[info] CRYPTO-GRAM, May 15, 2007

Eugen Leitl <eugen at leitl.org> on Tue May 15 10:42:47 UTC 2007

----- Forwarded message from Bruce Schneier <schneier at SCHNEIER.COM> -----

From: Bruce Schneier <schneier at SCHNEIER.COM>
Date:         Tue, 15 May 2007 03:02:09 -0500
To: CRYPTO-GRAM-LIST at LISTSERV.MODWEST.COM
Subject: CRYPTO-GRAM, May 15, 2007
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Reply-To: Bruce Schneier <schneier at SCHNEIER.COM>

                 CRYPTO-GRAM

                 May 15, 2007

              by Bruce Schneier
               Founder and CTO
                BT Counterpane
             schneier at schneier.com
            http://www.schneier.com
           http://www.counterpane.com


A free monthly newsletter providing summaries, analyses, insights, and 
commentaries on security: computer and otherwise.

For back issues, or to subscribe, visit 
<http://www.schneier.com/crypto-gram.html>.

You can read this issue on the web at 
<http://www.schneier.com/crypto-gram-0705.html>.  These same essays 
appear in the "Schneier on Security" blog: 
<http://www.schneier.com/blog>.  An RSS feed is available.


** *** ***** ******* *********** *************

In this issue:
     A Security Market for Lemons
     Is Big Brother a Big Deal?
     Citizen-Counterterrorist Training Video
     News
     Recognizing "Hinky" vs. Citizen Informants
     More on REAL ID
     Least Risk Bomb Location
     Social Engineering Notes
     Schneier/BT Counterpane News
     1933 Anti-Spam Doorbell
     Does Secrecy Help Protect Personal Information?
     Is Penetration Testing Worth It?
     Do We Really Need a Security Industry?
     Comments from Readers


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     A Security Market for Lemons



More than a year ago, I wrote about the increasing risks of data loss 
because more and more data fits in smaller and smaller packages. Today I 
use a 4-GB USB memory stick for backup while I am traveling. I like the 
convenience, but if I lose the tiny thing I risk all my data.

Encryption is the obvious solution for this problem -- I use PGPdisk -- 
but Secustick sounds even better: It automatically erases itself after a 
set number of bad password attempts. The company makes a bunch of other 
impressive claims: The product was commissioned, and eventually 
approved, by the French intelligence service; it is used by many 
militaries and banks; its technology is revolutionary.

Unfortunately, the only impressive aspect of Secustick is its hubris, 
which was revealed when Tweakers.net completely broke its security. 
There's no data self-destruct feature. The password protection can 
easily be bypassed. The data isn't even encrypted. As a secure storage 
device, Secustick is pretty useless.

On the surface, this is just another snake-oil security story. But 
there's a deeper question: Why are there so many bad security products 
out there? It's not just that designing good security is hard -- 
although it is -- and it's not just that anyone can design a security 
product that he himself cannot break. Why do mediocre security products 
beat the good ones in the marketplace?

In 1970, American economist George Akerlof wrote a paper called "The 
Market for 'Lemons,'" which established asymmetrical information theory. 
He eventually won a Nobel Prize for his work, which looks at markets 
where the seller knows a lot more about the product than the buyer.

Akerlof illustrated his ideas with a used car market. A used car market 
includes both good cars and lousy ones (lemons). The seller knows which 
is which, but the buyer can't tell the difference -- at least until he's 
made his purchase. I'll spare you the math, but what ends up happening 
is that the buyer bases his purchase price on the value of a used car of 
average quality.

This means that the best cars don't get sold; their prices are too high. 
Which means that the owners of these best cars don't put their cars on 
the market. And then this starts spiraling. The removal of the good cars 
from the market reduces the average price buyers are willing to pay, and 
then the very good cars no longer sell, and disappear from the market. 
And then the good cars, and so on until only the lemons are left.

In a market where the seller has more information about the product than 
the buyer, bad products can drive the good ones out of the market.

The computer security market has a lot of the same characteristics of 
Akerlof's lemons market. Take the market for encrypted USB memory 
sticks. Several companies make encrypted USB drives -- Kingston 
Technology sent me one in the mail a few days ago -- but even I couldn't 
tell you if Kingston's offering is better than Secustick. Or if it's 
better than any other encrypted USB drives. They use the same encryption 
algorithms. They make the same security claims. And if I can't tell the 
difference, most consumers won't be able to either.

Of course, it's more expensive to make an actually secure USB drive. 
Good security design takes time, and necessarily means limiting 
functionality. Good security testing takes even more time, especially if 
the product is any good. This means the less-secure product will be 
cheaper, sooner to market and have more features. In this market, the 
more-secure USB drive is going to lose out.

I see this kind of thing happening over and over in computer security. 
In the late 1980s and early 1990s, there were more than a hundred 
competing firewall products. The few that "won" weren't the most secure 
firewalls; they were the ones that were easy to set up, easy to use and 
didn't annoy users too much. Because buyers couldn't base their buying 
decision on the relative security merits, they based them on these other 
criteria. The intrusion detection system, or IDS, market evolved the 
same way, and before that the antivirus market. The few products that 
succeeded weren't the most secure, because buyers couldn't tell the 
difference.

How do you solve this? You need what economists call a "signal," a way 
for buyers to tell the difference. Warranties are a common signal. 
Alternatively, an independent auto mechanic can tell good cars from 
lemons, and a buyer can hire his expertise. The Secustick story 
demonstrates this. If there is a consumer advocate group that has the 
expertise to evaluate different products, then the lemons can be exposed.

Secustick, for one, seems to have been withdrawn from sale.

But security testing is both expensive and slow, and it just isn't 
possible for an independent lab to test everything. Unfortunately, the 
exposure of Secustick is an exception. It was a simple product, and 
easily exposed once someone bothered to look. A complex software product 
-- a firewall, an IDS -- is very hard to test well. And, of course, by 
the time you have tested it, the vendor has a new version on the market.

In reality, we have to rely on a variety of mediocre signals to 
differentiate the good security products from the bad. Standardization 
is one signal. The widely used AES encryption standard has reduced, 
although not eliminated, the number of lousy encryption algorithms on 
the market. Reputation is a more common signal; we choose security 
products based on the reputation of the company selling them, the 
reputation of some security wizard associated with them, magazine 
reviews, recommendations from colleagues or general buzz in the media.

All these signals have their problems. Even product reviews, which 
should be as comprehensive as the Tweakers' Secustick review, rarely 
are. Many firewall comparison reviews focus on things the reviewers can 
easily measure, like packets per second, rather than how secure the 
products are. In IDS comparisons, you can find the same bogus "number of 
signatures" comparison. Buyers lap that stuff up; in the absence of deep 
understanding, they happily accept shallow data.

With so many mediocre security products on the market, and the 
difficulty of coming up with a strong quality signal, vendors don't have 
strong incentives to invest in developing good products. And the vendors 
that do tend to die a quiet and lonely death.

