Tag Archives: cyber criminal

Just a quick read of the news these days and you can find yourself wanting to reach for… a Geiger counter. I mean, some of the news stories are just so alarming of late. Or am I overreacting? Let’s see…

Uh-oh News Item No. 1: Apocalypse Averted – for Now. 

Photo courtesy of Wikipedia

It was reported that the IT system of Unit B of the Gundremmingen Nuclear Power Plant in Swabia, Bavaria, southwestern Germany – right on the 30-year anniversary to-the-day of the Chernobyl disaster (!) – had been infected by some malware. However, it was also reported that there’s no reason to worry at all as no danger’s being posed whatsoever. All’s ok; we can all sleep soundly; everything’s under control; the danger level couldn’t be lower.

After sighing a ‘pheewwwww’ and mopping one’s brow, you read further…

… And as you do, you get a few more details of the incident. And it does indeed seem all is ok: the background radiation level, after all, didn’t go up – that’s the main thing, surely. Right? But then you read further still…

And you find out that the (Internet-isolated) system that was infected happens to be the one that controls the movement of nuclear fuel rods. It’s here you stop, rub the eyes, and read that again slowly…

WHAAAAT?

Read on: Cyber-Spy-Novel-Worthy …

Last spring (2015), we discovered Duqu 2.0 – a highly professional, very expensive, cyber-espionage operation. Probably state-sponsored. We identified it when we were testing the beta-version of the Kaspersky Anti Targeted Attack (KATA) platform – our solution that defends against sophisticated targeted attacks just like Duqu 2.0.

And now, a year later, I can proudly proclaim: hurray!! The product is now officially released and fully battle ready!

But first, let me now go back in time a bit to tell you about why things have come to this – why we’re now stuck with state-backed cyber-spying and why we had to come up with some very specific protection against it.

(While for those who’d prefer to go straight to the beef in this here post – click here.)

‘The good old days’ – words so often uttered as if bad things just never happened in the past. The music was better, society was fairer, the streets were safer, the beer had a better head, and on and on and on. Sometimes, however, things really were better; one example being how relatively easy it was to fight cyber-pests in years past.

Of course, back then I didn’t think so. We were working 25 hours a day, eight days a week, all the time cursing the virus writers and their phenomenal reproduction rate. Each month (and sometimes more often) there were global worm epidemics and we were always thinking that things couldn’t get much worse. How wrong we were…

At the start of this century viruses were written mainly by students and cyber-hooligans. They’d neither the intention nor the ability to create anything really serious, so the epidemics they were responsible for were snuffed out within days – often using proactive methods. They simply didn’t have any motivation for coming up with anything more ominous; they were doing it just for kicks when they’d get bored of Doom and Duke Nukem :).

The mid-2000s saw big money hit the Internet, plus new technologies that connected everything from power plants to mp3 players. Professional cybercriminal groups also entered the stage seeking the big bucks the Internet could provide, while cyber-intelligence-services-cum-armies were attracted to it by the technological possibilities if offered. These groups had the motivation, means and know-how to create reeeaaaally complex malware and conduct reeeaaaally sophisticated attacks while remaining under the radar.

Around about this time… ‘antivirus died’: traditional methods of protection could no longer maintain sufficient levels of security. Then a cyber-arms race began – a modern take on the eternal model of power based on violence – either attacking using it or defending against its use. Cyberattacks became more selective/pinpointed in terms of targets chosen, more stealthy, and a lot more advanced.

In the meantime ‘basic’ AV (which by then was far from just AV) had evolved into complex, multi-component systems of multi-level protection, crammed full of all sorts of different protective technologies, while advanced corporate security systems had built up yet more formidable arsenals for controlling perimeters and detecting intrusions.

However, that approach, no matter how impressive on the face of it, had one small but critical drawback for large corporations: it did little to proactively detect the most professional targeted attacks – those that use unique malware using specific social engineering and zero-days. Malware that can stay unnoticed to security technologies.

I’m talking attacks carefully planned months if not years in advance by top experts backed by bottomless budgets and sometimes state financial support. Attacks like these can sometimes stay under the radar for many years; for example, the Equation operation we uncovered in 2014 had roots going back as far as 1996!

