Expert answer:The Invisible Threat

Answer & Explanation:The Invisible ThreatLearning Objective: Assess risk based on the likelihood of adverse events and the effects on information assets when events occur.Assignment RequirementsWatch the 57-minute video, Cybercrime: The Invisible Threat, from Films on Demand.  Take notes during the viewing to identify and assess risks associated with the threats presented in the video.Introduce the term cybercrime and why IT professionals should be concerned about it.Identify the threats/vulnerabilities presented in the video.Discuss if the threats controllable.What part of risk management addresses these threats?Can they be quantified?Should SETA come into play?.Conclude with your recommendation on how your organization can address these risks.Submission RequirementsFormat: Microsoft WordFont: Arial, 12-Point, Double- SpaceCitation Style: APALength: 2–3 pages (plus a cover sheet)Note: It’s not possible to share the Video so i am posting the complete Transcript of that 57min Video. Click here for Transcript : Cybersecurity.pdf
cybersecurity.pdf

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[MUSIC PLAYING]
Two. One. Ignition. Lift­off.
Good evening, Mr. Vice President. This is Fred Kappel calling from the Earth station at Andover,
Maine. The call’s being relayed through our Telstar satellite, as I am sure you know. How do you
hear me?
You’re coming through nicely, Mr. Kappel.
Well, that’s wonderful.
July 10 1962, Fred Kappel of the AT&T Bell Laboratories and US Vice President Lyndon Baines
Johnson hold the world’s first ever telephone conversation transmitted by satellite. Telstar, which
even inspired a hit record, was experimental, relaying transatlantic communications to amplifying
stations on Earth for the first time.
Good evening, Europe. This is the North American continent live via AT&T Telstar, July 23, 1962.
The science of communication has come a very long way since those pioneering days. Arguably,
that’s especially true in the case of data transmission and computer sciences. We have, in fact,
reached the point of no return because the global economy and virtually all the companies and
services upon which we rely depend increasingly upon computers communicating with each other
through systems like the Internet. What would happen if tomorrow, or in a not too distant future,
people with political or criminal intentions were to bring down our most essential computer
networks? This is no longer the stuff of science fiction. An attack on stored data and the means to
exchange it can be every bit as damaging as one involving more traditional and violent means. Bytes
are replacing bullets and bombs in the armories of terror and crime. A combination of all three might
prove irresistible.
The Internet has revolutionized computers and the communications upon which civilization depends
like nothing before. The Internet provides anyone with access to a computer with a world wide
broadcasting capability. A way in which to disseminate information, and a medium for collaboration
and interaction between individuals, regardless of where they are in the world. The Internet, which
has fueled demand for better and ever­faster computers, has happened so quickly and spread so
rapidly over the last few years that many people imagine it to be an invention of the last decade.
Despite appearances however, the Internet is already over 25 years old. In fact, its origins lie in the
dark days of the cold war. Back then, many went to bed in genuine fear that they might wake up to a
nuclear winter if ever the balance of power got tilted, as the big blocs, the United States, the Soviet
Union, and China, jockeyed for position and sought to spread their influences, ideals, and political
and social philosophies.
Back in the 1960s, military and governmental authorities in the United States decided to create a
computer network that could survive a nuclear war and still allow strategic operation centers to
communicate with one another. in 1967, the Department of Defense distributed a plan to connect
four sites: UCLA, the Stanford Research Institute, the University of California at Santa Barbara, and
the University of Nevada. The system was called ARPANET, Advanced Research Projects Agency
Network. The four sites had computers that could communicate with each other, exchange scientific
data, compare the results of experiments, and be programmed remotely. Alongside ARPANET
however, other networks were being created mainly as messaging systems. Each had its own method
of communicating, and in many cases, they were not compatible with each other. As ARPANET
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evolved, it became a main goal to allow communications to flow between the disparate computer
systems, creating a group of interconnected networks which became shortened to “Internet”.
Information is the basic stuff of society, politics, and family life. Reduced of their essentials, all
cultures are made up of information, complex sets of beliefs and ideas, exchanged between family
members and the communities in which they live. The information revolution is reshaping
everything. Information systems are becoming faster, more efficient, more interconnected, and this is
having the most profound effects on almost every culture.