Risks of data in small packages:
http://www.wired.com/politics/security/commentary/securitymatters/2006/01/70044 
or http://tinyurl.com/ypqntk

Secustick and review:
http://www.secustick.nl/engels/index.html
http://tweakers.net/reviews/683

Snake oil:
http://www.schneier.com/crypto-gram-9902.html#snakeoil
http://www.schneier.com/crypto-gram-9810.html#cipherdesign

"A Market for Lemons":
http://en.wikipedia.org/wiki/The_Market_for_Lemons
http://www.students.yorku.ca/~siccardi/The%20market%20for%20lemons.pdf

Kingston USB drive:
http://www.kingston.com/flash/dt_secure.asp

Slashdot thread:
http://it.slashdot.org/article.pl?sid=07/04/19/140245

This essay originally appeared in Wired.
http://www.wired.com/politics/security/commentary/securitymatters/2007/04/securitymatters_0419 
or http://tinyurl.com/2fh325


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     Is Big Brother a Big Deal?



Big Brother isn't what he used to be. George Orwell extrapolated his 
totalitarian state from the 1940s. Today's information society looks 
nothing like Orwell's world, and watching and intimidating a population 
today isn't anything like what Winston Smith experienced.

Data collection in "1984" was deliberate; today's is inadvertent. In the 
information society, we generate data naturally. In Orwell's world, 
people were naturally anonymous; today, we leave digital footprints 
everywhere.

"1984"'s police state was centralized; today's is decentralized. Your 
phone company knows who you talk to, your credit card company knows 
where you shop and Netflix knows what you watch. Your ISP can read your 
email, your cell phone can track your movements and your supermarket can 
monitor your purchasing patterns. There's no single government entity 
bringing this together, but there doesn't have to be. As Neal Stephenson 
said, the threat is no longer Big Brother, but instead thousands of 
Little Brothers.

"1984"'s Big Brother was run by the state; today's Big Brother is market 
driven. Data brokers like ChoicePoint and credit bureaus like Experian 
aren't trying to build a police state; they're just trying to turn a 
profit. Of course these companies will take advantage of a national ID; 
they'd be stupid not to. And the correlations, data mining and precise 
categorizing they can do is why the U.S. government buys commercial data 
from them.

"1984"-style police states required lots of people. East Germany 
employed one informant for every 66 citizens. Today, there's no reason 
to have anyone watch anyone else; computers can do the work of people.

"1984"-style police states were expensive. Today, data storage is 
constantly getting cheaper. If some data is too expensive to save today, 
it'll be affordable in a few years.

And finally, the police state of "1984" was deliberately constructed, 
while today's is naturally emergent. There's no reason to postulate a 
malicious police force and a government trying to subvert our freedoms. 
Computerized processes naturally throw off personalized data; companies 
save it for marketing purposes, and even the most well-intentioned law 
enforcement agency will make use of it.

Of course, Orwell's Big Brother had a ruthless efficiency that's hard to 
imagine in a government today. But that completely misses the point. A 
sloppy and inefficient police state is no reason to cheer; watch the 
movie "Brazil" and see how scary it can be. You can also see hints of 
what it might look like in our completely dysfunctional "no-fly" list 
and useless projects to secretly categorize people according to 
potential terrorist risk. Police states are inherently inefficient. 
There's no reason to assume today's will be any more effective.

The fear isn't an Orwellian government deliberately creating the 
ultimate totalitarian state, although with the U.S.'s programs of 
phone-record surveillance, illegal wiretapping, massive data mining, a 
national ID card no one wants and Patriot Act abuses, one can make that 
case. It's that we're doing it ourselves, as a natural byproduct of the 
information society.  We're building the computer infrastructure that 
makes it easy for governments, corporations, criminal organizations and 
even teenage hackers to record everything we do, and -- yes -- even 
change our votes. And we will continue to do so unless we pass laws 
regulating the creation, use, protection, resale, and disposal of 
personal data. It's precisely the attitude that trivializes the problem 
that creates it.

This essay appeared in the May issue of "Information Security," as the 
second half of a point/counterpoint with Marcus Ranum.
http://informationsecurity.techtarget.com/magItem/0,291266,sid42_gci1253144,00.html 
or http://tinyurl.com/2a8wpf

Marcus's half:
http://www.ranum.com/security/computer_security/editorials/point-counterpoint/bigbrother.html 
or http://tinyurl.com/2cfuwy


** *** ***** ******* *********** *************

     Citizen-Counterterrorist Training Video



The seven signs of terrorist activity, according to a Michigan State 
Police training video:

	Surveillance
	Elicitation
	Tests of security
	Acquiring supplies
	Suspicious people who "don't belong"
	Dry runs/trial runs
	Deploying assets or getting into position

I especially like the scenes of concerned citizens calling the police. 
Anyone care to guess what the false alarm rate would be if everyone 
started making phone calls like this?

http://www.hanford.gov/oci/video/7signsofterrorism.wmv


** *** ***** ******* *********** *************

     News



The DHS no longer has a failing cybersecurity grade; they got a D.  The 
rest of the U.S. government didn't do very well.  Eight of twenty-four 
departments (including the Department of Defense) failed.  Overall, the 
federal government received a C- (up from a D+ last year).
http://news.zdnet.com/2100-1009_22-6175666.html
http://www.computerworld.com/action/article.do?command=viewArticleBasic&taxonomyId=13&articleId=9016363&intsrc=hm_topic 
or http://tinyurl.com/29rdav

Terror-fighting dolphins and sea lions patrol for underwater swimmers;
http://www.forbes.com/feeds/ap/2007/04/14/ap3612999.html

Yet another Boston terrorism overreaction, this one involving backpacks 
hanging in the trees near schools.  Are these people trying to be 
stupid?  Terrorism used to be hard.  Now all you have to is hang 
backpacks from trees near schools.
http://news.bostonherald.com/localRegional/view.bg?articleid=193808
Refuse to be terrorized, people!
http://www.schneier.com/essay-124.html

There's not just one watch list in the US, but many.
http://www.wired.com/politics/onlinerights/news/2007/04/watchlist3

Foiling bank robbers with kindness: it seems to work really well.  What 
I like about this security system is that it fails really well in the 
event of a false alarm.  There's nothing wrong with being extra nice to 
a legitimate customer.
http://www.eyewitnessnewstv.com/global/story.asp?s=6365459&ClientType=Printable 
or http://tinyurl.com/2ffdmp

Arresting children: a disturbing trend.  These are not the sorts of 
matters the police should be getting involved in.  The police aren't 
trained to handle children this age, and children this age don't benefit 
by being fingerprinted and thrown in jail.
http://welcome-to-pottersville.blogspot.com/2007/04/bob-herbert-6-year-olds-under-arrest.html 
or http://tinyurl.com/25btu7

