LONDON — IAR Systems Group has created a dedicated fund to invest in and incubate internet of things (IoT) security startups, committing $2 million a year over three years, initially. This will be done through a new business incubator called Ymir, located in Stockholm.
The IoT market, which could grow to 27 billion connections in 2025 according to Machina Research, faces significant security challenges, enabling attacks such as IP theft, counterfeiting and overproduction, as well as data theft and potentially life-threatening sabotage. Despite these threats, only 4% of products have security designed in, according to ABI Research.
Hence with security increasingly becoming a concern for developers of electronics products, a large number of startups are emerging with innovative solutions for simplified and strengthened security implementation.
Stefan Skarin, CEO of IAR Systems Group, said that investing in these new technology startups will help gain greater insights into new technologies and enhance the company’s security value. “Within Ymir, we will go for an initial limited ownership with open possibilities to grow, divest and acquire these startup companies,” Skarin said.
While the physical incubator is in Sweden, the fund is targeting global startups.
>> Read the complete article on our sister site, EE Times: “IAR Creates Fund to Incubate IoT Security Startups.”