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The State of Cybersecurity in Healthcare Organizations in 2016

ESET and the Ponemon Institute have announced results of The State of Cybersecurity in Healthcare Organizations in 2016.

According to the study, healthcare organizations average about one cyber attack per month with 48% of respondents said their organizations have experienced an incident involving the loss or exposure of patient information during the last 12 months. Yet despite these incidents, only half indicated their organization has an incident response plan in place.

The concurrence of technology advances and delays in technology updates creates a perfect storm for healthcare IT security,” said Stephen Cobb, senior security researcher at ESET. “The healthcare sector needs to organize incident response processes at the same level as cyber criminals to properly protect health data relative to current and future threat levels. A good start would be for all organizations to put incident response processes in place, including comprehensive backup and disaster recovery mechanisms. Beyond that, there is clearly a need for effective DDoS and malware protection, strong authentication, encryption and patch management

Key findings of the survey:

78% of respondents, the most common security incident is the exploitation of existing software vulnerabilities greater than three months old.

63% said the primary consequences of APTs and zero-day attacks were IT downtime

46% of respondents experienced an inability to provide services which create serious risks for patient treatment.

Hackers are most interested in stealing patient information

  • The most attractive and lucrative target for unauthorized access and abuse can be found in patients’ medical records, according to 81% of respondents.

Healthcare organizations worry most about system failures

  • 79% of respondents said that system failures are one of the top three threats facing their organizations
  • 77% cyber attackers
  • 77% unsecure medical devices

Technology poses a greater risk to patient information than employee negligence

  • 52% of respondents said legacy systems and new technologies to support cloud and mobile implementations, big data and the Internet of Things increase security vulnerabilities for patient information
  • 46% of respondents also expressed concern about the impact of employee negligence
  • 45% cited the ineffectiveness of HIPAA mandated business associate agreements designed to ensure patient information security

DDoS attacks have cost organizations on average $1.32 million in the past 12 months

  • 37% of respondents say their organization experienced a DDoS attack that caused a disruption to operations and/or system downtime about every four months. These attacks cost an average of $1.32 million each, including lost productivity, reputation loss and brand damage.

Healthcare organizations need a healthy dose of investment in technologies

  • On average, healthcare organizations represented in this research spend $23 million annually on IT
  • 12% on average is allocated to information security
  • Since an average of $1.3 million is spent annually for DDoS attacks alone, a business case can be made to increase technology investments to reduce the frequency of successful attacks

Based on our field research, healthcare organizations are struggling to deal with a variety of threats, but they are pessimistic about their ability to mitigate risks, vulnerabilities and attacks,” said Larry Ponemon, chairman and founder of The Ponemon Institute. “As evidenced by the headline-grabbing data breaches over the past few years at large insurers and healthcare systems, hackers are finding the most lucrative information in patient medical records. As a result, there is more pressure than ever for healthcare organizations to refine their cybersecurity strategies

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Are British Businesses over confident about the threat of data breaches?

Ilex International have launched their Breach Confidence Index. The Index is a benchmark survey created to monitor the level of confidence that British businesses have when it comes to security breaches. The Index shows high confidence levels

  • 24% of IT decision makers surveyed very confident
  • 59% fairly confident that their business is protected against a data security breach

The Breach Confidence Index raises major concerns for British businesses. Businesses are not currently required to report security breaches and in many cases, may not even know that they have experienced one. The survey found that 49% said their business has not experienced a security breach. In comparison to actual statistics shared at the 2015 Cyber Symposium, there is a major gap between the perception and reality of security breaches among businesses.

According to the survey the most common weaknesses resulting in a Data Breach were
22% MALWARE VULNERABILITIES
21% EMAIL SECURITY
15% EMPLOYEE EDUCATION
12% CLOUD APPLICATIONS
12% INSIDER THREATS
8% ACCESS CONTROL
8% BYOD OR MOBILE ACCESS
6% NON-COMPLIANCE TO CURRENT REGULATIONS

Weaknesses relating to identity and access management considerably increase as organisations expand their workforce. Some of the most common issues highlighted by large businesses include:

  • 44% insider threats
  • 42% employee education
  • 26% access control
  • 24% BYOD or mobile access

All figures in the Ilex International Breach Confidence Index, unless otherwise stated, are from YouGov Plc. Total sample size was 530 IT Decision Makers. Fieldwork was undertaken between 6th – 12th August 2015. The survey was carried out online.

ICO response to ECJ ruling on personal data to US Safe Harbor

The ICO has issued a statement in response to the European Court of Justice ruling about the legal basis for the transfer of personal data to businesses that are members of the US Safe Harbor

Deputy Commissioner David Smith said:

“Today’s ruling is clearly significant and it is important that regulators and legislators provide a considered and clear response. This ruling is about the legal basis for the transfer of personal data to businesses that are members of the US Safe Harbor. It does not mean that there is an increase in the threat to people’s personal data, but it does make clear the important obligation on organisations to protect people’s data when it leaves the UK.

“The judgment means that businesses that use Safe Harbor will need to review how they ensure that data transferred to the US is transferred in line with the law. We recognise that it will take them some time for them to do this.

“It is important to bear in mind that the Safe Harbor is not the only basis on which transfers of personal data to the US can be made. Many transfers already take place based on different provisions. The ICO has previously published guidance on the full range of options available to businesses to ensure that they are complying with the law related to international transfers. We will now be considering the judgment in detail, working with our counterpart data protection authorities in the other EU member states and issuing further guidance for businesses on the options open to them. Businesses should check the ICO website for details over the coming weeks.

“Concerns about the Safe Harbor are not new. That is why negotiations have been taking place for some time between the European Commission and US authorities with a view to introducing a new, more privacy protective arrangement to replace the existing Safe Harbor agreement. We understand that these negotiations are well advanced.”

