Business
QoTW #41: Why do we lock our computers?
Iszi chose this week’s question of the week, Tom Marthenal‘s “Why do we lock our computers?” - as Tom puts it:
It’s common knowledge that if somebody has physical access to your machine they can do whatever they want with it, so what is the point?
This one attracted a lot of views, as it is a simple question of interest to everyone.
Both Bruce Ediger and Polynomial answered with the core reason – it removes the risk from the casual attacker while costing the user next to nothing! This is an essential factor in cost/usability tradeoffs for security. From Bruce:
The value of locking is somewhat larger than the price of locking it. Sort of like how in good neighborhoods, you don’t need to lock your front door. In most neighborhoods, you do lock your front door, but anyone with a hammer, a large rock or a brick could get in through the windows.
and from Polynomial:
An attacker with a short window of opportunity (e.g. whilst you’re out getting coffee) must be prevented at minimum cost to you as a user, in such a way that makes it non-trivial to bypass under tight time constraints.
Kaz pointed out another essential point, traceability:
If you don’t lock, it is easy for someone to poke around inside your session in such a way that you will not notice it when you return to your machine.
And zzzzBov added this in a comment:
…few bystanders would question someone walking up to a house and entering through the front door. The assumption is that the person entering it has a reason to. If a bystander watches someone break into a window, they’re much more likely to call the authorities. This is analogous with sitting down at a computer that’s unlocked, vs physically hacking into the system after crawling under a desk.
It removes a large percentage of possible attacks – those from your co-workers wanting to mess with your stuff – thanks enedene.
So – protect yourself from co-workers, casual snooping and pilfering and other mischief by simply locking your machine every time you leave your desk!
Liked this question of the week? Interested in reading it or adding an answer? See the question in full. Have questions of a security nature of your own? Security expert and want to help others? Come and join us at security.stackexchange.com.
QotW #35: Dealing with excessive “Carding” attempts
Community moderator Jeff Ferland nominated this week’s question: Dealing with excessive “Carding” attempts.

I found this to be an interesting question for two reasons,
- It turned the classic password brute force on its head by applying it to credit cards
- It attracted the attention from a large number of relatively new users
Jeff Ferland postulated that the website was too helpful with its error codes and recommended returning the same “Transaction Failed” message no matter the error.
User w.c suggested using some kind of additional verification like a CAPTCHA. Also mentioned was the notion of instituting time delays for multiple successive CAPTCHA or transaction failures.
A slightly different tack was discussed by GdD. Instead of suggesting specific mitigations, GdD pointed out the inevitability of the attackers adapting to whatever protections are put in place. The recommendation was to make sure that you keep adapting in turn and force the attackers into your cat and mouse game.
Ajacian81 felt that the attacker’s purpose may not be finding valid numbers at all and instead be performing a payment processing denial of service. The suggested fix was to randomize the name of the input fields in an effort to prevent scripting the site.
John Deters described a company that had previously had the same problem. They completely transferred the problem to their processor by having them automatically decline all charges below a certain threshold. He also pointed out that the FBI may be interested in the situation and should be notified. This, of course, depends on USA jurisdiction.
Both ddyer and Winston Ewert suggested different ways of instituting artificial delays into the processing. Winston discussed outright delaying all transactions while ddyer discussed automated detection of “suspicious” transactions and blocking further transactions from that host for some time period.
Liked this question of the week? Interested in reading it or adding an answer? See the question in full. Have questions of a security nature of your own? Security expert and want to help others? Come and join us at security.stackexchange.com.
Confidentiality, Integrity, Availability: The three components of the CIA Triad
In this post, I shall be exploring one of the fundamental concepts of security that should be familiar with most security professionals and students: the CIA triad.
What is the CIA triad? No, CIA in this case is not referring to the Central Intelligence Agency. CIA refers to Confidentiality, Integrity and Availability. Confidentiality of information, integrity of information and availability of information. Many security measures are designed to protect one or more facets of the CIA triad. I shall be exploring some of them in this post.
Confidentiality
When we talk about confidentiality of information, we are talking about protecting the information from disclosure to unauthorized parties.
Information has value, especially in today’s world. Bank account statements, personal information, credit card numbers, trade secrets, government documents. Every one has information they wish to keep a secret. Protecting such information is a very major part of information security.
A very key component of protecting information confidentiality would be encryption. Encryption ensures that only the right people (people who knows the key) can read the information. Encryption is VERY widespread in today’s environment and can be found in almost every major protocol in use. A very prominent example will be SSL/TLS, a security protocol for communications over the internet that has been used in conjunction with a large number of internet protocols to ensure security.