Banks, governments, critical infrastructure, manufacturing – tens of thousands of large organizations in various fields and with different forms of ownership (basically the basis of today’s world economy and order) – all of it turns out to be vulnerable to these super professional threats. And the demand for targets’ data, money and intellectual property is high and continually rising.

So what’s to be done? Just accept these modern day super threats as an inevitable part of modern life? Give up the fight against these targeted attacks?

No way.

Anything that can be attacked – no matter how sophisticatedly – can be protected to a great degree if you put serious time and effort and brains into that protection. There’ll never be 100% absolute protection, but there is such a thing as maximal protection, which makes attacks economically unfeasible to carry out: barriers so formidable that the aggressors decide to give up putting vast resources into getting through them, and instead go off and find some lesser protected victims. Of course there’ll be exceptions, especially when politically motivated attacks against certain victims are on the agenda; such attacks will be doggedly seen through to the end – a victorious end for the attacker; but that’s no reason to quit putting up a fight.

All righty. Historical context lesson over, now to that earlier mentioned sirloin…

…Just what the doctor ordered against advanced targeted attacks – our new Kaspersky Anti Targeted Attack platform (KATA).

So what exactly is this KATA, how does it work, and how much does it cost?

First, a bit on the anatomy of a targeted attack…

A targeted attack is always exclusive: tailor-made for a specific organization or individual.

The baddies behind a targeted attack start out by scrupulously gathering information on the targets right down to the most minor of details – for the success of an attack depends on the completeness of such a ‘dossier’ almost as much as the budget of the operation. All the targeted individuals are spied on and analyzed: their lifestyles, families, hobbies, and so on. How the corporate network is constructed is also studied carefully. And on the basis of all the information collected an attack strategy is selected.

Next, (i) the network is penetrated and remote (& undetected) access with maximum privileges is obtained. After that, (ii) the critical infrastructure nodes are compromised. And finally, (iii) ‘bombs away!’: the pilfering or destruction of data, the disruption of business processes, or whatever else might be the objective of the attack, plus the equally important covering one’s tracks so no one knows who’s responsible.

The motivation, the duration of the various prep-and-execution stages, the attack vectors, the penetration technologies, and the malware itself – all of it is very individual. But not matter how exclusive an attack gets, it will always have an Achilles’ heel. For an attack will always cause at least a few tiny noticeable happenings (network activity, certain behavior of files and other objects, etc.), anomalies being thrown up, and abnormal network activity. So seeing the bird’s-eye view big picture – in fact the whole picture formed from different sources around the network – makes it possible to detect a break-in.

To collect all the data about such anomalies and the creation of the big picture, KATA uses sensors – special ‘e-agents’ – which continuously analyze IP/web/email traffic plus events on workstations and servers.

For example, we intercept IP traffic (HTTP(s), FTP, DNS) using TAP/SPAN; the web sensor integrates with the proxy servers via ICAP; and the mail sensor is attached to the email servers via POP3(S). The agents are real lightweight (for Windows – around 15 megabytes), are compatible with other security software, and make hardly any impact at all on either network or endpoint resources.

All collected data (objects and metadata) are then transferred to the Analysis Center for processing using various methods (sandbox, AV scanning and adjustable YARA rules, checking file and URL reputations, vulnerability scanning, etc.) and archiving. It’s also possible to plug the system into our KSN cloud, or to keep things internal – with an internal copy of KpSN for better compliance.

Once the big picture is assembled, it’s time for the next stage! KATA reveals suspicious activity and can inform the admins and SIEM (Splunk, Qradar, ArcSight) about any unpleasantness detected. Even better – the longer the system works and the more data accumulates about the network, the more effective it is, since atypical behavior becomes easier to spot.

More details on how KATA works… here.

Ah yes; nearly forgot… how much does all this cost?

Well, there’s no simple answer to that one. The price of the service depends on dozens of factors, including the size and topology of the corporate network, how the solution is configured, and how many accompanying services are used. One thing is clear though: the cost pales into insignificance if compared with the potential damage it prevents.