Time to Identify Advanced Threats is 98 Days for Financial Services Firms and 197 Days for Retail

According to a Ponemon Institute Survey, sponsored by Arbor Networks, Financial Services and Retail organizations agree, advanced threats are the most serious security challenge facing their organizations. Despite the concern, both industries struggle to identify these attacks once they are inside their network.

Known as ‘dwell’ time, the time it takes to identify these attacks is

  • 98 days for Financial Services firms
  • 197 days for Retail

Despite these results, 58% of Financial Services and 71% of Retail organizations said they are not optimistic about their ability to improve these results in the coming year. This is alarming considering the number of attacks targeting their networks. Within Financial Services, 83% experienced more than 50 attacks per month, while 44% of Retail firms did.

The big takeaway from our research is that more investment is needed in both security operations staff and in security tools, which can help companies efficiently and accurately detect and respond to security incidents,” said Dr. Larry Ponemon, chairman and founder, Ponemon Institute. “The time to detect an advanced threat is far too long; attackers are getting in and staying long enough that the damage caused is often irreparable

It’s time to find a better balance between technology solutions, usability, workflow and the people who use them. As security vendors, we need to help our customers so they can adapt to this new cyber security reality that balances the threats with the people who fight them every day,” said Matthew Moynahan, president of Arbor Networks.

In the wake of high profile mega breaches, the Ponemon Institute surveyed Financial Services and Retail firms in North America and Europe, Middle East and Africa (EMEA) to better understand how they are dealing with attacks targeting their organizations. The survey asked how these organizations manage the explosion in advanced threats and distributed denial of service (DDoS) attacks targeting their infrastructure; how effective (or not) their IT investments are; and how they are adapting incident response procedures and integrating threat intelligence for better visibility, insight and context.

Key Findings Among Financial Services Firms

Advanced Threats

  • 71% view technologies that provide intelligence about networks and traffic as most promising at stopping or minimizing advance threats during the seven phases of the Kill Chain
  • 45% have implemented incident response procedures
  • 43% have established threat sharing with other companies or government entities

DDoS Attacks

  • 55% consider DDoS attacks as an advanced threat
  • 48% ‘Strongly Agree’ or ‘Agree’ that they are effective in containing DDoS attacks
  • 45% have established threat sharing with other companies or government entities to minimize or contain the impact of DDoS attacks

Budgets & Staffing. Budgets are allocated

  • 40% towards Technology
  • 37% to Staffing
  • 20% to Managed Services

Key Findings Among Retail Firms

Advanced Threats

  • 64% view technologies that provide intelligence about networks and traffic as most promising at stopping or minimizing advance threats during the seven phases of the Kill Chain
  • 34% have implemented incident response procedures
  • 17% have established threat sharing with other companies or government entities

DDoS Attacks

  • 50% consider DDoS attacks as an advanced threat
  • 39% firms ‘Strongly Agree’ or ‘Agree’ that they are effective in containing DDoS attacks
  • 13% have established threat sharing with other companies or government entities to minimize or contain the impact of DDoS attacks

Budgets & Staffing. Budgets are allocated

  • 34% towards Technology
  • 27% to Staffing
  • 34% to Managed Services

Top 10 technologies for information security and their implications for security organisations in 2014

At the Gartner Security & Risk Management Summit they highlighted the top 10 technologies for information security and their implications for security organisations in 2014. 

Enterprises are dedicating increasing resources to security and risk. Nevertheless, attacks are increasing in frequency and sophistication. Advanced targeted attacks and security vulnerabilities in software only add to the headaches brought by the disruptiveness of the Nexus of Forces, which brings mobile, cloud, social and big data together to deliver new business opportunities,” said Neil MacDonald, vice president and Gartner Fellow. “With the opportunities of the Nexus come risks. Security and risk leaders need to fully engage with the latest technology trends if they are to define, achieve and maintain effective security and risk management programs that simultaneously enable business opportunities and manage risk 

Gartner believes the top 10 technologies for information security are: 

1. Cloud Access Security Brokers

Cloud access security brokers are on-premises or cloud-based security policy enforcement points placed between cloud services consumers and cloud services providers to interject enterprise security policies as the cloud-based resources are accessed. In many cases, initial adoption of cloud-based services has occurred outside the control of IT, and cloud access security brokers offer enterprises to gain visibility and control as its users access cloud resources.

2. Adaptive Access Control

Adaptive access control is a form of context-aware access control that acts to balance the level of trust against risk at the moment of access using some combination of trust elevation and other dynamic risk mitigation techniques. Context awareness means that access decisions reflect current condition, and dynamic risk mitigation means that access can be safely allowed where otherwise it would have been blocked. Use of an adaptive access management architecture enables an enterprise to allow access from any device, anywhere, and allows for social ID access to a range of corporate assets with mixed risk profiles.

3. Pervasive Sandboxing (Content Detonation) and IOC Confirmation

Some attacks will inevitably bypass traditional blocking and prevention security protection mechanisms, in which case it is key to detect the intrusion in as short a time as possible to minimize the hacker’s ability to inflict damage or exfiltrate sensitive information. Many security platforms now included embedded capabilities to run (“detonate”) executables and content in virtual machines (VMs) and observe the VMs for indications of compromise. This capability is rapidly becoming a feature of a more-capable platform, not a stand-alone product or market. Once a potential incident has been detected, it needs to be confirmed by correlating indicators of compromise across different entities, for example, comparing what a network-based threat detection system sees in a sandboxed environment to what is being observed on actual endpoints in terms of processes, behaviors, registry entries and so on.

