CRYPTO-GRAM, June 15, 2007

Bruce Schneier schneier at SCHNEIER.COM
Fri Jun 15 01:11:02 PDT 2007


                 CRYPTO-GRAM

                June 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.

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You can read this issue on the web at 
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appear in the "Schneier on Security" blog: 
<http://www.schneier.com/blog>.  An RSS feed is available.


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

In this issue:
     Rare Risk and Overreactions
     Tactics, Targets, and Objectives
     News
     Portrait of the Modern Terrorist as an Idiot
     Teaching Viruses
     Bush's Watch Stolen?
     Schneier/BT Counterpane News
     Second Movie-Plot Threat Contest Winner
     Perpetual Doghouse: Meganet
     Non-Security Considerations in Security Decisions
     Comments from Readers


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     Rare Risk and Overreactions



Everyone had a reaction to the horrific events of the Virginia Tech 
shootings.  Some of those reactions were rational. Others were not.

A high school student was suspended for customizing a first-person 
shooter game with a map of his school.  A contractor was fired from his 
government job for talking about a gun, and then visited by the police 
when he created a comic about the incident.  A dean at Yale banned 
realistic stage weapons from the university theaters -- a policy that 
was reversed within a day.  And some teachers terrorized a sixth-grade 
class by staging a fake gunman attack, without telling them that it was 
a drill.

These things all happened, even though shootings like this are 
incredibly rare; even though -- for all the press -- less than one 
percent  of homicides and suicides of children ages 5 to 19 occur in 
schools. In fact, these overreactions occurred, not despite these facts, 
but *because* of them.

The Virginia Tech massacre is precisely the sort of event we humans tend 
to overreact to.  Our brains aren't very good at probability and risk 
analysis, especially when it comes to rare occurrences.  We tend to 
exaggerate spectacular, strange and rare events, and downplay ordinary, 
familiar and common ones.  There's a lot of research in the 
psychological community about how the brain responds to risk -- some of 
it I have already written about -- but the gist is this: Our brains are 
much better at processing the simple risks we've had to deal with 
throughout most of our species' existence, and much poorer at evaluating 
the complex risks society forces us to face today.

Novelty plus dread equals overreaction.

We can see the effects of this all the time.  We fear being murdered, 
kidnapped, raped and assaulted by strangers, when it's far more likely 
that the perpetrator of such offenses is a relative or a friend.  We 
worry about airplane crashes and rampaging shooters instead of 
automobile crashes and domestic violence -- both far more common.

In the United States, dogs, snakes, bees and pigs each kill more people 
per year than sharks.  In fact, dogs kill more humans than any animal 
except for other humans. Sharks are more dangerous than dogs, yes, but 
we're far more likely to encounter dogs than sharks.

Our greatest recent overreaction to a rare event was our response to the 
terrorist attacks of 9/11.  I remember then-Attorney General John 
Ashcroft giving a speech in Minnesota -- where I live -- in 2003, and 
claiming that the fact there were no new terrorist attacks since 9/11 
was proof that his policies were working.  I thought: "There were no 
terrorist attacks in the two years preceding 9/11, and you didn't have 
any policies.  What does that prove?"

What it proves is that terrorist attacks are very rare, and maybe our 
reaction wasn't worth the enormous expense, loss of liberty, attacks on 
our Constitution and damage to our credibility on the world stage. 
Still, overreacting was the natural thing for us to do.  Yes, it's 
security theater, but it makes us feel safer.

People tend to base risk analysis more on personal story than on data, 
despite the old joke that "the plural of anecdote is not data."  If a 
friend gets mugged in a foreign country, that story is more likely to 
affect how safe you feel traveling to that country than abstract crime 
statistics.

We give storytellers we have a relationship with more credibility than 
strangers, and stories that are close to us more weight than stories 
from foreign lands.  In other words, proximity of relationship affects 
our risk assessment.  And who is everyone's major storyteller these 
days?   Television.  (Nassim Nicholas Taleb's great book, "The Black 
Swan: The Impact of the Highly Improbable," discusses this.)

Consider the reaction to another event from last month: professional 
baseball player Josh Hancock got drunk and died in a car crash.  As a 
result, several baseball teams are banning alcohol in their clubhouses 
after games.  Aside from this being a ridiculous reaction to an 
incredibly rare event (2,430 baseball games per season, 35 people per 
clubhouse, two clubhouses per game.  And how often has this happened?), 
it makes no sense as a solution.  Hancock didn't get drunk in the 
clubhouse; he got drunk at a bar.  But Major League Baseball needs to be 
seen as doing *something*, even if that something doesn't make sense -- 
even if that something actually increases risk by forcing players to 
drink at bars instead of at the clubhouse, where there's more control 
over the practice.

I tell people that if it's in the news, don't worry about it.  The very 
definition of "news" is "something that hardly ever happens."  It's when 
something isn't in the news, when it's so common that it's no longer 
news -- car crashes, domestic violence -- that you should start worrying.

But that's not the way we think.  Psychologist Scott Plous said it well 
in "The Psychology of Judgment and Decision Making": "In very general 
terms: (1) The more *available* an event is, the more frequent or 
probable it will seem; (2) the more *vivid* a piece of information is, 
the more easily recalled and convincing it will be; and (3) the more 
*salient* something is, the more likely it will be to appear causal."

So, when faced with a very available and highly vivid event like 9/11 or 
the Virginia Tech shootings, we overreact.  And when faced with all the 
salient related events, we assume causality.  We pass the Patriot Act. 
We think if we give guns out to students, or maybe make it harder for 
students to get guns, we'll have solved the problem.  We don't let our 
children go to playgrounds unsupervised.  We stay out of the ocean 
because we read about a shark attack somewhere.

It's our brains again.  We need to "do something," even if that 
something doesn't make sense; even if it is ineffective.  And we need to 
do something directly related to the details of the actual event.  So 
instead of implementing effective, but more general, security measures 
to reduce the risk of terrorism, we ban box cutters on airplanes.  And 
we look back on the Virginia Tech massacre with 20-20 hindsight and 
recriminate ourselves about the things we *should have done.

Lastly, our brains need to find someone or something to blame.  (Jon 
Stewart has an excellent bit on the Virginia Tech scapegoat search, and 
media coverage in general.)  But sometimes there is no scapegoat to be 
found; sometimes we did everything right, but just got unlucky.  We 
simply can't prevent a lone nutcase from shooting people at random; 
there's no security measure that would work.

As circular as it sounds, rare events are rare primarily because they 
don't occur very often, and not because of any preventive security 
measures.  And implementing security measures to make these rare events 
even rarer is like the joke about the guy who stomps around his house to 
keep the elephants away.

"Elephants?  There are no elephants in this neighborhood," says a neighbor.

"See how well it works!"