Every now and again (once every several years or so), a high-profile unpleasantness occurs in the cyberworld – some unexpected new maliciousness that fairly bowls the world over. For most ‘civilians’ it’s just the latest in a constant stream of seemingly inevitable troublesome cyber-surprises. As for my colleagues and me, we normally nod, wink, grimace, and raise the eyebrows à la Roger Moore among ourselves while exclaiming something like: ‘We’ve been expecting you Mr. Bond. What took you so long?’

For we’re forever studying and analyzing the main tendencies of the Dark Web so we can get an idea of who’s behind its murkiness and of the motivations involved; that way we can predict how things are going to develop.

Every time one of these new ‘unexpected’ events occurs, I normally find myself in the tricky position of having to give a speech (rather – speeches) along the lines of ‘Welcome to the new era‘. Trickiest of all is admitting I’m just repeating myself from a speech made years ago. The easy bit: I just have to update that old speech a bit by adding something like: ‘I did warn you about this; and you thought I was just scaremongering to sell product!’

Ok, you get it (no one likes being told ‘told you so’, so I’ll move on:).

So. What unpleasant cyber-unexpectedness is it this time? Actually, one affecting something close to my heart: the world of automobiles!

A few days ago WIRED published an article with an opening sentence that reads: ‘I was driving at 70 mph on the edge of downtown St. Louis when the exploit began to take hold.‘ Eek!

The piece goes on to describe a successful experiment in which hackers security researchers remotely ‘kill’ a car that’s too clever by half: they dissected (over months) the computerized Uconnect system of a Jeep Cherokee, eventually found a vulnerability, and then managed to seize control of the critical functions of the vehicle via the Internet – while the WIRED reporter was driving the vehicle on a highway! I kid you not folks. And we’re not talking a one-off ‘lab case’ here affecting one car. Nope, the hole the researchers found and exploited affects almost half a million cars. Oops – and eek! again.

However, the problem of security of ‘smart’ cars is nothing new. I first ‘joked’ about this topic back in 2002. Ok, it was on April 1. But now it’s for real! You know what they say… Be careful what you wish for joke about (there’s many a true word spoken in jest:).

Not only is the problem not new, it’s also quite logical that it’s becoming serious: manufacturers compete for customers, and as there’s hardly a customer left who doesn’t carry at all times a smartphone, it’s only natural that the car (the more expensive – the quicker) has steadily been transformed into its appendage (an appendage of the smartphone – not the user, just in case anyone didn’t understand me correctly).

More and more control functions of smart cars are now firmly in the domain of the smartphone. And Uconnect isn’t unique here; practically every large car manufacturer has its own similar technology, some more advanced than others: there’s Volvo On Call, BMW Connected Drive, Audi MMI, Mercedes-Benz COMAND, GM Onstar, Hyundai Blue Link and many others.

More and more convenience for the modern car-driving consumer – all well and good. The problem is though that in this manufacturers’ ‘arms race’ to try and outdo each other, critical IT security matters often go ignored.

Why? 

First, the manufacturers see being ahead of the Jones’s as paramount: the coolest tech functionality via a smartphone sells cars. ‘Security aspects? Let’s get to that later, eh? We need to roll this out yesterday.’

Second, remote control cars – it’s a market with good prospects.

Third, throughout the auto industry there’s a tendency – still today! – to view all the computerized tech on cars as something separate, mysterious, faddy (yep!) and not really car-like, so no one high up in the industry has a genuine desire to ‘get their hands dirty’ with it; therefore, the brains applied to it are chronically insufficient to make the tech secure.

It all adds up to a situation where fancy motorcars are becoming increasingly hackable and thus stealable. Great. Just what the world needs right now.

What the…?

Ok. That’s the basic outline. Now for the technical background and detail to maybe get to know what the #*@! is going on here!…

Way back in 1985 Bosch developed CAN. No, not their compatriot avant-garde rockers (who’d been around since 1968), but a ‘controller area network’ – a ‘vehicle bus’ (onboard communications network), which interconnects and regulates the exchange of data among different devices – actually, those devices’ microcontrollers – directly, without a central computer.

