IoT Security Risks and Solutions: Protect Your Connected Devices

The Internet of Things (IoT) is transforming how we live and work—connecting everyday devices to critical business systems. But this growing connectivity also expands the attack surface for cybercriminals.

In Q1 2025, Cloudflare blocked 20.5 million DDoS attacks, a 358% year-over-year increase. About 6.6 million targeted its infrastructure directly, and nearly 700 hyper-volumetric attacks exceeded 1 Tbps or 1 Bpps, averaging 8 per day (Source).

With IoT devices powering everything from smart offices to industrial control systems, their vulnerabilities can no longer be ignored. In this blog, we’ll break down the most urgent IoT security risks of 2025 and share practical solutions to protect your connected devices -whether you’re securing a smart office, manufacturing floor, or enterprise network.

The Expanding Role of IoT in Business and Daily Life

The Internet of Things (IoT) is rapidly transforming various sectors, embedding itself in homes, vehicles, healthcare, and industrial operations. By 2030, the number of IoT-connected devices is projected to reach 32.1 billion, reflecting a massive expansion from today’s landscape (Source).

This widespread adoption introduces new challenges. Many of these devices handle sensitive data, such as personal health records and financial information. However, a significant portion remain vulnerable to attacks, with over 50% containing critical security gaps that can be exploited by cybercriminals (Source).

As IoT devices control everything from remote diagnostics in healthcare to real-time monitoring in manufacturing, securing the IoT network is critical to prevent operational shutdowns, data theft, and system manipulation.

The Human Risk Behind IoT Breaches

While technical flaws in IoT devices pose serious risks, human error remains one of the most common causes of unauthorized access. Employees often overlook critical updates, reuse default passwords, or fall for social engineering attacks - making even well-configured systems vulnerable.

Attackers increasingly exploit these behaviors through phishing, smishing, and quishing campaigns. A single click on a malicious link can expose login credentials or grant access to connected devices and networks.

To address this, organizations must go beyond device-level defenses and invest in security awareness. Tools like Phishing Simulator and Security Awareness Training help employees recognize and respond to threats before they escalate - turning your human layer from a risk into a defense line.

Key IoT Security Threats in 2025

As IoT devices handle everything from medical diagnostics to smart building operations, they’ve become prime targets for cyberattacks. The challenge isn’t just the volume of devices, but the speed at which attackers exploit weak configurations, outdated software, and poor network controls. Below are the five most urgent threats businesses must address to keep their connected environments secure.

1. Weak or Default Passwords

Many IoT devices are still shipped with default passwords like "admin" or "12345," which users often fail to change. These passwords can be easily guessed or found in device manuals.

Attackers use automated tools to scan for and exploit these devices in seconds. Without enforced password policies, organizations leave their entire IoT network open to compromise.

2. Unpatched Firmware and Software

IoT devices often run on outdated software due to poor patching practices or lack of vendor support. These unpatched systems contain known vulnerabilities that attackers actively exploit.

Regular firmware updates are critical, yet many devices are neglected for months. Over time, these unprotected endpoints become a major source of security breaches.

3. DDoS Attacks from Compromised Devices

Attackers routinely hijack insecure IoT devices to form botnets and launch large-scale DDoS attacks. These attacks can overwhelm servers, cause outages, and disrupt operations.

IoT-based DDoS traffic is hard to detect because it originates from legitimate hardware. Without strong controls, a single device can contribute to massive network disruption.

4. Poor Network Segmentation

When IoT devices share networks with business systems, a single breach can spread quickly. Without proper network segmentation, attackers can move laterally and reach critical assets.

Flat networks provide no barriers during a compromise. Segmenting IoT from core systems is essential to contain threats and maintain network security.

5. Exposed APIs and Physical Vulnerabilities

Many IoT devices use poorly secured APIs, allowing unauthorized access to device controls or data. Others are physically exposed and can be tampered with in the field.

API flaws can be exploited remotely, often with minimal effort. Physical access enables attackers to reset devices, extract credentials, or bypass protections entirely.

Sellafield Nuclear Site Incident: Cybersecurity Failures and Regulatory Penalty

In 2024, the UK’s Sellafield nuclear facility was fined £332,500 after regulators uncovered critical cybersecurity lapses. Investigators found that 75% of the site's servers lacked proper protections, with poor patch management and no effective intrusion detection in place. While no breach was confirmed, the regulatory action highlighted how overlooked security practices, even in highly sensitive environments, can lead to serious compliance failures and reputational damage. (Source)

Practical Solutions to Secure Your Connected Devices

Protecting IoT environments requires more than device-level defenses, it demands a strategy that blends configuration best practices, network controls, and human risk management. The following steps can significantly reduce your exposure to IoT-related threats:

• Change default credentials: Replace factory-set usernames and passwords with strong, unique credentials. Enforce password policies across all IoT endpoints.
• Enable automatic firmware updates: Ensure devices are set to receive timely security patches to prevent exploitation of known vulnerabilities.
• Implement network segmentation: Isolate IoT devices from core business systems to limit lateral movement in case of a breach.
• Monitor for anomalies: Use continuous traffic analysis to detect suspicious behavior. Tools like Threat Intelligence help identify threats before they escalate.
• Train employees and simulate threats: Human error is a leading cause of IoT breaches. Use Security Awareness Training and simulate attack scenarios with Incident Responder to build a vigilant workforce.

Protect Your IoT Devices with Keepnet’s Human Risk Management Platform

As IoT devices become more embedded in operations, human error remains a leading cause of security incidents. Keepnet’s Human Risk Management Platform helps organizations eliminate employee-driven threats with AI-powered tools and targeted training.

• AI-driven phishing simulations: Launch realistic campaigns using 6,000+ templates to test user behavior and trigger instant micro-training.
• Adaptive security awareness training: Access 2,100+ cybersecurity courses in 36+ languages to educate global teams on phishing, malware, and social engineering.
• Automated response to threats: Use Incident Responder to detect and neutralize email-based attacks 48.6 times faster.
• Customizable training workflows: Tailor awareness programs to different risk levels using AI and behavioral data.

Keepnet empowers security teams to reduce human risk, build resilience, and safeguard the people and devices driving IoT ecosystems.

Check out our free Security Awareness Training and Phishing Simulation Test to assess your organization’s readiness and strengthen your first line of defense.

Editor's Note: This article was updated on June 24, 2025.