4. Endpoint Detection and Response Solutions

The endpoint detection and response (EDR) market is an emerging market created to satisfy the need for continuous protection from advanced threats at endpoints (desktops, servers, tablets and laptops), most notably significantly improved security monitoring, threat detection and incident response capabilities. These tools record numerous endpoint and network events and store this information in a centralized database. Analytics tools are then used to continually search the database to identify tasks that can improve the security state to deflect common attacks, to provide early identification of on going attacks (including insider threats), and to rapidly respond to those attacks. These tools also help with rapid investigation into the scope of attacks, and provide remediation capability.

5. Big Data Security Analytics at the Heart of Next-generation Security Platforms

Going forward, all effective security protection platforms will include domain-specific embedded analytics as a core capability. An enterprise’s continuous monitoring of all computing entities and layers will generate a greater volume, velocity and variety of data than traditional SIEM systems can effectively analyse. Gartner predicts that by 2020, 40% of enterprises will have established a “security data warehouse” for the storage of this monitoring data to support retrospective analysis. By storing and analysing the data over time, and by incorporating context and including outside threat and community intelligence, patterns of “normal” can be established and data analytics can be used to identify when meaningful deviations from normal have occurred.

6. Machine-readable Threat Intelligence, Including Reputation Services

The ability to integrate with external context and intelligence feeds is a critical differentiator for next-generation security platforms. Third-party sources for machine-readable threat intelligence are growing in number and include a number of reputation feed alternatives. Reputation services offer a form of dynamic, real-time “trustability” rating that can be factored into security decisions. For example, user and device reputation as well as URL and IP address reputation scoring can be used in end-user access decisions.

7. Containment and Isolation as a Foundational Security Strategy

In a world where signatures are increasingly ineffective in stopping attacks, an alternative strategy is to treat everything that is unknown as untrusted and isolate its handling and execution so that it cannot cause permanent damage to the system it is running on and cannot be used as a vector for attacks on other enterprise systems. Virtualization, I\isolation, abstraction and remote presentation techniques can be used to create this containment so that, ideally, the end result is similar to using a separate “air-gapped” system to handle untrusted content and applications. Virtualization and containment strategies will become a common element of a defense-in-depth protection strategy for enterprise systems, reaching 20% adoption by 2016 from nearly no widespread adoption in 2014.

8. Software-defined Security

“Software defined” is about the capabilities enabled as we decouple and abstract infrastructure elements that were previously tightly coupled in our data centers: servers, storage, networking, security and so on. Like networking, compute and storage, the impact on security will be transformational. Software-defined security doesn’t mean that some dedicated security hardware isn’t still needed, it is. However, like software-defined networking, the value and intelligence moves into software.

9. Interactive Application Security Testing

Interactive application security testing (IAST) combines static application security testing (SAST) and dynamic application security testing (DAST) techniques. This aims to provide increased accuracy of application security testing through the interaction of the SAST and DAST techniques. IAST brings the best of SAST and DAST into a single solution. This approach makes it possible to confirm or disprove the exploitability of the detected vulnerability and determine its point of origin in the application code.

10. Security Gateways, Brokers and Firewalls to Deal with the Internet of Things

Enterprises, especially those in asset-intensive industries like manufacturing or utilities, have operational technology (OT) systems provided by equipment manufacturers that are moving from proprietary communications and networks to standards-based, IP-based technologies. More enterprise assets are being automated by OT systems based on commercial software products. The end result is that these embedded software assets need to be managed, secured and provisioned appropriately for enterprise-class use. OT is considered to be the industrial subset of the “Internet of Things,” which will include billions of interconnected sensors, devices and systems, many of which will communicate without human involvement and that will need to be protected and secured.

Dell's New Unknown Threats Infographic

According to Dell organisations are overlooking powerful new unknown threats.

Read more here https://brianpennington.co.uk/2014/02/20/byod-cloud-and-the-internet-are-the-top-areas-of-concern-for-security-threats/

Challenges to maintaining a strong security posture

A very interesting piece of research by the Ponemon Institute on behalf of the security vendor Sophos.  A summary of the study is below. 

Cyber security is often not a priority

  • 58% of respondents say that management does not see cyber-attacks as a significant risk
  • 44% say a strong security posture is not a priority.
  • Those two findings reveal the difficulty IT functions face in securing the necessary funding for skilled personnel and technologies. As evidence, 42% of respondents say their budget is not adequate for achieving an effective security posture.
  • While an organization’s IT leaders often depend upon the need to comply with regulations and compliance to make their case for IT security funding, 51% of respondents say it does not lead to a stronger security posture. More important is obtaining management’s support for making security a priority.

Senior management rarely makes decisions about IT security

Who is responsible for determining IT Security Priorities?

  • CIO 32%
  • 31% no one

Lack of in-house expertise hinders the achievement of a strong security posture

  • Organizations represented in this research face a lack of skilled and expert security professionals to manage risks and vulnerabilities. Only 26% of respondents say they have sufficient expertise, with 15% not sure. On average, three employees are fully dedicated to IT security.

Security threats and attacks experienced

“Did our organization have a cyber-attack? I don’t really know.” When asked if they were attacked in the past 12 months

  • 42% of respondents say they were
  • 33% are unsure
  • 1/3 of respondents say they are unsure if an attack has occurred in the past 12 months
  • Of the 42% who say an attack occurred, most likely it was likely the result of phishing and social engineering, denial of service and botnets and advanced malware/zero day attacks.

Data breach incidents are known with greater certainty

More respondents can say with certainty that a data breach occurred in their organization. For purposes of the research, a data breach is the loss or theft of sensitive information about customers, employees, business partners and other third parties. 51% say their organization experienced an incident involving the loss or exposure of sensitive information in the past 12 months although 16% say they are unsure.

More than half of respondents say their organization has had a data breach

  • 51% Cited is a third-party mistake or negligent employee or contractor
  • 44% cannot identify the root cause.