For example, when the ‘AC’ button on the dashboard is pressed, the dashboard’s microcontroller sends a signal to the microcontroller of the air conditioner saying ‘turn on, the driver wants cooling down’. Or when the brake pedal is pressed, the microcontroller of the pedal mechanism sends an instruction to the brake pads to press up against the brake discs.

Put another way, the electronics system of a modern automobile is a peer-to-peer computer network – designed some 30 years ago. It gets better: despite the fact that over three decades CAN has been repeatedly updated and improved, it still doesn’t have any security functions! Maybe that’s to be expected – what extra security can be demanded of, say, a serial port? CAN too is a low level protocol and its specifications explicitly state that its security needs to be provided by the devices/applications that use it.

Maybe they don’t read the manuals. Or maybe they’re too busy trying to stay ahead of competitors and come up with the best smart car features.

Whatever the reasons, the fundamental fact causing all the trouble remains: Some auto manufacturers keep squeezing onto CAN more and more controllers without considering basic rules of security. Onto one and the same bus – which has neither access control nor any other security features – they strap the entire computerized management system that controls absolutely everything. And it’s connected to the Internet. Eek!

Just like on any big computer network (e.g., the Internet), cars too need a strict ‘division of trust’ for controllers. Operations on a car where there’s communication with the outside world – be it installation of an app on the media system from an online store, or sending car performance diagnostics to the manufacturer – need to be firmly and securely split from the engine control, the security and other critical systems.

If you show an IT security specialist a car, lots of functions of which can be controlled by, say, an Android app, he or she would be able to demonstrate in no time at all a dozen or so different ways to get round the ‘protection’ and seize control of the functions the app can control. Such an experiment would also demonstrate how the car isn’t all that different really from a bank account: bank accounts can be hacked with specially designed technologies, in their case with banking Trojans. But there is a further potential method that could be used to hack a car just like a bank account too: with the use of a vulnerability, like in the case of the Jeep Cherokee.

Any reasons to be cheerful?…

…There are some.

Now, the auto industry (and just about everyone else) seems to be well aware of the degree of seriousness of the problem of cybersecurity of its smart car sector (thanks to security researchers like those in the WIRED article, though some manufacturers are loath to show their gratitude openly).

A sign of this is how recently the US Alliance of Automobile Manufacturers announced the creation of an Information Sharing and Analysis Center, “that will serve as a central hub for intelligence and analysis, providing timely sharing of cyber threat information and potential vulnerabilities in motor vehicle electronics or associated in-vehicle networks.” Good-o. I just don’t see how they plan to get along without security industry folks involved.

And it’s not just the motor industry that’s now on its toes: hours (!) after the publication of the WIRED article (the timing was a coincidence, it was reported) new federal legislation in the US was introduced establishing standardization of motor industry technologies in the field of cybersecurity. Meantime, we’re hardly twiddling thumbs or sat on hands: we’re actively working with several auto brands, consulting them on how to get their smart-car cybersecurity tightened up proper.

So, as you can see, there is light at the end of the tunnel. However…

…However, the described cybersecurity issue isn’t limited just to the motor industry.

CAN and other standards like it are used in manufacturing, the energy sector, transportation, utilities, ‘smart houses’, even in the elevator in your office building – in short – EVERYWHERE! And everywhere it’s the same problem: the growth of functionality of all this new tech is hurtling ahead without taking security into account!

What seems more important is always improving the tech faster, making it better than the competition, giving it smartphone connectivity and hooking it up to the Internet. And then they wonder how it’s possible to control an airplane via its entertainment system!

What needs doing?

First things first, we need to move back to pre-Internet technologies, like propeller-driven aircraft with analog-mechanical control systems…

…Not :). No one’s planning on turning the clocks back, and anyway, it just wouldn’t work: the technologies of the past are slow, cumbersome, inefficient, inconvenient and… a lot less secure! Nope, there’s no going backwards. Only forwards!

In our era of polymers, biotechnologies and all-things-digital, movement forward is producing crazy results. Just look around you – and inside your pockets. Everything is moving, flying, being communicated, delivered and received, exchanged… all at vastly faster speeds to those of the past. Cars (and other vehicles) are only a part of that.

