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Know Your Enemy: Verizon Data Breach Report
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Know Your Enemy: Verizon Data Breach Report

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An analysis of the Verizon Data Breach Report for 2011, with a focus on the threats, their attack methodologies, and approach vectors. Delivered to InfraGard - Honolulu Chapter, May 3 2011

An analysis of the Verizon Data Breach Report for 2011, with a focus on the threats, their attack methodologies, and approach vectors. Delivered to InfraGard - Honolulu Chapter, May 3 2011

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  • Focused on who the bad guys are and what they are exploiting.
  • Most of NHTCU’s time was spent taking down a huge child porn ring and taking down botnets, so they are not actually included in the 2010 stats. They are laser focused on high value targets, and don’t investigate a large volume of cases.
  • Top3 remain the same, just shuffle places (Fin was 1 st last year, then hosp, then retail). Have to keep in mind that the 2009 dataset was only 141 breaches. So, while Government sector is the same 4% of the total as it was in 2009, the number of breaches there actually quadrupled from 6 to 27.
  • Again, dataset size is deceiving here. While the percentage of breaches overwhelmingly seemed to target SMBs, the number of breaches by companies of 1000+ employees still doubled since last year. This graph actually trends closely with the size of businesses in the United States overall.
  • Only 3 partner-related incidents this year. 1 was a deliberate act, 2 were unintentional. Our long-fought battle with malicious insiders is finally won, right? Not so fast.
  • While the percentage of insider breaches was down, the actual number of incidents doubled. Decline in partner-contributing breaches appear to be genuine, which is a good thing.
  • Eastern Europe was still top dog in last year’s report, but only by a margin of 21% to USA’s 19%. Shows marked rise in criminal groups based in Eastern Europe.
  • Infection vectors and functionality. Trend continues to focus on exfiltration capabilities and remote access. The 79% exfiltration and 78% backdoor represent huge jumps from last year (32% and 36%, respectively)
  • 18% of malware investigated by Verizon was completely custom, and two-thirds was customized to some degree, mostly to avoid AV detection.
  • Web application vulns fell to 3 rd place, from it’s traditional 1 st place spot, but if you take out the hosp and retail verticals, web applications are back on top and more prevalent than ever.
  • Wait – IN PERSON?? Email was the favorite MO last year, but criminals have gotten personal it seems
  • Skimming operations are becoming more organized and sophisticated. Sprees can target 50-100 businesses at a time
  • Remote access channels are increasingly a favorite target. With the proliferation of cloud-type offerings like GoToMyPC, do you really know what remote access capabilities you have in your environment? Data exfiltration continues to be the primary goal of most intruders.
  • Log management: reducing time to discovery is critical in limiting the damage intruders can inflict on your organization.
  • Many companies don’t know what to do when they suspect a problem. Users clicking on hostile attachments is still a problem (see: RSA). Don’t neglect educating employees on social engineering tactics that involve a personal contact.

Transcript

  • 1. Verizon Data Breach Report “Know Your Enemy” Edition Originally prepared for InfraGard Honolulu Chapter May 3, 2011 Beau Monday, CISSP GSEC Information Security Officer @ HawaiianTel
  • 2. Disclosures
    • Hawaiian Telcom was a subsidiary of Verizon at one point, but was sold to private investors in 2005.
    • This review focuses primarily on the threat side of the equation.
  • 3. History
    • 4 th year of public releases
      • Starting in 2008
      • 6 total reports (mid-year supplementals in 2008 and 2009)
    • Dataset now contains:
      • 7 years of data
      • 1700+ breaches
      • 900M compromised records
  • 4. Data Sources
    • Verizon Caseload (94 breaches in 2010)
      • Only cases where Verizon was directly engaged as an investigator and a breach was confirmed
    • US Secret Service (667 breaches in 2010)
      • Verizon reviewed USSS’ caseload and only included cases that matched Verizon’s criteria for a breach
      • If Verizon and USSS both worked on an individual case, Verizon’s data was referenced for the report
    • Dutch National High-Tech Crime Unit (30 cases spanning several years)
  • 5. Things to keep in mind
    • The addition of the USSS and Dutch NHTCU data has nearly doubled the size of the dataset from last year
    • Comparing year-to-year data can be challenging as a result (as you will see)
  • 6. Demographics – by Sector
  • 7. Demographics – by Org Size
    • Large companies catching a break?
    • Shift towards SMBs?
  • 8. Threat Agents
    • Attacks via partners down from 10% to <1% (!)
    • Attacks via insiders down from 48% to 17% (!)
  • 9. Threat Agent Trends
    • Insider threats have declined, but not by as much as the first graph indicated
  • 10. Who are the (external) bad guys?
    • Eastern Europe takes a commanding lead
  • 11. Who are the (internal) bad guys?
    • Quite a jump in regular users (was 51% last year)
    • % of breaches involving Finance staff doubled
    • % of breaches involving executives increased from 7% to 11%
  • 12. Threat Categories
    • Malware was %1 last year, but dropped to 4 th in 2010
    • Physical doubled as a % of breaches
  • 13. Malware
  • 14. Malware Customization
  • 15. Hacking Methodologies
  • 16. Attack Pathways
  • 17. Social Engineering Trends
    • 11% of breaches employed some level of social engineering (down from 28% last year)
  • 18. Physical Attacks
    • Physical attacks are twice as prevalent versus last year
    • ATM and Gas Pump skimmers represent the bulk of this increase
  • 19. Recommendations
    • Overall: “Achieve essential, then worry about excellent”
  • 20. Recommendations (cont.)
    • Access Controls
      • Change default creds
      • Review user accounts often
      • Restrict and monitor privileged accounts
    • Network Management
      • (Catalog and) Secure Remote Access Services
      • Monitor and filter egress traffic
  • 21. Recommendations (cont.)
    • Secure Development
      • Application testing and code review
    • Log Management and Analysis
      • Enable application and network logs (and monitor them)
      • Define “anomalous” and then look for it
      • Try to achieve real-time log monitoring/alerting
  • 22. Recommendations (cont.)
    • Incident Management
      • Create an Incident Response Plan
      • Engage in mock incident drills
    • Training and Awareness
      • Increase awareness of social engineering
      • Train employees to look for signs of tampering and fraud
  • 23. References & Contact Info
    • References:
      • Verizon Data Breach Investigations Report 2011: http://www.verizonbusiness.com/resources/reports/rp_data-breach-investigations-report-2011_en_xg.pdf
      • Verizon DBIR 2011 – Metrics, Interpretations and Action Plans: http://www.dman.com/verizon-data-breach-investigations-report-2011/
    • Contact me: [email_address]