Most organizations say cyber-attacks are increasing or there is no change

  • 76% of respondents say their organizations face more cyber-attacks or at least the same
  • 18% are unable to determine

Most organizations see cyber-attacks as becoming more sophisticated

  • 56% say cyber-attacks are more sophisticated
  • 45% say they are becoming more severe
  • 28% of respondents are uncertain if their organizations are being targeted
  • 25% are unsure if the attacks are more sophisticated
  • 23% do not know if these attacks are becoming more severe.

The research reveals there is often confusion as to what best describes advanced persistent threats (APT). When asked to select the one term that best fits their understanding, only one-third of respondents say they are recurrent low profile targeted attacks but the same percentage of respondents are not sure how to describe them. As a result, there may be uncertainty as to what dedicated technologies are necessary for preventing them.

Disruptive technology trends

The cloud is important to business operations

  • 72% of respondents do not view security concerns as a significant impediment to cloud adoption within their organizations
  • 77% say the use of cloud applications and IT infrastructure services will increase or stay the same
  • 39% of their organization’s total IT needs are now fulfilled by cloud applications and/or infrastructure services

The use of cloud applications and IT infrastructure is not believed to reduce security

Effectiveness

  • 45% of respondents say the cloud is not considered to have an affect on security posture
  • 12% say it would actually diminish security posture
  • 25% of respondents say they cannot determine if the organization’s security effectiveness would be affected

The use of mobile devices to access business-critical applications will increase

  • 46% of an organization’s business-critical applications are accessed from mobile devices such as smart phones, tablets and others.
  • 69% of respondents expect this usage to increase over the next 12 months.

While respondents do not seem to be worried about cloud security, mobile device security is a concern.

  • 50% of respondents say such use diminishes an organization’s security posture
  • 58% say security concerns are not stopping the adoption of tablets and smart phones within their organization.

BYOD also affects the security posture

  • 26% of mobile devices owned by employees are used to access business-critical applications.
  • 70% of respondents either expect their use to increase or stay the same
  • 71% say security concerns do not seem to be a significant impediment to the adoption of BYOD

BYOD is a concern for respondents

  • 32% say there is no affect on security posture
  • 45% of respondents believe BYOD diminishes an organization’s security effectiveness.

Effectiveness of security technologies

The majority of respondents have faith in their security technologies

  • 54% of respondents say the security technologies currently used by their organization are effective in detecting and blocking most cyber attacks
  • 23% are unsure

Big data analytics and web application firewalls are technologies growing in demand

Today, the top three technologies in use are:

  1. Antivirus
  2. client firewalls
  3. endpoint management

They are likely to remain the top choice over the next three years. The deployment of certain technologies is expected to grow significantly. Investment in big data analytics and web application firewalls will see the greatest increases (28% and 21%, respectively). These technologies are followed by: endpoint management (19% increase), anti-virus and next generation firewalls (both15% increase) and network traffic intelligence and unified threat management (both 14% increase). The percentage of respondents who say the use of IDS and SIEM technologies decreases slightly (6%) over the next three years.

The cost impact of disruptions and damages to IT assets and infrastructure

Damage or theft to IT assets and infrastructure are costly

  1. 1 the cost of damage or theft to IT assets and infrastructure
  2. 2 the cost of disruption to normal operations

The estimated cost of disruption exceeds the cost of damages or theft of IT assets and infrastructure.

Using an extrapolation, we compute an average cost of $670,914 relating to incidents to their IT assets and infrastructure over the past 12 months. Disruption costs are much higher, with an extrapolated average of $937,197

The uncertainty security index

The study reveals that in many instances IT and IT security practitioners participating in this research are uncertain about their organization’s security strategy and the threats they face. Specifically, among participants there is a high degree of uncertainty about the following issues:

  • Did their organization have a cyber-attack during the past year?
  • Did their organization have a data breach? If so, did it involve the loss or exposure of sensitive information?
  • Are the root causes of these data breaches known?
  • Are the cyber-attacks against their organization increasing or decreasing?
  • Have exploits and malware evaded their intrusion detection systems and anti-virus solutions?
  • Do they understand the nature of advanced persistent threats (APTs)?
  • Is the use of BYOD to access business critical applications increasing and does it affect their organization’s security posture?
  • Is the use of cloud applications and/or IT infrastructure services increasing and does it affect the security posture

Uncertainty about how these issues affect an organization’s security posture could lead to making sub-optimal decisions about a security strategy. It also makes it difficult to communicate the business case for investing in the necessary expertise and technologies. Based on the responses to 12 survey questions, we were able to create an “uncertainty index” or score that measures where the highest uncertainty exists. The index ranges from 10 (greatest uncertainty) to 1 (no uncertainty).

U.S. organizations have the highest uncertainty index. This is based on the aggregated results of respondents in the following countries and regions: US, UK, Germany and Asia-Pacific. With an uncertainty score of 3.8, organizations in Germany seem to have the best understanding of their security risks.

Smaller organizations have the most uncertainty. Those organizations with a headcount of less than 100 have the most uncertainty. This is probably due to the lack of in-house expertise. As organizational size increases, the uncertainty index becomes more favourable.

An organization’s leadership team has the most uncertainty. This finding indicates why IT and IT security practitioners say their management is not making cyber security a priority. Based on this finding, the higher the position the more removed the individual could be in understanding the organization’s risk and strategy.

Retailing, education & research and entertainment have the highest uncertainty. The level of uncertainty drops significantly for organizations in the financial services and technology sectors. The high degree of certainty in the financial sector can be attributed to the need to comply with data security regulations.

6 Experts predict the IT security and compliance issues and trends for 2013

Everyone has an opinion on what could be around the corner, some are based on extensive research and market trends, and some are based on customer expectations and experience.