If you want to do something that makes security sense, figure out what's 
common among a bunch of rare events, and concentrate your 
countermeasures there.  Focus on the general risk of terrorism, and not 
the specific threat of airplane bombings using liquid explosives.  Focus 
on the general risk of troubled young adults, and not the specific 
threat of a lone gunman wandering around a college campus.  Ignore the 
movie-plot threats, and concentrate on the real risks.

Irrational reactions:
http://arstechnica.com/news.ars/post/20070502-student-creates-counter-strike-map-gets-kicked-out-of-school.html 
or http://tinyurl.com/2dbl67
http://www.boingboing.net/2007/05/03/webcomic_artist_fire.html
http://www.yaledailynews.com/articles/view/20843
http://yaledailynews.com/articles/view/20913
http://www.msnbc.msn.com/id/18645623/

Risks of school shootings (from 2000):
http://www.cdc.gov/HealthyYouth/injury/pdf/violenceactivities.pdf

Crime statistics -- strangers vs. acquaintances:
http://www.fbi.gov/ucr/05cius/offenses/expanded_information/data/shrtable_09.html 
or http://tinyurl.com/2qbtae

Me on the psychology of risk and security:
http://www.schneier.com/essay-155.html

Risk of shark attacks:
http://www.oceanconservancy.org/site/DocServer/fsSharks.pdf

Ashcroft speech:
http://www.highbeam.com/doc/1G1-107985887.html

Me on security theater:
http://www.schneier.com/essay-154.html

Baseball beer ban:
http://blogs.csoonline.com/baseballs_big_beer_ban

Nicholas Taub essay:
http://www.fooledbyrandomness.com/nyt2.htm
http://www.telegraph.co.uk/opinion/main.jhtml?xml=/opinion/2007/04/22/do2201.xml 
or http://tinyurl.com/3bewfy

VA Tech and gun control:
http://abcnews.go.com/International/wireStory?id=3050071&CMP=OTC-RSSFeeds0312 
or http://tinyurl.com/25js4o
http://www.cnn.com/2007/US/04/19/commentary.nugent/index.html

VA Tech hindsight:
http://news.independent.co.uk/world/americas/article2465962.ece
http://www.mercurynews.com/charliemccollum/ci_5701552

Jon Stewart video:
http://www.comedycentral.com/motherload/player.jhtml?ml_video=85992

Me on movie-plot threats:
http://www.schneier.com/essay-087.html

Another opinion:
http://www.socialaffairsunit.org.uk/blog/archives/000512.php

This essay originally appeared on Wired.com, my 42nd essay on that site.
http://www.wired.com/politics/security/commentary/securitymatters/2007/05/securitymatters_0517 
or http://tinyurl.com/26cxcs

French translation:
http://archiloque.net/spip.php?rubriques2&periode=2007-06#


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     Tactics, Targets, and Objectives



If you encounter an aggressive lion, stare him down. But not a leopard; 
avoid his gaze at all costs. In both cases, back away slowly; don't run. 
If you stumble on a pack of hyenas, run and climb a tree; hyenas can't 
climb trees. But don't do that if you're being chased by an elephant; 
he'll just knock the tree down. Stand still until he forgets about you.

I spent the last few days on safari in a South African game park, and 
this was just some of the security advice we were all given. What's 
interesting about this advice is how well-defined it is. The defenses 
might not be terribly effective -- you still might get eaten, gored or 
trampled -- but they're your best hope. Doing something else isn't 
advised, because animals do the same things over and over again. These 
are security countermeasures against specific tactics.

Lions and leopards learn tactics that work for them, and I was taught 
tactics to defend myself. Humans are intelligent, and that means we are 
more adaptable than animals. But we're also, generally speaking, lazy 
and stupid; and, like a lion or hyena, we will repeat tactics that work. 
Pickpockets use the same tricks over and over again. So do phishers, and 
school shooters. If improvised explosive devices didn't work often 
enough, Iraqi insurgents would do something else.

So security against people generally focuses on tactics as well.

A friend of mine recently asked me where she should hide her jewelry in 
her apartment, so that burglars wouldn't find it. Burglars tend to look 
in the same places all the time -- dresser tops, night tables, dresser 
drawers, bathroom counters -- so hiding valuables somewhere else is more 
likely to be effective, especially against a burglar who is pressed for 
time. Leave decoy cash and jewelry in an obvious place so a burglar will 
think he's found your stash and then leave. Again, there's no guarantee 
of success, but it's your best hope.

The key to these countermeasures is to find the pattern: the common 
attack tactic that is worth defending against. That takes data. A single 
instance of an attack that didn't work -- liquid bombs, shoe bombs -- or 
one instance that did -- 9/11 -- is not a pattern. Implementing 
defensive tactics against them is the same as my safari guide saying: 
"We've only ever heard of one tourist encountering a lion. He stared it 
down and survived. Another tourist tried the same thing with a leopard, 
and he got eaten. So when you see a lion...." The advice I was given was 
based on thousands of years of collective wisdom from people 
encountering African animals again and again.

Compare this with the Transportation Security Administration's approach. 
With every unique threat, TSA implements a countermeasure with no basis 
to say that it helps, or that the threat will ever recur.

Furthermore, human attackers can adapt more quickly than lions. A lion 
won't learn that he should ignore people who stare him down, and eat 
them anyway. But people will learn. Burglars now know the common 
"secret" places people hide their valuables -- the toilet, cereal boxes, 
the refrigerator and freezer, the medicine cabinet, under the bed -- and 
look there. I told my friend to find a different secret place, and to 
put decoy valuables in a more obvious place.

This is the arms race of security. Common attack tactics result in 
common countermeasures. Eventually, those countermeasures will be evaded 
and new attack tactics developed. These, in turn, require new 
countermeasures. You can easily see this in the constant arms race that 
is credit card fraud, ATM fraud or automobile theft.

The result of these tactic-specific security countermeasures is to make 
the attacker go elsewhere. For the most part, the attacker doesn't 
particularly care about the target. Lions don't care who or what they 
eat; to a lion, you're just a conveniently packaged bag of protein. 
Burglars don't care which house they rob, and terrorists don't care who 
they kill. If your countermeasure makes the lion attack an impala 
instead of you, or if your burglar alarm makes the burglar rob the house 
next door instead of yours, that's a win for you.

Tactics matter less if the attacker is after you personally. If, for 
example, you have a priceless painting hanging in your living room and 
the burglar knows it, he's not going to rob the house next door instead 
-- even if you have a burglar alarm. He's going to figure out how to 
defeat your system. Or he'll stop you at gunpoint and force you to open 
the door. Or he'll pose as an air-conditioner repairman. What matters is 
the target, and a good attacker will consider a variety of tactics to 
reach his target.