A new development from surveillance-camera-happy England: cameras that 
"predict" crimes.  This moves us further along the continuum into 
thoughtcrimes, but near as I can tell, the system just collects evidence 
on people it thinks suspicious, just in case.  Assuming the data is 
erased immediately after, it's much less invasive than actually 
accosting someone for thoughtcrime; the costs for false alarms is 
minimal.  I doubt it works nearly as well as the article claims, but 
that's likely to change in 5 to 10 years.  For example, there's a lot of 
research being done in the area of microfacial expressions to detect 
lying and other thoughts.  This is the sort of technological advance 
that we need to be talking about in terms of security, privacy, and liberty.
http://www.timesonline.co.uk/tol/news/uk/crime/article1655200.ece

Here's a technology that uses keystroke biometrics to help detect if 
someone else is typing in your password.  I think this is a good idea. 
I wouldn't want to automatically block users unless they get this right, 
and the false-positive/false-negative ratio would have to be jiggered 
properly, but if they can get it working right, it's an extra layer of 
authentication for "free."
http://www.biopassword.com/
http://technology.timesonline.co.uk/tol/news/tech_and_web/personal_tech/article1667057.ece 
or http://tinyurl.com/23u7zg

Hacking the U.S. Post Office: fooling them to send mail to "forbidden" 
countries:
http://englishrussia.com/?p=334#more-334

Watch the video of how the Australian authorities react when someone -- 
dressed either as an American or Arab tourist -- films the Sydney Harbor 
Bridge and a nuclear reactor.  The synopsis:  The Arab is intercepted 
within three minutes both times, while the U.S. tourist is given 
instructions on how to get inside the nuclear facility.  Moral for 
terrorists: dress like an American.  (By the way, Lucas Heights is a 
research reactor.  It produces medical isotopes and performs research, 
and doesn't produce power.)
http://youtube.com/watch?v=McB9tsabPn0

According to the Internet Crime Complaint Center and reported in "U.S. 
News and World Report," auction fraud and non-delivery of items 
purchased are far and away the most common Internet crimes.  Identity 
theft is way down near the bottom.  "The feds caution that these figures 
don't represent a scientific sample of just how much Net crime is out 
there. They note, for example, that the high number of auction fraud 
complaints is due, in part, to eBay and other big E-commerce outfits 
offering customers direct links to the IC3 website. And it's tough to 
measure what may be the Web's biggest scourge, child porn, simply by 
complaints. Still, the survey is a useful snapshot, even if it tells us 
what we already know: that the Internet, like the rest of life, is full 
of bad guys. Caveat emptor."
http://www.usnews.com/usnews/news/badguys/070416/top_10_internet_crimes_of_2006.htm 
or http://tinyurl.com/2bvtcn

In the aftermath if the Virginia Tech shootings, Yale tried to ban the 
use of stage weapons on stage.  I wish I could make a joke about 
security theater at the theater, but this is just basic stupidity.  Not 
only does this not make anyone safer, it doesn't even make anyone feel 
safer.
http://www.yaledailynews.com/articles/view/20843
The order was quickly rescinded, without any demonstration of common sense:
http://yaledailynews.com/articles/view/20913

An interesting rant from a cop.  Summary: people use policemen as props 
in their personal disputes.
http://syracuse.craigslist.org/about/best/lax/151590579.html
If the police implement programs to let ordinary citizens report 
suspected terrorists, this is the kind of thing that will result.

English professor reported for recycling paper while looking Middle Eastern:
http://alternet.org/rights/50939/

Triggering bombs by remote key entry devices:
http://www.schneier.com/blog/archives/2007/04/triggering_bomb.html

Commentary on Vista security and the Microsoft monopoly:
http://www.schneier.com/blog/archives/2007/04/commentary_on_v_1.html

Richard Clarke on the "puppy dog" theory of terrorism:
http://www.nydailynews.com/opinions/2007/04/25/2007-04-25_put_bushs_puppy_dog_terror_theory_to_sle.html 
or http://tinyurl.com/2a9gqd

"Get Fuzzy" is one of my favorite comic strips.  A recent one was about 
security.
http://www.comics.com//comics/getfuzzy/archive/getfuzzy-20070424.html

If you want your security technology to be considered for the 2012 
London Olympics, you have to be a major sponsor of the event.  I have 
repeatedly said that security is generally only part of a larger 
context, but this borders on ridiculous.
http://www.itpro.co.uk/blogs/editorial-blogs/davey-winder/195108/no-medals-for-uk-government-over-london-olympics-security.thtml 
or http://tinyurl.com/25c3z4

In East Belfast, burglars called in a bomb threat.  Residents evacuated 
their homes, and then the burglars proceeded to rob eight empty houses 
on the block.  I've written about this sort of thing before: sometimes 
security procedures themselves can be exploited by attackers.  It was 
Step 4 of my "five-step process" from "Beyond Fear"(pages 14-15).  A 
national ID card makes identity theft more lucrative; forcing people to 
remove their laptops at airport security checkpoints makes laptop theft 
more common.  Moral: you can't just focus on one threat.  You need to 
look at the broad spectrum of threats, and pay attention to how security 
against one affects the others.
http://news.bbc.co.uk/1/hi/northern_ireland/6580873.stm

Clever Google ad hack:
http://blog.washingtonpost.com/securityfix/2007/04/virus_writers_taint_google_ad.html 
or http://tinyurl.com/2q5o6d

There's a class-action lawsuit against TJX by various banks and banking 
groups, arguing that TJX failed to protect customer data with adequate 
security measures and was less than honest about how it handled data. 
This case could break new legal ground, and is worth watching closely. 
(I'm rooting for the plaintiff.)
http://searchsecurity.techtarget.com/originalContent/0,289142,sid14_gci1252778,00.html 
or http://tinyurl.com/2g49sy
More details on the theft:
http://online.wsj.com/article_email/SB117824446226991797-lMyQjAxMDE3NzA4NDIwNDQ0Wj.html 
or http://tinyurl.com/2wqamx
http://wifinetnews.com/archives/007604.html

Encrypted phones are big business in Italy as a defense against wiretapping:
http://www.nytimes.com/2007/04/30/business/worldbusiness/30encrypt.html?_r=1&oref=slogin 
or http://tinyurl.com/yrxrs9

Here's a taser disguised as a tampon.  Real or hoax?
http://www.americaninventorspot.com/security_system

Security arms races in duck oviducts and phalluses; interesting research 
from Yale:
http://www.nytimes.com/2007/05/01/science/01duck.html?ex=1335672000&en=4de6291bb177dfbf&ei=5090&partner=rssuserland&emc=rss 
or http://tinyurl.com/28r7kc

Project Honey Pot files a $1B+ lawsuit against spammers.
http://www.projecthoneypot.org/5days_thursday.php

We all know that CRT displays radiate like mad, and someone with the 
right equipment can read them at a distance.  Marcus Kuhn demonstrates 
how to do the same thing with LCD displays.
http://www.newscientist.com/blog/technology/2007/04/seeing-through-walls.html 
or http://tinyurl.com/ys28t8
Older research along these lines:
http://unix.be.eu.org/docs-free/tempest/optical_tempest.pdf

UK police blow up a bat detector, thinking it's a bomb.  For those who 
don't know, the A23 is the main road between London and Brighton on the 
south coast.
http://www.theargus.co.uk/misc/print.php?artid=1372149
http://www.theregister.co.uk/2007/05/04/bat_defences_pierced_by_bomb_panic/ 
or http://tinyurl.com/ynoqoq
http://news.bbc.co.uk/1/hi/england/sussex/6618737.stm
I like this comment:  "We are working on ways to improve identification 
of our property to avoid a repeat of the incident."  Might I suggest a 
sign: "This is not a bomb."