Rather than bore you with my predictions I thought I would extract the predictions of several vendors and a distributor and put them into one single post so it is easier to see trends and when we get to the end of the year we can see if they were right.

The 6 specialist predictors this year are from the following organisations:

  1. Wick Hill
  2. Websense
  3. WatchGuard
  4. Kaspersky
  5. Fortinet
  6. Sophos

Wick Hill Group’s Ian Kilpatrick delivers his top five trends for 2013

  1. BYOD. “BYOD was arguably the biggest buzz word of 2012 and is now an unstoppable, user-driven wave which will continue to make a major impact on the IT world in 2013 and beyond. Smartphones, tablets and laptops all come under this category, as well as desktop PCs used remotely from home. BYOD is a transformative technology and 2013 will see companies trying to integrate it into their networks. While tactical needs will drive integration, strategic requirements will become increasingly important.
  2. Mobile Device Management. The very rapid growth of mobile devices such as smartphones, tablets and laptops, but particularly smartphones, led to concerns about their management and security in 2012. With employees using their smartphones for both business and personal use, the security and management issues became blurred. Mobile Device Management solutions were a strong growth area in 2012, which will accelerate in 2013.
  3. High density wireless. Wireless requirements have been significantly incrementing over the last year and this trend will continue in 2013. BYOD has changed both the data transfer and performance expectations of users.
  4. Data back-up and recovery. While large organisations have always been at the forefront of back-up and recovery, data centres and big data have put significant demands on them during 2012. Alongside that, smaller organisations have been under immense pressures from ever increasing data volumes, archiving and compliance requirements.
  5. Data leakage protection. With growing volumes of data and with regulatory bodies increasingly prepared to levy fines for various non-compliance issues, data leakage protection will continue to be a major cause for concern during 2013. Companies will be looking closely at how to secure and manage their data as their network boundaries spread even wider, with increased use of social networking and BYOD, increased remote access, the rapid growth of wireless, increased virtualisation and the move towards convergence.

Websense’s 2013 Security Predictions (the link also contains a video clip explaining the predictions).

  1. Cross-Platform Threats. Mobile devices will be the new target for cross-platform threats.
  2. Malware in App Stores. Legitimate mobile app stores will host more malware in 2013
  3. Government-sponsored attacks. Government-sponsored attacks will increase as new players enter.
  4. Bypass of Sandbox Detection. Cybercriminals will use bypass methods to avoid traditional sandbox detection
  5. Next Level Hacktivists. Expect Hacktivists to move to the next level as simplistic opportunities dwindle
  6. Malicious Emails. Malicious emails are making a comeback.
  7. CMS Attacks. Cybercriminals will follow the crowds to legitimate content management systems and web platforms.

WatchGuard Technologies reveals its annual security predictions for 2013

  1. A Cyber Attack Results in a Human Death
  2. Malware Enters the Matrix through a Virtual Door
  3. It’s Your Browser – Not Your System – that Malware Is After
  4. Strike Back Gets a Lot of Lip Service, but Does Little Good
  5. We’ll pay for Our Lack of IPv6 Expertise
  6. Android Pick Pockets Try to Empty Mobile Wallets

Additionally WatchGuard believes:

  1. An Exploit Sold on the “Vulnerability Market” Becomes the Next APT
  2. Important Cyber Security-Related Legislation Finally Becomes Law

“2012 was an eye-opening year in cyber security as we saw the number of new and more sophisticated vulnerabilities rise, impacting individuals, businesses and governments,” said WatchGuard Director of Security Strategy Corey Nachreiner, a Certified Information Systems Security Professional (CISSP). “This is a year where the security stakes reach new heights, attacks become more frequent and unfortunately more damaging as many organizations suffer attacks before taking measures to protect themselves from the bad guys.”

Kaspersky Lab’s Key Security Predictions for 2013

The most notable predictions for the next year include the continued rise of targeted attacks, cyber-espionage and nation-state cyber-attacks, the evolving role of hacktivism, the development of controversial “legal” surveillance tools and the increase in cybercriminal attacks targeting cloud-based services

  1. Targeted attacks on businesses have only become a prevalent threat within the last two years. Kaspersky Lab expects the amount of targeted attacks, with the purpose of cyber-espionage, to continue in 2013 and beyond, becoming the most significant threat for businesses. Another trend that will likely impact companies and governments is the continued rise of “hacktivism” and its concomitant politically-motivated cyber-attacks.
  2. State-sponsored cyber warfare will undoubtedly continue in 2013. These attacks will affect not only government institutions, but also businesses and critical infrastructure facilities.
  3. In 2012 an on-going debate took place on whether or not governments should develop and use specific surveillance software to monitor suspects in criminal investigations. Kaspersky Lab predicts that 2013 will build on this issue as governments create or purchase additional monitoring tools to enhance the surveillance of individuals, which will extend beyond wiretapping phones to enabling secret access to targeted mobile devices. Government-backed surveillance tools in the cyber environment will most likely continue to evolve, as law-enforcement agencies try to stay one step ahead of cybercriminals. At the same time, controversial issues about civil liberties and consumer privacy associated with the tools will also continue to be raised.
  4. Development of social networks, and, unfortunately, new threats that affect both consumers and businesses have drastically changed the perception of online privacy and trust. As consumers understand that a significant portion of their personal data is handed over to online services, the question is whether or not they trust them. Such confidence has already been shaken following the wake of major password leaks from some of the most popular web services such as Dropbox and LinkedIn. The value of personal data – for both cybercriminals and legitimate businesses – is destined to grow significantly in the near future.
  5. 2012 has been the year of the explosive growth of mobile malware, with cybercriminals’ primary focus being the Android platform, as it was the most popular and widely used. In 2013 we are likely to see a new alarming trend – the use of vulnerabilities to extend “drive-by download” attacks on mobile devices. This means that personal and corporate data stored on smartphones and tablets will be targeted as frequently as it is targeted on traditional computers. For the same reasons (rising popularity), new sophisticated attacks will be performed against owners of Apple devices as well.
  6. As vulnerabilities in mobile devices become an increasing threat for users, computer application and program vulnerabilities will continue to be exploited on PCs. Kaspersky Lab named 2012 the year of Java vulnerabilities, and in 2013 Java will continue to be exploited by cybercriminals on a massive scale. However, although Java will continue to be a target for exploits, the importance of Adobe Flash and Adobe Reader as malware gateways will decrease as the latest versions include automated update systems for patching security vulnerabilities.