This approach requires a different kind of countermeasure, but it's 
still well-understood in the security world. For people, it's what alarm 
companies, insurance companies and bodyguards specialize in. President 
Bush needs a different level of protection against targeted attacks than 
Bill Gates does, and I need a different level of protection than either 
of them. It would be foolish of me to hire bodyguards in case someone 
was targeting me for robbery or kidnapping. Yes, I would be more secure, 
but it's not a good security trade-off.

Al-Qaeda terrorism is different yet again. The goal is to terrorize. It 
doesn't care about the target, but it doesn't have any pattern of 
tactic, either. Given that, the best way to spend our counterterrorism 
dollar is on intelligence, investigation and emergency response. And to 
refuse to be terrorized.

These measures are effective because they don't assume any particular 
tactic, and they don't assume any particular target. We should only 
apply specific countermeasures when the cost-benefit ratio makes sense 
(reinforcing airplane cockpit doors) or when a specific tactic is 
repeatedly observed (lions attacking people who don't stare them down). 
Otherwise, general countermeasures are far more effective a defense.

Safari security advice:
http://www.cybertracker.co.za/DangerousAnimals.html

School shooter security advice:
http://www.ucpd.ucla.edu/ucpd/zippdf/2007/Active%20Shooter%20Safety%20Tips.pdf 
or http://tinyurl.com/2qvgyg

Burglar security advice:
http://www.pfadvice.com/2007/02/05/the-best-place-to-hide-money-conversation-with-a-burglar/ 
or http://tinyurl.com/ywdoy9
http://www.pfadvice.com/2007/03/06/dont-hide-money-in-the-toilet-more-conversation-with-a-burglar/ 
or http://tinyurl.com/236wbs

Me on terrorism:
http://www.schneier.com/essay-096.html
http://www.schneier.com/blog/archives/2006/08/terrorism_secur.html
http://www.schneier.com/blog/archives/2005/09/katrina_and_sec.html
http://www.schneier.com/blog/archives/2006/08/what_the_terror.html

Learning behavior in tigers:
http://www.cptigers.org/animals/species.asp?speciesID=9

This essay originally appeared on Wired.com.
http://www.wired.com/print/politics/security/commentary/securitymatters/2007/05/securitymatters_0531 
or http://tinyurl.com/2zdghw


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     News



In an effort to prevent terrorism, parts of the mobile phone network 
will be disabled when President Bush visits Australia.  I've written 
about this kind of thing before; it's a perfect example of security 
theater: a countermeasure that works if you happen to guess the specific 
details of the plot correctly, and completely useless otherwise.  On the 
plus side, it's only a small area that's blocked.
http://www.smh.com.au/news/NATIONAL/Mobiles-to-drop-out-during-Bush-visit/2007/05/16/1178995171116.html 
or http://tinyurl.com/2e8nbo
http://www.schneier.com/blog/archives/2007/04/triggering_bomb.html
http://it.slashdot.org/it/07/05/17/1221255.shtml
http://www.theregister.co.uk/2007/05/18/black_helicopter_george_bush_down_under/ 
or http://tinyurl.com/2p266j

Dan Geer writes about security trade-offs, monoculture, and genetic 
diversity in honeybees:
http://geer.tinho.net/acm.geer.0704.pdf

The e-mail EPIC Alert comes out twice a week from the Electronic Privacy 
Information Center.  It's a great resource for information on privacy 
and policy, both in the U.S. and abroad.
http://www.epic.org/alert/

WEP attack researchers explain how their attack on the 802.11 wireless 
security protocol works.
http://www.theregister.co.uk/2007/05/15/wep_crack_interview/
http://www.schneier.com/blog/archives/2007/05/interview_with_5.html

Airline security cartoon -- literal CYA security:
http://www.clarionledger.com/misc/blogs/mramsey/uploaded_images/bilde-2-780665.jpg 
or http://tinyurl.com/2as767

Funny "Saturday Night Live" TSA skit:
http://www.youtube.com/watch?v=ykzqFz_nHZE

Here's a joke that'll get you arrested:
http://www.schneier.com/blog/archives/2007/05/joke_thatll_get_1.html

London is running a dirty-bomb drill.  Mostly a movie-plot threat, but 
these sorts of drills are useful, regardless of the scenario.  Honestly, 
though, plain old explosives are much more of a risk than these exotic 
bombs.  Although with a dirty bomb, the media-inspired panic would 
certainly be a huge factor.
http://www.theregister.co.uk/2007/05/18/dirty_bomb_test_in_marylebone/

We have a new factoring record:  307 digits (1023 bits).  It's a special 
number -- 2^1039 - 1 -- but the techniques can be generalized.  Expect 
regular 1024-bit numbers to be factored soon.  I hope RSA application 
users would have moved away from 1024-bit security years ago, but for 
those who haven't yet: wake up.
http://www.physorg.com/news98962171.html

On the futility of fighting online pirates:
http://www.forbes.com/2007/05/04/youtube-piratesbay-piracy-tech-cx_ag_0507pirates.htmlhttp://yro.slashdot.org/yro/07/05/17/1749259.shtml 
or http://tinyurl.com/28rwnm

Good article on image spam:
http://csoonline.com/read/040107/fea_spam.html
Definitely look at the interactive graphics page.
http://csoonline.com/read/040107/fea_spam_by_the_numbers.html

>From the U.S. GAO: "Aviation Security: Efforts to Strengthen 
International Prescreening are Under Way, but Planning and 
Implementations Remain," May 2007.  Worth reading the summary, at least.
http://www.gao.gov/new.items/d07346.pdf

The TSA airport security screeners caught a guy in a fake uniform.  It 
reads like a joke.  We spend billions on airport security, and we have 
so little to show for it that the TSA has to make a big deal about the 
crime of impersonating a member of the military?
http://www.tsa.gov/press/happenings/florida_uniform.shtm

UK police using military drones: yet another step in the militarization 
of the police.
http://news.bbc.co.uk/1/hi/england/merseyside/6676809.stm

Criminals hijack large web hosting firm.  "The company claims to have 
more than 700,000 customers. If we assume for the moment the small 
segment of IPOWER servers Security Fix analyzed is fairly representative 
of a larger trend, IPOWER may well be home to nearly a quarter-million 
malicious Web sites."
http://blog.washingtonpost.com/securityfix/2007/05/cyber_crooks_hijack_activities_1.html 
or http://tinyurl.com/ysbalr

The FBI has lousy security against insider attacks, according to a GAO 
report.
http://www.pcworld.com/article/id,132250-c,privacysecurity/article.html 
or http://tinyurl.com/yt86mg

Interesting spoofing attack:
http://www.theregister.co.uk/2007/05/25/strange_spoofing_technique/

I thought terrorism is why we have a DHS, but they've been preoccupied 
with other things:  "Of the 814,073 people charged by DHS in immigration 
courts during the past three years, 12 faced charges of terrorism, TRAC 
said."  TRAC is a great group, and I recommend wandering around their 
site if you're interested in what the U.S. government is actually doing.
http://www.cnn.com/2007/POLITICS/05/27/homeland.security.record/index.html 
or http://tinyurl.com/3xre8e
http://trac.syr.edu/