Another xkcd cartoon: on cryptography:
http://xkcd.com/c257.html

New Trojan mimics Windows activation interface.
http://www.pcmag.com/article2/0,1895,2126214,00.asp
http://www.symantec.com/security_response/writeup.jsp?docid=2007-042705-0108-99&tabid=2 
or http://tinyurl.com/yp2nlk

U.S./Canadian dispute over border crossing procedures.
http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070427/border_plan_070427/20070427 
or http://tinyurl.com/24t48d

Two teenage boys detonated a stink bomb on a Sydney commuter train, and 
prompted a counter-terrorism response.  Best quote:  "'It would have 
been terrifying. You're on a train, you hear a loud bang, the logical 
conclusion that people drew was (that it was) probably a terrorist 
attack,' Mr Owens told reporters."  I agree that it was the conclusion 
that people drew, but not that it was a logical conclusion.
http://www.stuff.co.nz/4047150a12.html

Weird lottery hack:
http://www.smh.com.au/articles/2007/05/02/1177788228072.html

University of California's tips for what to do when there's a shooter on 
campus:
http://www.ucpd.ucla.edu/ucpd/zippdf/2007/Active%20Shooter%20Safety%20Tips.pdf 
or http://tinyurl.com/2qvgyg

"The Myth of the Superuser," a very interesting law journal paper by 
Paul Ohm:
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=967372
Here's a three-part summary of the topic by Ohm:
http://www.volokh.com/archives/archive_2007_04_08-2007_04_14.shtml#1176127892 
or http://tinyurl.com/ys9pwt
http://volokh.com/archives/archive_2007_04_08-2007_04_14.shtml#1176212420 
or http://tinyurl.com/yu24ov
http://volokh.com/archives/archive_2007_04_08-2007_04_14.shtml#1176311368 
or http://tinyurl.com/29xyks
Clarification by Ohm to the blog post:
http://www.schneier.com/blog/archives/2007/05/the_myth_of_the.html#c168413 
or http://tinyurl.com/ytkzae

The researcher claims this is "the first remotely exploitable SCADA 
security vulnerability," and I think that's correct.  In general, I 
think the threat of SCADA-based attacks are overblown today, but will 
become more serious in the coming years.
http://www.physorg.com/news94025004.html

Low-tech Tamil Tiger guerillas ground high-tech Sri Lankan Air Force:
http://www.theaustralian.news.com.au/story/0,20867,21672616-2703,00.html 
or http://tinyurl.com/2oqm6c
http://www.gulf-times.com/site/topics/article.asp?cu_no=2&item_no=146822&version=1&template_id=44&parent_id=24 
or http://tinyurl.com/yqwxmb

Remember the weird story about radio transmitters found in Canadian 
coins in order to spy on Americans?  Complete nonsense.
http://www.schneier.com/blog/archives/2007/05/poppy_coins_are.html

Sometimes, that strange backpack *is* a bomb.  Not very often, but once 
in a great while.  Still, I don't think it's possible to solve this by 
preemptively assuming that all strange objects are potential bombs. 
There are just too many strange objects in the world.
http://www.cnn.com/2007/US/05/07/backpack.explodes.ap/index.html
Blog entry URL:
http://www.schneier.com/blog/archives/2007/05/sometimes_it_is.html

Singapore is setting up a $98M research center for quantum computation. 
 Great news, but what in the world does this quote mean?  "The kind of 
quantum cryptography we develop here is probably the most sophisticated 
that is not available in any other countries so we have some ideas to 
make it so secure that you don't even have to trust equipment that you 
could buy from a vendor."
http://www.channelnewsasia.com/stories/singaporelocalnews/view/273831/1/.html 
or http://tinyurl.com/2aughy

The most secure car park in the world?
http://en.wikipedia.org/wiki/Bold_Lane

Sex toy security risk: sounds like bullshit -- or clever marketing -- to me.
http://observer.guardian.co.uk/world/story/0,,2073474,00.html

"Is your PC virus-free? Get it infected here!"  An actual Google Adwords 
campaign.
http://didierstevens.wordpress.com/2007/05/07/is-your-pc-virus-free-get-it-infected-here/ 
or http://tinyurl.com/25klcw

The Beerbelly attaches to your abdomen and looks like a beer gut, 
allowing you to smuggle beer past guards -- even guards that do cursory 
pat-down searches.
http://thebeerbelly.com/


** *** ***** ******* *********** *************

     Recognizing "Hinky" vs. Citizen Informants



On the subject of people noticing and reporting suspicious actions, I 
have been espousing two views that some find contradictory.  One, we are 
all safer if police, guards, security screeners, and the like ignore 
traditional profiling and instead pay attention to people acting hinky: 
not right.  And two, if we encourage people to contact the authorities 
every time they see something suspicious, we're going to waste our time 
chasing false alarms: foreigners whose customs are different, people who 
are disliked by someone, and so on.

The key difference is expertise.  People trained to be alert for 
something hinky will do much better than any profiler, but people who 
have no idea what to look for will do no better than random.

Here's a story that illustrates this:  Last week, a student at the 
Rochester Institute of Technology was arrested with two illegal assault 
weapons and 320 rounds of ammunition in his dorm room and car:

"The discovery of the weapons was made only by chance. A conference 
center worker who served in the military was walking past Hackenburg's 
dorm room. The door was shut, but the worker heard the all-too-familiar 
racking sound of a weapon, said the center's director Bill Gunther."

Notice how expertise made the difference.  The "conference center 
worker" had the right knowledge to recognize the sound and to understood 
that it was out of place in the environment he heard it.  He wasn't 
primed to be on the lookout for suspicious people and things; his 
trained awareness kicked in automatically.  He recognized hinky, and he 
acted on that recognition.  A random person simply can't do that; he 
won't recognize hinky when he sees it.  He'll report imams for praying, 
a neighbor he's pissed at, or people at random.  He'll see an English 
professor recycling paper, and report a Middle-Eastern-looking man 
leaving a box on sidewalk.

