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Cybersecurity Powerpoint

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Read the "Design Case " sections on each chapter of the book to complete the assignment.

Information Security and IT Risk Management Manish Agrawal, Ph.D. Associate Professor Information Systems and Decision Sciences University of South Florida

Alex Campoe, CISSP Director, Information Security University of South Florida

Eric Pierce Associate Director, Information Security University of South Florida

Vice President and Executive Publisher Don Fowley Executive Editor Beth Lang Golub Editorial Assistant Jayne Ziemba Photo Editor Ericka Millbrand Associate Production Manager Joyce Poh Cover Designer Kenji Ngieng

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iii

Table of Contents

List of Figures xi Preface xvii

Chapter 1 — Introduction 1

Overview ................................................................................................................ 1

Professional utility of information security knowledge ......................................... 1

Brief history ............................................................................................................ 5

Defi nition of information security ........................................................................ 11

Summary .............................................................................................................. 14

Example case – Wikileaks, Cablegate, and free reign over classifi ed networks ........................................................................................... 14

Chapter review questions...................................................................................... 15

Example case questions ........................................................................................ 16

Hands-on activity – Software Inspector, Steganography...................................... 16

Critical thinking exercise: identifying CIA area(s) affected by sample real-life hacking incidents.................................................................... 21

Design case ........................................................................................................... 21

Chapter 2 — System Administration (Part 1) 26

Overview .............................................................................................................. 26

Introduction .......................................................................................................... 26

What is system administration? ............................................................................ 27

System administration and information security .................................................. 28

Common system administration tasks .................................................................. 29

System administration utilities ............................................................................. 33

Summary .............................................................................................................. 37

Example case – T. J. Maxx ................................................................................... 37

Chapter review questions...................................................................................... 39

iv Table of Contents

Example case questions ........................................................................................ 40

Hands-on Activity – Linux system installation .................................................... 40

Critical thinking exercise – Google executives sentenced to prison over video ............................................................................................. 48

Design case ........................................................................................................... 49

Chapter 3 — System Administration (Part 2) 51

Overview .............................................................................................................. 51

Operating system structure ................................................................................... 51

The command-line interface ................................................................................. 53

Files and directories .............................................................................................. 53

Moving around the fi lesystem – pwd, cd ............................................................. 54

Listing fi les and directories .................................................................................. 55

Shell expansions ................................................................................................... 56

File management .................................................................................................. 57

Viewing fi les ......................................................................................................... 59

Searching for fi les ................................................................................................. 60

Access control and user management .................................................................. 61

Access control lists ............................................................................................... 64

File ownership ...................................................................................................... 65

Editing fi les ........................................................................................................... 66

Software installation and updates ......................................................................... 67

Account management ........................................................................................... 72

Command-line user administration ...................................................................... 75

Example case – Northwest Florida State College ................................................ 77

Summary .............................................................................................................. 78

Chapter review questions...................................................................................... 78

Example case questions ........................................................................................ 79

Hands-on activity – basic Linux system administration ....................................... 79

Critical thinking exercise – offensive cyber effects operations (OCEO) .......................................................................................... 80

Design Case .......................................................................................................... 80

Table of Contents v

Chapter 4 — The Basic Information Security Model 82

Overview .............................................................................................................. 82

Introduction .......................................................................................................... 82

Components of the basic information security model .......................................... 82

Common vulnerabilities, threats, and controls ..................................................... 90

Example case – ILOVEYOU virus ....................................................................... 99

Summary ............................................................................................................ 100

Chapter review questions.................................................................................... 100

Example case questions ...................................................................................... 101

Hands-on activity – web server security ............................................................ 101

Critical thinking exercise – the internet, “American values,” and security ........ 102

Design case ......................................................................................................... 103

Chapter 5 — Asset Identifi cation and Characterization 104

Overview ............................................................................................................ 104

Assets overview .................................................................................................. 104

Determining assets that are important to the organization ................................. 105

Asset types .......................................................................................................... 109

Asset characterization ......................................................................................... 114

IT asset life cycle and asset identifi cation .......................................................... 119

System profi ling ................................................................................................. 124

Asset ownership and operational responsibilities ............................................... 127

Example case – Stuxnet ...................................................................................... 130

Summary ............................................................................................................ 130

Chapter review questions.................................................................................... 131

Example case questions ...................................................................................... 131

Hands-on activity – course asset identifi cation .................................................. 132

Critical thinking exercise – uses of a hacked PC ............................................... 132

Design case ......................................................................................................... 133

Chapter 6 — Threats and Vulnerabilities 135

Overview ............................................................................................................ 135

Introduction ........................................................................................................ 135

vi Table of Contents

Threat models ..................................................................................................... 136

Threat agent ........................................................................................................ 137

Threat action ....................................................................................................... 149

Vulnerabilities..................................................................................................... 162

Example case – Gozi .......................................................................................... 167

Summary ............................................................................................................ 168

Chapter review questions.................................................................................... 168

Example case questions ...................................................................................... 168

Hands-on activity – Vulnerability scanning ....................................................... 169

Critical thinking exercise – Iraq cyberwar plans in 2003 ................................... 174

Design case ......................................................................................................... 174

Chapter 7 — Encryption Controls 176

Overview ............................................................................................................ 176

Introduction ........................................................................................................ 176

Encryption basics ............................................................................................... 177

Encryption types overview ................................................................................. 181

Encryption types details ..................................................................................... 187

Encryption in use ................................................................................................ 194

Example case – Nation technologies .................................................................. 197

Summary ............................................................................................................ 198

Chapter review questions.................................................................................... 198