Other ways to ensure information confidentiality include enforcing file permissions and access control list to restrict access to sensitive information.
Keeping valuable algorithms secret
This is an excellent question on Security.Stackexchange that covers how to keep important information confidential. Similar questions can be found here.
Integrity
Integrity of information refers to protecting information from being modified by unauthorized parties.
Information only has value if it is correct. Information that has been tampered with could prove costly. For example, if you were sending an online money transfer for $100, but the information was tampered in such a way that you actually sent $10,000, it could prove to be very costly for you.
As with data confidentiality, cryptography plays a very major role in ensuring data integrity. Commonly used methods to protect data integrity includes hashing the data you receive and comparing it with the hash of the original message. However, this means that the hash of the original data must be provided to you in a secure fashion. More convenient methods would be to use existing schemes such as GPG to digitally sign the data.
Why aren’t application downloads routinely done over HTTPS?
This is a question regarding data integrity, with several suggestions on how to protect data integrity. You can find more questions with the integrity tag here.
Availability
Availability of information refers to ensuring that authorized parties are able to access the information when needed.
Information only has value if the right people can access it at the right times. Denying access to information has become a very common attack nowadays. Almost every week you can find news about high profile websites being taken down by DDoS attacks. The primary aim of DDoS attacks is to deny users of the website access to the resources of the website. Such downtime can be very costly. Other factors that could lead to lack of availability to important information may include accidents such as power outages or natural disasters such as floods.
How does one ensure data availability? Backup is key. Regularly doing off-site backups can limit the damage caused by damage to hard drives or natural disasters. For information services that is highly critical, redundancy might be appropriate. Having a off-site location ready to restore services in case anything happens to your primary data centers will heavily reduce the downtime in case of anything happens.
Conclusion
The CIA triad is a very fundamental concept in security. Often, ensuring that the three facets of the CIA triad is protected is an important step in designing any secure system. However, it has been suggested that the CIA triad is not enough. Alternative models such as the Parkerian hexad (Confidentiality, Possession or Control, Integrity, Authenticity, Availability and Utility) have been proposed. Other factors besides the three facets of the CIA triad are also very important in certain scenarios, such as non-repudiation. There have been debates over the pros and cons of such alternative models, but it is a post for another time.
Thank you for reading.
QotW #29: Risks of giving developers admin rights to their own PCs
Carolinegordon asked Question of the Week number 29 to try and understand what risks are posed by giving developers admin rights to their machines, as it is something many developers expect in order to be able to use their machines effectively, but that security or IT may deny based on company policy.
Interestingly, for a question asked on a security site, the highest voted answers all agree that developers should be given admin rights:
alanbarber listed two very good points – developer toolsets are frequently updated, so the IT load for implementing updates can be high, and debugging tools may need admin rights. His third point, that developers are more security conscious, I’m not so sure about. I tend to think developers are just like other people – some are good at security, some are bad.
Bruno answered along similar lines, but also added the human aspect in two important areas. Giving developers and sysadmins can lead to a divide, and a them-and-us culture, which may impact productivity. Additionally, as developers tend to be skilled in their particular platform, you run the risk of them getting around your controls anyway – which could open up wider risks.
DKNUCKLES made some strong points on what could happen if developers have admin rights:
- Violation of security practices – especially the usual rule of least privilege
- Legal violations – you may be liable if you don’t protect code/data appropriately (a grey area at best here, but worth thinking about)
- Installation of malware – deliberately or accidentally
wrb posted a short answer, but with an important key concept:
The development environment is always isolated from the main network. It is IT’s job to make sure you provide them with what ever setup they need while making sure nothing in the dev environment can harm the main network. Plan ahead and work with management to buy the equipment/software you need to accomplish this.
Todd Dill has a viewpoint which I see a lot in the regulated industries I work in most often – there could be a regulatory requirement which specifies the separation between developers and administrator access. Admittedly this is usually managed by strongly segregating Development, Testing, Staging and Live environments, as at the end of the day there is a business requirement that developers can do their job and deliver application code that works in the timelines required.
Daniel Azuelos came at it with a very practical approach, which is to ask what the difference in risk is between the two scenarios. As these developers are expected to be skilled, and have physical access to their computers, they could in theory run whatever applications they want to, so taking the view that preventing admin access protects from the “evil inside” is a false risk reduction.