It would seem however, that our industrialized world has erected these immensely complicated
structures on shaky foundations, and that poses huge risks because the global economy is now totally
dependent upon them working properly. With dependence comes vulnerability, and that could pose a
very real threat to national security. In fact, it can pose a threat to our whole society. In today’s
electronic environment, the new enemies of the civilized world use laptop computers with satellite
uplinks and heavily encrypted messages to liaise across frontiers with their global underground
networks. There is no shortage of recipes for terrorists on the Internet, step by step cookbooks for
hackers, crackers, and cyber terrorists. In an address to the US Naval Academy in 1998, President
Clinton outlined the magnitude of the new electronic dangers.
Even traditionally friendly nations have used their electronic skills to penetrate the systems of high
tech corporations and have stolen billions in proprietary secrets. Policing the streets is fine, but how
can you police the information superhighway? Attacks using keyboards may not draw blood, but
they can paralyze a nation’s vital nerve centers. The keyboard may be less dramatic than the smoking
gun, but it has already proved just as destructive. Information warfare specialists at the Pentagon, for
example, are convinced that a properly prepared and well coordinated attack by some 30 expert
computer hackers, strategically located around the world and with a budget of less than $10 million,
could bring the United States to its knees. In 1997 a team of specialists carried out an exercise
designed to find out just how easy it would be to penetrate US cyber defenses and take control. Far
too easy, was that their verdict.
Eligible Receiver was intended to test our national ability to respond to cyber attacks. This was
called a Red Team, 35 men were testing the vulnerabilities of our own systems, within our
Department of Defense. And they proved that they could have shut down a huge percentage of our
electric power in the United States as well as totally disable our command and control system in the
Pacific. These 35 people were using tools that were available to anyone on the Internet. They weren’t
using super weapons. These were tools that anyone can gain access to, such as rootkit, Rbone,
SATAN, and these other tools. And there are currently 1,900 such sites on the Internet that you can
gain access to these tools and techniques. So this isn’t a threat that is only for big nations. Anyone
can engage in information warfare.
In the United States especially, attacks by hackers on federal agencies have grown dramatically.
Internet users now number 120 million and rising fast. 70 million of them are in the United States.
It’s been estimated that by 2005, 1 billion people, that’s one in six of the world population, will be
online. A new web site is open every four seconds. The challenges to intelligence and law
enforcement’s agencies grow at the same dizzying pace. At the beginning of the 1990s a computer
hard drive seized in a criminal investigation would contain some 50,000 pages of text. Now police
authorities may have to deal with up to 50 million pages. By coupling supercomputers, scientists
have achieved speeds of 10 trillion operations a second. Today’s latest desktop personal computers
have the speed and storage capacity of yesterday’s supercomputers. Logic bombs, Trojan horses,
worms, and viruses are the means by which enemies can take on a superpower no longer vulnerable
to conventional weapons. But as the weapons change, so have the tactics.
I think that, yes, a strong attack is normally the best defense. But not in cyberspace. Why? Because
many of our adversaries, they can go without electric power for days. The terrorists, they have a hard
drive to lose. We have an entire country that’s based on these insecure foundations. We have much
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more to lose and hence are much more vulnerable. I’m more in the side of information assurance, or
information security. The defensive side, in this case, is much more important than the offensive
side. Anyone can engage in this. You cannot deter, with nuclear weapons deterrence was a very
important factor in determining our policies. Unfortunately here, they may not be on our radar
screen. It’s not a small club. It’s not an exclusive club. Everyone can engage. And we have much
more to lose.
Washington, D.C. It’s in the seat of power that most of the key decisions are taken. It’s a city rich in
landmarks familiar around the world. Among them is the J. Edgar Hoover building off Pennsylvania
Avenue. It is, of course, the headquarters of the Federal Bureau of Investigation. The FBI has
featured in so many movies and TV shows that it’s almost certainly the world’s best known law
enforcement agency. First created in 1908, it came into prominence under the leadership of J. Edgar
Hoover, who ran the bureau from 1924 until his death in 1972. It was during the prohibition period
that the FBI came to the attention of the American people. This impressive collection of firearms
seized by FBI agents is among the exhibits on display in a public part of the building, where a tour
guide recounts the history of the Bureau and explains how the famous G­Men ended the careers of
some of the most famous criminals in the world.
