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Banking technology helps secure the Internet of Things


Cyber security technology developed for banking is being used to protect the Internet of Things from hackers.

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Australian company VeroGuard Systems has developed a unique technology that enables online authentication and encrypted transmission across fixed and mobile networks with military and banking level security.

VeroGuard Co-CEO Nic Nuske said the system used anchored ID and multi-factor authentication to be the first and only secure open internet-based login to the cloud and enterprise networks.

“Every single day there’s trillions of dollars being interchanged between the banks using the same security protocols we have in this solution,” Nuske said.

“But it’s the first time ever you can put it into an environment where it’s switching between pretty much any machine or device and guaranteeing the authenticity of the user, which then means you can take almost any device or application onto the Cloud and know that it’s completely protected.”

VeroGuard recently announced it would set up an advanced manufacturing centre in Adelaide, the capital of South Australia, to ramp up hardware production. It initially planned to reach almost 600 employees in Adelaide within three years but now expects that growth number could be as high as 1500.

The Melbourne-based company was brought to Adelaide in November by Investment Attraction South Australia, an agency set up to bring innovative companies to the state.

It has since collaborated with South Australian-owned LVX Group to develop services for small businesses looking to win work with smart cities rolling out Internet of Things technologies.

The partnership with LVX will focus on developing a cyber security solution for smart city and smart buildings IoT projects that LVX is designing and delivering across the world including in Los Angeles, Sydney, Brisbane and Melbourne.

The two companies have entered into a formal development partnership to integrate VeroGuard’s identity, cyber security and integration platform into LVX’s projects to deliver a secure platform for enabling connected Smart Infrastructure over the internet.

Nuske said the global economic impact of cyber crime was estimated to grow from US$1 trillion in 2017 to $6 trillion in 2021.

However, he said the majority of Internet of Things applications had little or no security.

“Everyone’s putting all these smart devices out there, they’re trying to overlay business intelligence and artificial intelligence to make sure those systems are delivering improved circumstances and yet they contain a massive amount of security vulnerabilities,” Nuske said.

“The explosion of these devices is actually increasing the risk to existing architectural approaches.

“Hackers can get in through weak links in the systems from air conditioners to building maintenance systems.

“There are even cases we are seeing around the world now where people are integrating coffee machine applications into their phone but their phone is also running the access into their business system.”

LVX Managing Director Corey Gray said that without sufficient cyber security protocols in place a hacker could potentially infiltrate a Smart City System, disable CCTV, turn all traffic signals to green and hijack driverless vehicles.

“The same range and effectiveness offered by the cloud for making people’s lives easier and potentially safer is also making it a significant target for criminals and terrorists,” he said.

“Identity security changes this completely and is now enabling our clients’ projects everywhere.”

VeroGuard has also been successful in securing new commercial contracts, including with an Australian federal government agency and a number of local city councils.

It has also collaborated with South Australian-owned business OpSys to develop services for small businesses looking to win defence contracts.

The collaboration with OpSys will integrate VeroGuard’s identity, cyber security and integration platform into OpSys’ global first cyber defence service built upon FireEye’s Helix platform. It will be monitored from OpSys’ 24×7 Security Operation Centre in Adelaide.

“Companies wanting to protect their business from cyber-crime or position themselves to win work with Defence need a defence-grade solution at an affordable price,” OpSys CEO Matt Fabri said.

Nuske said the new partnerships were expected to fast track the company’s growth, particularly in Adelaide.

He said the plan was to have about 60 people in a temporary facility by the middle of this year while the new building in Adelaide’s northern suburbs was constructed. The new manufacturing centre is expected to open around the middle of 2019.

In 2015, global tech company Cisco named Adelaide as its first smart and connected ‘Lighthouse City’ in Australia.

Lighthouse City status allows Adelaide access to Cisco’s global network and a partnership in the Internet of Things.

South Australia is also a key hub for Australia’s defence industry and is home to several major defence companies including the Australian Submarine Corporation, BAE Systems, Raytheon and SAAB.

Nuske said South Australia’s strong defence industry links, skilled workforce, logistics capability and focus on the Internet of Things made Adelaide an “obvious choice” for VeroGuard’s Advanced Manufacturing operations.

“The significant growth of defence and the kinds of people and companies it was attracting were very well aligned to us and the community we want to be a part of,” he said.

“South Australia has now become very core to our business and it’s going to deliver elements that are going to be critical to our success.”

This is a Creative Commons story from The Lead South Australia, a news service providing stories about innovation in South Australia. Please feel free to use the story in any form of media. The story sources are linked in with the copy and all contacts are willing to talk further about the story. Copied to Clipboard

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