This question also generated a large number of highly rated comments, some of which may be more tongue in cheek than others:
The biggest risk is that the developers would actually be able to get some work done. Explain them that the biggest security risk to their network is an angry developer …or just let them learn that the hard way. It should be noted that access to machine hardware is the same as granting admin rights in security terms. A smart malicious agent can easily transform one into the other. If you can attach a debugger to a process you don’t own, you can make that process do anything you want. So debugging rights = admin
My summary of the various points:
While segregating and limiting access is a good security tenet, practicality must rule – developers need to have the functionality to produce applications and code to support the business, and often have the skills to get around permissions, so why not accept that they need admin rights to the development environment, but restrict them elsewhere.
This is an excellent question, as it not only generated interest from people on both sides of the argument, but they produced well thought out answers which helped the questioner and are of value to others who find themselves in the same boat.
Liked this question of the week? Interested in reading it or adding an answer? See the question in full. Have questions of a security nature of your own? Security expert and want to help others? Come and join us at security.stackexchange.com.
QotW #27: Open Source vs Closed Source Systems
Question of the Week number 27 is a contentious, hotly debated issue in the software world. The question itself was posed by Security.SE user blunders, who quoted the argument often used in the defence of open source as a business model:
My understanding is that open source systems are commonly believed to be more secure than closed source systems. … A common position against closed source systems is that a lack of awareness is at best a weak security measure; commonly referred to as security through obscurity.
and then we hit the question itself:
Question is, are open source systems on average better for security than closed source systems?
We’ll begin with the top voted answer by SE user Jesper Mortensen, who explained that the whole notion of being able to generally compare open versus closed source systems is a bad one when there are so many other factors involved. To compare two systems you really need to look beyond the licensing model they use, and look at other factors too. I’ll quote Jesper’s list in its entirety:
- Licenses.
- Access to source code.
- Very different incentive structures, for-profit versus for fun.
- Very different legal liability situations.
- Different, and wildly varying, team sizes and team skillsets.
Of course, this is by no means a complete treatment of the possible differences.
Jesper also highlighted the importance of comparing pieces of software that solve specific domain issues – not software in general. You have to do this, to even remotely begin to utilise the list above.
Security.SE legend Thomas Pornin also answered this question. I’ll begin coverage of his answer with his summary:
… the “opensource implies security” idea is overrated. What is important is the time (and skill) devoted to the tracking and fixing of security issues, and this is mostly orthogonal to the question of openness of the source.
The main thrust of Thomas’ answer was that actually, maintained software is more secure than unmaintained software. As an example, Thomas cited OpenSSL remote execution bugs that had been left lying in the code tree unfixed for some time – highlighting a possible advantage of closed source systems in that, when developed by companies, the effort and time spent on Q&A is generally higher than open source systems.
Thomas’ answer also covers the counterpoint to this – that closed source systems can easily conceal security issues, too, and that having the source allows you to convince yourself of security more easily.
The next answer was provided by Ori, who lists a set of premises used for justifying the security of open source:
- The Customization premise
- The License Management premise
- The Open Format premise
- The Many Eyes premise
- The Quick Fix premise
As Ori rightly says, the customization premise means a company can take an open source platform and add an additional set of security controls. Ori quotes NSA’s SELinux as an example of such a project. For companies with the time and money to produce such platforms and make such fixes, this is clearly an advantage for open source systems.
For license management and open format arguments Ori covers from a compliance and resilience perspective. Using open source software (and making modifications) contains certain license constraints – the potential to violate these constraints is clearly a risk to the business. Likewise, for business continuity purposes the ability to not be locked in to a specific platform is a huge win for any company.
Finally, an answer by yours truly. The major thrust of my answer is succinctly summarised by AviD‘s comment on it:
I’ve always proposed an amendment to Linus’ Law: “Given enough trained eyeballs, most bugs are relatively shallow”
I explained, through use of a rather intriguing vulnerability introduced into development kernels by a compiler bug, that having the knowledge to detect these issues is critical to security. The source being available does not directly guarantee you have the knowledge to detect such issues.
That’s it for answers. As you can see, none of us took sides generally on the “open versus closed” debate, instead pointing out that there are many factors to consider beyond the license under which source is available. I think the whole set of answers is best summarised by this.josh‘s comment on the top voted answer – so I’ll leave you with that:
I agree. What matters most is how many people with knowledge and experience in the security domain actively design, implement, test, and maintain the software. Any project where no-one is looking at security will have significant vulnerabilities, regardless of how many people are on the project.