Costin Raiu, Director of Global Research & Analysis Team Kaspersky Lab said, “In our previous reports we categorised 2011 as the year of explosive growth of new cyber threats. The most notable incidents of 2012 have been revealing and shaping the future of cyber security. We expect the next year to be packed with high-profile attacks on consumers, businesses and governments alike, and to see the first signs of notable attacks against the critical industrial infrastructure. The most notable trends of 2013 will be new example of cyber warfare operations, increasing targeted attacks on businesses and new, sophisticated mobile threats.”

Fortinet’s FortiGuard Labs Reveals 2013 Top 6 Threat Predictions

  1. APTs Target Individuals through Mobile Platforms. APTs also known as Advanced Persistent Threats are defined by their ability to use sophisticated technology and multiple methods and vectors to reach specific targets to obtain sensitive or classified information. The most recent examples include Stuxnet, Flame and Gauss. In 2013 we predict we’ll see APTs targeted at the civilian population, which includes CEOs, celebrities and political figures. Verifying this prediction will be difficult, however, because after attackers get the information they’re looking for, they can quietly remove the malware from a target device before the victim realizes that an attack has even occurred. What’s more, individuals who do discover they have been victims of an APT will likely not report the attack to the media. Because these attacks will first affect individuals and not directly critical infrastructure, governments or public companies, some types of information being targeted will be different. Attackers will look for information they can leverage for criminal activities such as blackmail; threatening to leak information unless payment is received.
  2. Two Factor Authentication Replaces Single Password Sign on Security Model. The password-only security model is dead. Easily downloadable tools today can crack a simple four or five character password in only a few minutes. Using new cloud-based password cracking tools, attackers can attempt 300 million different passwords in only 20 minutes at a cost of less than $20 USD. Criminals can now easily compromise even a strong alpha-numeric password with special characters during a typical lunch hour. Stored credentials encrypted in databases (often breached through Web portals and SQL injection), along with wireless security (WPA2) will be popular cracking targets using such cloud services. We predict next year we’ll see an increase in businesses implementing some form of two-factor authentication for their employees and customers. This will consist of a Web-based login that will require a user password along with a secondary password that will either arrive through a user’s mobile device or a standalone security token. While it’s true that we’ve seen the botnet Zitmo recently crack two-factor authentication on Android devices and RSA’s SecurID security token (hacked in 2011), this type of one-two punch is still the most effective method for securing online activities.
  3. Exploits to Target Machine-to-Machine (M2M) Communications. Machine-to-machine (M2M) communication refers to technologies that allow both wireless and wired systems to communicate with other devices of the same ability. It could be a refrigerator that communicates with a home server to notify a resident that it’s time to buy milk and eggs, it could be an airport camera that takes a photo of a person’s face and cross references the image with a database of known terrorists, or it could be a medical device that regulates oxygen to an accident victim and then alerts hospital staff when that person’s heart rate drops below a certain threshold. While the practical technological possibilities of M2M are inspiring as it has the potential to remove human error from so many situations, there are still too many questions surrounding how to best secure it. We predict next year we will see the first instance of M2M hacking that has not been exploited historically, most likely in a platform related to national security such as a weapons development facility. This will likely happen by poisoning information streams that transverse the M2M channel — making one machine mishandle the poisoned information, creating a vulnerability and thus allowing an attacker access at this vulnerable point.
  4. Exploits Circumvent the Sandbox. Sandboxing is a practice often employed by security technology to separate running programs and applications so that malicious code cannot transfer from one process (i.e. a document reader) to another (i.e. the operating system). Several vendors including Adobe and Apple have taken this approach and more are likely to follow. As this technology gets put in place, attackers are naturally going to try to circumvent it. FortiGuard Labs has already seen a few exploits that can break out of virtual machine (VM) and sandboxed environments, such as the Adobe Reader X vulnerability. The most recent sandboxing exploits have either remained in stealth mode (suggesting that the malware code is still currently under development and test) or have actively attempted to circumvent both technologies. Next year we expect to see innovative exploit code that is designed to circumvent sandbox environments specifically used by security appliances and mobile devices.
  5. Cross Platform Botnets In 2012. FortiGuard Labs analyzed mobile botnets such as Zitmo and found they have many of the same features and functionality of traditional PC botnets. In 2013, the team predicts that thanks to this feature parity between platforms, we’ll begin to see new forms of Direct Denial of Service (DDoS) attacks that will leverage both PC and mobile devices simultaneously. For example, an infected mobile device and PC will share the same command and control (C&C) server and attack protocol, and act on command at the same time, thus enhancing a botnet empire. What would once be two separate botnets running on the PC and a mobile operating system such as Android will now become one monolithic botnet operating over multiple types of endpoints.
  6. Mobile Malware Growth Closes in on Laptop and Desktop PCs. Malware is being written today for both mobile devices and notebook/laptop PCs. Historically, however, the majority of development efforts have been directed at PCs simply for the fact that there are so many of them in circulation, and PCs have been around a much longer time. For perspective, FortiGuard Labs researchers currently monitor approximately 50,000 mobile malware samples, as opposed to the millions they are monitoring for the PC. The researchers have already observed a significant increase in mobile malware volume and believe that this skewing is about to change even more dramatically starting next year. This is due to the fact that there are currently more mobile phones on the market than laptop or desktop PCs, and users are abandoning these traditional platforms in favor of newer, smaller tablet devices. While FortiGuard Labs researchers believe it will still take several more years before the number of malware samples equals what they see on PCs, the team believes we are going to see accelerated malware growth on mobile devices because malware creators know that securing mobile devices today is currently more complicated than securing traditional PCs.

