This device is usually installed on every ship. One of its functions is a beacon to warn other ships that another starship is nearby. Although extremely rare (space is big, only large colonies have any noticeable congestion), this does help prevent collisions.
A company shipmaster often is required to input his point of departure, cargo, and destination into his IB before leaving port. A Hacking skill allows this information to be forged, and Pirates are notorious for masking the IB of their combat vessels as lowly Beryllium Haulers. Determining whether an IB has been slashed is a skill vs. skill contest, Hacking vs. Communications Operations.