Liked this question of the week? Interested in reading it or adding an answer? See the question in full. Have questions of a security nature of your own? Security expert and want to help others? Come and join us at security.stackexchange.com.
QotW #21: What should I do when my boss asks me to fabricate audit log data?
Asked over on Programmers in January, this question is our 5th highest rated of all time, so it’s obviously resonating with our community.
With businesses the world over reliant on the accuracy, availability and integrity of IT systems and data this type of request demonstrates not only unethical behaviour, but a willingness on the part of the boss to sacrifice the building blocks used to ensure their business can continue.
Behaviour like this, if discovered by an audit team, could lead to much wider and deeper audits being conducted to reassure them that the financial records haven’t been tampered with – never mind the possible legal repercussions!
Some key suggestions from our community:
MarkJ suggested getting it in writing before doing it, but despite this being the top answer, having the order in writing will not absolve you from blame if you do actually go ahead with the action.
Johnnyboats advised contacting the auditor, ethics officer or internal council, as they should be in a position to manage the matter. In a small company these roles may not exist, however, or there may be pressure put upon you to just toe the line.
Iszi covered off a key point – knowing about the boss’s proposed unethical behaviour and not reporting the order could potentially put you at risk of being an accessory. He suggests not only getting the order in writing, but contacting legal counsel.
Sorin pointed out that as getting the order in writing may be difficult, especially if the boss knows how unethical it is, the only realistic option may just be to CYA as best you can and leave quietly without making a fuss.
Arjang came at this from the other side – perhaps the boss needs help:
This is not just a case of doing or not doing something wrong cause someone asked you to do it, it is a case of making them realize what they are asking
I am pretty cynical so I’m not sure how you’d do this, but I do like the possibility that the best course of action may be to provide moral guidance and help the boss stop cheating.
Most answers agree on the key points:
- Don’t make the requested changes – it’s not worth compromising your professional integrity, or getting deeper involved in what could become a very messy legal situation.
- Record the order – so it won’t just be your word against his, if it comes into question.
- Get legal counsel – they can provide advice at each stage.
- Leave the company – the original poster was planning to leave in a month or so anyway, but even if this wasn’t the case, an unethical culture is no place to have your career.
The decision you will have to make is how your report this. At the end of the day, a security professional does encounter this sort of thing far too regularly, so we must adhere to an ethical code. In fact, some professional security certifications, like the CISSP, require it!
Liked this question of the week? Have questions of a security nature of your own? Security expert and want to help others? Come and join us at security.stackexchange.com.
QotW #16: When businesses don’t protect your data…
This week’s blog post was inspired by camokatu‘s question on what to do when a Utility company doesn’t hash passwords in their database.
It seems the utility company couldn’t understand the benefit of hashing the passwords. Wizzard0 listed some reasons why they might not want to implement protection – added complexity, implementation and test costs, changes in procedures etc. and this is often the key battle. If a company doesn’t see this as a risk they want to remediate, nothing will get done. And to be fair, this is the way business risk should be managed, however here it appears that the company just hasn’t understood the risks or isn’t aware of them.
Obviously the consequences of this can range from minimal to disastrous, so most of the answers concentrate on consequences which could negatively impact the customer, and the main one of these is where the database includes financial information such as accounts, banking details or credit card details.
The key point, raised by Iszi, is that if personally identifiable information is held, it must be protected in most jurisdictions (under data protection acts), and if credit card details are held, the Payment Card Industry Data Security Standard (PCI-DSS) requires it to be protected. (For further background information check out the answers to this question on industry best practices). These regulations tend to be enforced by fining companies, and the PCI can remove a company’s ability to use credit card payments if they fail to meet PCI-DSS.
Does the company realise they can be fined or lose credit card payments? Maybe they do but have decided that is an acceptable risk, but I’d be tempted to say in this case that they just don’t appear to get it.
So when they don’t get it, don’t care, or won’t respond in a way that protects you, the customer, what are your next steps?
from tdammers – responsible disclosure :
Contact the company, offer to keep the vulnerability quiet for a limited amount of time, giving them an opportunity to fix it.
In the meantime, make sure you’re not using the compromised password anywhere else, make sure you don’t have any valuable information stored on their systems, and if you can afford to, cancel your account.
from userunknown -
contact their marketing team and explain what a PR disaster it would be if the media learnt about it (no, I’m not suggesting blackmail…:-)
from drjimbob - 3 excellent suggestions:
Submit it to plaintext offenders?