Last November, the Data Privacy and Integrity Advisory Committee of the 
Department of Homeland Security recommended against putting RFID chips 
in identity cards.  DHS ignored them, and went ahead with the project 
anyway.  Now, the Smart Card Alliance is criticizing the DHS's RFID 
program for cross-border identification -- the People Access Security 
Services (PASS) cards -- basically saying that it is making the very 
mistakes the Data Privacy and Integrity Advisory Committee warned about.
http://www.gcn.com/online/vol1_no1/44338-1.html
http://www.schneier.com/blog/archives/2006/11/dhs_privacy_com.html
http://www.schneier.com/blog/archives/2007/05/rfid_in_people.html

This is a surreal story from 2005 of someone who was chained up for 
hours for trying to spend $2 bills.  Clerks at Best Buy thought the 
bills were counterfeit, and had him arrested.  The most surreal quote of 
the article is the last sentence:  "Commenting on the incident, 
Baltimore County police spokesman Bill Toohey told the Sun: 'It's a sign 
that we're all a little nervous in the post-9/11 world.'"  What in the 
world do the terrorist attacks of 9/11 have to do with counterfeiting? 
How does being "a little nervous in the post-9/11 world" have anything 
to do with this incident?  Counterfeiting is not terrorism; it isn't 
even a little bit like terrorism.
http://www.worldnetdaily.com/news/article.asp?ARTICLE_ID=43685

Port defense against swimming terrorists: cool science and engineering, 
but definitely a movie-plot threat.
http://blog.wired.com/defense/2007/05/how_to_stop_a_s.html

DHS uses actual science-fiction writers to help develop movie-plot 
threats.  At least they're honest about it this time.
http://www.usatoday.com/tech/science/2007-05-29-deviant-thinkers-security_N.htm 
or http://tinyurl.com/3cys5h

Head-mounted police cameras in the UK:
http://www.manchestereveningnews.co.uk/news/s/1007/1007600_super_wardens_go_on_patrol.html 
or http://tinyurl.com/29tdzr

I haven't written anything about the cyberwar between Russia and Estonia 
because, well, because I didn't think there was anything new to say.  We 
know that this kind of thing is possible.  We don't have any definitive 
proof that Russia was behind it.  But it would be foolish to think that 
the various world's militaries don't have capabilities like this.  And 
anyway, I wrote about cyberwar back in January 2005.
http://www.schneier.com/crypto-gram-0501.html#10

Information leakage in the Slingbox:
http://www.freedom-to-tinker.com/?p=1163
http://www.cs.washington.edu/research/security/usenix07devices.html

Outfitting moths with sensors:
http://government.zdnet.com/?p=3189

Teaching computers how to forget: an article on the huge amount of data 
that now follows us through life, and whether we'd be better off it 
computers "forgot" things after a set amount of time:
http://arstechnica.com/news.ars/post/20070509-escaping-the-data-panopticon-teaching-computers-to-forget.html 
or http://tinyurl.com/272629
http://ksgnotes1.harvard.edu/Research/wpaper.nsf/rwp/RWP07-022/$File/rwp_07_022_mayer-schoenberger.pdf 
or http://tinyurl.com/yq8llf
More about this issue:
http://www.concurringopinions.com/archives/2007/05/the_right_to_de.html 
or http://tinyurl.com/2fhlgb
http://www.harvardlawreview.org/forum/issues/119/dec05/ohm.shtml
http://www.lcs.gov.bc.ca/privacyaccess/Conferences/Feb2007/ConfPresentations/Perlman-Radia-keynote.pdf 
or http://tinyurl.com/345rte
http://www.washingtonpost.com/wp-dyn/content/article/2007/05/15/AR2007051501873.html 
or http://tinyurl.com/2o9kw5
I've written about this, too:
http://www.schneier.com/essay-109.html
http://www.schneier.com/essay-129.html

There have been some interesting court cases in the U.S. about computer 
searches and third-party consent:
http://www.law.com/jsp/article.jsp?id=1179092588804
http://www.wired.com/politics/law/commentary/circuitcourt/2007/05/circuitcourt_0523 
or http://tinyurl.com/2gr7om

Interesting terrorism statistics: "The majority of terrorist attacks 
result in no fatalities, with just 1 percent of such attacks causing the 
deaths of 25 or more people....  The database identifies more than 
30,000 bombings, 13,400 assassinations and 3,200 kidnappings. Also, it 
details more than 1,200 terrorist attacks within the United States."  A 
lot of this depends on your definition of "terrorism," but it's 
interesting stuff.
http://www.livescience.com/history/070524_terrorism_database.html
http://www.start.umd.edu/data/gtd/

The Department of Homeland Security is soliciting research proposals in 
computer and network security.  There are nine research areas:  Botnets 
and Other Malware: Detection and Mitigation, Composable and Scalable 
Secure Systems, Cyber Security Metrics, Network Data Visualization for 
Information Assurance, Internet Tomography/Topography, Routing Security 
Management Tool, Process Control System Security, Data Anonymization 
Tools and Techniques, and Insider Threat Detection and Mitigation.
http://www.hsarpabaa.com/Solicitations/BAA07-09_CyberSecurityRD_Posted_05162007.pdf 
or http://tinyurl.com/yv85ne

Remote metal sensors used to detect poachers.  I'm sure this technology 
has more value on the battlefield.
http://www.technologyreview.com/Biotech/18722/

The Data Privacy and Integrity Advisory Committee of the Department of 
Homeland Security has issued an excellent report on REAL ID:
http://www.dhs.gov/xlibrary/assets/privacy/privacy_advcom_05-2007_realid.pdf 
or http://tinyurl.com/2bbyqv

Great article on perceived vs. actual risks to children, and how overly 
protecting them can actually cause harm.
http://news.bbc.co.uk/1/hi/education/6720661.stm
Commentary:
http://www.timesonline.co.uk/tol/comment/columnists/alice_miles/article1890234.ece 
or http://tinyurl.com/3bthca

Two shielding stories:
Special underwear protects wearers from infrared photographers.
http://inventorspot.com/new_shot_guard_underwear_infrared_protection_photographers 
or http://tinyurl.com/2mjap4
And a window film that blocks electromagnetic radiation but lets in light.
http://www.stltoday.com/stltoday/business/stories.nsf/0/F1B4A7E978173C10862572E7000AA32B?OpenDocument 
or http://tinyurl.com/2ax9gd
Somehow, I don't see either becoming a mass-market consumer item, 
although I can certainly imagine military facilities installing the latter.