Example case questions ...................................................................................... 199

Hands-on activity – encryption .......................................................................... 199

Critical thinking exercise – encryption keys embed business models ............................................................................................. 205

Design case ......................................................................................................... 206

Chapter 8 — Identity and Access Management 207

Overview ............................................................................................................ 207

Identity management .......................................................................................... 207

Access management ........................................................................................... 212

Authentication .................................................................................................... 213

Table of Contents vii

Single sign-on ..................................................................................................... 221

Federation ........................................................................................................... 228

Example case – Markus Hess ............................................................................. 237

Summary ............................................................................................................ 239

Chapter review questions.................................................................................... 239

Example case questions ...................................................................................... 240

Hands-on activity – identity match and merge ................................................... 240

Critical thinking exercise – feudalism the security solution for the internet? ............................................................................................. 244

Design case ......................................................................................................... 245

Chapter 9 — Hardware and Software Controls 247

Overview ............................................................................................................ 247

Password management ....................................................................................... 247

Access control .................................................................................................... 251

Firewalls ............................................................................................................. 252

Intrusion detection/prevention systems .............................................................. 256

Patch management for operating systems and applications ............................... 261

End-point protection ........................................................................................... 264

Example case – AirTight networks ..................................................................... 266

Chapter review questions.................................................................................... 270

Example case questions ...................................................................................... 270

Hands-on activity – host-based IDS (OSSEC) ................................................... 271

Critical thinking exercise – extra-human security controls ................................ 275

Design case ......................................................................................................... 275

Chapter 10 — Shell Scripting 277

Overview ............................................................................................................ 277

Introduction ........................................................................................................ 277

Output redirection ............................................................................................... 279

Text manipulation ............................................................................................... 280

Variables ............................................................................................................. 283

Conditionals ........................................................................................................ 287

viii Table of Contents

User input ........................................................................................................... 290

Loops .................................................................................................................. 292

Putting it all together .......................................................................................... 299

Example case – Max Butler ................................................................................ 301

Summary ............................................................................................................ 302

Chapter review questions.................................................................................... 303

Example case questions ...................................................................................... 303

Hands-on activity – basic scripting .................................................................... 303

Critical thinking exercise – script security ......................................................... 304

Design case ......................................................................................................... 305

Chapter 11 — Incident Handling 306

Introduction ........................................................................................................ 306

Incidents overview .............................................................................................. 306

Incident handling ................................................................................................ 307

The disaster ......................................................................................................... 327

Example case – on-campus piracy ..................................................................... 328

Summary ............................................................................................................ 330

Chapter review questions.................................................................................... 330

Example case questions ...................................................................................... 331

Hands-on activity – incident timeline using OSSEC ......................................... 331

Critical thinking exercise – destruction at the EDA ........................................... 331

Design case ......................................................................................................... 332

Chapter 12 — Incident Analysis 333

Introduction ........................................................................................................ 333

Log analysis ........................................................................................................ 333

Event criticality .................................................................................................. 337

General log confi guration and maintenance ....................................................... 345

Live incident response ........................................................................................ 347

Timelines ............................................................................................................ 350

Other forensics topics ......................................................................................... 352

Example case – backup server compromise ....................................................... 353

Table of Contents ix

Chapter review questions.................................................................................... 355

Example case questions ...................................................................................... 356

Hands-on activity – server log analysis .............................................................. 356

Critical thinking exercise – destruction at the EDA ........................................... 358

Design case ......................................................................................................... 358

Chapter 13 — Policies, Standards, and Guidelines 360

Introduction ........................................................................................................ 360

Guiding principles .............................................................................................. 360

Writing a policy .................................................................................................. 367

Impact assessment and vetting ........................................................................... 371

Policy review ...................................................................................................... 373

Compliance ......................................................................................................... 374

Key policy issues ................................................................................................ 377

Example case – HB Gary ................................................................................... 378

Summary ............................................................................................................ 379

Reference ............................................................................................................ 379

Chapter review questions.................................................................................... 379

Example case questions ...................................................................................... 380

Hands-on activity – create an AUP ..................................................................... 380

Critical thinking exercise – Aaron Swartz .......................................................... 380

Design case ......................................................................................................... 381

Chapter 14 — IT Risk Analysis and Risk Management 382

Overview ............................................................................................................ 382

Introduction ........................................................................................................ 382

Risk management as a component of organizational management .................................................................................................. 383

Risk-management framework ............................................................................ 384

The NIST 800-39 framework ............................................................................. 385

Risk assessment .................................................................................................. 387

Other risk-management frameworks .................................................................. 389

IT general controls for Sarbanes–Oxley compliance ......................................... 391

x Table of Contents

Compliance versus risk management ................................................................. 398

Selling security ................................................................................................... 399

Example case – online marketplace purchases ................................................... 399

Summary ............................................................................................................ 400

Chapter review questions.................................................................................... 400

Hands-on activity – risk assessment using lsof ................................................. 401

Critical thinking exercise – risk estimation biases ............................................. 403

Design case ......................................................................................................... 403

Appendix A — Password List for the Linux Virtual Machine 404 Glossary 405 Index 413

xi

List of Figures

Figure 1.1: Classifi cation of information security analysts 2

Figure 1.2: Time-consuming activities for information security professionals 4

Figure 1.3: Training needs identifi ed by information security professionals 4

Figure 1.4: ILOVEYOU virus 7

Figure 1.5: T.J. Maxx 8

Figure 1.6: Defaced Georgian foreign ministry website 9

Figure 1.7: Google-China offi ces 10

Figure 1.8: Online Software Inspector 17

Figure 1.9: PC audit report 18

Figure 1.10: Contents of Downloads folder for Steganography exercise 19

Figure 1.11: Commands to hide text fi les at the end of image fi les 19

Figure 1.12: Manipulated images among original images 20

Figure 1.13: Opening image fi les in Notepad 20

Figure 1.14: Secret message hidden at the end of the image fi le 21

Figure 1.15: Sunshine State University funding sources 23

Figure 1.16: Extract from the organization structure of Sunshine State University 24