Switch to another utility company?
Lobby your local politicians to pass legislation that companies that do not use secure hashes (e.g., bcrypt or at very least salted hash) on their password data are liable for identity theft damages from any compromise of their systems?
But in addition to those thoughts, which at best will still require time before the company does anything, follow this guidance repeated in almost every question on password security and listed here by Iszi -
Use long and complex passwords for all websites & applications, and do not re-use passwords across any websites & applications. Additionally, limit the information you give these websites & applications to only that which is absolutely necessary for them to serve their purpose
SOPA – what does it all mean
You may have noticed all the blacked out sites on the Internet on the 18th of January, but possibly aren’t aware of why they were doing this. The answer is SOPA – the poorly named “Stop Online Piracy Act”
In itself, that sounds fine, right? We want to cut piracy so this must be good. Well, no.
We already have laws in many countries which already allow us to take down websites hosting pirated content, but in many countries the process is one of “Innocent until proven guilty” – this means evidence needs to be provided, legal processes have to take place, and a court can rule that a website must be shutdown. The DMCA lets the US do that.
What SOPA does is change the balance to “Guilty until proven innocent” – which means that a website can be taken down just because of an allegation of copyright infringement.
For StackExchange, for example, occasionally people post plagiarised content. We rely on the community flagging this content, and moderators then remove it as fast as possible. (Look at Joel’s answer to this question to see the full process under DMCA and how this protects StackExchange legally). If SOPA was in force, StackExchange would be in danger of being removed from the Internet for any violation as it would be seen as guilty.
And this holds true for websites large and small – personal blogs, comics, Wikipedia, Reddit, Google and many others.
What is also very worrying is the US’s history of going after individuals in other countries citing US law, when those individuals have no connection to the US. See Richard O’Dwyer’s case – while what he did may have been used for nefarious purposes, all he really provided was links to other websites, and yet the US have forced the UK to extradite him. With a significant portion of the Internet under some US control, it wouldn’t be stretching the truth to assume this US bill would affect many other countries.
Another outcome if SOPA came into force would be an acceleration of businesses away from networks owned or controlled by the US, which may directly lead to greater piracy threats.
The Electronic Frontier Foundation – a strong force for free speech on the Internet has this handy guide to SOPA.
So why didn’t StackExchange join the blackout? – see this answer: the content is owned by the community, so the entire community would have had to agree on the blackout.
Have a look at this video by Fight for the Future or this awesome TED talk for some further info.
QotW #12: How to counter the statement: “You don’t need (strong) security if you’re not doing anything illegal”?
Ian C posted this interesting question, which does come up regularly in conversation with people who don’t deal with security on a daily basis, and seems to be highlighted in the media for (probably) political reasons. The argument is “surely as long as you aren’t breaking the law, you shouldn’t need to prevent us having access – just to check, you understand”
This can be a very emotive subject, and it is one that has been used and abused by various incumbent authorities to impose intrusions on the liberty of citizens, but how can we argue the case against it in a way the average citizen can understand?
Here are some viewpoints already noted – what is your take on this topic?
M’vy made this point from the perspective of a business owner:
Security is not about doing something illegal, it’s about someone else doing something illegal (that will impact you).
If you don’t encrypt your phone calls, someone could know about what all your salesman are doing and can try to steal your clients. If you don’t shred your documents, someone could use all this information to mount a social engineering attack against your firm, to steal R&D data, prototype, designs…
Graham Lee supported this with a simple example:Commercial confidential data…could provide competitors with an advantage in the marketplace if the confidentiality is compromised. If that’s still too abstract, then consider the personal impact of being fired for being the person who leaked the trade secrets.
So we can easily see a need for security in a commercial scenario, but why should a non-technical individual worry? From a more personal perspective, Robert David Graham pointed this outAs the Miranda Rights say: “anything you say can and will be used against you in a court of law”. Right after the police finish giving you the Miranda rights, they then say “but if you are innocent, why don’t you talk to us?”. This leads to many people getting convicted of crimes because it is indeed used against them in a court of law. This is a great video on YouTube that explains in detail why you should never talk to cops, especially if you are innocent: http://www.youtube.com/watch?v=6wXkI4t7nuc
Tate Hansen‘s thought is to ask,
“Do you have anything valuable that you don’t want someone else to have?”
If the answer is Yes then follow up with “Are you doing anything to protect it?”
From there you can suggest ways to protect what is valuable (do threat modeling, attack modeling, etc.).
