Wednesday, February 20, 2013

China's Cyber Warfare Attacks Against The United States Offers Glimpse Of Modern Day Global Battleground

The U.S. believes that cyber warfare could begin to threaten the underpinnings of its relationship with China, New York Times journalist David Sanger told CNN’s Christiane Amanpour on Tuesday.

Sanger and two colleagues reported in the New York Times on Tuesday that a secretive unit of the People’s Liberation Army, the Chinese military, is responsible for most of the many Chinese cyber attacks on U.S. corporations and infrastructure.

As has been previously shared, the unit is called the 'Blue Army' and is supposedly made up of over 100,000 computer hackers - and may be as high as over 250,000 cyber warfare experts. 

The problems cyber warfare present are more than serious. At hand is the ability of rogue countries to possibly take control of another nation's weapons, cripple its electronic grid and infrastructure,and cause unthinkable fear and economic chaos. 

The New York Times Sanger said, “This is, diplomatically, I think one of the most complicated problems out there.  The fact that your adversary would know that you could get into their systems and turn them on or off at any time – whether it was cell phones or air traffic control or whatever – might well affect your future behavior. So it doesn’t mean that they’re going to do it, or there’s out-and-out war, but it does mean that they have a capability to do this by remote control.” Last month The New York Times reported the newspaper was the victim of Chinese hackers due to retribution for publishing a negative report on the finances of Prime Minister Wen Jiabao.

In reaction to the attack, the New York Times hired a leading cyber security technology firm, Mandiant, to investigate the attack.  Mandiant's investigation  followed the attack on The New York Times to a building solely occupied by the Chinese Military in Shanghai - where it is believed that a portion of the military's Blue Army is housed in the 12 story building. .

“It’s got thousands of people working in it,” Sanger said. His colleague, David Barboza visited the site, but was not allowed inside.

Of course the Chinese government hotly denies all the allegations in the Mandiant report, citing the investigation as“baseless,” “irresponsible and unprofessional.” Of course, in the same breath, China then accused the United States of conducting cyber warfare and electronic espionage.

Chad Sweet, the former Chief of Staff of the Homeland Security and a former CIA offiica who is the Managing partner of the high-profile global security firm the Chertoff Group, told CNN"s Amanpour. “We’re essentially facing a new Cold War – a cyber Cold War. “The destructive capacity is equal to that of a nuclear warhead… But what makes it more sinister than the nuclear age is that there’s no easily identifiable plume.”


With respect to the possibilities of a direct attach by China against the United States, Sweet said he did not think China would “pull the trigger” unless its “back was up against the wall” – for example if the U.S. threatened China’s claim over Taiwan.

Is there a build-up by all the world's formidable nations?  Yes.

In fact, as Sanger pointed out, “That is how the U.S. got into the Iranian nuclear program.” (though the operation has been heavily credited to Israel's activities and refers to the Stuxnet computer virus that was launched last year).

Because of the nature of these programs, it is impossible to verify the extent or intent of either the U.S. or China’s cyber warfare or capability.

Sanger said that during his reporting on the Stuxnet virus, he learned of a prescient Situation Room meeting early in the Obama administration. “President Obama said to some of his aides in the Situation Room several years ago,” Sanger recounted, “that he was worried that once the U.S. went down this road, other countries might use it as a pretense to launch their own attacks, presumably not with the discipline and the rules the U.S. has. Well I think that’s probably pretty much exactly what’s happened.”

The Following report was issued by the Christian Science Monitor. I think it is worth sharing:

A stunning report by a US digital-security company accuses China’s military of conducting more than 100 cyberattacks on American corporate and government computers. If accurate, the report by the firm Mandiant only adds to the urgency to develop international norms in cyberwar and cyberespionage.

Each new tool of aggression requires its own rules of war. Cyberwarfare should be no different. Without a code of ethics for conflict in the digital universe, nations could eventually bring down each other’s water supplies, electric grids, military defenses, and vital institutions. And key values, such as privacy and a right to intellectual property, could also be lost.