We all have some experience with this.  Each of us has some expertise in 
some topic, and will occasionally recognize that something is wrong even 
though we can't fully explain what or why.  An architect might feel that 
way about a particular structure; an artist might feel that way about a 
particular painting.  I might look at a cryptographic system and 
intuitively know something is wrong with it, well before I figure out 
exactly what.  Those are all examples of a subliminal recognition that 
something is hinky -- in our particular domain of expertise.

Good security people have the knowledge, skill, and experience to do 
that in security situations.  It's the difference between a good 
security person and an amateur.

This is why behavioral assessment profiling is a good idea, while the 
Terrorist Information and Prevention System (TIPS) isn't.  This is why 
training truckers to look out for suspicious things on the highways is a 
good idea, while a vague list of things to watch out for isn't.  It's 
why an Israeli driver recognized a passenger as a suicide bomber, while 
an American driver probably wouldn't.

This kind of thing isn't easy to train.  (Much has been written about 
it, though; Malcolm Gladwell's "Blink" discusses this in detail.)  You 
can't learn it from watching a seven-minute video.  But the more we 
focus on this -- the more we stop wasting our airport security resources 
on screeners who confiscate rocks and snow globes, and instead focus 
them on well-trained screeners walking through the airport looking for 
hinky -- the more secure we will be.

Hinky:
http://www.schneier.com/blog/archives/2005/07/profiling.html

RIT Story:
http://www.nj.com/news/ledger/morris/index.ssf?/base/news-2/1177047289122820.xml&coll=1 
or http://tinyurl.com/228zm8

Casino security and the "Just Doesn't Look Right (JLDR)" principle:
http://www.casinosurveillancenews.com/jdlr.htm

Commentary:
http://www.cato-at-liberty.org/2007/04/26/id-be-ok-with-hinky-given-post-hoc-articulation/ 
or http://tinyurl.com/2b3bfz

The blog post has many more links to the specific things mentioned in 
the essay:
http://www.schneier.com/blog/archives/2007/04/recognizing_hin_1.html


** *** ***** ******* *********** *************

     More on REAL ID



In March, the Department of Homeland Security released its long-awaited 
guidance document regarding national implementation of the Real ID 
program, as part of its post-9/11 national security initiatives. It is 
perhaps quite telling that despite bipartisan opposition, Real ID was 
buried in a 2005 "must-pass" military spending bill and enacted into law 
without public debate or congressional hearings.

DHS has maintained that the Real ID concept is not a national 
identification database. While it's true that the system is not a single 
database per se, this is a semantic dodge; according to the DHS 
document, Real ID will be a collaborative data-interchange environment 
built from a series of interlinking systems operated and administered by 
the states. In other words, to the Department of Homeland Security, it's 
not a single database because it's not a single system. But the 
functionality of a single database remains intact under the guise of a 
federated data-interchange environment.

The DHS document notes the "primary benefit of Real ID is to improve the 
security and lessen the vulnerability of federal buildings, nuclear 
facilities, and aircraft to terrorist attack." We know now that 
vulnerable cockpit doors were the primary security weakness contributing 
to 9/11, and reinforcing them was a long-overdue protective measure to 
prevent hijackings. But this still raises an interesting question: Are 
there really so many members of the American public just "dropping by" 
to visit a nuclear facility that it's become a primary reason for 
creating a national identification system? Are such visitors actually 
admitted?

DHS proposes guidelines for proving one's identity and residence when 
applying for a Real ID card. Yet while the department concedes it's a 
monumental task to prove one's domicile or residence, it leaves it up to 
the states to determine what documents would be adequate proof of 
residence--and even suggests that a utility bill or bank statement might 
be appropriate documentation. If so, a person could easily generate 
multiple proof-of-residence documents. Basing Real ID on such 
easy-to-forge documents obviates a large portion of what Real ID is 
supposed to accomplish.

Finally, and perhaps most importantly for Americans, the very last 
paragraph of the 160-page Real ID document deserves special attention. 
In a nod to states' rights advocates, DHS declares that states are free 
not to participate in the Real ID system if they choose -- but any 
identification card issued by a state that does not meet Real ID 
criteria is to be clearly labeled as such, to include "bold lettering" 
or a "unique design" similar to how many states design driver's licenses 
for those under 21 years of age.

In its own guidance document, the department has proposed branding 
citizens not possessing a Real ID card in a manner that lets all who see 
their official state-issued identification know that they're 
"different," and perhaps potentially dangerous, according to standards 
established by the federal government. They would become stigmatized, 
branded, marked, ostracized, segregated. All in the name of protecting 
the homeland; no wonder this provision appears at the very end of the 
document.

One likely outcome of this DHS-proposed social segregation is that 
people presenting non-Real ID identification automatically will be 
presumed suspicious and perhaps subject to additional screening or 
surveillance to confirm their innocence at a bar, office building, 
airport, or routine traffic stop. Such a situation would establish a new 
form of social segregation--an attempt to separate "us" from "them" in 
the age of counterterrorism and the new normal, where one is presumed 
suspicious until proven more suspicious.

Two other big-picture concerns about Real ID come to mind: Looking at 
the overall concept of a national identification database, and given 
existing data security controls in large distributed systems, one 
wonders how vulnerable this system-of-systems will be to data loss or 
identity theft resulting from unscrupulous employees, flawed 
technologies, external compromises or human error--even under the best 
of security conditions. And second, there is no clear guidance on the 
limits of how the Real ID database would be used. Other homeland 
security initiatives, such as the Patriot Act, have been used and 
applied--some say abused--for purposes far removed from anything related 
to homeland security. How can we ensure the same will not happen with 
Real ID?

As currently proposed, Real ID will fail for several reasons. From a 
technical and implementation perspective, there are serious questions 
about its operational abilities both to protect citizen information and 
resist attempts at circumvention by adversaries. Financially, the 
initial unfunded $11 billion cost, forced onto the states by the federal 
government, is excessive. And from a sociological perspective, Real ID 
will increase the potential for expanded personal surveillance and lay 
the foundation for a new form of class segregation in the name of 
protecting the homeland.

It's time to rethink some of the security decisions made during the 
emotional aftermath of 9/11 and determine whether they're still a good 
idea for homeland security and America. After all, if Real ID was such a 
well-conceived plan, Maine and 22 other states wouldn't be challenging 
it in their legislatures or rejecting the Real ID concept for any number 
of reasons. But they are.

And we as citizens should, too. Let the debate begin.