But the most popular answer by far was from Justice:
You buy a lock and lock your front door if you live in a city, in close proximity to hundreds of thousands of others. There is a reason for that. And it’s the same reason why you lock your Internet front door.
Iszi asked a very closely linked question “Why does one need a high level of privacy/anonymity for legal activities”, which also inspired a range of answers:
From Andrew Russell, these 4 thoughts go a long way to explaining the need for security and privacy:
If we don’t encrypt communication and lock systems then it would be like:
Sending letters with transparent envelopes. Living with transparent clothes, buildings and cars. Having a webcam for your bed and in your bathroom. Leaving unlocked cars, homes and bikes.
And finally, from the EFF’s privacy page:
Privacy rights are enshrined in our Constitution for a reason — a thriving democracy requires respect for individuals’ autonomy as well as anonymous speech and association. These rights must be balanced against legitimate concerns like law enforcement, but checks must be put in place to prevent abuse of government powers.
A lot of food for thought…
Risk Assessments: Knowing What to Protect
A company’s data is as much a risk as it is an asset. The way that customer data is stored in modern times requires it to be protected as a vulnerable asset and regarded as an unrealized liability even if not considered on the annual financial statement. In many jurisdictions this is enforced by legislation (eg Data Protection Act of 1998 in the UK)
One of the challenges of this as a modern concern lies in knowing where your data is.
To make a comparable example, consider a company that owns its place of operation. That asset must be protected with an investment both for sound business sense and by regulatory requirement. Fire protection, insurance, and ongoing maintenance are assumed costs that are considered all but mandatory. A company that isn’t covering those costs is probably not standing on all its legs. The loss of a primary building because of inadequate investment in protection and maintenance could be anywhere from a major event to fatal to the company.
It may seem a surreal comparison, but data exposure can have an impact as substantial as losing a primary building. A bank without customer records is dead regardless of the cash on hand. A bank with all its customer records made public is at risk of the same fate. Illegitimate transactions, damage to reputation, liability for customer losses related to disclosure and regulatory reaction may all work together to end an institution.
Consider how earlier this year Sony’s Playstation online gaming network was hacked. In the face of this compromise Sony estimated their present losses at $171 million, suffered extended periods of service downtime, and suffered further breaches in attempting to restore service. Further losses are likely as countries around the world investigate the situation and consider fines. Private civil suits have also been brought in response to the breaches. To put the numbers in perspective, the division responsible for the Playstation network posted a 2010 loss of approximately $1 billion dollars.
In total (across several divisions), Sony suffered at least 16 distinct instances of data loss or unintended access including an Excel file containing sweepstakes data from 2001 that Sony posted online. No compromise was needed for that particular failure — the file was readily available and indexed by Google. In the end, proprietary source code, administrator credentials, customer birthdays, credit card information, telephone numbers and home addresses were all exposed.
In regards to Sony’s breaches, the following question was posed, “If you were called by Sony right now, had 100% control over security, what would you do in the first 24-hours?” The traditional response is isolating breaches, identifying them, restoring service with the immediate attack vectors closed, and shoring up after that. However, from the outside Sony’s issue appears to be systemic. Their systems are varied, complicated, and numerous. Weaknesses appear to be everywhere. They were challenged in returning to a functioning state because even they were not compromised in an isolated way. Isolating and identifying breaches was far as one could get in those first 24 hours. Indeed, a central part of the division’s core revenue business was out of service for roughly 3 weeks.
The root issue behind everything is likely that Sony isn’t aware of their assets. Everything grew in place organically and they didn’t know what to protect. Sony claims it encrypted its credit card data, but researchers have found numbers related to the attack. Other identifying information wasn’t encrypted. Regardless of the circumstances related to the disclosure of credit card data, Sony failed protect other valuable information that can make it liable for fraud. Damage to Sony’s reputation and regulatory reaction, including Japan preventing restarting the service there at least through July, are additional issues.
The lack of awareness about what data is at risk can impact a business of any size. Much as different types of fire protection are needed to deal with an office environment, outdoor tire storage at an auto shop, a server room and a chemical factory, different types of security need to be applied to your data based on its exposure. Water won’t work on a grease fire, and encrypting a database has no value if a query can be run against it to retrieve all the information without encryption. While awareness is acute about credit card sensitivity, losing names, addresses, phone numbers and dates of birth can present just as much risk for fraud and civil or regulatory liability. This is discussed in ‘Data Categorisation – critical or not?’ and should be a key step in any organisation’s plans for resilience.

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