The advent of a global network of Internet connected devices – sometimes referred to as the “Internet of Things” will bring about a “data democratization” that will upend traditional IT security models and pose considerable risks for organizations. That’s the conclusion of two leading authorities on the so-called “Internet of Things” (IoT), Christopher J. Rezendes and W. David Stephenson, who write that its impact on businesses will be “profound,” and that cyber security will be one of the biggest challenges that organizations must address. In a guest post on the Harvard Business Review blog on Friday, Rezendes, the president of INEX Advisors, and Stephenson, an author and consultant specializing in the Internet of Things argue that “the very principle that makes the IoT so powerful — the potential to share data instantly with everyone and everything (every authorized entity, that is) — creates a huge cybersecurity threat.” The authors predict […]
Reports
Beware BitCoin Users: The Tax Man Cometh!
Beware you barrons of BitCoin – you World of Warcraft one-percenters: the long arm of the Internal Revenue Service may soon be reaching into your treasure hoard to extract Uncle Sam’s fair share of your virtual treasure. That’s the conclusion of a new Government Accountability Office (GAO) report on virtual economies, which found that many types of transactions in virtual economies – including bitcoin mining and virtual currency transactions that result in real-world profit – are likely taxable under current U.S. law, but that the IRS does a poor job of tracking such business activity and informing buyers and sellers of their duty to pay taxes on virtual earnings. The report, “Virtual Economies and Currencies: Additional IRS Guidance Could Reduce Tax Compliance Risks” (GAO-13-516) was released this week. It was prepared in response to a request from the U.S. Senate Committee on Finance, which asked GAO to look into virtual […]
UN Calls Electronic Surveillance A Threat To Democracy
A new report out from the United Nations’ General Assembly warns that governments’ use of electronic surveillance and monitoring of citizen communications is a violation of human rights and calls for updated laws and guidelines that reflect changes in communications “techniques and technologies.” The growing use and sophistication of digital surveillance has outstripped the ability of societies to legislate their proper use, leading to “ad hoc practices that are beyond the supervision of any independent authority,” and that threaten to stifle free expression, according to the report, issued by the UN General Assembly’s Human Rights Council (PDF). First issued in April, but released to the public this week, the report looks at States’ use of communications surveillance and their impact on what the report calls “human rights to privacy and to freedom of opinion and expression.” It concludes that the growth of online surveillance of electronic communications, including access to stored […]
Report: Chinese Hackers Pinch Advanced Weapons Designs
A Washington Post story on Sunday cited a confidential report prepared by the Pentagon that claims “Chinese hackers” have compromised systems storing data on the design of more than two dozen major U.S. weapons systems. The report, prepared for the Pentagon’s senior brass by the Defense Science Board, warns that the intrusions have given China’s People’s Liberation Army (PLA) a leg up on the U.S., and a boost in efforts to modernize its own military for use in a possible, future conflict, The Post reported. Many of the breaches that led to theft of sensitive data occurred at private defense contractors, or at firms that acted as subcontractors to them, the report said. No specific incidents or companies are named in the report. However, the main outlines of it echo reports of leaks of classified information on weapons systems going back more than three years. In April, 2009, for example, […]
Podcast: The Big Truth – Responding To Sophisticated Attacks
If you work at a rank and file corporation in the U.S. or Europe, stories like those about the breach at the defense contractor Qinetiq are terrifying. Here’s a company that’s on the bleeding edge of technology, making autonomous vehicles and other high-tech gadgetry for the U.S. Military. Despite that, it finds itself the hapless victim of a devastating cyber breach that lasts – by all accounts – for months, or years. In the end, the attackers (likely linked to China’s People’s Liberation Army) make off with the company’s intellectual property (likely all of it) and, soon, defense contractors in Mainland China start turning out devices that look eerily similar to the ones Qinetiq makes. Ouch! If a company like Qinetiq can’t stop an attack by advanced persistent threats (APT) – or whatever name you want to use – what hope do overworked IT admins at rank and file enterprises […]