All that does make life more comfortable and convenient, and digitization is solving many old problems of reliability and security. But alas, at the same time it’s creating new problems. And if we keep galloping forward at breakneck speed, without looking back, improvising as we hurtle along to get the very best functionality, well, in the end there are going to be unpredictable – even fatal – consequences. A bit like how it was with the Zeppelin.

There is an alternative – a much better one: What we need are industry standards; new, modern architecture, and a responsible attitude to the development of features – by taking into account security – as a priority.

In all, the WIRED article has shown us a very interesting investigation. It will be even more interesting seeing how things progress in the industry from here. Btw, at the Black Hat conference in Vegas in August there’ll be a presentation by the authors of the Jeep hack – that’ll be something worth following…

Smart cars can be remotely hacked. Fact. Period. Shall we go back to the Stone Age? @e_kaspersky explains:Tweet

PS: Call me retrogressive (in fact I’m just paranoid:), but no matter how smart the computerization of a car, I’d straight away just switch it all off – if there was such a possibility. Of course, there isn’t. There should be: a button, say, next to the hazard lights’ button: ‘No Cyber’!…

…PPS: ‘Dream on, Kasper’, you might say. And perhaps you’d be right: soon, the way things are heading, a car without a connection to the ‘cloud’ won’t start!

PPPS: But the cloud (and all cars connected to it) will soon enough be hacked via some ever-so crucial function, like facial recognition of the driver to set the mirror and seat automatically.

PPPPS: Then cars will be given away for free, but tied to a particular filling station network digital network – with pop-ups appearing right on the windscreen. During the ad-break control will be taken over and put into automatic Google mode.

PPPPPS: What else can any of you bright sparks add to this stream-of-consciousness brainstorming-rambling? :)

Some ten-plus years ago, our then still quite small company decided to push the boundaries – literally: we went transnational. Before long we found we had expert-analyst KLers working in all corners of the globe, all of them communicating with one another by email, messengers, telephone and other indirect means. Nothing wrong with that really, but still, it’ll never beat face-to-face interaction. So we decided to have a yearly jamboree where we’d all get together and top up on the much needed proper face time. That was when our annual conference for IT security experts was born: the Security Analyst Summit (SAS).

Read on: Work hard, play hard, like always…

Is there any (Mac) OS X-specific malware around?

Oh yes. But for some odd reason I haven’t said anything interesting on this topic for quite a while…

The last time was two and a half years ago. Yes, that’s how long it’s been since the global Flashback worm outbreak that infected 700 thousand Macs worldwide. The security industry made quite a bit of noise about it (and quickly disabled the Flashback botnet), but since then – mostly silence… It might seem to some that ever since there’s been a complete lull on the Mac-malware front and not one bit of iMalware has disturbed Apple Bay’s calm waters…

But they’d be wrong…

Sure, if you compare the threat levels of picking up some malware on different platforms, at the top of the table, by a long way, as ever, is the most widely used platform – Microsoft Windows. Quite a way behind it is Android – a relatively new kid on the block. Yep, over the past three years the cyber-vermin has been seriously bombarding the poor little green robot with exponentially increasing levels of malicious activity. Meanwhile, in the world of iPhones and iPads, except for very rare cyber-espionage attacks, there have been hardly any successful attacks thereon (despite using various exotic methods). It’s a similar story with Macs too – things are relatively peaceful compared to other platforms; but of late there have been… stirrings – about which I’ll be talking in this post.

Briefly, a few numbers – kinda like an executive summary:

• The numbers of new for-Mac malware instances detected in the last few years are already in the thousands;
• In the first eight months of 2014, 25 different ‘families’ of Mac malware were detected;
• The likelihood of an unprotected Mac becoming infected by some Mac-specific-unpleasantness has increased to about three percent.

In 2013 alone @kaspersky detected ~1700 malware samples for OS XTweet

Read on: let’s dig deeper and look at the situation from a malware expert PoV…

Remote controlled car – your car, while you’re driving it…

News about new hacks, targeted attacks and malware outbreaks is beginning to bore the general public. It’s becoming an incessant stream after all. What isn’t boring the life out of the general public is something a bit more unusual: stuff you wouldn’t dream could be hacked… getting hacked.

