HOSTED BY IN PARTNERSHIP WITH SUPPORTED BY Barcelona iCapital 2015

IoT – the EU perspective Dr Mechthild ROHEN Head of Unit – Internet of Things European Commission IoT Solutions World Congress, Barcelona 3 October 2017

The importance of IoT • IoT - key growth area to be addressed at a global level. • Huge opportunity for Europe (and also for international cooperation). Growing need for stronger cooperation. • IoT market in Europe will exceed one trillion € by 2020.

IoT at the European Commission Unit "Internet of Things" exists since July 2016 Our mission: being the centre of competence for IoT Responsible for policy, research, standardisation, adoption and take up of IoT Our context: Digitisation of European Industry (DEI) strategy Ensuring the competitiveness of European industry through an industrial strategy for IoT

IoT Action Plan – 3 pillars Single market for IoT: IoT devices and services should be able to connect seamlessly and on a plug-and-play basis anywhere in the EU -> Interoperability, Standardisation Thriving IoT ecosystem: Open platforms used across vertical silos will help developer communities to innovate. As a kick-start, IoT deployments in selected lead markets will be supported -> Large scale pilots Human-centred IoT: Respect of European values, empowering people along with machines and businesses, high standards for protection of personal data and security, notably through a Trusted IoT label ->policy/legislation initiatives (eg. trust, security, liability)

IoT implementation strategy – building IoT eco-systems Funding IoT Large Scale Pilots in lead markets; Supporting the Alliance for Internet of Things Innovation (AIOTI); Fostering an interoperable environment for IoT; Supporting international collaboration on IoT Providing appropriate regulatory conditions to facilitate the creation of an IoT single market (including cyber security and liability aspects) Clarifying the legal framework regarding data ownership (rights on access, transfer and usage of non-personal data)

Cybersecurity incidents are increasing at an alarming pace …as well as financial theft, loss of intellectual property, data breaches, etc.

Trust in IoT - minimum common requirements across sectors - Security and privacy by design and by default Encryption for data confidentiality and integrity A proper liability regime

The role of governments & policy makers Industry-oriented actions (intervene in case of market failures?) Market-oriented policy measures Explore a possible framework for ICT security certification Identify & accelerate the development of essential ICT standards 19 April 2016 Digitising European Industry (DEI) strategy 5 July 2016 Cybersecurity Communication

"Cybersecurity Act" of 13 Sep 2017 Billions of devices connected to the Internet by 2020 Dramatic rise in cyber-criminal activity Need to reinforce EU's resilience and response EU's ICT security certification framework to increase trust Avoid fragmentation of and barriers in the DSM Avoid "one size fits all" through appropriate schemes Possibility for labels and marks Benefits for citizens, end-users, vendors and providers

2nd Data package 13 Sep 2017 Unlocking the full potential of the EU Data Economy Free flow of non-personal data across borders Increase legal certainly and trust for businesses Follow-up on 1st data package of 10 Jan 2017 Assessing barriers and other emerging challenges (liability) Build upon DEI and European Interoperability Framework Embracing digital opportunities: one of the goals of the holistic Industry Policy Strategy (adopted on the same day)

Liability issues – focus on IoT protect investments – reassure consumers Current EU liability regime (PLD) fit for purpose? Product-service lifecycle of emerging technologies Determining the fault's root cause and "producer" Is IoT a product or a service? Quid data? "Producer" in an autonomous, self-learning system The burden of proof ? Pure economic loss? Voluntary/mandatory insurance schemes needed?

Thank you ! Internet of Things: http://ec.europa.eu/digital- agenda/en/internet-things Horizon 2020 – The EU Framework Programme for research and Innovation: http://ec.europa.eu/research/horizon2020/index_en.cfm The Alliance of Internet of Things Innovation AIOTI: http://www.AIOTI.eu 13