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Normally, when EMC fails, it is worth a giggle. Companies are run by humans, and nobody is perfect. However, their latest one, failing to defend their RSA SecurID two-factor website, is no laughing matter. Breaches like this undermine the trust needed for business and commerce to be done with Information Technology, so it affects the entire IT industry.
(FTC Disclosure: I do not work or have any financial investments in either EMC nor ENC Security Systems. Neither EMC nor ENC Security Systems paid me to mention them on this blog. Their mention in this blog is not an endorsement of either company or their products. Information about EMC was based solely on publicly available information made available by EMC and others. My friends at ENC Security Systems provided me an evaluation license for their latest software release so that I could confirm the use cases posed in this post.)
Of course, EMC did the right thing by making this breach public in an [Open Letter to RSA Customers]. While this may affect their revenues, as clients question whether they should do business with EMC, or affect their stock price, as investors question whether they should invest in EMC, they were very clear and public that the breach occurred. As far as I know, none of the executives of the RSA security division have stepped down. The disclosure of the breach was the right thing to do, and required by law from the [US Securities Exchange Commission]. This law was created to prevent companies from trying to hide breaches that expose external client information.
The breach does not affect RSA public/private key pairs used by IBM and most every other large company. Rather, this breach was targeted to RSA SecurID two-factor authentication. I explained two-factor authentication in my blog post [Day 5 Grid, SOA and Cloud Computing - System x KVM solutions], but basically it is an added level of security, requiring something you know (your password) with something you have (such as a magnetic card or key fob). Both are required to gain access to the system.
Breaches happen. Recently, [Hackers found vulnerabilities in the McAfee.com website]. Last month, fellow blogger Chuck Hollis from EMC had a blog post on [Understanding Advanced Persistent Threats (APT)] in the week leading up to their RSA Conference. It was precisely an APT that hit RSA, so the irony of this breach was not lost on the blogosphere. Perhaps Chuck's blog post gave hackers the idea to do this, like saying "I hope terrorists don't bomb this building that hold all of our chemical weapons..." or "I hope bank robbers don't rob this repository where we keep all the cash..."
(The sinister counter-theory, that EMC staged this breach as a marketing stunt to undermine trust in hybrid or public cloud offerings, such as those offered by IBM, Amazon or Salesforce.com, offers an interesting twist. While computer breaches in general are fodder for [Luddites] to argue we should not use computers at all, this particular breach could be used by EMC salesmen to encourage their customers to choose private cloud over hybrid cloud or public cloud deployments. Given all the extra work that RSA SecurID customers have to now do to harden their environments, that would be in bad taste.)
Over on Mashable, Simon Crosby argues [Why the Cloud Is Actually the Safest Place for Your Data]. I am sure we have not heard the last of the implications of this RSA breach. For now, I have two recommendations for you.
Advanced Persistent Threats, viruses and other malware are no laughing matter. If you are concerned about security, contact IBM to help you assess your current environment and help you plan a robust protection strategy.
Well, it's Tuesday again, and you know what that means! IBM Announcements!
Today, IBM announced its latest IBM Tivoli Key Lifecycle Manager (TKLM) 2.0 version. Here's a quick recap:
For more details, see the IBM [Announcement Letter].
This week, I'll be in Dallas, Texas. If you are an avid reader located in or near the Dallas area, and want to connect, you know how to reach me.