This should be an timely and relevant webcast for those of us involved with information security: ”Key Fraud and Security Considerations for Confidence in the Cloud.” It will be held Tuesday, January 17, 2012 at 10 a.m. PST.

This executive panel webcast will explore how leading IT organizations are moving to the cloud with confidence. The following items will be addressed:

• Maintain control of your data across multiple on-premise and cloud environments
• Evaluate cloud providers to meet your specific requirements for security and risk management
• Apply authentication and identity management solutions and expertise from the online banking industry for improved protection and fraud mitigation

The Oracle outward-facing website is a virtual cornucopia of valuable information.  Unfortunately, I often just stumble onto valuable gems of knowledge instead of discovering them in an organized fashion.  Today was such a case.  Quite by accident, I found an excellent overview of Information Security issues in “Information Security, A Conceptual Architectural Approach.”  It provides, in an easy-reading 25 pages, a good overview of information security principles and approaches to addressing them.

This document referenced a larger treatise, the Oracle Reference Architecture – Security, which dives more deeply into information security issues and solutions.  In about 130 pages, this reference architecture document provides an excellent treatment of the basic principles of information security and recommended approaches to mitigate security risk.  The introduction aptly states:

Information is the lifeblood of every organization. If this Information is compromised there can be a wide range of consequences ranging from damage to a company’s reputation through to financial penalties such as regulatory fines and cost of remediation. …

Information Security is a strategic approach that should be based on a solid, holistic framework encompassing all of an organization’s Information Security requirements, not just those of individual projects. …

By taking this approach to Information Security, organizations can ensure that the components of their Information security architecture address all business critical Information and are driven by the requirements of the business.

The document is organized as follows:

1. Introduction to Information Security
2. Security Concepts and Capabilities
3. Common Security Standards
4. Conceptual Architecture View
5. Logical View
6. Product Mapping View
7. Deployment View
8. Summary

This afternoon, I received word that Veriphyr, a provider of SaaS Identity and Access Intelligence services, announced the results of new survey on Protected Health Information (PHI) privacy breaches. According to the report,

More than 70 percent of the organizations in the study have suffered one or more breaches of PHI within the last 12 months. …

Insiders were responsible for the majority of breaches, with 35 percent snooping into medical records of fellow employees and 27 percent accessing records of friends and relatives.

Some interesting statistics:

Top breaches in the past 12 months by type:

• Snooping into medical records of fellow employees (35%)
• Snooping into records of friends and relatives (27%)
• Loss /theft of physical records (25%)
• Loss/theft of equipment holding PHI (20%)

When a breach occurred, it was detected in:

• One to three days (30%)
• One week (12%)
• Two to four weeks (17%)

Once a breach was detected, it was resolved in:

• One to three days (16%)
• One week (18%)
• Two to Four weeks (25%)

79% of respondents were “somewhat concerned” or “very concerned” that their existing controls do not enable timely detection of breaches of PHI

52% stated they did not have adequate tools for monitoring inappropriate access to PHI

The report’s conclusion was not surprising:

Respondents who indicated strong satisfaction with their monitoring tools also tended to report fewer breaches of PHI and faster resolution times. The reverse is also true: respondents who indicated dissatisfaction with their monitoring tools tended to report more breaches and longer resolution times.

If you are going to invest in security to keep the bad guys out, please take the sage Pearls Before Swine advice and “Change the Top Secret Security Code” to something a bit less obvious than “Password.”

Last week, I reported that the US Department of Defense had released a highly-anticipated document, entitled, “Department of Defense Strategy for Operating in Cyberspace.”  Here is a bit of an overview of the document.

The high degree of the Department of Defence’s dependence on cyberspace is abundantly evident:

Along with the rest of the U. S. government, the Department of Defense (DoD) depends on cyberspace to function. It is difficult to overstate this reliance; DoD operates over 15,000 networks and seven million computing devices across hundreds of installations in dozens of countries around the globe. DoD uses cyberspace to enable its military, intelligence, and business operations, including the movement of personnel and material and the command and control of the full spectrum of military operations.

In speaking of the risks the DoD faces in this area, the report states:

Potential U. S. adversaries may seek to exploit, disrupt, deny, and degrade the networks and systems that DoD depends on for its operations. DoD is particularly concerned with three areas of potential adversarial activity: theft or exploitation of data; disruption or denial of access or service that affects the availability of networks, information, or network-enabled resources; and destructive action including corruption, manipulation, or direct activity that threatens to destroy or degrade networks or connected systems.