Figure 2.1: Paul Ceglia 32

Figure 2.2: Windows desktop usage—April 2013 33

Figure 2.3: System Center Operation Manager 34

Figure 2.4: Unix family tree 36

Figure 2.5: Albert Gonzalez, at the time of his indictment in August 2009 38

Figure 2.6: T J Maxx sales (2005–2010) 39

Figure 2.7: Virtual machine structure 41

Figure 2.8: VirtualBox download page 41

Figure 2.9: VirtualBox installer welcome screen 42

Figure 2.10: Default install Location 42

Figure 2.11: VirtualBox install confi rmation 43

Figure 2.12: VirtualBox manager 43

Figure 2.13: Default setting for OS import 44

Figure 2.14: Virtual machine in Virtual machine manager 45

Figure 2.15: CPU error 45

xii List of Figures

Figure 2.16: Enabling PAE 46

Figure 2.17: Attach the VM to NAT 46

Figure 2.18: CentOS VM login screen 47

Figure 2.19: CentOS Linux desktop 47

Figure 2.20: Sunshine State University email infrastructure 50

Figure 3.1: Operating system structure 51

Figure 3.2: Reaching the command prompt window 53

Figure 3.3: Unix fi le hierarchy 54

Figure 3.4: vimtutor interface 67

Figure 3.5: Reaching users and groups manager 73

Figure 3.6: Adding users 74

Figure 3.7: Group manager 74

Figure 4.1: The basic information security model 83

Figure 4.2: Example CVE listing at the time of reporting 85

Figure 4.3: NVD entry for the CVE listing 86

Figure 4.4: ATLAS web interface 88

Figure 4.5: Phishing example 95

Figure 4.6: Adobe Flash zero-day exploit launched on February 28, 2011 96

Figure 4.7: Exploit usage 98

Figure 4.8: Using a browser on the VM 102

Figure 5.1: J-20 fi ghter 108

Figure 5.2: The elements of asset characterization 118

Figure 5.3: Generic IT asset life cycle 119

Figure 5.4: Student Information System 125

Figure 5.5: Uses of a hacked PC 133

Figure 6.1: Threat model 136

Figure 6.2: Threat agents over time by percent of breaches 137

Figure 6.3: External agents 137

Figure 6.4A: Chinese J-20 jet 138

Figure 6.4B: Lockheed F-22 jet 138

Figure 6.5: Internal agents 144

Figure 6.6: Partners 146

Figure 6.7: Edward Snowden 147

Figure 6.8: Datagram ISP goes down with Hurricane Sandy 149

Figure 6.9: Melissa error message 150

Figure 6.10: High level XSS attack 155

List of Figures xiii

Figure 6.11: Bonzi buddy 158

Figure 6.12: Top vendor vulnerability breakdown 163

Figure 6.13: Firefox certifi cate exception 171

Figure 6.14: GSA main screen 171

Figure 6.15: New Task confi guration 172

Figure 6.16: Starting a new scan 172

Figure 6.17: Viewing scan details 173

Figure 6.18: Report page 173

Figure 7.1: Encryption and decryption in context 177

Figure 7.2: Reference to Caesar cipher 178

Figure 7.3: Secret key cryptography overview 182

Figure 7.4: Public-key cryptography overview for data transmission 183

Figure 7.5: Using public-key encryption for digital signatures 184

Figure 7.6: Checksums example 186

Figure 7.7: Generic form of block encryption 188

Figure 7.8: Electronic code book 189

Figure 7.9: Cipher block chaining 190

Figure 7.10: Hash functions 194

Figure 7.11: Public-key certifi cation process 195

Figure 7.12: CAs in browser 196

Figure 7.13: Untrusted certifi cate 197

Figure 7.14: GPG passphrase dialog 202

Figure 8.1: Identity and access management 208

Figure 8.2: Match/Merge fl owchart 211

Figure 8.3: Smart card in a USB card reader 215

Figure 8.4: Hardware token 216

Figure 8.5: Fingerprint with minutia highlighted 219

Figure 8.6: Iris scanning in the Dubai Airport 220

Figure 8.7: Kerberos ticket exchange 224

Figure 8.8: Token-based authentication 226

Figure 8.9: Central authentication service 227

Figure 8.10: Discovery service for the InCommon federation 229

Figure 8.11: SSO with a SAML federation 230

Figure 8.12: OpenID 233

Figure 8.13: OpenID 2.0 provider selection screen 234

Figure 8.14: http://trendsmap.com 235

Figure 8.15: OAuth token passing 236

http://trendsmap.com
xiv List of Figures

Figure 8.16: Application UserId and ProviderUserId 237

Figure 8.17: Intruder’s attack path to military establishments 238

Figure 8.18: Confi guration QR code 243

Figure 8.19: Google Authenticator (iOS) 244

Figure 9.1: Access matrix example 252

Figure 9.2: Typical fi rewall 253

Figure 9.3: Perimeter fi rewalls and demilitarized zones 255

Figure 9.4: Windows fi rewall blocking http 257

Figure 9.5: Windows fi rewall allowing http 258

Figure 9.6: Typical competitor console, circa 2003 267

Figure 9.7: AirTight console, circa 2005 268

Figure 9.8: /var/ossec/etc/ossec.conf (after change) 273

Figure 9.9: OSSEC-WebUI 274

Figure 9.10: Superb Fairy-Wrens, 40% success rate with security controls 275

Figure 11.1: IRT interactions 311

Figure 11.2: IRT communications 313

Figure 11.3: DollSays 314

Figure 11.4: Website defacement example 318

Figure 11.5: PII search 319

Figure 11.6: OSSEC, a popular fi le integrity tool 320

Figure 11.7: Typical logs consolidated 321

Figure 11.8: Log analysis 322

Figure 11.9: End point protection example 323

Figure 11.10: Containment, eradication, and recovery timeline 325

Figure 12.1: Event Viewer Screen on Windows 8 334

Figure 12.2: Summary of Administrative Events pane 335

Figure 12.3: Recently viewed nodes 335

Figure 12.4: Log Summary pane 335

Figure 12.5: - Informational event screenshot 336

Figure 12.6: Windows Administrative Events view 337

Figure 12.7: syslog fi le evidence 339

Figure 12.8: auth.log fi le 340

Figure 12.9: Sample run of last 342

Figure 12.10: Output of w command 343

Figure 12.11: Security Log snapshot 346

Figure 12.12: Log consolidation 347