A report from China told how hackers broke into the Tesla motor car’s gadgetry – as part of a contest during a hacker conference. So, why Tesla? What’s so good about Tesla? Well, that’ll be its being an electric car, and its being crammed with so much ‘smart’ electronics that it hardly resembles an automobile than a mobile supercomputer. Still, what was Tesla expecting? Any new functionality – especially that developed without the involvement of IT security experts – will inevitably bring with it new threats via vulnerabilities, which is just what the hackers at the conference in China found.

Read on: malware getting closer to industrial systems…

Every system is based on a unique algorithm; without the algorithm there’s no system. It doesn’t really matter what kind of algorithm the system follows – linear, hierarchical, determined, stochastic or whatever. What’s important is that to reach the best result the system needs to follow certain rules.

We’re often asked about our products‘ algorithms – especially how they help us detect future threats better than the competition.

Well, for obvious reasons I can’t divulge the details of our magic formulae; however, what I will be doing in this tech-post (perhaps the techiest post on this blog ever) is open ajar the door to our technological kitchen – to give you a glimpse of what goes on inside. And if you still want more info, please fire away with your questions in the comments, below.

Read on: A very brief look at our Coca-Cola-like ‘secret’ magical formula in a little over 2000 words…

A few days ago Microsoft announced a large scale raid on the dynamic DNS service No-IP, as a result of which 22 of its domains were seized. The guys in Redmond said there were very good reasons for this: No-IP hosts all kinds of unpleasant malware; No-IP is a breeding ground of cybercriminals; No-IP is an epicenter for targeted attacks; and No-IP never agrees to working with anyone else on trying to root out all the badness.

Like in most conflicts, the sides have exchanged the contradictory volleys of announcements in the eternal tradition of ‘it’s his fault – no she started it’.

In particular, No-IP has said it’s a real goody-two-shoes and always willing to cooperate in eliminating sources of cyberattacks, while its clients are most displeased with the raid and consider it an illegal attack on legal business – since it’s possible to find malware practically anywhere, so interrupting services through a court is simply not on.

Is it legal to shut down a service because of #malware found?… When it can be found everywhere?…Tweet

In the meantime, the result of the raid has been rather far-reaching: more than four million sites were pulled, including both malicious and harmless ones – affecting 1.8 million users. Microsoft is trying to sieve the wheat from the chaff and get the clean sites back up and running; however, many users are still complaining about ongoing disruption.

To work out who’s to blame is a thankless and probably hopeless task. I’ll leave the journalistic investigations to… the journalists. Instead, here let me give you some food for thought: dry, raw facts and figures – so maybe/hopefully you’ll be able to come to your own conclusions about the legality and ethicality of MS’s actions, based on those facts and figures…

1)      Shutting down 22 No-IP domains affected the operations of around 25% of the targeted attacks that we keep track of here at KL. That’s thousands of spy and cybercriminal operations ongoing for the last three years. Approximately a quarter of those have at least one command and control center (C&C) with this host. For example, hacker groups like the Syrian Electronic Army and Gaza Team use only No-IP, while Turla uses it for 90% of its hosts.

2)      We can confirm that out of all large providers the No-IP dynamic DNS was the most unwilling to cooperate. For example, they ignored all our emails about a botnet sinkhole.

3)      Our analysis of current malware shows that No-IP is often used by the cyberswine for botnet control centers. A simple search via the Virustotal scanning engine confirms this fact with a cold hard figure: a total of 4.5 million unique malware samples sprout from No-IP.

4)      However, the latest numbers from our security cloud (KSN) show something not quite so cut and dry. Here’s a table showing detections of cyberattacks from dozens of the largest dynamic DNS services:

So – No-IP isn’t leading in the number of detections, even though they’re still really high compared to most.

Here’s some more info for comparison: the % of malware hosts in the .com zone makes up 0.03% of the total; in the .ru zone – 0.39%; but in No-IP the figure’s 27.5%!

And now for other figures that add a bit of a different perspective: in one week, malware domains on No-IP generated around 30,000 detections, while in the same week on one of the most malicious domains in the .com zone, the figure was 429,000 – almost 14 times higher. Also: the tenth most infected domain in the .ru zone generated 146,000 detections – that is, about the same as the first ten providers of dynamic DNS mentioned above put together!

