Tech leaders: The Internet of the future will need D.C. assist Read more: http://www

The “Internet of things” may incite policymaker panic — but D.C. is critical to its success, tech leaders agreed Thursday.
“The challenge for Washington is understanding when they can and can’t be helpful in that process,” said former Sen. John Sununu, current inSPIRE STEM USA Coalition co-chairman, during POLITICO Pro’s Technology Report: The Future of the Internet. “There is a role for doing what government can and should do to foster this environment.”
The increasing digital connection to everyday lives — from the tracking chip in a runner’s shoe to the app that controls a home thermostat 15 miles away — remains a largely unregulated market.
And it’s one that will require a proactive approach, said Alex Torpey, the village president of South Orange, N.J., and a proponent of open government. Otherwise, “the regulation that will come on the heels of [significant changes] are going to be much more restrictive than they need to be because we don’t know what is going to happen next.”
And not surprisingly, money will drive that economy. “There is $14.4 trillion dollars between now and 2020 that is going to come from connecting the things that haven’t been connected,” said Rob Lloyd, the president of Cisco Systems. “There’s big money on the table here.”
But landmines — either viewed as barriers to innovation or attacks on consumer rights — already are sprouting up in the form of privacy woes and transparency concerns.
Government officials made their first push to protect consumers against its repercussions last week by penalizing a company that failed to set up adequate safeguards for baby monitors and home security cameras. The FTC said a hacker exploited a security flaw and posted live feeds of sleeping babies and playing children.
“Open any newspaper today and you find a story about cybersecurity and hacking,” Sununu said. “There’s a lot of pushback, questions about privacy and security … does integrating in this way threaten my business?”
Therein lies the inevitable balancing act for businesses eager to create, said Mark Norman, president of Zipcar — the car-sharing company that has helped spur the economy of temporary owners.
A quality product can streamline tasks and make life simpler, such as linking calender preferences and contacts for a seamless reservation, he said. “But there is a huge trust factor in sharing that,” he added.
The speakers, in keeping with tech philosophy, expressed more excitement than trepidation.
These changes will result in “creative destruction,” Sununu said with a smile. “So many business models are out there that are going to threaten or even destroy companies and jobs in a way that will improve” society.
“And that is what it’s all about.