Figure 12.13: Output of system info program 348

Figure 12.14: The sfc command 349

Figure 12.15: Windows MAC timestamps 351

Figure 12.16: File Explorer with timestamps 351

Figure 12.17: Sample timeline 352

Figure 12.18: Information Security and IT Risk Management is not affi liated with or otherwise sponsored by Dropbox, Inc. 353

Figure 13.1: Policy, standard, and guideline 364

Figure 13.2: Compliance 374

Figure 14.1: NIST 800-39 risk-management framework 386

Figure 14.2: Threat model 388

Figure 14.3: Risk assessment model 389

Figure 14.4: Sarbanes–Oxley auditing guidelines workfl ow for impact on IT 397

List of Figures xv

xvii

Preface

Unlike the problem facing the Superb Fairy-Wren (front cover), most information security problems we humans face are not matters of life and death (for more on the Wren’s problem, please see the critical thinking question in chapter 9). However, they are vexing, expensive and frequent enough to make information security a contemporary profession and the topic of infor- mation security a worthwhile subject to study.

This book is designed to serve as the textbook for a one-semester course devoted to infor- mation security. It is focused on helping students acquired the skills sought in the professional workforce.

We start by introducing the professional environment of information security. After the student is convinced of the merits of the subject, the book introduces the basic model of infor- mation security consisting of assets, vulnerabilities, threats and controls. The rest of the course is devoted to characterizing assets, vulnerabilities and threats and responding to them using security controls. The book ends by integrating all these topics within the general umbrella of organizational risk management. At the end of the course, students should have an awareness of how information security concerns have evolved in our society and how they can use contem- porary frameworks to respond to these concerns in a professional environment.

The book comes with a full set of end-of-chapter exercises. There are fi ve kinds of exer- cises at the end of every chapter:

1. Traditional end-of-chapter questions are designed to improve student understanding and recall of common topics in information security.

2. An example case at the end of each chapter allows students to apply the knowledge in the chapter to business contexts.

3. There is a threaded design case running through all the chapters in the book. In this case, students play the role of the Chief Information Security offi cer of a typical state univer- sity and are confronted with situations related to the topics discussed in the chapter. They are required to analyze and evaluate the situation in light of the knowledge in the chapter to create a solution that addresses the present problem.

4. A critical thinking exercise introduces students to analogous situations and relate the ideas from the chapter to these situations. The problem confronting the Superb Fairy- Wren falls in this category.

5. Finally, each chapter has a detailed hands-on activity using a customized distribution of the CentOS Linux OS to be installed as a virtual machine using VirtualBox. We take great pride in this aspect of the book. We have carefully selected exercises that will help students become familiar not only with rudimentary information security tasks, but also with Linux systems administration. Eric in particular, has spent countless hours testing,

xviii Preface

curating and maintaining the distribution. You may download the distribution from the textbook’s companion website.

While the book is self-suffi cient without the hands-on activity, this content is in direct response to employer demands and we do hope you will give your students the advantage of this aspect of the text. Chapters 2 and 3 introduce the basic setup and usage of the virtual machine. The instructions are detailed enough for students to be able to complete the exercises on their own.

When using the book, class time may be used in various ways. A traditional lecture for- mat will work very well. Instructors interested in using class-time for more interactive activities will fi nd that the end-of-chapter activities are a very useful way to use class time.

The author team integrates the different perspectives necessary to teach information secu- rity to an aspiring professional. Manish Agrawal is an MIS faculty member who designed this course and has taught it to MIS and Accounting students at the University of South Florida for over 5 years now. Alex Campoe is the Director of Information Security at the University of South Florida where he is at the frontline of the university’s information security activities including incident response, policy development and compliance. Eric Pierce is responsible for identity management at the university. Many of the topics covered in the book are informed by their knowledge of the most important day-to-day activities that fall under the information security umbrella.

The Superb Fairy-Wren, though not strictly facing an information security problem, hap- pens to use a solution that adopts many of the information security controls discussed in the text. The context also includes all the components of our basic information security model – assets in the form of the life of offspring, vulnerabilities in the form of delayed hatching, threats in the form of parasitic birds and controls including passwords. We think it succinctly describes the text.

