, leading to the following consequences:

What are the key factors putting IIoT security at risk — and how could your company foresee and solve the Industrial Internet of Things security challenges before disaster strikes?

Let’s solve the riddle together!

For clarity’s sake, let’s define the Industrial Internet of Things and its technology components before zooming in on IIoT security implications.

The IIoT term refers to the interconnected network of machines, sensors, controllers, and systems that communicate and exchange data with each other and central platforms in industrial settings.

Such cyber-physical systems combine elements of traditional industrial equipment with connectivity, data analytics, and data visualization. Companies turn to IIoT consultants to monitor manufacturing and warehouse operations and automate single processes or entire workflows.

Behind the scenes, the Industrial IoT has the same architecture as every other Internet of Things solution, although edge IoT deployments where data is analyzed closer to sensors prevail in industrial settings.

Companies tapping into IIoT may procure brand-new equipment enhanced with sensors and supporting connectivity by default or upgrade existing machinery using custom and off-the-shelf IIoT retrofit kits.

From the Industrial IoT security standpoint, why is it important to understand how IIoT systems function behind the scenes?

Without further ado, let’s investigate what factors undermine security in IIoT solutions — and what you can do to shield your cyber-physical systems from these threats.

Connectivity technologies are the backbone of all IoT systems, no matter the complexity and area of application.

In industrial settings, as more devices and sensors go online, more endpoints, communication channels, and data storage solutions emerge. And this calls for a very diverse and, preferably, balanced mixture of data and networking protocols meeting specific IIoT security requirements.

Currently, up to 98% of all IoT traffic is unencrypted, meaning hackers can easily bypass the first line of defense — e.g., by learning a user’s login and password via a phishing attack — and lay their hands on your company’s data.

Poor encryption practices stem from using legacy communication technologies, such as Modbus, Profibus, and DeviceNet. In fact, most of the legacy IIoT communication protocols lack data encryption capabilities altogether, forcing IoT developers to look for workarounds, such as implementing VPNs and secure tunnels or gateways and addressing encryption issues at the Secure Sockets Layer (SSL)/Transport Layer Security (TLS) level.

To secure data exchange between the components of an IIoT solution and thus prevent the Industrial Internet of Things security accidents, we recommend you implement a fail-proof connectivity tech stack consisting of:

Unlike computers, tablets, and smartphones, IoT devices do not support endpoint security systems, such as antivirus programs — simply because they often run highly customized or outdated embedded software or are specifically designed to be small and energy-efficient.

While you can partially solve Industrial IoT security challenges by introducing firewalls, intrusion detection and prevention (IDP), and device control mechanisms at the network level, upgrading the applications constituting your IIoT software ecosystem to the latest version becomes critical for resolving possible IIoT security issues.

Due to IIoT device design constraints and a large number of endpoints within a cyber-physical system, patching IIoT software security vulnerabilities is a task few industrial companies can address. That’s why up to 65% of manufacturers still use outdated operating systems ridden with zero-day security vulnerabilities.

To mitigate IIoT cybersecurity risks, an industrial company must have an efficient software update management mechanism in place.

Here at ITRex, we are strong advocates of software and firmware updates over the air (OTA). In this scenario, a cloud-based platform powered by AWS IoT Device Management, Azure IoT Hub, or pre-configured SaaS solutions like Bosch IoT Rollouts automatically delivers software updates to edge devices, controllers, and gateways.

A properly configured device management platform will also keep better track of your device fleet, optimize update rollouts considering device-specific settings and security requirements, and notify your IT team in emergencies.

Network IIoT security aside, a cyber-aware industrial company should also prevent cybercriminals and malicious insiders from stealing hardware with the goal of scanning the devices’ interior and infesting them with viruses and spying programs.

Insufficient physical security measures not only compromise the integrity and confidentiality of sensitive data, but also lead to service disruptions, operational downtime, and financial losses. The repercussions of physical security vulnerabilities can extend beyond the immediate impact, potentially endangering public safety and critical infrastructure.

To address the poor physical security issues in industrial IoT, a multi-faceted approach is required. Here’s what your company should do as part of the physical IIoT security overhaul:

Up to 90% of organizations report having shadow IoT devices on their network, with 44% of the respondents admitting those devices were connected without the knowledge of their security or IT teams.

As a result, companies are unaware of which devices communicate with each other, what information they gather and exchange, and whether this information is inaccessible to third parties.

And the fact that IIoT security audits stretch far beyond identifying hardware solutions by their IP and operating system only complicates the matter.

There are several steps you could take to achieve device and network visibility in IIoT deployments:

As we’ve mentioned earlier, a lack of collaboration and coordination between information technology (IT) and operational technology (OT) teams can result in poor IIoT security management practices.

While equipment operators and factory managers properly care for connected machines, they know little about the embedded and connectivity technologies that power them. IT teams, on the contrary, are well-versed in traditional information security but tend to treat IIoT solutions like ordinary hardware.

This may lead to low patch levels, limited visibility into network activity, and misconfigurations of the Industrial Internet of Things systems. Additionally, cybercriminals may exploit your employee’s limited knowledge of IIoT security best practices through phishing attacks and impersonation. Your team may also choose weak passwords or reuse passwords across applications, which may open a backdoor to your IT infrastructure, undermining IIoT software security.

Here’s a high-level plan that could help your company raise cybersecurity awareness among employees:

IIoT adoption rates have soared in recent years — and so have the high-profile attacks targeting critical IIoT infrastructures in the industrial segment.

According to a recent survey from Check Point, in the first two months of 2023, 54% of companies suffered IoT-related attacks, with an estimated 60 attacks per week per organization (41% up from last year). Among the devices most susceptible to hacker attacks were routers, network video recorders, and IP cameras — in short, hardware that comprises the backbone of every company’s IT infrastructure.

Even if your IT team follows IIoT security best practices throughout the development and implementation process, there’s no guarantee hackers won’t exercise control over your equipment and data by exploiting vulnerabilities in apps and devices outside the IIoT ecosystem. That’s why your company needs an all-embracing security strategy — and here’s what ITRex can do for you!