Sophos think the following five trends will factor into the IT security landscape in 2013

  1. Basic web server mistakes. In 2012 we saw an increase in SQL injection hacks of web servers and databases to steal large volumes of user names and passwords. Targets have ranged from small to large enterprises with motives both political and financial. With the uptick in these kinds of credential-based extractions, IT professionals will need to pay equal attention to protecting both their computers as well as their web server environment
  2. More “irreversible” malware. In 2012 we saw a surge in popularity and quality of ransomware malware, which encrypts your data and holds it for ransom. The availability of public key cryptography and clever command and control mechanisms has made it exceptionally hard, if not impossible to reverse the damage. Over the coming year we expect to see more attacks which, for IT professionals, will place a greater focus on behavioral protection mechanisms as well as system hardening and backup/restore procedures
  3. Attack toolkits with premium features. Over the past 12 months we have observed significant investment by cybercriminals in toolkits like the Blackhole exploit kit. They’ve built in features such as scriptable web services, APIs, malware quality assurance platforms, anti-forensics, slick reporting interfaces, and self protection mechanisms. In the coming year we will likely see a continued evolution in the maturation of these kits replete with premium features that appear to make access to high quality malicious code even simpler and comprehensive
  4. Better exploit mitigation. Even as the number of vulnerabilities appeared to increase in 2012—including every Java plugin released for the past eight years—exploiting them became more difficult as operating systems modernized and hardened. The ready availability of DEP, ASLR, sandboxing, more restricted mobile platforms and new trusted boot mechanisms (among others) made exploitation more challenging. While we’re not expecting exploits to simply disappear, we could see this decrease in vulnerability exploits offset by a sharp rise in social engineering attacks across a wide array of platforms
  5. Integration, privacy and security challenges. In the past year mobile devices and applications like social media became more integrated. New technologies—like near field communication (NFC) being integrated in to these platforms—and increasingly creative use of GPS to connect our digital and physical lives means that there are new opportunities for cybercriminals to compromise our security or privacy. This trend is identifiable not just for mobile devices, but computing in general. In the coming year watch for new examples of attacks built on these technologies.

Sophos “The last word, Security really is about more than Microsoft. The PC remains the biggest target for malicious code today, yet criminals have created effective fake antivirus attacks for the Mac. Malware creators are also targeting mobile devices as we experience a whole new set of operating systems with different security models and attack vectors. Our efforts must focus on protecting and empowering end users—no matter what platform, device, or operating system they choose”

For a retrospective view why not ready my post from last year “7 experts predict the IT security and compliance issues and trends of 2012

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Database security and SIEM are the top Risk and Compliance concerns

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The McAfee report Risk and Compliance Outlook: 2012, has been published and has discovered Database Security and Security Information and Event Management (SIEM) were among the top priorities due to an increase in Advanced Persistent Threats (APT).

Database hold the valuable data the criminals are searching for, it therefore follows that Database Security is a growing issue and one flagged as the biggest concern. The report indicates that over one quarter of those surveyed had either had a breach or did not have the visibility to detect a breach. This is a huge concern when considering that most compliance requirements are concerned with knowing if a breach could or has occurred for example Payment Card Industry Compliance (PCI DSS) and the pending European Wide Data Protection Act.

The other major was Security Information Event Management (SIEM) which correlates well with the fears over Database Security with approximately 40% of organizations planning on implementing or update their SIEM solution.

Key findings of the report:

  • Similar to the 2011 survey, there is a positive trend in security budgets for 2012 with 96% of the organizations indicating same or more expenditure on risk and compliance
  • Organization state ‘Compliance’ as the driver for almost 30% of IT projects
  • Software and Appliance are the top choices for Risk and Compliance products. On average, one-third of all organizations prioritized the upgrade/implementation of unique risk and compliance products to address vulnerability assessment, patch management, remediation, governance, risk management, and compliance
  • Survey data showed rapid uptake towards Hosted SaaS and Virtualization. Nearly 40% organizations claim to be moving towards these deployment models in 2012
  • Patch Management frequency is a challenge – almost half of the organizations patch on a monthly basis with one-third doing it on a weekly basis. Just like last year’s analysis, not all companies are able to pinpoint threats or vulnerabilities, as a result, 43% indicate that they over-protect and patch everything they can

“Managing risk through security and compliance continues to be a leading concern for organizations the world over,” said Jill Kyte, vice president of security management at McAfee. “Meeting the requirements of increasingly demanding regulations while reducing exposure to the new classes of sophisticated threats and having an accurate understanding of risk and compliance at any point in time — can be challenging. To address this issue, organizations are looking to ‘best-of-breed’ solutions to manage all aspects of their risk and compliance needs and reduce the amount of time spent managing multiple solutions.”