Global rules now restrict the use of nuclear, chemical, and biological weapons. They also help safeguard civilians and prisoners of war. What the Mandiant report shows is that the world may be losing the struggle to come up with rules for cyberspace behavior.

The scale of the Chinese cyberthreat is now so massive that it might lead to a rush to imitate rather than a campaign to prevent a cyber blow-for-blow. One of the unusual aspects of cyberweapons is that once they are used, they can be easily replicated for a return attack.

Coming up with such rules will not be easy. For starters, simply defining what is a cyberweapon or a cyberattack could be a problem. Even if that issue is settled, how can an attack’s originator be correctly identified? And given the speed of digital technology, the distinction between defensive and offensive capabilities can be easily blurred.

“You have to have an offensive mind-set to better focus on defense,” said retired Marine Corps Gen. James Cartwright recently in a discussion on cyberwarfare at the US Naval Institute.
Current rules of war under the Geneva Conventions and the International Committee of the Red Cross may cover some aspects of cyberwar, but not all. The United Nations and other global bodies need to make such rules clear.

Even within the United States, Congress and President Obama cannot agree on rules for national defense against cyberattacks. An attempt to pass a law last year that would have required companies to cooperate with the government in cybersecurity ran into concerns over civil liberties.
As a result, Mr. Obama issued an executive order last week offering incentives for companies to improve data sharing with the government. The aim is to protect vital infrastructure now run by private firms.

Like the current US policy on clandestine drone strikes against terrorists, Obama is moving toward a legal presumption of executive authority in being able to launch cyberattacks without approval by Congress or legal oversight by a court. If he does assume such powers, it raises a difficult constitutional issue that needs public debate.

Nations have a strong record of creating norms that restrain types of warfare. Before more reports of cyberattacks emerge, the world must see a common interest in rules to prevent cyberwar.

Tuesday, February 19, 2013

Is China Declaring War On The United States

A secretive Chinese military unit is believed to be behind a series of hacking attacks, according to U.S. computer security company Mandiant.  Of course the Chinese government strongly denied the accusation, and then attempted to turn around the accusation by stating that China was in fact the victim of U.S. hacking.

Now those of you who have read my novel 'The Den of the Assassin' have learned a few things about cyber-warfare, and how the real world military threat is not going to be between foot soldiers, but will be fought in cyber war, where countries can realistically attempt to use one nation's own military weapons against themselves by taking control of the weapons when they are deployed.  An unconfirmed example of this is when the Iran military is believed to have landed a U.S. Drone on Iran's soil.

But there is so much more at stake, and part of China's end-game is to remove the United States dollar as the world currency. 

How could they accomplish this?

By shaken the financial infrastructure of America's banking and commerce centers vial cyber warfare, that's how.

Imagine if the United States Federal Reserve gets hacked into, or several of our largest banks for that matter?

What if our national grid gets shut down?

If you think this is not possible, then you better think again.

The truth of the matter is that nations such as China, North Korea, Russia, Iran, and others have sizeable military personnel units (tens of thousands in the case of China's 'Blue Army') dedicated to cyber-warfare.

Now, the United States is far from sitting ideal; however, the reality is that if the Chinese government had their military cyberware units attack American companies on American soil, then sadly, we are very much at war.

                                          Is China Declaring War On The United States?
                                     


                                                      Special Mandiant Video Report


The following was issued by Rueters:

The company, Mandiant, identified the People's Liberation Army's Shanghai-based Unit 61398 as the most likely driving force behind the hacking. Mandiant said it believed the unit had carried out "sustained" attacks on a wide range of industries.
 
"The nature of 'Unit 61398's' work is considered by China to be a state secret; however, we believe it engages in harmful 'Computer Network Operations'," Mandiant said in a report released in the United States on Monday.
 
"It is time to acknowledge the threat is originating in China, and we wanted to do our part to arm and prepare security professionals to combat that threat effectively," it said.
 