He is perhaps the most notorious of all gangsters. John Dillinger was responsible for killing ten
people­­
Here, there’s a unique, if grisly, exhibit. The death mask of John Dillinger, once considered Public
Enemy Number One. Times have changed, so have crime busting techniques. But as the tools for
solving crime become more sophisticated, new kinds of crime present fresh challenges. The FBI
today is still engaged in its role of combating organized crime, fraud, and espionage. But it is also
spearheading the US government’s determined battle against cyber crime. To this end, the NIPC has
been set up, the National Infrastructure Protection Center, where all the major government agencies
pool their knowledge and resources to work together in an effort coordinated by the FBI. Foreign
governments have representatives here, so does the private sector. Cooperation now may help
forestall a damaging attack launched electronically.
The fact that all these different infrastructures are interrelated, interconnected, if one hacker’s able to
take down Wall Street, what would be the effects of that on our economy, on our daily operations of
the United States? We just don’t know. If hackers somehow could manage to wipe out all the records
of all the last year’s trading on the stock market, what effect would that have on­­ If hackers were
able to bring down the power grid at will, how would that affect us? If hackers were able to hack in
and get control of the air traffic control system?
It’s not hard to imagine the effect if terrorists disabled air traffic control systems, or interfered with
information on airplane movements. But that’s not the only risk. Nuclear power plants might also be
vulnerable. Cyber attacks could also be launched against the emergency services, or against public
utilities like gas, electricity, or water. Even hospitals could be targeted. In the post­superpower age,
it’s impossible to predict what the target might be, when it might be hit, or indeed, who may launch
an attack.
The anonymity of cyberspace is very important here. You don’t know who’s on the clickity­clack of
the keyboard. Who’s breaking into my system? Is it a kid? Is it a foreign intelligence service? Is it a
competitor for economic espionage? You don’t know when it’s occurring, and it takes days to do
robust investigations to identify the perpetrators. That, to me, is an important gap that needs to be
filled in terms of intelligence and law enforcement. We do not have any capabilities to provide
warning of attacks now, nor do we know who they are. And as we speak, as we speak now, there are
also big attacks on our Pentagon. And again, we don’t know who it is. So do we respond militarily?
Its anonymous. It’s invisible. You don’t see it. So we don’t know. We don’t know if this is actually an
aggressor with hostile intent or whether it’s a kid. And I think that that’s something in my eyes that’s
the biggest concern about cyberspace. It’s this global village, no police department, and bottom line
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is we don’t know who it is. It’s made for proxy warfare.
The new tools of information technology can blend fact and fiction in ways not easily discernible to
decision makers. The Internet can also serve as a global superhighway for disinformation. For the
need for ever­faster decisions in the highly competitive world of commerce, there’s a danger that
those decisions may be based on false information. Just as pilots, astronauts, special agents, and even
mercenaries must undergo training, so hackers and crackers can be turned into a worldwide network
united in a political, or criminal, goal.
That goal may be, as it was for the Supreme Truth cult in Japan when it launched a sarin gas attack
on the Tokyo subway in 1995, nothing less than the total collapse of world capitalism. More and
more, net watchers are seeing groups of political activists, extremists, and even terrorist
organizations with their own websites. From the Marxist or Maoist left, to the neo­Nazi far right.
This way they can keep in contact with like­minded people around the world in a process that
sidesteps whatever legal measures their governments may have enforced to contain or curtail their
activities.
To date we’ve only had one confirmed terrorist group denied service. And that was the Tamil Tigers
in Sri Lanka, who disabled command and control systems of US Embassy communications. But
that’s the first, that’s a harbinger of what you’re going to see a lot more of. And a number of other
terrorist organizations have a presence on the net. Hamas, Hezbollah, the Shining Path. By and large
though, they are using their web pages for fundraising, for recruiting, for propaganda, much of it
disinformation, and for alliances of convenience. But that’s how they use it as a tool. You’re also
seeing a number of terrorist organizations, though, who see our dependency and will look at it as a
weapon. And that’s what I’m most concerned about.