Me on REAL-ID:
http://www.schneier.com/essay-160.html

DHS guidance document:
http://news.com.com/National+ID+card+a+disaster+in+the+making//Homeland+Security+offers+details+on+Real+ID/2100-1028_3-6163509.html 
or http://tinyurl.com/yroz6g

On May 8, I testified in front of the Senate Judiciary Committee on REAL 
ID.  Written testimony, and video, on the website.
http://judiciary.senate.gov/hearing.cfm?id=2746
http://www.washingtonpost.com/wp-dyn/content/article/2007/05/08/AR2007050801899.html 
or http://tinyurl.com/2y3d54

This essay was written with Richard Forno, and appeared on News.com:
http://news.com.com/National+ID+card+a+disaster+in+the+making/2010-7348_3-6180835.html 
or http://tinyurl.com/2zk7b2

Status of anti-REAL-ID legislation:
http://www.realnightmare.org/news/105/


** *** ***** ******* *********** *************

     Least Risk Bomb Location



This fascinating tidbit is from "Aviation Week and Space Technology" 
(April 9, 2007, p. 21), in David Bond's "Washington Outlook" column 
(unfortunately, not online).

"Security and society's litigious bent combine to make airlines unsuited 
for figuring out the best place to put a suspected explosive device 
discovered during a flight, AirTran Airways tells the FAA (Federal 
Aviation Administration).  Commenting on a proposed rule that would 
require, among other things, designation of a 'least risk bomb location' 
(LRBL) -- the place on an aircraft where a bomb would do the least 
damage if it exploded -- AirTran engineering director Rick Shideler says 
it's hard for airlines to get aircraft design information related to 
such a location because of agreements between manufacturers and the 
Homeland Security Department.  The carrier got LRBL information for its 
717s and 737s from Boeing but can't find out why the locations were 
chosen, 'or even who specifically picked them,' because of liability laws."

I'd never heard of an LRBL before, but the FAA has public proposed 
guidelines on them.  Apparently flight crews are trained to stash 
suspicious objects there.

But liability seems to be getting in the way of security and common 
sense here.  It seems reasonable that an airline's engineering director 
should be allowed to understand the technical reasoning behind the 
choice of LRBL, and maybe even give the manufacturer feedback on it.

When I posted this to my blog, a pilot commented:  "The designation of a 
'least risk bomb location' is nothing new. All planes have a designated 
area where potentially dangerous packages should be placed. Usually it's 
in the back, adjacent to a door. There are a slew of procedures to be 
followed if an explosive device is found on board: depressurizing the 
plane, moving the item to the LRBL, and bracing/smothering it with 
luggage and other dense materials so that the force of the blast is 
directed outward, through the door."

Probably won't help, but you've got to put the damn thing somewhere.

FAA guidelines:
http://search.google.dot.gov/FAA/FAASearchProcess.asp?q=cache:NnvfFCKd7qcJ:www.faa.gov/aircraft/draft_docs/media/DFS_AC6X.doc+lrbl&access=p&output=xml_no_dtd&site=FAA_Pages&ie=UTF-8&client=default_frontend&proxystylesheet=default_frontend&oe=UTF-8 
or http://tinyurl.com/yvyvws


** *** ***** ******* *********** *************

     Social Engineering Notes



This is a fantastic story of a major prank pulled off at the Super Bowl 
this year.  Basically, five people smuggled more than a quarter of a ton 
of material into Dolphin Stadium in order to display their secret 
message on TV.

Given all the security, it's amazing how easy it was for them to become 
part of the security perimeter with all that random stuff.  But to those 
of us who follow this thing, it shouldn't be.  His observations are spot on:

1. Wear a suit.
2. Wear a Bluetooth headset.
3. Pretend to be talking loudly to someone on the other line.
4. Carry a clipboard.
5. Be white.

Again, no surprise here.  But it makes you wonder what's the point of 
annoying the hell out of ordinary citizens with security measures (like 
pat-down searches) when the emperor has no clothes.

Someone who crashed the Oscars last year gave similar advice: "Show up 
at the theater, dressed as a chef carrying a live lobster, looking 
really concerned."

On a much smaller scale, here's someone's story of social engineering a 
bank branch:  "I enter the first branch at approximately 9:00AM. Dressed 
in Dickies coveralls, a baseball cap, work boots and sunglasses I 
approach the young lady at the front desk.  'Hello,' I say. 'John Doe 
with XYZ Pest Control, here to perform your pest inspection.' I flash 
her the smile followed by the credentials. She looks at me for a moment, 
goes 'Uhm… okay… let me check with the branch manager…' and picks up 
the phone. I stand around twiddling my thumbs and wait while the manager is 
contacted and confirmation is made. If all goes according to plan, the 
fake emails I sent out last week notifying branch managers of our 
inspection will allow me access.  It does."

Social engineering is surprisingly easy.  As I said in "Beyond Fear" 
(page 144):  "Social engineering will probably always work, because so 
many people are by nature helpful and so many corporate employees are 
naturally cheerful and accommodating. Attacks are rare, and most people 
asking for information or help are legitimate. By appealing to the 
victim's natural tendencies, the attacker will usually be able to cozen 
what she wants."

All it takes is a good cover story.

Zug prank:
http://www.zug.com/pranks/super/
http://www.zug.com/pranks/super/press_release.html
http://cockeyed.com/pranks/hargrave/superbowl01.shtml

Some think it is a hoax:
http://www.engadget.com/2007/03/17/hoax-or-prank-did-zug-punk-the-whole-super-bowl/ 
or http://tinyurl.com/ywraou

Others don't:
http://blog.wired.com/tableofmalcontents/2007/03/was_the_super_b.html
http://cockeyed.com/pranks/hargrave/superbowl_doubts.shtml

Stadium pat-down searches:
http://www.aclu.org/crimjustice/searchseizure/21144prs20051013.html

Dave Barry on stadium security:
http://www.schneier.com/blog/archives/2007/02/dave_barry_on_s_1.html

Crashing the Oscars:
http://www.schneier.com/blog/archives/2006/03/how_to_crash_th.html

Social engineering a bank branch:
http://www.protokulture.net/?p=79


** *** ***** ******* *********** *************

     Schneier/BT Counterpane News


Video and audio of my March 21 talk at the British Computer Society, on 
information security trends and economic considerations.
http://www.bcs.org/server.php?show=ConWebDoc.11190
http://www.schneier.com/schneier-mar07.ogg

Video an audio of my April 3 talk at Macalester College titled 
"Counterterrorism in America: Security Theater Against Movie-Plot Threats."
http://www.macalester.edu/whatshappening/audio/guestspeakers/macguest20070503.mp3 
or http://tinyurl.com/22fsdx
http://www.macalester.edu/whatshappening/audio/guestspeakers/macguestbruceschneier_movie.mp4 
or http://tinyurl.com/2esbne

Schneier is speaking at the Web Security Summit on May 23 in 
Johannesburg, South Africa:
http://www.itweb.co.za/events/securitysummit/2007/default.asp

Schneier is speaking at Cisco Security 2007 on May 31 in Oslo, Norway:
http://www.cisco.no/security2007

Schneier is speaking at the Gartner IT Security Summit on June 4 in 
Washington DC:
http://www.gartner.com/2_events/conferences/sec13.jsp

Schneier is speaking at the ACLU Biennial Conference on June 14 in Seattle:
http://action.aclu.org/site/Calendar/397839578?JServSessionIdr007=abyt2prxa2.app27a&view=Detail&id=102121&whence=http%3A%2F%2Faction.aclu.org%2Fsite%2FPageServer%3Fpagename%3Dspeakingengagements_ns 
or http://tinyurl.com/293mwo


** *** ***** ******* *********** *************

     1933 Anti-Spam Doorbell



Here's a great description of an anti-spam doorbell from 1933.  A 
visitor had to deposit a dime into a slot to make the doorbell ring.  If 
the homeowner appreciated the visit, he would return the dime. 
Otherwise, the dime became the cost of disturbing the homeowner.