To summarize…

On the one hand, blocking popular services that are used by thousands – if not millions – of typical users: it ain’t right. On the other hand, closing spawning grounds for malware is right – and noble.

The takedown of No-IP domains. Was it right or wrong? Ambiguity with a big ATweet

But then mathematics takes on the role of devil’s advocate, and proves:

Quantitatively, closing all the domains of No-IP is no more effective in combatting the distribution of malware than closing one single top malware domain in one of the popular zones, i.e., .com, .net, or even .ru. Simpler put, even if you were to shut down all providers of dynamic DNS – the Internet still wouldn’t become ‘cleaner’ enough to notice the difference.

So there you have it – ambiguity with a big A. 

It leaves anyone in their right and honest-with-themselves mind to admit things are far from black and white here, and as regards the right and wrong, or good and bad, or Nietzsche’s thing – who can tell?

Still, another thought comes to mind at some point while reflecting on all this…

It’s further evidence that as soon as the quantity of piracy or degree of criminality gets above a certain threshold, the ‘powers that be’ get involved all of a sudden and start closing services, ignoring any notions of Internet freedom or freedom to do business. It’s just the way things are, a rule of life of human society: If it stinks, sooner or later it’ll get cleaned up.

The list of blocked services is already rather long: Napster, KaZaA, eMule, Pirate Bay and so on. Now No-IP‘s been added to the list.

Who’s next?

// Bitcoin? It’s already begun.

Stock market hacks for microsecond delays.

Cyber-swindling gets everywhere. Even the stock market. First, a bit of history…

The profession of stockbroker was once not only respected and honorable, but also extremely tough. Dealers in stocks and shares once toiled away on the packed floors of stock exchanges and worked silly hours a week, stressed to the limit by relentless high pressure decisions all day (and night). They bought and sold securities, stocks, bonds, derivatives, or whatever they’re called, always needing to do so at just the right moment while riding the waves of exchange rates and prices, all the while edging nearer and nearer to serious heart conditions or some other burn-out caused illness. Other times they simply jumped out of windows to bring a swift end to it all. In short – hardly the world’s best job.

Anyway, all that was long ago. All that hard manual labor has been replaced by automation. Now thinking hard, stressing and sweating aren’t needed: a large proportion of the work today is carried out by robots – special programs that automatically determine the very best moments to buy or sell. In other words, the profession of stockbroker has in large part been boiled down to the training of bots. And to these bots reaction times – to the microsecond – are vital to take advantage of this or that market swing. So speed literally depends on the quality of an Internet connection to the electronic stock exchange. That is, the nearer a robot is physically located to the exchange, the higher its chances of being the first with a bid. And vice versa – robots on the periphery will always be outsiders, just as will those not using the very latest progressive algorithms.

These critical reaction times were recently tampered with by unknown cyber-assailants. A hedge fund’s system was infected with malware to delay trading ability by a few hundred microseconds – which can – and probably did – make all the difference between clinching deals and losing them.

Read on: Your password for a Twix?…

On June 15, 2004, at precisely 19:17 Moscow time something happened that started a new era in computer security. We discovered the first malware created for smartphones.

It was Cabir, which was infecting Symbian-powered Nokia devices by spreading via unsecured Bluetooth connections. With its discovery the world learned that there was now malware not just for computers – which everyone already knew too well about (save for the odd hermit or monk) – but also for smartphones. Yes, many were scratching their heads at first – “viruses infecting my phone? Yeah, pull the other leg” – but the simple truth of the matter did finally sink in sooner (= months) or later (= years a decade!) for most people (some still aren’t aware). Meantime, our analysts made it into the history books!

Why did we christen this malware Cabir? Why was a special screened secure room created at our Moscow HQ? And how did Cabir end up in the pocket of an F-Secure employee? These and other questions were recently put to Aleks Gostev, our chief security expert, in a interview for our Intranet, which I thought I’d share with you here; might as well have it from the horse’s woodpecker’s mouth…

Incidentally, the story started really running when we used these two devices to analyze the malware:

…but more about those below…

Read on: An unusual file n the inbox…