Some other headline findings of the survey show:

  • Visibility is a pervasive challenge organizations continually face in managing their IT risk posture. The issues revolve around having the visibility to see vulnerabilities within their processes and controlling the ever-changing internal and external threat vectors
  • 80% of the survey respondents recognize the importance of visibility; more than 60% have about the same visibility they had in 2010; 27% improved their visibility since 2010; and 8% now have less visibility compared to 2010
  • The top two controls that respondents have implemented to manage risk and subsequently their compliance postures are the monitoring of databases and of configuration changes for the entire enterprise environment/ infrastructure
  • Approximately 60% of surveyed organizations view SIEM solutions as an important solution to provide real-time visibility into their applications, databases, system performance, and event correlation

A summary of the whole report is below along with a link to the full report.

Risk and Compliance Posture

During 2011, over 60% of the respondents implemented and updated existing tools to improve the visibility and control of their IT processes in an effort to minimize organizational risk. Product groupings include:

  • Risk Management
  • Application, Database and Network Vulnerability Assessment
  • Log Management and Security Information Event Management (SIEM)
  • Database Activity Monitoring
  • Policy Compliance Assessment and Governance Risk and Compliance (GRC)

Respondents indicate that their 2012 implementation and upgrade priorities include

  • Risk Management at 19% and 18% respectively
  • Vulnerability Assessment at 18% and 19%
  • Patch Management at 16% and 21%
  • SIEM at 16% and 21%
  • Further, 48% of the respondents (an increase of 8% over last year) indicate that their organizations have updated/deployed a GRC solution in 2011 in an effort to aggregate and monitor organizational risk and compliance status

Overall it appears that enterprises recognize that they cannot efficiently address risk unless they understand what they are up against and can apply the appropriate controls. Without this knowledge and insight, the effectiveness of any security and compliance efforts cannot be effectively measured against the risks there are:

  • 39% of incidents involved a negligent employee or contractor
  • 37% concerned a malicious or criminal attack
  • 24% involved system glitches including a combination of both IT and business process failures

Mainline cybercriminals continued to automate and streamline their method du jour of high-volume, low-risk attacks against weaker targets. Most victims fell prey because they were found to possess an (often easily) exploitable weakness rather than because they were pre-identified for attack. Given this, it’s not surprising that most breaches were avoidable (at least in hindsight) without difficult or expensive countermeasures

Patch Management

At the time they wrote the report McAfee believed there are over 49,000 known common vulnerabilities and exposures (CVE’s) as reported by US-Cert National Vulnerability Database (NVD).

During 2011 the NVD reported 3,532 vulnerabilities, which translates to about ten new security vulnerabilities being discovered each day. While the rate of newly discovered vulnerabilities is impressive, the good news is that the trend is on a descending path: 4,258 vulnerabilities were reported in 2010 and the peak was in 2008, when almost 7,000 vulnerabilities were reported.

More than half of the surveyed companies indicated they know precisely which assets need to be patched when new threats materialize to prevent the threats from impacting their businesses. Conversely, 15% of the surveyed indicate they are not confident in their ability to know which assets to patch when new threats materialize.

Comparison of patch cycle (weekly, monthly, and quarterly) to confidence levels shows that that as the patching frequency declines so does an organization’s confidence. Specific analysis shows:

  • Organizations with weekly patching practice – 53% feel confident about patching of assets
  • Organizations with monthly patching practice – 49% feel confident about patching of assets
  • Organizations with quarterly patching practice – 43% feel confident about patching of assets

SIEM

Ever changing threats, data breaches, and IT complexity add additional burdens to the already difficult tasks associated with having the visibility necessary to monitor security events, detect attacks, and assess real and potential damage.

Near real-time visibility is critical to any risk management program in today’s complex and diverse computing environments. Without it, organizations are flying blind.

Similar to last year,

  • approximately half of the respondents spend 6 to 10 hours per month on risk management activities that assess and correlate the impact of threats on their organizations
  •  7% of small organizations (1,000 or less employees) spend 15-20 hours on risk and threat activities
  • 16% of organizations with more than 1,000 employees spent 15-20 hours on risk and threat activities

Policy Compliance and Configuration Challenges in Achieving Compliance

Regardless if an organization views industry standards and compliance mandates as a way to improve their practices or as a necessary evil, implementing standards is just the beginning of the road to compliance.

The real challenge often lies in maintaining compliance over time, especially as compliance standards and mandates evolve and increase in number. Organizations need to recognize:

  • Business and technology boundaries are constantly changing, expanding
  • New technology brings new risks, new processes and thus new compliance issues
  • Businesses require flexibility to maintain competitiveness – rigid controls can hinder flexibility, thus hurt operational effectiveness.

According to the Ponemon Institute

“True Cost of Compliance” study: “…while the average cost of compliance for the organizations in our study is $3.5 million, the cost of non-compliance is much greater. The average cost for organizations that experience non-compliance related problems is nearly $9.4 million.”

Database Security When asked about sensitive database breaches,

  • 12% of the organizations stated that they have experienced a breach
  • 15% “are not sure”

These results indicate weakness in security control effectiveness and a lack of visibility. Conversely, three-fourths of the respondents overall and in particular those from North America, Germany and the UK, indicate that their databases have never been breached.

According to Forrester Research analyst Noel Yuhanna in his most recent database security market overview report:

“The database security market is likely to converge with the overall data security market in the future, as DBMS vendors extend the security features that are bundled with their products”.

Mr Yuhanna’s market insight closely corresponds with our respondents’ use of database security solutions:

  • 49% of the organizations use dedicated database security solutions; McAfee, followed by Oracle, tops the list of database security solution providers
  • 42% of the organizations use DBMS vendor security features to protect their databases
  • As compared to 34% organizations from Brazil, a higher number of organizations from France (66%) and the UK (58%) have dedicated database security solutions. Regional analysis shows 61% of Brazil-based organizations use DBMS vendor security features compared to 36% of the North American organizations. IBM holds a strong market share in North America, France and Germany as compared to its share in APAC and the UK.

The link to the full McAfee report is here.

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