The IoT is a revolutionary development for both society and governments. In this chapter opportunities and threats of the IoT are discussed. Linking technological, societal, economic, and policy-oriented aspects of the IoT, this chapter introduces a conceptual framework to map and analyze the factors or obstacles that arise in addressing IoT opportunities and threats, and possible government measures to mitigate these factors. By adopting a broad view and paying attention to the relations between different factors, this chapter shows that there is no one-size-fits-all solution for IoT-related issues, as different problems and solutions are interdependent and require a coherent government approach.