This kind of system has been proposed for e-mail as well: the sender has 
to pay the receiver -- or someone else in the system -- a nominal amount 
for each e-mail sent.  This money is returned if the e-mail is wanted, 
and forfeited if it is spam.  The result would be to raise the cost of 
sending spam to the point where it is uneconomical.

I think it's worth comparing the two systems -- the doorbell system and 
the e-mail system -- to demonstrate why it won't work for spam.

The doorbell system fails for three reasons: the percentage of annoying 
visitors is small enough to make the system largely unnecessary, 
visitors don't generally have dimes on them (presumably fixable if the 
system becomes ubiquitous), and it's too easy to successfully bypass the 
system by knocking (not true for an apartment building).

The anti-spam system doesn't suffer from the first two problems: spam is 
an enormous percentage of total e-mail, and an automated accounting 
system makes the financial mechanics easy.  But the anti-spam system is 
too easy to bypass, and it's too easy to hack.  And once you set up a 
financial system, you're simply inviting hacks.

The anti-spam system fails because spammers don't have to send e-mail 
directly -- they can take over innocent computers and send it from them. 
 So it's the people whose computers have been hacked into, victims in 
their own right, who will end up paying for spam.  This risk can be 
limited by letting people put an upper limit on the money in their 
accounts, but it is still serious.

And criminals can exploit the system in the other direction, too.  They 
could hack into innocent computers and have them send "spam" to their 
email addresses, collecting money in the process.

Trying to impose some sort of economic penalty on unwanted e-mail is a 
good idea, but it won't work unless the endpoints are trusted.  And 
we're nowhere near that trust today.

http://blog.modernmechanix.com/2007/05/05/dime-put-in-slot-rings-doorbell/ 
or http://tinyurl.com/2723pl


** *** ***** ******* *********** *************

     Does Secrecy Help Protect Personal Information?



Personal information protection is an economic problem, not a security 
problem. And the problem can be easily explained: The organizations we 
trust to protect our personal information do not suffer when information 
gets exposed. On the other hand, individuals who suffer when personal 
information is exposed don't have the capability to protect that 
information.

There are actually two problems here: Personal information is easy to 
steal, and it's valuable once stolen. We can't solve one problem without 
solving the other. The solutions aren't easy, and you're not going to 
like them.

First, fix the economic problem. Credit card companies make more money 
extending easy credit and making it trivial for customers to use their 
cards than they lose from fraud. They won't improve their security as 
long as you (and not they) are the one who suffers from identity theft. 
It's the same for banks and brokerages: As long as you're the one who 
suffers when your account is hacked, they don't have any incentive to 
fix the problem. And data brokers like ChoicePoint are worse; they don't 
suffer if they reveal your information. You don't have a business 
relationship with them; you can't even switch to a competitor in disgust.

Credit card security works as well as it does because the 1968 Truth in 
Lending Law limits consumer liability for fraud to $50. If the credit 
card companies could pass fraud losses on to the consumers, they would 
be spending far less money to stop those losses. But once Congress 
forced them to suffer the costs of fraud, they invented all sorts of 
security measures--real-time transaction verification, expert systems 
patrolling the transaction database and so on--to prevent fraud. The 
lesson is clear: Make the party in the best position to mitigate the 
risk responsible for the risk. What this will do is enable the 
capitalist innovation engine. Once it's in the financial interest of 
financial institutions to protect us from identity theft, they will.

Second, stop using personal information to authenticate people. Watch 
how credit cards work. Notice that the store clerk barely looks at your 
signature, or how you can use credit cards remotely where no one can 
check your signature. The credit card industry learned decades ago that 
authenticating people has only limited value. Instead, they put most of 
their effort into authenticating the transaction, and they're much more 
secure because of it.

This won't solve the problem of securing our personal information, but 
it will greatly reduce the threat. Once the information is no longer of 
value, you only have to worry about securing the information from 
voyeurs rather than the more common--and more financially 
motivated--fraudsters.

And third, fix the other economic problem: Organizations that expose our 
personal information aren't hurt by that exposure. We need a 
comprehensive privacy law that gives individuals ownership of their 
personal information and allows them to take action against 
organizations that don't care for it properly.

"Passwords" like credit card numbers and mother's maiden name used to 
work, but we've forever left the world where our privacy comes from the 
obscurity of our personal information and the difficulty others have in 
accessing it. We need to abandon security systems that are based on 
obscurity and difficulty, and build legal protections to take over where 
technological advances have left us exposed.

This essay appeared in the January issue of "Information Security," as 
the second half of a point/counterpoint with Marcus Ranum.
http://informationsecurity.techtarget.com/magItem/0,291266,sid42_gci1238789,00.html 
or http://tinyurl.com/2h5y5u

Marcus's half:
http://www.ranum.com/security/computer_security/editorials/point-counterpoint/personal_info.html 
or http://tinyurl.com/27e2gj


** *** ***** ******* *********** *************

     Is Penetration Testing Worth It?



There are security experts who insist penetration testing is essential 
for network security, and you have no hope of being secure unless you do 
it regularly. And there are contrarian security experts who tell you 
penetration testing is a waste of time; you might as well throw your 
money away. Both of these views are wrong. The reality of penetration 
testing is more complicated and nuanced.

Penetration testing is a broad term. It might mean breaking into a 
network to demonstrate you can. It might mean trying to break into a 
network to document vulnerabilities. It might involve a remote attack, 
physical penetration of a data center or social engineering attacks. It 
might use commercial or proprietary vulnerability scanning tools, or 
rely on skilled white-hat hackers. It might just evaluate software 
version numbers and patch levels, and make inferences about 
vulnerabilities.

It's going to be expensive, and you'll get a thick report when the 
testing is done.

And that's the real problem. You really don't want a thick report 
documenting all the ways your network is insecure. You don't have the 
budget to fix them all, so the document will sit around waiting to make 
someone look bad. Or, even worse, it'll be discovered in a breach 
lawsuit. Do you really want an opposing attorney to ask you to explain 
why you paid to document the security holes in your network, and then 
didn't fix them? Probably the safest thing you can do with the report, 
after you read it, is shred it.

