The convergence of a number of factors in the Smart Home industry is prompting industry leaders and innovators to explore blockchain technology to improve and protect customer experience, according to a recent Navigant Research report. Data security and protection has become a top priority as a result of a number of high-profile hacks and security breaches reported in the news.
The expanding market for connected Internet of Things (IoT) devices and smart home services in households is driving smart home companies to work with blockchain and distributed ledger technologies to create a common platform to support smart devices. Included are improvements in cybersecurity and interoperability.
“Blockchain technology can enhance the smart home customer experience, but crucial questions need to be addressed before consumers welcome blockchain into their homes,” says Johnathon de Villier, research analyst with Navigant Research in a press statement. “Concrete pilot and demonstration projects will be needed to evaluate blockchain-based platforms in smart homes, specifically in terms of their scalability, interoperability, and deployment.”
The report advises the smart home to “fully understand the blockchain and its data security implications…to integrate these innovations securely, companies should be technology agnostic and pursue exploratory partnerships to improve cybersecurity for this nascent technology”.
This Navigant Research report, Smart Home Service Providers Are Testing the Waters with Blockchain, identifies trends in the smart home industry associated with the exploration of blockchain technology, pointing out areas that blockchain would improve smart home services, while also examining hurdles.