We are eager to hear any comments you may have about the book – suggestions for improvement, errors and omissions, bugs in the virtual machine, and any other issues you may encounter. We will do our best to respond directly to you with corrections, and also address them as errata to be published on the textbook companion site. We obviously would also like to hear complementary things if the book helped improve your understanding of the subject, improved your teaching, helped you land a job, or helped you on the job. Those comments can give us indications on how to strengthen future editions of the book. Comments may be sent to the fi rst author at magrawal@usf.edu.

mailto:magrawal@usf.edu
1

CHAPTER 12

Overview This chapter motivates the topic of information security and lays out the structure for the rest of the text. At the outset, we describe why information security is a useful area of study with the hope of getting you excited in the topic. We then provide a brief history of the subject, highlight- ing important developments that have led to the current state of the industry. Finally, we outline the procedures adopted by the industry to maintain information security. These procedures will be examined in detail in the rest of the book. At the end of this chapter, you should know:

• Why information security is an important topic for everyone today • The important developments that led to the current state of the information security

industry • Key terms used in information security • Broad outlines of the procedures used in the industry to maintain information

security

Professional utility of information security knowledge If you are reading this book as part of a college course, it is probably offered by a profes- sional school – business, information, or engineering for example. These schools are expected to graduate students who can hit the ground running when they join the work force. Naturally, we expect that the question foremost on the minds of students in these college is – where are the jobs? What is the professional relevance of this subject? What is the demand for professionals in this subject? What drives organizations to hire graduates with skills in this subject? When hired, what are graduates in this subject typically expected to do? What competencies will help graduates meet or exceed these expectations of employers? Before you decide to spend any more time with this book or the subject of information security, we would like to take this topic head-on and address these issues.

Demand estimates

The standard source for employment estimates is the Bureau of Labor Statistics 1 (BLS), a government agency that gathers employment statistics from extensive surveys of employers. BLS has created a taxonomy called the “standard occupational classifi cation (SOC)” for all the major occupational categories. Information security analysts are given the SOC identifi er 15-1122 (Figure 1.1 ). They fall under the major group of “Computer and mathematical occupa- tions (15-0000).” Statistics for information security analysts is aggregated along with those for

Introduction CHAPTER 1

1 http://www.bls.gov/

http://www.bls.gov/
2 CHAPTER 1 Introduction

web developers and computer network architects and may be obtained from the BLS website. 2 The total employment for this group in May 2010 was estimated to be 243,330, with a mean annual wage of $79,370.

Other sources for obtaining estimates of the demand for information security profession- als are the professional certifi cate action organizations involved in the industry. One of the lead- ing organizations is (ISC). 2 Based on a survey of over 10,000 information security professionals around the globe, this organization estimated that there were approximately 2.28 million infor- mation security professionals worldwide in 2010, of who over 900,000 were in the Americas. This number was also estimated to be growing at over 13%. 3 The average annual compensation was estimated at over $78,000. The wide difference in estimated employment between the two surveys could be attributed to a difference in the characteristics of the organizations sampled by the two surveys. It may however be noted that both surveys are quite consistent in their esti- mates of average annual compensation.

Demand drivers

A number of factors are driving the demand for information security professionals. Primary among these is the increasing criticality of information to individuals and organizations and the resulting increase in the amounts of information gathered by organizations and stored in com- puter systems for easy retrieval. Possession of a username and password combination could be more useful to a thief today than possession of a $100 bill. A successful attack at a bank or other commercial establishment could yield hundreds of thousands of vetted username and password combinations. The most motivated attackers are therefore increasingly targeting information stores rather than physical stores.

2 http://www.bls.gov/oes/current/oes151179.htm 3 https://www.isc2.org/uploadedFiles/Landing_Pages/NO_form/2011GISWS.pdf

F IGURE 1 .1 Classifi cation of information security analysts

All occupations

11-0000 Management occupations

...

15-0000 Computer and mathematical

occupations

15-1110 Computer and information

research scientists

15-1120 Computer and information

analysts

15-1121 Computer

systems analysts

15-1122 Information

security analysts 15-1130 Software developers and programmers

...

...

55-0000 Military specific

occupations

http://www.bls.gov/oes/current/oes151179.htm
https://www.isc2.org/uploadedFiles/Landing_Pages/NO_form/2011GISWS.pdf
Professional utility of information security knowledge 3

Even as information is becoming more valuable, unwittingly, users are also making it easier for attackers to obtain this valuable information. For example, most users use a small set of usernames and passwords wherever usernames and passwords are required. They also often prefer that their devices remember these usernames and passwords to save typing effort at websites. Now consider what happens if an attacker is able to lay their hands on a laptop, tablet, or other mobile device belonging to a user in possession of sensitive information. The attacker could easily get access to hundreds of thousands of records with minimal effort. With millions of knowledge workers leaving their workplaces with billions of mobile devices every day, organizations are compelled to act proactively to ensure that they do not appear on the front pages of newspapers and TV channels for losing customer information or other sensitive data.

The value of information described above is just one of the demand drivers for informa- tion security professionals. Other factors include dealing with application vulnerabilities, the constant stream of viruses and worms reaching organizations, regulations, customer expecta- tions of privacy, and disgruntled employees.

The demand drivers for information security professionals have also been changing very rapidly. For example, until as recently as 2008, mobile devices such as smart phones and tab- lets were not common in companies. Having a company-issued phone was a matter of pride for executives. Then by 2010, most employees preferred to use their personal smart phones and tablets to do company work rather than the company-issued phones that did not have web browsers and other desirable features. Information security professionals had to scramble to deal with the far-reaching implications of this change. Whereas earlier they could issue phones such as Blackberries and impose the desired security policies on these devices, the security poli- cies on personal devices were controlled by the users, not by the companies they worked for. As a result, information security professionals reported in 2010 that dealing with mobile device security was one of their top concerns. These concerns, and hence the demand for information security professionals, are only likely to increase in the near future, securing the professional prospects for information security professionals.

