Shadow IoT definition
Shadow IoT refers to internet of things (IoT) devices or sensors in active use within an organization without IT’s knowledge. The best example is from before the days of bring your own device (BYOD) policies when employees used personal smartphones or other mobile devices for work purposes. “Shadow IoT is an extension of shadow IT, but on a whole new scale,” says Mike Raggo, CSO at 802 Secure. “It stems not only from the growing number of devices per employee but also the types of devices, functionalities and purposes.”
Employees have been connecting personal tablets and mobile devices to the company network for years. Today, employees are increasingly using smart speakers, wireless thumb drives and other IoT devices at work as well. Some departments install smart TVs in conference rooms or are using IoT-enabled appliances in office kitchens, such as smart microwaves and coffee machines.
In addition, building facilities are often upgraded with industrial IoT (IIoT) sensors, such as heating ventilation and air conditioning (HVAC) systems controlled by Wi-Fi-enabled thermostats. Increasingly, drink machines located on company premises connect via Wi-Fi to the internet to accept, say, Apple Pay payments. When these sensors connect to an organization’s network without IT’s knowledge, they become shadow IoT.
How prevalent is shadow IoT?
Gartner predicts that 20.4 billion IoT devices will be in use globally by 2020, up from 8.4 billion in 2017. Shadow IoT has become widely prevalent as a result. In 2017, 100 percent of organizations surveyed reported ‘rogue’ consumer IoT devices on the enterprise network, and 90 percent reported discovering previously undetected IoT or IIoT wireless networks separate from the enterprise infrastructure, according to a 2018 report from 802 Secure.
One-third of companies in the U.S., U.K. and Germany have more than 1,000 shadow IoT devices connected to their network on a typical day, …

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