The DHS wants universities to inventory a long list of chemicals. 
Interesting stuff about specific chemicals in the article.
http://www.theregister.co.uk/2007/06/02/dhs_dud_interesting_chemicals/

DNA-based watermarks.  It's not cryptography -- despite the name -- but 
it's interesting.
http://www.biomedcentral.com/1471-2105/8/176/abstract

New directions in malware: evasive malicious code.  Just another step in 
the never-ending arms race of network security.
http://news.zdnet.co.uk/security/0,1000000189,39287357,00.htm

More on Kish's encryption scheme:
http://www.arxiv.org/abs/physics/0612153
And a paper claiming this is totally insecure:
http://www.lightbluetouchpaper.org/2006/10/08/kishs-totally-secure-system-is-insecure/ 
or http://tinyurl.com/2y87wx
Again, I don't have the EE background to know who's right. But this is 
exactly the sort of back-and-forth I want to see.  My previous article 
on the topic:
http://www.schneier.com/essay-099.html

The growing problem of license plate cloning:
http://news.bbc.co.uk/1/hi/uk/6707367.stm

Interesting paper: "Data Mining and the Security-Liberty Debate," by 
Daniel J. Solove.
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=990030

Dorky real-life/Second-Life security awareness video:
http://www.youtube.com/watch?v=WMe3gbC-dXc

According to the Kennedy Space Center website, "stand alone GPS 
equipment is not permitted on property."  It's okay if they're embedded 
in your phone or computer, though.
http://www.kennedyspacecenter.com/visitKSC/NASAtours/security.asp


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

     Portrait of the Modern Terrorist as an Idiot



The recently publicized terrorist plot to blow up John F. Kennedy 
International Airport, like so many of the terrorist plots over the past 
few years, is a study in alarmism and incompetence: on the part of the 
terrorists, our government and the press.

Terrorism is a real threat, and one that needs to be addressed by 
appropriate means. But allowing ourselves to be terrorized by wannabe 
terrorists and unrealistic plots -- and worse, allowing our essential 
freedoms to be lost by using them as an excuse -- is wrong.

The alleged plan, to blow up JFK's fuel tanks and a small segment of the 
40-mile petroleum pipeline that supplies the airport, was ridiculous. 
The fuel tanks are thick-walled, making them hard to damage. The airport 
tanks are separated from the pipelines by cutoff valves, so even if a 
fire broke out at the tanks, it would not back up into the pipelines. 
And the pipeline couldn't blow up in any case, since there's no oxygen 
to aid combustion. Not that the terrorists ever got to the stage -- or 
demonstrated that they could get there -- where they actually obtained 
explosives. Or even a current map of the airport's infrastructure.

But read what Russell Defreitas, the lead terrorist, had to say: 
"Anytime you hit Kennedy, it is the most hurtful thing to the United 
States. To hit John F. Kennedy, wow.... They love JFK -- he's like the 
man. If you hit that, the whole country will be in mourning. It's like 
you can kill the man twice."

If these are the terrorists we're fighting, we've got a pretty 
incompetent enemy.

You couldn't tell that from the press reports, though. "The devastation 
that would be caused had this plot succeeded is just unthinkable," U.S. 
Attorney Roslynn R. Mauskopf said at a news conference, calling it "one 
of the most chilling plots imaginable." Sen. Arlen Specter 
(R-Pennsylvania) added, "It had the potential to be another 9/11."

These people are just as deluded as Defreitas.

The only voice of reason out there seemed to be New York's Mayor Michael 
Bloomberg, who said: "There are lots of threats to you in the world. 
There's the threat of a heart attack for genetic reasons. You can't sit 
there and worry about everything. Get a life.... You have a much greater 
danger of being hit by lightning than being struck by a terrorist."

And he was widely excoriated for it.

This isn't the first time a bunch of incompetent terrorists with an 
infeasible plot have been painted by the media as poised to do all sorts 
of damage to America. In May we learned about a six-man plan to stage an 
attack on Fort Dix by getting in disguised as pizza deliverymen and 
shooting as many soldiers and Humvees as they could, then retreating 
without losses to fight again another day. Their plan, such as it was, 
went awry when they took a videotape of themselves at weapons practice 
to a store for duplication and transfer to DVD. The store clerk 
contacted the police, who in turn contacted the FBI. (Thank you to the 
video store clerk for not overreacting, and to the FBI agent for 
infiltrating the group.)

The "Miami 7," caught last year for plotting -- among other things -- to 
blow up the Sears Tower, were another incompetent group: no weapons, no 
bombs, no expertise, no money and no operational skill. And don't forget 
Iyman Faris, the Ohio trucker who was convicted in 2003 for the 
laughable plot to take out the Brooklyn Bridge with a blowtorch. At 
least he eventually decided that the plan was unlikely to succeed.

I don't think these nut jobs, with their movie-plot threats, even 
deserve the moniker "terrorist." But in this country, while you have to 
be competent to pull off a terrorist attack, you don't have to be 
competent to cause terror. All you need to do is start plotting an 
attack and -- regardless of whether or not you have a viable plan, 
weapons or even the faintest clue -- the media will aid you in 
terrorizing the entire population.

The most ridiculous JFK Airport-related story goes to the New York Daily 
News, with its interview with a waitress who served Defreitas salmon; 
the front-page headline blared, "Evil Ate at Table Eight."

Following one of these abortive terror misadventures, the administration 
invariably jumps on the news to trumpet whatever ineffective "security" 
measure they're trying to push, whether it be national ID cards, 
wholesale National Security Agency eavesdropping or massive data mining. 
Never mind that in all these cases, what caught the bad guys was 
old-fashioned police work -- the kind of thing you'd see in decades-old 
spy movies.

The administration repeatedly credited the apprehension of Faris to the 
NSA's warrantless eavesdropping programs, even though it's just not 
true. The 9/11 terrorists were no different; they succeeded partly 
because the FBI and CIA didn't follow the leads before the attacks.

Even the London liquid bombers were caught through traditional 
investigation and intelligence, but this doesn't stop Secretary of 
Homeland Security Michael Chertoff from using them to justify access to 
airline passenger data.

Of course, even incompetent terrorists can cause damage. This has been 
repeatedly proven in Israel, and if shoe-bomber Richard Reid had been 
just a little less stupid and ignited his shoes in the lavatory, he 
might have taken out an airplane.

So these people should be locked up ... assuming they are actually 
guilty, that is. Despite the initial press frenzies, the actual details 
of the cases frequently turn out to be far less damning. Too often it's 
unclear whether the defendants are actually guilty, or if the police 
created a crime where none existed before.

The JFK Airport plotters seem to have been egged on by an informant, a 
twice-convicted drug dealer. An FBI informant almost certainly pushed 
the Fort Dix plotters to do things they wouldn't have ordinarily done. 
The Miami gang's Sears Tower plot was suggested by an FBI undercover 
agent who infiltrated the group. And in 2003, it took an elaborate sting 
operation involving three countries to arrest an arms dealer for selling 
a surface-to-air missile to an ostensible Muslim extremist. Entrapment 
is a very real possibility in all of these cases.