China's Defense Ministry issued a flat denial of the accusations and called them "unprofessional". It said hacking attacks are a global problem and that China is one of world's biggest victims of cyber assaults.
 
"The Chinese army has never supported any hacking activity," the Defense Ministry said in a brief faxed statement to Reuters. "Statements about the Chinese army engaging in cyber attacks are unprofessional and not in line with facts."
 
Unit 61398 is located in Shanghai's Pudong district, China's financial and banking hub, and is staffed by perhaps thousands of people proficient in English as well as computer programming and network operations, Mandiant said in its report.
 
The unit had stolen "hundreds of terabytes of data from at least 141 organizations across a diverse set of industries beginning as early as 2006", it said.
 
Most of the victims were located in the United States, with smaller numbers in Canada and Britain. The information stolen ranged from details on mergers and acquisitions to the emails of senior employees, the company said.
 
The 12-storey building, which houses the unit, sits in an unassuming residential area and is surrounded by a wall adorned with military propaganda photos and slogans; outside the gate a sign warns members of the public they are in a restricted military area and should not take pictures.
There were no obvious signs of extra security on Tuesday.

The Chinese Foreign Ministry said the government firmly opposed hacking, adding that it doubted the evidence provided in the U.S. security group's report.

"Hacking attacks are transnational and anonymous. Determining their origins are extremely difficult. We don't know how the evidence in this so-called report can be tenable," spokesman Hong Lei told a daily news briefing.

"Arbitrary criticism based on rudimentary data is irresponsible, unprofessional and not helpful in resolving the issue."

Hong cited a Chinese study which pointed to the United States as being behind hacking in China.
"Of the above mentioned Internet hacking attacks, attacks originating from the United States rank first."

"ECONOMIC CYBER ESPIONAGE"

Some experts said they doubted Chinese government denials.

"The PLA plays a key role in China's multi-faceted security strategy, so it makes sense that its resources would be used to facilitate economic cyber espionage that helps the Chinese economy," said Dmitri Alperovitch, chief technology officer and co-founder of CrowdStrike, one of Mandiant's competitors.

Though privately held and little known to the general public, Mandiant is one of a handful of U.S. cyber-security companies that specialize in attempting to detect, prevent and trace the most advanced hacking attacks, instead of the garden-variety viruses and criminal intrusions that befoul corporate networks on a daily basis.

But Mandiant does not promote its analysis in public and only rarely issues topical papers about changes in techniques or behaviors.

It has never before given the apparent proper names of suspected hackers or directly tied them to a military branch of the Chinese government, giving the new report special resonance.

The company published details of the attack programs and dummy websites used to infiltrate U.S. companies, typically via deceptive emails.

U.S. officials have complained in the past to China about sanctioned trade-secret theft, but have had a limited public record to point to.

Mandiant said it knew the PLA would shift tactics and programs in response to its report but concluded that the disclosure was worth it because of the scale of the harm and the ability of China to issue denials in the past and duck accountability.

The company traced Unit 61398's presence on the Internet - including registration data for a question-and-answer session with a Chinese professor and numeric Internet addresses within a block assigned to the PLA unit - and concluded that it was a major contributor to operations against the U.S. companies.

Members of Congress and intelligence authorities in the United States have publicized the same general conclusions: that economic espionage is an official mission of the PLA and other elements of the Chinese government, and that hacking is a primary method.

In November 2011, the U.S. National Counterintelligence Executive publicly decried China in particular as the biggest known thief of U.S. trade secrets.

The Mandiant report comes a week after U.S. President Barack Obama issued a long-awaited executive order aimed at getting the private owners of power plants and other critical infrastructure to share data on attacks with officials and to begin to follow consensus best practices on security.
Both U.S. Democrats and Republicans have said more powerful legislation is needed, citing Chinese penetration not just of the largest companies but of operations essential to a functioning country, including those comprising the electric grid.

                                      China Accuses The United States of Cyber Warfare

The reality of cyber warfare is upon us.  There is real cause for concern.  Fortunately, the United States has not ignored these threats.