For those with political aims that are well outside the mainstream, the Internet provides the
opportunity to incite hatred, publish propaganda, and to give slogans to followers. But for terrorists,
information warfare is by no means the only option open to them. They can cause far more damage
than that. For the truly dedicated group prepared to take concerted action to achieve their goal, the
tactics available to them online can be terrifying to contemplate, augmenting, and making worse, the
headline grabbing horror of violent, direct action.
Information warfare may not be the ultimate means. If you’re a terrorist you don’t want to abandon
the bomb. The bomb gets headlines. The target’s not the hundreds killed, but the many thousands and
millions watching it on TV. That’s the target of the terrorist. Now imagine if you have a terrorist who
uses the bomb, and then uses information warfare to disrupt Emergency 911 communications. So
your policemen, your firemen, your EMTs can’t respond to the crisis. That enhances the lethality by
many times. So it’s a multiplier. It augments the aggressor, and makes him many times more lethal.
That, in my eyes, is the ultimate concern.
Security is no longer defined by well­trained, well­equipped armies standing between the aggressor
and the homeland. The weapons of information warfare can outflank and circumvent military
organizations and compromise the communications and technology upon which both military and
civilian infrastructures depend. In this case, the enemy is not even in the line of fire. The battlefield
has shifted from the place where military operations determine the winner. It’s now an electronic
battlefield where a lone operator can cause as much damage as a whole battalion. Virtual
corporations, cashless electronic transactions, and economies based on just­in­time deliveries, make
our entire commercial and industrial sector vulnerable to a cyber attack that could be just as
damaging as an attack on actual material stores.
It’s an enormous challenge for law enforcement agencies like the FBI, who find themselves
struggling to keep up with criminals who’ve adapted to the new communications medium. Where
they find it easier than ever to carry out crimes that, in other forms, and by other means, are only too
familiar.
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Computer facilitated crimes are just like the same violations that we see on the telephone, for
Internet fraud, telemarketing fraud, things like that. We’re seeing them in the Internet arena. They’re
using them right now. We see it in everything that we’re doing. We see it in financial institution
fraud, FIF. For online banking, in check fraud. We see it in government and health care fraud. In
addition to that, we see advance fee schemes, Ponzi schemes. We even see intellectual property
crime, where they’re stealing software, music, and film. Also, the Internet Fraud Watch developed
six types of major frauds that they’re reported. Here’s what they are: Web auctions, general
merchandise frauds, Internet services, computer equipment software, pyramid money laundering
schemes, business opportunities, work­at­home plans, advance fee, credit card repair, credit card
issuer. Now these type of frauds that we’re seeing over the Internet, same stuff that we’ve seen in
wire frauds where people call them and victimize people, it’s just we’re seeing it over the Internet
now.
New York City, for a lot of people here, life’s pretty good. And there can be few more exciting cities
in which to enjoy the affluence the age of electronic communications has brought them. Of the 30
million American households online, nearly one in three troll the Internet for advice on investments,
or to research securities they’re thinking about buying. According to a recent survey, around 3
million Internet users in the US have online trading accounts, and that number is expected to rise to
14 million within the next three years. And wherever honor citizens are prepared to part with their
hard earned cash, there are always those who are going to try to ensure they never see it again.
Not so long ago, most security trading was done on the floor of the stock exchange. Conning
investors then was hard work. Most stock frauds involved microcap stocks, small, mainly start­up
companies, or other securities no one has heard of. For con artists working the traditional way, it
meant hours hunched over telephones making calls. Today, a single email or website can reach
millions of potential investors anywhere in the world, instantly, effortlessly, and with a greatly
diminished chance of being caught. And there are so many options open to the enterprising crook.
With a convincing website a clever confidence trickster can, for instance, artificially boost the value
of the stock he or she has bought, offloading it later at a massive profit, and leaving hapless investors
wondering why their rosey­looking investment went pear­shaped. It’s called “pump and dump”, and
it’s the same method used by crooked dealers in London …
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