"Encrypting traffic and validating at least your server endpoint is a given to protect against this type of situation."
That is Security 101 and every system admin knows that.
"Encryption is a great way to keep valuable data safe—whether you're transmitting it over the Internet, backing it up on a server, or just carrying it through airport security on your laptop." (See How to encrypt almost anythig?)
If you choose to host your back office on Amazon Web Services or GAE you are paying proportional to resource use. Optimizing resources is of great interest if your product is connected 24/7 and frequently communicating.
Hosting service providers strongly encourage the use of established frameworks such as HTTP, REST, and HTML. If you choose a standard or protocol that isn't in the mainstream, development effort may be substantially increased.
For the simple reason that we are looking at devices with much-much less computing than what we are used to-Laptops,Smartphones,etc.
Accordingly the resource and Internet needs will also be very different.
Most such devices will probably be transmitting small bytes of Information every few minutes or so.
For that you don't really need MBPS bandwidth now.
Its a risk only if ,you have one layer of Protection at the Endpoint.
Usually,most Endpoints have Multiple Layers of Protection in place today.
For instance if you have an Anti-Virus/Anti-Malware Solution on your PC;it will Scan the Attachment before Downloading it on your machine(You have to specify this in the Settings but can and should be done).
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