Professional activities

What do information security professionals do? The BLS website describes the role of informa- tion security analysts as:

Plan, implement, upgrade, or monitor security measures for the protection of computer networks and information. May ensure appropriate security controls are in place that will safeguard digital fi les and vital electronic infrastructure. May respond to computer security breaches and viruses .

Illustrative examples: Computer Security Specialist, Network Security Analyst, Internet Security Specialist

This is a fairly technical set of activities. However, a lot of the work done by information security professionals is non-technical in nature. Figure 1.2 shows the distribution of the top four most time-consuming activities reported by respondents to the (ISC) 2 survey. 4 It is seen that regulatory issues, policy development, and managerial issues constitute the bulk of information security work.

4 https://www.isc2.org/uploadedFiles/Landing_Pages/NO_form/2011GISWS.pdf

https://www.isc2.org/uploadedFiles/Landing_Pages/NO_form/2011GISWS.pdf
4 CHAPTER 1 Introduction

Desired competencies

The primary responsibilities of information security professionals are to anticipate information- related problems and to minimize their impact. Responses to the ISC 2 survey highlighted the eight areas with the greatest need for training, as shown in Figure 1.3 . These are very good indi- cators of the competencies expected of information security professionals. It can be seen that successful information security professionals are expected to have expertise in systems analy- sis and design to identify possible vulnerabilities entering homegrown applications, system administration skills to examine systems and identify traces left behind by hackers (forensics), and risk management. In addition, the business continuity and disaster recovery expectations require that information security professionals also have a very good understanding of the busi- ness as well as the IT infrastructure to be able to identify the most mission-critical applications in the organization so that these can be quickly brought up online in the event of a natural or man-made disaster.

F IGURE 1 .2 Time-consuming activities for information security professionals

39%

45%

46%

49%

Developing internal security policies, standards and procedures

Meeting regulatory compliance

Internal/political issues

Researching new technologies

F IGURE 1 .3 Training needs identifi ed by information security professionals

Planning for business continuity and disaster recovery

Security management practices

Access control

Security architecture

End-user awareness

Forensics

Secure SDLC

Risk management

Brief history 5

The intent of this section was to satisfy you that information security is a viable profes- sion. Hopefully, it has also conveyed that information security is a very exciting profession. Further, since information security lapses attract a lot of public scrutiny, the activities of infor- mation security professionals are of great interest to top management of organizations, probably more so than those of many other parts of an organization ’s IT infrastructure. In fact, according to the ISC 2 survey, the information security group reports to executive management, i.e., the CEO, CIO, or equivalent, in almost 25% of the organizations.

Brief history From this point on, we assume that you are interested in learning about information security from a professional perspective. That is, you are interested in learning about the subject for use in your career. Almost everything we do today regarding information security is the result of famous lapses that have occurred over the years and the responses by industry to these experi- ences. Many of these incidents are now part of the professional folklore. It is useful for you to know about these incidents in order to better appreciate regulatory requirements, the concerns of managers as well as to build your vocabulary in the profession. The list below is not intended to be comprehensive; 5 it only captures the major incidents that led to regulatory or industry actions or serve as a barometer for information security concerns at the time.

1981 – Development of the core Internet technologies (TCP and IP): The core technolo- gies of the Internet were fi nalized in 1981. There was no mention of security in these technolo- gies, indicating that at that time the technology world was not concerned about information security. Since TCP and IP were available for free, they became the preferred networking tech- nology for UNIX systems, widely used at universities and various intensive organizations such as hospitals and banks.

1982–1983 – Gang of 414 ’s: Computer intrusions began soon after TCP and IP were inte- grated into industrial equipment. The most highly publicized incident of this time was the gang of 414 ’s, a group of six teenagers from Milwaukee, who got their name from the telephone area code for Milwaukee. These teenagers found it exciting to get into systems that were supposed to be out of their reach. Using home computers, phone lines, and default passwords, this group was able to break into approximately 60 high-profi le computer systems, including those at the Los Alamos Laboratories and the Memorial Sloan-Kettering Cancer Center in New York. The incident received wide coverage, including a Newsweek cover story titled “Beware: Hackers at play.” This is believed to be fi rst use of the term “hacker” in the mainstream media in the context of computer security. While the teenagers themselves did no harm, it was easy for the industry to see that the simple techniques used by the kids could easily be replicated by others. As a result, the US Congress held hearings on computer security. After more such incidents, Congress passed the Computer Fraud and Abuse Act of 1986, which made it a crime to break into federal or commercial computer systems.

1988 – Morris worm: Robert Morris, then a graduate student at Cornell, and now a Professor of Computer Science and Artifi cial Intelligence at MIT, released a 99-line self- replicating program on November 2, 1988, to measure the size of the then nascent Internet. As a result of a design feature of the program, it brought down many systems it infected, and

5 A more comprehensive source is Wikipedia: http://en.wikipedia.org/wiki/Timeline_of_computer_security_hacker_history

http://en.wikipedia.org/wiki/Timeline_of_computer_security_hacker_history
6 CHAPTER 1 Introduction

achieved several landmarks in the process. It is considered the fi rst Internet worm. In percent- age terms, it is estimated to have brought down the largest fraction of the Internet ever (10%). It also resulted in the fi rst conviction under the 1986 Computer Fraud and Abuse Act. Robert Morris was sentenced to probation, community service and a fi ne. The Morris worm prompted the US Government to establish the CERT/CC (CERT coordination center) 6 at Carnegie Mellon University as a single point to coordinate industry–government response to Internet emergen- cies. Prof. Morris was also a co-founder of Viaweb, an e-commerce fi rm bought by Yahoo!, and renamed it as Yahoo! Store.