The rest of them stink of exaggeration. Jose Padilla was not actually 
prepared to detonate a dirty bomb in the United States, despite 
histrionic administration claims to the contrary. Now that the trial is 
proceeding, the best the government can charge him with is conspiracy to 
murder, kidnap and maim, and it seems unlikely that the charges will 
stick. An alleged ringleader of the U.K. liquid bombers, Rashid Rauf, 
had charges of terrorism dropped for lack of evidence (of the 25 
arrested, only 16 were charged). And now it seems like the JFK 
mastermind was more talk than action, too.

Remember the "Lackawanna Six," those terrorists from upstate New York 
who pleaded guilty in 2003 to "providing support or resources to a 
foreign terrorist organization"? They entered their plea because they 
were threatened with being removed from the legal system altogether. We 
have no idea if they were actually guilty, or of what.

Even under the best of circumstances, these are difficult prosecutions. 
Arresting people before they've carried out their plans means trying to 
prove intent, which rapidly slips into the province of thought crime. 
Regularly the prosecution uses obtuse religious literature in the 
defendants' homes to prove what they believe, and this can result in 
courtroom debates on Islamic theology. And then there's the issue of 
demonstrating a connection between a book on a shelf and an idea in the 
defendant's head, as if your reading of this article -- or purchasing of 
my book -- proves that you agree with everything I say. (The Atlantic 
recently published a fascinating article on this.)

I'll be the first to admit that I don't have all the facts in any of 
these cases. None of us do. So let's have some healthy skepticism. 
Skepticism when we read about these terrorist masterminds who were 
poised to kill thousands of people and do incalculable damage. 
Skepticism when we're told that their arrest proves that we need to give 
away our own freedoms and liberties. And skepticism that those arrested 
are even guilty in the first place.

There is a real threat of terrorism. And while I'm all in favor of the 
terrorists' continuing incompetence, I know that some will prove more 
capable. We need real security that doesn't require us to guess the 
tactic or the target: intelligence and investigation -- the very things 
that caught all these terrorist wannabes -- and emergency response. But 
the "war on terror" rhetoric is more politics than rationality. We 
shouldn't let the politics of fear make us less safe.

There a zillion links associated with this essay.  You can find them on 
the online version:
http://www.schneier.com/blog/archives/2007/06/portrait_of_the.html

This essay originally appeared on Wired.com:
http://www.wired.com/politics/security/commentary/securitymatters/2007/06/securitymatters_0614 
or http://tinyurl.com/29mxc5


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

     Teaching Viruses



Over two years ago, George Ledin wrote an essay in "Communications of 
the ACM," where he advocated teaching worms and viruses to computer 
science majors:  "Computer science students should learn to recognize, 
analyze, disable, and remove malware. To do so, they must study 
currently circulating viruses and worms, and program their own. 
Programming is to computer science what field training is to police work 
and clinical experience is to surgery. Reading a book is not enough. Why 
does industry hire convicted hackers as security consultants? Because we 
have failed to educate our majors."

This spring semester, he taught the course at Sonoma State University. 
It got a lot of press coverage. No one wrote a virus for a class 
project.  No new malware got into the wild.  No new breed of 
supervillain graduated.

Teaching this stuff is just plain smart.

Essay:
http://www.csl.sri.com/neumann/insiderisks05.html#175

http://www.sonoma.edu/pubs/newsrelease/archives/001090.html
http://www1.pressdemocrat.com/apps/pbcs.dll/article?AID=/20070522/NEWS/705220312/1033/NEWS01 
or http://tinyurl.com/ytrbzs
http://blogs.pcworld.com/staffblog/archives/004452.html
http://www1.pressdemocrat.com/apps/pbcs.dll/article?AID=/20070526/NEWS/705260309/1043/OPINION01 
or http://tinyurl.com/2e2anv
http://www.hardocp.com/news.html?news=MjU5NzgsLCxoZW50aHVzaWFzdCwsLDE
http://technews.acm.org/archives.cfm?fo=2007-05-may/may-25-2007.html#313412 
or http://tinyurl.com/yuur5l
http://www.calstate.edu/pa/clips2007/may/22may/virus.shtml


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

     Bush's Watch Stolen?



Watch the video very carefully; it's President Bush working the crowds 
in Albania. 0.50 seconds into the clip, Bush has a watch. 1.04 seconds 
into the clip, he had a watch.

The U.S. is denying that his watch was stolen:  "Photographs showed 
Bush, surrounded by five bodyguards, putting his hands behind his back 
so one of the bodyguards could remove his watch."

I simply don't see that in the video. Bush's arm is out in front of him 
during the entire nine seconds between those stills.

Another denial: "An Albanian bodyguard who accompanied Bush in the town 
told The Associated Press he had seen one of his U.S. colleagues close 
to Bush bend down and pick up the watch."

That's certainly possible; it may have fallen off.

But possibly the pickpocket of the century. (Although would anyone 
actually be stupid enough to try? There must be a zillion 
easier-to-steal watches in that crowd, many of them nicer than Bush's.)

Video clip:
http://www.youtube.com/watch?v=PKDdF6vfjoo

Denials:
http://uk.reuters.com/article/oddlyEnoughNews/idUKL1285325620070612
http://www.guardian.co.uk/worldlatest/story/0,,-6703190,00.html


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

     Schneier/BT Counterpane News



Interview with me from "Infosecurity Magazine":
http://www.infosecurity-magazine.com/features/mayjune07/interview_schneier.html 
or http://tinyurl.com/2cvs45

Interview with me from IT Security:
http://www.itsecurity.com/interviews/interview-bruice-schneier-051607/

At the kickoff reception for the IT Security Summit in Johannesburg, 
there was a bit of industrial theater about identity theft.  Someone 
tried to pretend he was me; it was pretty funny, really.  Someone 
captured my discussion after on video.
http://blogs.zdnet.com/threatchaos/?p=458

Two interviews with me in Norwegian:
http://www.dagensit.no/bedrifts-it/article1104925.ece
http://www.digi.no/php/art.php?id=384118

Schneier is speaking at the I-4 Conference on June 25th in Milan.
https://i4online.com/

Schneier is speaking at Secure 2007 on June 26th in Bad Homburg, Germany.
http://www.secure2007.de/


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

     Second Movie-Plot Threat Contest Winner



On April 1, I announced the Second Annual Movie-Plot Threat Contest:

"Your goal: invent a terrorist plot to hijack or blow up an airplane 
with a commonly carried item as a key component. The component should be 
so critical to the plot that the TSA will have no choice but to ban the 
item once the plot is uncovered. I want to see a plot horrific and 
ridiculous, but just plausible enough to take seriously.

"Make the TSA ban wristwatches. Or laptop computers. Or polyester. Or 
zippers over three inches long. You get the idea.