In response to these concerns, the DoD has outlined five strategic initiatives:

• Strategic Initiative 1: Treat cyberspace as an operational domain to organize, train, and equip so that DoD can take full advantage of cyberspace’s potential
• Strategic Initiative 2: Employ new defense operating concepts to protect DoD networks and systems
• Strategic Initiative 3: Partner with other U. S. government departments and agencies and the private sector to enable a whole-of-government cybersecurity strategy
• Strategic Initiative 4: Build robust relationships with U. S. allies and international partners to strengthen collective cybersecurity
• Strategic Initiative 5: Leverage the nation’s ingenuity through an exceptional cyber workforce and rapid technological innovation

Today, the US Department of Defense released a highly-anticipated document, entitled, “Department of Defense Strategy for Operating in Cyberspace.”

I think this comment from a Pentagon official goes right to the heart of the issue:

“The department and the nation have vulnerabilities in cyberspace. Our reliance on cyberspace stands in stark contrast to the inadequacy of our cybersecurity.”

High reliance on cyberspace + low confidence in our ability to cope with bad guys = a dangerous combination.

I haven’t read the paper yet, but will comment more when I do.  The topic is both scary and intellectually stimulating to me. Perhaps I should enlist and ask to be assigned to the Cyber Command.

Oh, by the way, is it only coincidence that Iran recently launched their own Cyber Command?  I think not.

On June 14th, the PCI Security Standards Council announced publication of the PCI DSS Virtualization Guidelines Information Supplement, which “provides guidance to those in the payment chain on the use of virtualization technology in cardholder data environments in accordance with PCI DSS.”

The introductory section in this document outlines four principles associated with the use of virtualization in cardholder data environments:

1. If virtualization technologies are used in a cardholder data environment, PCI DSS requirements apply to those virtualization technologies.
2. Virtualization technology introduces new risks that may not be relevant to other technologies, and that must be assessed when adopting virtualization in cardholder data environments.
3. Implementations of virtual technologies can vary greatly, and entities will need to perform a thorough discovery to identify and document the unique characteristics of their particular virtualized implementation, including all interactions with payment transaction processes and payment card data.
4. There is no one-size-fits-all method or solution to configure virtualized environments to meet PCI DSS requirements. Specific controls and procedures will vary for each environment, according to how virtualization is used and implemented.

After giving an overview of virtualization, the report sets forth a detailed review of risks inherent in a virtualized environment and specific recommendations about how to deal with those risks.

The document’s appendix describes in detail how each of the 12 broad PCI security controls that are mandated for logical environments need to be applied in a virtual setting.

I have long thought the PCI DSS specification to be a good example of how an industry regulates itself.  The Virtualization Guidelines document shows once again how the payments industry is in step with recent trends in Information Technology.

On Monday, the White House released a policy paper entitled, “A Policy Framework for the 2st Century Grid: Enabling Our Secure Energy Future.”  This report sets forth policy recommendations that build upon the Energy Independence and Security Act of 2007 and the Obama Administration’s smart grid investments to foster long-term investment, job growth, innovation, and help consumers save money.

The document’s foreword states:

A smarter, modernized, and expanded grid will be pivotal to the United States’ world leadership in a clean energy future. This policy framework focuses on the deployment of information and communications technologies in the electricity sector As they are developed and deployed, these smart grid technologies and applications will bring new capabilities to utilities and their customers In tandem with the  development and deployment of high-capacity transmission lines, which is a topic beyond the scope  of this report, smart grid technologies will play an important role in supporting the increased use of  clean energy.

A 21st century clean energy economy demands a 21st century grid. Much of the traditional electricity  infrastructure has changed little from the original design and form of the electric grid as envisioned by Thomas Edison and George Westinghouse at the end of the 19th century (EEI 2011, p6). In a 21st  century grid, smart grid technologies will help integrate more variable renewable sources of electricity,  including both utility scale generation systems such as large wind turbines and distributed generation systems such as rooftop solar panels, in addition to facilitating the greater use of electric vehicles and  energy storage. Moreover, such technologies will help enable utilities to manage stresses on the grid, such as peak demand, and pass savings on to consumers as a result.

The report introduction explains further:

The Federal Government, building on the policy direction set forth in the Energy Independence and Security Act of 2007 and the Recovery Act’s historic investments in innovation, offers this policy framework to chart a path forward on the imperative to modernize the grid to take advantage of opportunities made possible by modern information, energy, and communications technology.

