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Insights from the 50th Consumer Electronics Show #CES2017

Steve Goeringer
Principal Security Architect

Jan 11, 2017

This year’s CES was another record breaking event and was well attended by cable industry representatives. The event staff reports over 177,000 people attended to view nearly 2.5 million square feet of exhibit space. Over the next several weeks, analysts and pundits will contemplate the trends and shifts that are ongoing in the industry. In the meantime, here are some thoughts on a few key areas.

Everything is being connected in dozens of ways. Connected everything is going to drive huge bandwidth consumption while also presenting interesting challenges. Wireless connectivity options abound, from traditional WiFi and Bluetooth to a plethora of ecosystem scale consortia options such as ZigBee, ZWave, Thread, and ULE Alliance. Cellular based connectivity is expanding with companies using lightweight modems to easily connect new products such as health device hubs and pet monitors to cloud services. With so many options, however, providing a consistent and securable home and business environment will remain challenging — no one hub will seamlessly connect all the devices and services that are out there, and no one security appliance will keep consumer networks safe.

There is a huge focus on health and wellness, with several hundred companies exhibiting in the Health & Wellness and Fitness & Technology Marketplaces. These focus areas were well exhibited by the large manufacturers such as Samsung, Sony, Intel, and Qualcomm as well. In discussions with product managers, however, it’s clear that we might not have learned too many lessons about the need to secure medical and fitness devices and services. Many vendors continue to integrate minimal security, relying on unsecured Bluetooth connectivity to a hub that often does not leverage any form of strong identity for authentication. Fortunately, the Open Connectivity Foundation will continue to provide a path for addressing this shortfall, and membership in the Foundation significantly increased this week. Moreover, several vendors are leveraging IoTivity which will provide clean paths to secure implementations for connected environments.

Smart, highly connected homes were also a major theme, again with hundreds of vendors showing completely integrated solutions, hubs, and thousands of end devices. Connected lightbulbs remained a continuous and omnipresent idea, as were security systems. However, it’s clear there is not any winning market strategy here yet. With dozens of vendors offering complete solutions and even more offering different controllers, it seems the market is fragmented! On the other hand, Brian Markwalter of CTA advises they expect to see 63% CAGR for the smart home market in 2017. It seems this is a great opportunity for service providers to pave the way to some convergence and integration simplification for home owners.

It’s hard to go to CES and not leave very optimistic about the future. There is so much good stuff coming that is going to impact all of us. From better screens to more agile and secure health care devices to safer cars to anything else you can imagine. And, there are so many ways to add value to mundane items just by connecting them to a network. Given Metcalfe’s law (“the value of a telecommunications network is proportional to the square of the number of connected users of the system”), the value of the cable network appears to be headed for much higher with the growth of so many connected devices. And, it’s clear that we’re going to need all the bandwidth to the home that DOCSIS can bring! Our challenge is ensuring easy and flexible use through good strategies and standards for interoperability and security.

As a member of the Open Connectivity Foundation, CableLabs is guiding the interests of the cable industry with major manufacturers whose devices will connect to the cable network. Additionally, Kyrio provides OCF certification testing services, making it possible for companies to securely connect IoT ecosystems in an interoperable manner.

 

 

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