As an interesting anecdote, Robert Morris ’ father, Bob Morris, designed the password encryption system for the UNIX operating system that is used even today. Even more interestingly, at the time of this incident, the senior Bob Morris was the chief scientist for the National Computer Security Center (NCSC) of the National Security Agency (NSA), 7 , 8 the federal agency responsible for design- ing secure computers.

1995–1998 – Windows 95/98: Microsoft released Windows 95 on August 24, 1995. The operating system had a graphical interface and was designed to run on relatively inexpensive computers ). The release was supported with a heavy marketing push, and within a very short time, it became the most successful operating system ever produced, and drove most other oper- ating systems out of the market. Windows 95 was designed primarily as a stand-alone single- user desktop operating system and therefore had almost no security precautions. Most users ran Windows 95 without passwords and most applications ran on Windows 95 with administrative privileges for convenience. However, Windows 95 supported TCP/IP, thereby bringing TCP/ IP into mainstream businesses. This combination of a security-agnostic networking technol- ogy (TCP/IP) combined with an equally security-agnostic business desktop created a fertile environment for information security compromises to fl ourish. In talks, security experts some- times refer to this environment as the source of the information security profession. 9 Even the introduction of Windows 98 on June 25, 1998, made no change to the basic security design of Windows desktops.

1996 – Health Insurance Portability and Accountability Act (HIPAA): This Act which primarily focused on protecting health insurance for US workers when they change or lose jobs also had important information security implications. Many government leaders believed at the time that electronic health records (EHR) were an important instrument to lower rising healthcare costs in America. The Act therefore also pushed for electronic health records. Since information security was getting recognized as an important concern, the law had provisions to make organizations responsible for maintaining the confi dentiality of patient records in the healthcare industry. At the current time, the healthcare industry has until 2014 to move over

6 While CERT typically stands for Computer Emergency Response Team, CMU has registered the name as a service mark with the US Patents and Trademark Offi ce 7 http://cm.bell-labs.com/cm/cs/who/dmr/crypt.html 8 For another very interesting account of Bob Morris, read the amazingly humorous book by Cliff Stoll, “The Cuckoo ’s Egg,” ISBN 0671726889 9 For example, Dan Geer (chief information security offi cer for In-Q-Tel, the venture capital arm of CIA) referred to this in his talk at the ISSA meeting in Tampa, December 2011.

http://cm.bell-labs.com/cm/cs/who/dmr/crypt.html
Brief history 7

completely to EHR. This is a major driver of demand for information security at the time of writing this edition (2012–2013).

2000 – ILOVEYOU virus: On May 5, 2000, this virus was released by a student in the Philippines (Figure 1.4 ). The virus deleted images on infected computers and automati- cally sent itself as an email attachment to the Outlook contacts list of infected computers. The virus infected millions of computers worldwide, and caused billions of dollars in damage. The creators of the virus, Reomel Ramores and Onel de Guzman, were traced within hours of the release of the virus. However, investigators realized very quickly that Philippines had no law against writing computer viruses, and had to drop all charges against the students. 10 This inci- dent led to the realization that information security was a global phenomenon and led to a push from developed countries for developing countries to revamp their information security laws. However, even today there are signifi cant differences between countries regarding information security laws. For example, while writing a virus can lead to fi nes of up to $250,000 and 10 years of imprisonment in the United States, the punishment in the Philippines can range from 100,000 Pesos (about $2,500) and up to an amount commensurate to the damage and up to 3 years in prison. 11

2002 – Sarbanes–Oxley Act: During 2000–2002, America witnessed many unpleas- ant incidents of corporate fraud involving such legendary companies as Enron, Tyco, and WorldCom. For example, Enron claimed revenues of over $100 billion in 2000 and declared bankruptcy the next year. MCI-WorldCom revealed in 2002 that it had overstated its earnings by over $72 billion in the past fi ve quarters. These frauds were enabled by fraudulent manipulation of accounting systems, believed to be at the behest of fi rm leadership. However during trials, the CEOs consistently tried to escape blame by pleading ignorance of accounting procedures, and blind trust in their highly paid and well-educated lieutenants. Since the retirements of most Americans are invested in large publicly traded fi rms, their downfall affects most American families. Compelled to act and ensure correctness in fi nancial reporting, Congress enacted the Sarbanes–Oxley Act in 2002. The Act focused on making the key executives personally

10 Arnold, W. “TECHNOLOGY: Philippines to drop charges on e-mail virus,” New York Times, August 22, 2000. 11 http://www.chanrobles.com/ecommerceimplementingrules.htm (accessed 02/28/2012)

F IGURE 1 .4 ILOVEYOU virus

http://www.chanrobles.com/ecommerceimplementingrules.htm
8 CHAPTER 1 Introduction

accountable for the correctness of fi nancial reports fi led by publicly traded companies. The Act had three major provisions. Section 302 of the Act requires the CEO and CFO of fi rms to sign a declaration of personal knowledge of all the information in annual fi lings. Section 906 of the Act imposes criminal penalties including imprisonment of up to 20 years for incorrect certifi cation. Section 404 of the Act has had a major impact on the information security profession because it requires that the certifi cation in Section 302 be based on formal internal controls. This has led to signifi cant investments in internal controls over fi nancial reporting in publicly traded fi rms.