"Your entry will be judged on the common item that the TSA has no choice 
but to ban, as well as the cleverness of the plot. It has to be 
realistic; no science fiction, please. And the write-up is critical; 
last year the best entries were the most entertaining to read."

On June 5, I posted three semi-finalists out of the 334 comments:

* Butterflies and beverages; water must be banned.

* Dimethylmercury; security checkpoints must be banned, but of course 
they can't be.  Oh, what to do!

* Oxy-hydrogen bomb; wires -- earphones, power cables, etc. -- must be 
banned.

Well, we have a winner.  I can't divulge the exact formula -- because 
you'll all hack the system next year -- but it was a combination of my 
opinion, popular acclaim in blog comments, and the opinion of Tom Grant 
(the previous year's winner -- not his real name).

The winner is: "Butterflies and Beverages," posted by Ron.  (Ron gets 
signed copies of my books, a $50 Amazon gift certificate contributed by 
a reader, and -- if I can find one -- an interview with a real-live 
movie director.  (Does anyone know one?)  We hope that one of his prizes 
isn't a visit by the FBI.)

Here is the winning entry:

It must have been a pretty meadow, Wilkes thought, just a day before. He 
tried to picture how it looked then: without the long, wide wound in the 
earth, without the charred and broken fuselage of the jet that gouged it 
out, before the rolling ground was strewn with papers and cushions and 
random bits of plastic and fabric and all the things inside the plane 
that lay like the confetti from a brief, fiery parade.

Yes, a nice little spot, just far enough from the airport's runways to 
be not too noisy, but close enough to watch the planes going in and out, 
fortunately just a bit too close to have been developed. When the plane 
rolled over and angled downward, not even a mile past the end of the 
runway, at least the only people at risk were the ones on the plane. For 
them, it was mercifully quick, the impact breaking their necks before 
the breaking wing tanks ignited in sheets of flame, the charred bodies 
still in their seats.

He spotted the NTSB guy, standing by the forward half of the fuselage, 
easy to spot among the FAA and local airport people -- they were always 
the only suits in the crowd. Heading over, Wilkes saw this one wasn't 
going to be too hard: when planes came down intact like this, breaking 
in to just a few pieces on impact, the cause was always easier to find. 
This one looked to be no exception.

He muttered to the suit, "Wilkes," gesturing at the badge clipped to his 
shirt. No need to get too friendly, they'd file separate reports anyway. 
As long as they were remotely on the same page, there wasn't much need 
to actually talk to the guy. "What's this little gem?" he wondered 
aloud, looking at the hole in the side of the downed jet.

"Explosion," drawled the NTSB guy; he had that Chuck Yeager slow-play 
sound, Wilkes thought, like someone who could sound calm describing 
Armageddon. "Looks like it was from the inside, something just big 
enough to rip a few square feet out of the side. Enough to throw it on 
its side"

"And if the plane is low enough, still taking off, with the engines near 
full thrust, it rolls over and down too fastb&" he trailed off, picturing 
the result.

"Yep, all in a couple of seconds. Too quick for the flight crew to have 
time to get it back." The NTSB guy shook his head, the id clipped to his 
suit jacket swaying back and forth with the motion. "Always the best 
time if you're going to take a bird down: takeoff or landing, guess 
whoever did this one wanted to get it over with sooner rather than 
later." He snorted in derision, "Somebody snuck in an explosive, must 
have been a screener havin' an off day."

"Maybe," said Wilkes, not ready to write it off as just a screener's 
error. The NTSB guys were always quick to find a bad decision, one human 
error, and explain the whole thing away. But Wilkes' job was to find the 
flaws in the systems, the procedures, the way to come up with 
prophylactic precautions. Maybe there was nothing more than a screener 
who didn't spot a grenade or a stick of dynamite, something so obvious 
that there was nothing to do but chalk up a hundred and eighty three 
dead lives to one madman and one very bad TSA employee.

But maybe not. That's when Wilkes spotted the first two of the 
butterflies. Bright yellow against the charred black of the burned 
wreckage, they seemed like the most incongruous things -- and as he 
thought this, another appeared.

As they took photos and made measurements, more showed up -- by ones and 
twos, a few flying away, but gradually building up to dozens over the 
course of the morning. Odd, the NTSB rep agreed, but nothing that tells 
us anything about the terrorist who brought down that plane.

Wilkes wasn't so sure. Nature was handing out a big fat clue here, he 
was sure of that. What he wasn't sure of was what in the hell it could 
possibly mean.

He leaned in close with the camera on his phone, getting some good close 
images of the colorful insects, emailing back to the office with a 
request to reach out to an expert. He needed a phone consult, someone 
who knew the behavior of this particular butterfly, someone who could 
put him on the right track.

Within minutes, his phone was buzzing, with a conference call already 
set up with a professor of entomology, and even better one local to the 
area; a local might know this bug better than an academic from a more 
prestigious, but distant university.

He was half-listening during the introductions, Wilkes wasn't interested 
in this guy's particulars, the regional team would have that all 
available if he needed it later. He just wanted answers.

"Pieridae," the professor offered, "and all males, I'd bet."

"Okay," Wilkes answered, wondering if he this really would tell him 
anything. "Why are they all over my bomb hole?"

"I can't be sure, but it must be something attracting them. These are 
commonly called 'sulfur butterflies', could there be sulfur on your 
wreckage?"

Yeah, Wilkes thought, this is looking like a wild goose chase. "No 
sulfur, we already did a quick chem test for it. Anything else these 
little fellas like?"

"Sure, but not something you'd be likely to find in a bomb -- just 
sodium. They package it up with their sperm and deliver it to the female 
as an extra little bonus -- sort of the flowers and candy of the 
butterfly world."

"Okay, that'sb&wow, the things I learn in this job. Sorry to bother you, 
sir, I guess it's justb&yeah, thanks."

Butterfly sperm -- now this might set a new record for useless trivia 
learned in a crash investigation. Unbelievable.

The NTSB guy wandered over, seeing Wilkes was off the phone. "Get 
anything from your expert?" he queried, trying and failing to suppress a 
grin. Wilkes suspected there would soon be a story going around the NTSB 
office about the FAA "butterfly guy"; ah well, better to be infamous 
than anonymous.

"Nah, not much. The little guys like sulfur," Wilkes offered, seeing his 
counterpart give a cynical chuckle at that, "and sodium. Unless there 
was a whole lot of salt packed around the perp's explosive, our little 
yellow friends are just a mystery."

The NTSB rep got a funny look on his face, a faraway look. "Sodium. An 
explosive that leaves behind sodium. Well, that could beb&"

They looked at each other, both heading to the same conclusion, both 
reluctant to get there. Wilkes said it first: "Sodium metal. Cheap, easy 
to get, it would have to be: sodium metal."