Given enough time and money, a pen test will find vulnerabilities; 
there's no point in proving it. And if you're not going to fix all the 
uncovered vulnerabilities, there's no point uncovering them. But there 
is a way to do penetration testing usefully. For years I've been saying 
security consists of protection, detection and response--and you need 
all three to have good security. Before you can do a good job with any 
of these, you have to assess your security. And done right, penetration 
testing is a key component of a security assessment.

I like to restrict penetration testing to the most commonly exploited 
critical vulnerabilities, like those found on the SANS Top 20 list. If 
you have any of those vulnerabilities, you really need to fix them.

If you think about it, penetration testing is an odd business. Is there 
an analogue to it anywhere else in security? Sure, militaries run these 
exercises all the time, but how about in business? Do we hire burglars 
to try to break into our warehouses? Do we attempt to commit fraud 
against ourselves? No, we don't.

Penetration testing has become big business because systems are so 
complicated and poorly understood. We know about burglars and kidnapping 
and fraud, but we don't know about computer criminals. We don't know 
what's dangerous today, and what will be dangerous tomorrow. So we hire 
penetration testers in the belief they can explain it.

There are two reasons why you might want to conduct a penetration test. 
One, you want to know whether a certain vulnerability is present because 
you're going to fix it if it is. And two, you need a big, scary report 
to persuade your boss to spend more money. If neither is true, I'm going 
to save you a lot of money by giving you this free penetration test: 
You're vulnerable.

Now, go do something useful about it.

This essay appeared in the March issue of "Information Security," as the 
first half of a point/counterpoint with Marcus Ranum.
http://informationsecurity.techtarget.com/magItem/0,291266,sid42_gci1245619,00.html 
or http://tinyurl.com/yrjwol

Marcus's half:
http://www.ranum.com/security/computer_security/editorials/point-counterpoint/pentesting.html 
or http://tinyurl.com/23ephv


** *** ***** ******* *********** *************

     Do We Really Need a Security Industry?



Last week, I attended the Infosecurity Europe conference in London. Like 
at the RSA Conference in February, the show floor was chockablock full 
of network, computer and information security companies. As I often do, 
I mused about what it means for the IT industry that there are thousands 
of dedicated security products on the market: some good, more lousy, 
many difficult even to describe. Why aren't IT products and services 
naturally secure, and what would it mean for the industry if they were?

I mentioned this in an interview with Silicon.com, and the published 
article seems to have caused a bit of a stir. Rather than letting people 
wonder what I really meant, I thought I should explain.

The primary reason the IT security industry exists is because IT 
products and services aren't naturally secure. If computers were already 
secure against viruses, there wouldn't be any need for antivirus 
products. If bad network traffic couldn't be used to attack computers, 
no one would bother buying a firewall. If there were no more buffer 
overflows, no one would have to buy products to protect against their 
effects. If the IT products we purchased were secure out of the box, we 
wouldn't have to spend billions every year making them secure.

Aftermarket security is actually a very inefficient way to spend our 
security dollars; it may compensate for insecure IT products, but 
doesn't help improve their security. Additionally, as long as IT 
security is a separate industry, there will be companies making money 
based on insecurity -- companies who will lose money if the internet 
becomes more secure.

Fold security into the underlying products, and the companies marketing 
those products will have an incentive to invest in security upfront, to 
avoid having to spend more cash obviating the problems later. Their 
profits would rise in step with the overall level of security on the 
internet. Initially we'd still be spending a comparable amount of money 
per year on security -- on secure development practices, on embedded 
security and so on -- but some of that money would be going into 
improving the quality of the IT products we're buying, and would reduce 
the amount we spend on security in future years.

I know this is a utopian vision that I probably won't see in my 
lifetime, but the IT services market is pushing us in this direction. As 
IT becomes more of a utility, users are going to buy a whole lot more 
services than products. And by nature, services are more about results 
than technologies. Service customers -- whether home users or 
multinational corporations -- care less and less about the specifics of 
security technologies, and increasingly expect their IT to be integrally 
secure.

Eight years ago, I formed Counterpane Internet Security on the premise 
that end users (big corporate users, in this case) really don't want to 
have to deal with network security. They want to fly airplanes, produce 
pharmaceuticals or do whatever their core business is. They don't want 
to hire the expertise to monitor their network security, and will gladly 
farm it out to a company that can do it for them. We provided an array 
of services that took day-to-day security out of the hands of our 
customers: security monitoring, security-device management, incident 
response. Security was something our customers purchased, but they 
purchased results, not details.

Last year, BT bought Counterpane, further embedding network security 
services into the IT infrastructure. BT has customers that don't want to 
deal with network management at all; they just want it to work. They 
want the internet to be like the phone network, or the power grid, or 
the water system; they want it to be a utility. For these customers, 
security isn't even something they purchase: It's one small part of a 
larger IT services deal. It's the same reason IBM bought ISS: to be able 
to have a more integrated solution to sell to customers.

This is where the IT industry is headed, and when it gets there, 
there'll be no point in user conferences like Infosec and RSA. They 
won't go away; they'll simply become industry conferences. If you want 
to measure progress, look at the demographics of these conferences. A 
shift toward infrastructure-geared attendees is a measure of success.

Of course, security products won't disappear -- at least, not in my 
lifetime. There'll still be firewalls, antivirus software and everything 
else. There'll still be startup companies developing clever and 
innovative security technologies. But the end user won't care about 
them. They'll be embedded within the services sold by large IT 
outsourcing companies like BT, EDS and IBM, or ISPs like EarthLink and 
Comcast. Or they'll be a check-box item somewhere in the core switch.

IT security is getting harder -- increasing complexity is largely to 
blame -- and the need for aftermarket security products isn't 
disappearing anytime soon. But there's no earthly reason why users need 
to know what an intrusion-detection system with stateful protocol 
analysis is, or why it's helpful in spotting SQL injection attacks. The 
whole IT security industry is an accident -- an artifact of how the 
computer industry developed. As IT fades into the background and becomes 
just another utility, users will simply expect it to work -- and the 
details of how it works won't matter.

http://software.silicon.com/security/0,39024655,39166892,00.htm
http://www.techworld.com/security/blogs/index.cfm?blogid=1&entryid=467
http://techdigest.tv/2007/04/security_guru_q.html
http://www.itbusinessedge.com/blogs/top/?p=114

Complexity and security:
http://www.schneier.com/crypto-gram-0003.html#8

Commentary on essay:
http://www.networkworld.com/community/?q=node/14813
http://it.slashdot.org/it/07/05/03/1936237.shtml
http://matt-that.com/?p=5

This essay originally appeared in Wired:
http://www.wired.com/politics/security/commentary/securitymatters/2007/05/securitymatters_0503 
or http://tinyurl.com/23b3av


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     Comments from Readers



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http://www.schneier.com/blog


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Copyright (c) 2007 by Bruce Schneier.

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