2005–2007 – Retailer attacks: In December 2006, T.J.Maxx reported that its computer systems, which processed credit card payments, had been breached (Figure 1.5 ). On investi- gation, it was found that the breach had started a year and a half ago in July 2005 and over 45 million credit card and debit card numbers had been stolen. It turned out that the leader of the group involved in the breach was Albert Gonzalez, an informer for the US Secret Service and in fact Albert was cooperating with the Secret Service in connection with another case at the time of these attacks. Investigations also revealed that the group had also hacked into the systems at other retailers such as BJ ’s Wholesale Club, DSW, Offi ce Max, Boston Market, Barnes & Noble, and Sports Authority. The modus operandi of the group was to drive along US Route 1 in Miami and seek out an insecure store with wireless networks to enter the corporate networks. Later the group improved its methodology and used SQL injection attacks to enter the networks at Hannaford Brothers and Heartland Payment Systems, a credit card payments processing company. Over 125 million credit card numbers were estimated to have been sto- len from Heartland, and the company estimated damages at over $12 million. In March 2010, Albert Gonzalez was sentenced to 20 years in prison. He also forfeited over $1.65 million that he had earned from selling fake credit cards based on the stolen information. These incidents highlighted that even large fi rms had glaring information security weaknesses, which could lead to serious embarrassment and losses. The SQL injection attacks in particular created an awareness of the need to pay attention to information security during software development, and introduced the term “secure SDLC” to the IT lexicon.

2008 – Denial of service attacks in Georgia: Coinciding with the military war between Georgia and Russia in 2008, Georgia was the victim of massive distributed denial of service

F IGURE 1 .5 T.J.Maxx

© M

ic ha

el N

ee lo

n( m

is c)

/A la

m y

Brief history 9

attacks. The attacks defaced the websites of many media and government organizations, limit- ing their ability to communicate their viewpoints about the war to their citizens (Figure 1.6 ). The circumstances of the incident led many people to believe that the cyber-attacks 12 were caused by Russia as part of a war strategy. If so, these were the fi rst known incidents of cyber- war being used as an instrument of warfare.

June 2009 – Establishment of the US Cyber Command: In April 2009, the Wall Street Journal reported that intruders had broken into the computer networks of defense contractors developing the Joint Strike Fighter, also called the F-35 Lightning II. 13 The $300 billion pro- ject was the Defense Department ’s costliest weapons program ever, and used 7.5 million lines of computer code. Intruders had stolen terabytes of data related to the aircraft ’s design and electronics. It was believed that the theft would help enemies plan their defenses against the fi ghter. The contractors involved in the project include Lockheed Martin, Northrop Grumman, and BAE Systems. Also in April, the Wall Street Journal reported that the US electricity grid had been penetrated by spies from China, Russia, and other countries. The spies also inserted computer software in the grid, which could be used to cause damage by remote control. 14

Soon thereafter, on June 23, 2009, the US Cyber Command was created to defend US military computer networks against attacks from adversaries and also to respond in cyberspace as necessary ). At the time of creation of the new command, there were concerns that the initia- tive might impose undue restrictions on the civilian Internet under the pretext of defense.

2010 – Operation Aurora and Google-China: On January 12, 2010, a blog post by Google ’s Chief Legal Offi cer reported that the company had detected an attempt to steal its intellec- tual property originating from China (Figure 1.7 ). The attacks were also aimed at accessing emails of Chinese human-rights activists. The US Government soon escalated the incident with Congress announcing its intention to investigate the allegations and the Secretary of State labe- ling the Chinese censorship of the Internet to an information-age Berlin Wall. Further investiga- tions traced the attacks to two educational institutions in China – Shanghai Jiaotong University and the Lanxiang Vocational School. Jiaotong is home to one of China ’s elite computer science programs, and Lanxiang is involved in training computer scientists for the Chinese military. 15

12 Cyber is a prefi x that refers to anything related to computers or networking 13 Gorman, S., Cole, A. and Draezen, Y. “Computer spies breach fi ghter-jet project,” Wall Street Journal, April 21, 2009. 14 Gorman, S. “Electricity grid in US penetrated by spies,” Wall Street Journal, April 8, 2009.

F IGURE 1 .6 Defaced Georgian foreign ministry website

10 CHAPTER 1 Introduction

China has however denied formal government involvement and called the attacks simply an attempt by students to refi ne their computer skills.

April 17, 2011 – Sony PlayStation Network (PSN): Sony announced that an external intrusion had compromised its PlayStation Network and Qriocity service ), and that hackers had obtained personal information on the 70 million subscribers of the network. The company could not rule out the possibility that credit card numbers may also have been stolen. In response, the company took the network offl ine while it tried to ensure that all traces of the offending soft- ware had been removed from the network. During the time, millions of kids all over the world who had planned their summer breaks around catching up with online gaming on PSN had to fi nd alternate ways to pass their time. For this reason, while the intrusion affected a relatively innocuous network, the impact on families around the world was huge and almost every family with kids followed the daily developments around the attacks.

This brief chronology highlights how information security attacks have evolved from technical proofs-of-concept to commercially driven attacks to steal credit card information. Of late even governments are being suspected of pursuing their agendas through cybercrime. In Europe, a remote Romanian town, Râmnicu Vâlcea, has emerged as the focal point in global cyber money laundering. In the middle of nowhere, this town has car dealerships selling Mercedes-Benz and other expensive cars. 16 Social response has evolved as well, from judges merely warning intruders and laws making specifi c exceptions for juveniles in spite of their known involvement in cyber-attacks (414 ’s) to governments establishing entire military com- mands to deal with cyber security.

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