The report concludes:

Smart grid technologies and programs represent an evolution in how our electricity system operates. As this report highlights, this transition offers significant promise for utilities, innovators, consumers,and society at large. This document has outlined four essential pillars that will enable the United Statesto transition to a smarter grid:

1. Enable Cost-Effective Smart Grid Investments: Smart grid technology can drive improvements in system efficiency, resiliency, and reliability, and help enable a clean energy economy through cost-effective grid investments. Many of these technologies promise to pay for themselves in operational improvements, and energy savings. The Federal Government’s research,development and demonstration projects, technical assistance, information sharing on technologies and programs, and evaluations provide valuable guidance for utilities, consumers, and regulators about what approaches are the most cost-effective, thereby paving the way for theeffective, ongoing upgrade of the grid.
2. Unlock the Potential of Innovation in the Electricity Sector: A modernized electric grid promises to be a powerful platform for new products and services that improve grid operations and deliver comfort, convenience, and savings to energy customers.
3. Empower Consumers and Enable Informed Decision Making: The success of smart grid technologies and applications depends on engaging and empowering both residential and small business consumers. New tools and programs promise to provide consumers personalized information and equip them to make informed energy choices, while ensuring their energyconsumption data is accorded privacy protections.
4. Secure the Grid: Protecting the electric system from cyber attacks and ensuring it can recover when attacked is vital to national security and prosperity. Developing and maintaining threat awareness and rigorous cybersecurity guidelines and standards are keys to a more secure grid.

The current electric grid and the proposed smart grid are fascinating to me.  From my perspectives as a residential customer, a security professional and an old electrical engineer, it seems incredible that the old system we have works so well. At the same time, the emerging smart grid system should  have great benefits for us all … and provide huge employment opportunities to those involved for many years to come.

The Department Of Commerce
Internet Policy Task Force
recently released a “green paper” document entitled, “Cybersecurity, Innovation and The Internet Economy”

Secretary of Commerce Gary Locke stated in his introductory message:

The following report – or green paper – recommends consideration of a new framework for addressing internet security issues for companies outside the orbit of critical infrastructure or key resources. While securing energy, financial, health and other resources remain vital, the future of the innovation and the economy will depend on the success of Internet companies and ensuring that these companies are trusted and secure is essential. This is the area of our focus.

The report recommends that the U. S. government and stakeholders come together to promote security standards to address emerging issues. It also proposes that the government continue to support both innovations in security and on the Internet more broadly. We believe this framework will both improve security at home and around the world so that Internet services can continue to provide a vital connection for trade and commerce, civic participation, and social interaction around the globe.

I haven’t yet read the complete document but, but look forward to understanding the policy recommendations laid out in the document and seeing how they influence the improvement of information security in the years going forward.

Michael Barrett, Andy Steingruebl, Bill Smith of Paypal have collaborated on an excellent white paper entitled, “Combating Cybercrime – Principles, Policies, and Program.”  I highly recommend it to you.

Rather than attempt an analysis at this time, please let me share a segment of an introductory paragraph …

What is possible, and perhaps even likely should current trends continue, is the perception by Internet users that the Internet is unsafe and therefore unsuitable for everyday use. Should this perception become widespread, crowd psychology could take hold and as with the recent world financial crisis, result in a loss of faith in “the system”. Certainly there were very tangible and real issues behind the financial crisis, but the long-lasting impact has proven to be the perceptual shift resulting in the Great Recession.

… and a portion of their conclusion:

The authors believe that cybercrime, and other cyber issues are the one area that could cause this type of loss of faith in the safety of the Internet In this white paper, the authors lay out an entire framework of practical actions that could be taken to reduce the impact of cybercrime, and substantially make the Internet safer. Even if only some of these recommendations are implemented, it will make a significant improvement in Internet safety. While we’re hesitant to name any of these initiatives as being more important than any other, we are occasionally asked “list the three things you want us to do”. In general, we list:

• Increase investment in cybercrime law enforcement.
• Start the Internet NTSB.
• Fix the Cybercrime Convention.

Just doing those three things would make a big difference, albeit it would be – to paraphrase the punchline of many a joke – merely “a good start”. We expect this paper to be a first step in a multi-stakeholder and iterative process and approach to making substantial progress against cybercrime. We welcome feedback on our proposals.

In between these bookends lies a thought-provoking analysis of the basic problems, the challenges and roadblocks that complicate potential solutions, and a decisive call to action to bring about a coordinated ecosystem change.  The authors propose ten underlying principles and a series of specific recommendations, ranging from international law enforcement to forcing unsafe devices off the Internet.

I believe this document will help foster and accelerate interactions among the appropriate business, government and user communities to make signifiant progress.  We all have a stake in this.  This document will help us understand the issues and get involved.