14
A Democratic Licence to Operate
The first concerns real-time court-ordered interception of what we call ‘data in motion,’
such as phone calls, e-mail, and live chat sessions. The second challenge concerns courtordered access to data stored on our devices, such as e-mail, text messages, photos, and
videos—or what we call ‘data at rest.’ And both real-time communication and stored data are
increasingly encrypted.37
The Future: The Internet of Things
1.29
The dependence of society on ICT seems likely only to increase in future, and the advent
of cloud computing (the ability to use a network of remote servers hosted on the Internet
to store, manage and process data, rather than a local server or personal computer) will
mean that digital technology will penetrate every part of the economy and of society.
1.30
The ISR Panel were particularly concerned with the Internet of Things (IoT), as this will
have a profound effect on issues of data ownership, acquisition and retention. The
IoT refers to a scenario in which everyday products (such as cars, televisions and even
clothing) and systems (energy grids, healthcare facilities and transportation systems)
are connected to the Internet, allowing them to send and receive data. This is likely to
increase the stock of information relating to consumers and their habits and behaviour.
One common use already is in wearable technologies such as fitness bands and smart
watches. Devices within homes are also becoming connected for energy control and
security; smart thermostats, for instance, have the ability to switch a home’s heating on
or off remotely through the use of a smartphone, and sensors could be used to learn
when a user wakes up or leaves the house.38 The IoT is being driven by the falling cost
of sensors, processors and bandwidth. According to a number of reports, it represents a
transformative shift for the economy similar to the introduction of the personal computer
itself. It also incorporates a number of other major technology-industry trends such as
cloud computing, data analytics and mobile communications.39
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There are two important implications of the IoT relevant to this review. The first is that
the digital society will become more interconnected than ever before: the networked
nature of our homes, businesses and public spaces will make the Internet even more
pervasive in our daily lives. The second is that the IoT is expected to generate, share and
analyse a significant volume of data. While there are a number of different definitions of
the IoT, one common factor is the capture and analysis of data in order to deliver some
37. James B Comey, ‘Going Dark: Are Technology, Privacy, and Public Safety on a Collision
Course?’, speech given at the Brookings Institution, Washington DC, 16 October 2014.
38. Ofcom, ‘Promoting Investment and Innovation in the Internet of Things: Summary of
Responses and Next Steps’, Statement, 2015.
39. See for example Dave Evans, ‘The Internet of Things: How the Next Evolution of the
Internet Is Changing Everything’, White Paper, Cisco, 2011; Federal Trade Commission,
‘Internet of Things: Privacy and Security in a Connected World’, Staff Report, 2015; Ofcom,
‘Promoting Investment and Innovation in the Internet of Things’; Vernon Turner et al., ‘The
Digital Universe of Opportunities: Rich Data and the Increasing Value of the Internet of
Things’, Infobrief, International Data Corporation, 2014.