"And easy," the NTSB rep drawled, "to sneak on the plane. The stuff is 
soft, but you could fashion it in to any simple things: eyeglass frames, 
belt buckles, buttons, simple things the screeners would never be 
lookin' at."

"Wouldn't take much," Wilkes offered, an old college chemistry-class 
prank coming to mind. "An couple of ounces, that would be enough to blow 
out the side of a plane, enough for what we're seeing here."

"With the easiest trigger in the world," the NTSB man added, putting 
words to the picture forming in Wilkes mind. A cup of water would be 
enough, just drop the sodium metal in to it and the chemical reaction 
would quickly release hydrogen gas, with enough heat generated as a 
byproduct of the reaction to ignite the gas. In just a second or two, 
you'd have an explosion strong enough to knock the side out of a plane.

"Sounds like a problem for you FAA boys," his counterpart teased. "What 
ya gonna do, ban passengers from carrying more than a few grams of 
anything made of metal? "

"No," Wilkes shot back, "we can't ban everything that could be made of 
sodium metal. Or all the other water-reactives," he mused aloud, 
thinking of all the carbides, anhydrides, and alkali metals that would 
cover. "Too many ways to hide them, too many types to test for them all. 
No, it isn't the metals we'll have to ban."

"Naw, you don't mean," the NTSB man stared in disbelief, his eyes 
growing wide. "You couldn't, I mean, it's the only other way but it's 
ridiculous."

"No, it's not so ridiculous, it's really the only way. We're going to 
have to ban water, and anything containing a significant amount of 
water, from all passenger flights. It's the only way, otherwise we could 
have planes dropping out of the sky every time someone is served a 
beverage."

Contest and entries:
http://www.schneier.com/blog/archives/2007/04/announcing_seco.html

Winning entry:
http://www.schneier.com/blog/archives/2007/04/announcing_seco.html#c161178 
or http://tinyurl.com/2hravr

Other semi-finalists:
http://www.schneier.com/blog/archives/2007/04/announcing_seco.html#c162272 
or http://tinyurl.com/2f5qao
http://www.schneier.com/blog/archives/2007/04/announcing_seco.html#c161682 
or http://tinyurl.com/ywjhzr

Ron's home page:
http://www.ronaldphillips.com/


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

     Perpetual Doghouse: Meganet



I first wrote about Meganet in 1999, in a larger article on 
cryptographic snake-oil, and formally put them in the doghouse in 2003:

"They build an alternate reality where every cryptographic algorithm has 
been broken, and the only thing left is their own system. 'The weakening 
of public crypto systems commenced in 1997. First it was the 40-bit key, 
a few months later the 48-bit key, followed by the 56-bit key, and later 
the 512 bit has been broken...' What are they talking about? Would you 
trust a cryptographer who didn't know the difference between symmetric 
and public-key cryptography? 'Our technology... is the only unbreakable 
encryption commercially available.' The company's founder quoted in a 
news article: 'All other encryption methods have been compromised in the 
last five to six years.' Maybe in their alternate reality, but not in 
the one we live in.

"Their solution is to not encrypt data at all. 'We believe there is one 
very simple rule in encryption: if someone can encrypt data, someone 
else will be able to decrypt it. The idea behind VME is that the data is 
not being encrypted nor transferred. And if it's not encrypted and not 
transferred, there is nothing to break. And if there's nothing to break, 
it's unbreakable.' Ha ha; that's a joke. They really do encrypt data, 
but they call it something else."

Read the whole thing; it's pretty funny.

They're still around, and they're still touting their snake-oil "virtual 
matrix encryption."  (The patent is finally public, and if someone can 
reverse-engineer the combination of patentese and gobbledygook into an 
algorithm, we can finally see how actually awful it really is.)  The 
tech on their website is better than it was in 2003, but it's still 
pretty hokey.

Back in 2005, they got their product FIPS 140-1 certified.  The 
certification was for their AES implementation, but they're sneakily 
implying that VME was certified.  From their website: "The Strength of a 
Megabit Encryption (VME). The Assurance of a 256 Bit Standard (AES). 
Both Technologies Combined in One Certified Module! FIPS 140-2 
CERTIFICATE # 505."

Just goes to show that with a bit of sleight-of-hand you can get 
anything FIPS 140 certified.

http://www.meganet.com/
http://www.meganet.com/Technology/intro.asp
http://www.meganet.com/Technology/explain.asp
http://www.meganet.com/challenges/default.asp

My doghouse article:
http://www.schneier.com/crypto-gram-0302.html#4

My snake oil article:
http://www.schneier.com/crypto-gram-9902.html#snakeoil

Patent:
http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=6219421.PN.&OS=PN/6219421&RS=PN/6219421 
or http://tinyurl.com/28stql

FIPS certification (#505 on this page):
http://csrc.nist.gov/cryptval/140-1/1401val2005.htm


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     Non-Security Considerations in Security Decisions



(This essay has an accompanying diagram that's necessary to understand 
what I'm saying.  You can find it here: 
http://www.schneier.com/blog/archives/2007/06/nonsecurity_con_1.html.)

Security decisions are generally made for nonsecurity reasons. For 
security professionals and technologists, this can be a hard lesson. We 
like to think that security is vitally important. But anyone who has 
tried to convince the sales VP to give up her department's Blackberries 
or the CFO to stop sharing his password with his secretary knows 
security is often viewed as a minor consideration in a larger decision. 
This issue's articles on managing organizational security make this 
point clear.

Below is a diagram of a security decision. At its core are assets, which 
a security system protects. Security can fail in two ways: either 
attackers can successfully bypass it, or it can mistakenly block 
legitimate users. There are, of course, more users than attackers, so 
the second kind of failure is often more important. There's also a 
feedback mechanism with respect to security countermeasures: both users 
and attackers learn about the security and its failings. Sometimes they 
learn how to bypass security, and sometimes they learn not to bother 
with the asset at all.

Threats are complicated: attackers have certain goals, and they 
implement specific attacks to achieve them. Attackers can be legitimate 
users of assets, as well (imagine a terrorist who needs to travel by 
air, but eventually wants to blow up a plane). And a perfectly 
reasonable outcome of defense is attack diversion: the attacker goes 
after someone else's asset instead.

Asset owners control the security system, but not directly. They 
implement security through some sort of policy -- either formal or 
informal -- that some combination of trusted people and trusted systems 
carries out. Owners make their judgments based on risks ... but really, 
only by perceived risks. They're also affected by a host of other 
considerations, including those legitimate users mentioned previously, 
and the trusted people needed to implement the security policy.

Looking over the diagram, it's obvious that the effectiveness of 
security is only a minor consideration in an asset owner's security 
decision. And that's how it should be.

This essay originally appeared in "IEEE Computers and Security."


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     Comments from Readers



There are hundreds of comments -- many of them interesting -- on these 
topics on my blog. Search for the story you want to comment on, and join 
in.

http://www.schneier.com/blog


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