card not present

The Winding Road Toward IoT Commerce: Considering the Opportunities and Risks of Selling Through Connected Devices | WHite Paper


Get our white paper to learn what IoT commerce will do to data creation and storage requirements, how bots and botnets can turn our devices against us, which vulnerabilities specifically affect digital goods sellers and what this all means to merchants.

In May of this year, an Amazon Echo device recorded a couple’s private conversation and emailed it. The device had misinterpreted regular conversation as commands to wake up and send a message (the ensuing conversation) to one of the contacts stored in the device. This episode resulted in severe reputational damage to Amazon and decreased consumer trust in connected devices.

The Internet of Things (IoT) consists of billions of connected devices—a number that will quickly accelerate—enabling rich, frictionless shopping experiences. But, while plenty of innovators are thinking about, and working on how to deliver those experiences, experts say relatively few are thinking about the associated risks.

If these risks are not addressed head-on, the potential scale of connected commerce will most-certainly spike card-not-present fraud. And, in addition to the financial loss companies will incur, insufficient attention to security could lead to other incidents like the Amazon mishap.