[Software] Latest hack of businesses, governments shows continued strategy of using software services

[Shyloo]

Latest hack of businesses, governments shows continued strategy of using software services

 

BOSTON  — The SolarWinds hacking campaign blamed on Russian spies and the “grave threat” it poses to U.S. national security are widely known. A very different — and no less alarming — coordinated series of intrusions also detected in December has gotten considerably less public attention.

Nimble, highly skilled criminal hackers believed to operate out of Eastern Europe hacked dozens of companies and government agencies on at least four continents by breaking into a single product they all used.

“Attackers are finding it harder and harder to gain access via traditional methods, as vendors like Microsoft and Apple have hardened the security of the operating systems considerably over the last years. So, the attackers find easier ways in. This often means going via the supply chain. And as we’ve seen, it works,” said Mikko Hypponen, chief research officer of the cybersecurity firm F-Secure.

The victims include New Zealand’s central bank, Harvard Business School, Australia’s securities regulator, the high-powered U.S. law firm Jones Day — whose clients include former President Donald Trump — the rail freight company CSX and the Kroger supermarket and pharmacy chain. Also hit was Washington state’s auditor’s office, where the personal data of up to 1.3 million people gathered for an investigation into unemployment fraud was potentially exposed.

The two-stage mega-hack  in December and January of a po[CENSORED]r file-transfer program from the Silicon Valley company Accellion highlights a threat that security experts fear may be getting out of hand: intrusions by top-flight criminal and state-backed hackers into software supply chains and third-party services.

Many victims of the Accellion hack report being extorted by the Russian-speaking Clop cybercriminal gang, which researchers believe may have bought pilfered data from the hackers. Their threat: Pay up or we leak your sensitive data online, be it proprietary documents from Canadian aircraft maker Bombardier or lawyer-client communications from Jones Day.

The hack of up to 100 Accellion customers, who were easily identified by the hackers with an online scan, puts in painful relief a digital age core mission at which both governments and the private sector have been falling short.

Mike Hamilton, a former Seattle chief information security officer now with CI Security, said the trend of exploiting third-party service providers shows no signs of slowing because it gives criminals the highest return on their investment if they “want to compromise a broad swath of companies or government agencies.”