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Let’s rethink cloud
application security in 2016
Tweet along: #Sec360
@pjktech @cohesivenet
About me
Patrick Kerpan
CEO at Cohesive Networks
@pjktech
BANKS
Tweet along: #Sec360
@pjktech @cohesivenet
About Cohesive Networks
2,000+ customers
protect cloud-
based applications
User-controlled
security &
connectivity at the
top of the cloud
Cloud is creating
demand for more
connectivity and
security
honest approach to cloud security
Tweet along: #Sec360
@pjktech @cohesivenet
Agenda
• data center security is not cloud security
• post-Snowden realities
• application layer network security
• upcoming security compliance regulations
• here’s to a more secure 2016
Tweet along: #Sec360
@pjktech @cohesivenet
data center security is not cloud security
Tweet along: #Sec360
@pjktech @cohesivenet
modern apps
business applications are collections of servers
Database Tier
AppServer Tier
Web Tier
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@pjktech @cohesivenet
enterprise data center
enterprise data centers are filled with these applications
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@pjktech @cohesivenet
data center security: walls
80% of security spend is on perimeter, leaving only 20% for
interior network security
Perimeter Security
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@pjktech @cohesivenet
data center vulnerability
Hacker Penetration
Perimeter Security
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@pjktech @cohesivenet
Perimeter Security
data center vulnerability
Vulnerabilities go undetected for an
average of 234 days!
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@pjktech @cohesivenet
post-Snowden realities
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@pjktech @cohesivenet
target: governments
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@pjktech @cohesivenet
target: retail
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@pjktech @cohesivenet
target: healthcare
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@pjktech @cohesivenet
target: social media
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@pjktech @cohesivenet
application layer network security
Tweet along: #Sec360
@pjktech @cohesivenet
application segmentation
micro-perimeter around critical apps in any environment
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@pjktech @cohesivenet
limit server interactions
server traffic must go through a secure app-layer switch
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@pjktech @cohesivenet
control network flow
traffic only flows in permitted directions, from permitted locations
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@pjktech @cohesivenet
security for each app
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@pjktech
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@pjktech @cohesivenet
upcoming security compliance regulations
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@pjktech @cohesivenet
practical, compelling needs
PR.AC-5
NIST Cyber Security
Framework
“Network integrity is
protected, incorporating
network segregation
where appropriate”
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@pjktech @cohesivenet
practical, compelling needs
PCI DSS
Payment Card Industry
Data Security Standard v3.0
“adequate network
segmentation isolates systems
that store, process, or transmit
cardholder data from those that
do not"
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@pjktech @cohesivenet
practical, compelling needs
US DHS Guidelines
National Cyber Security
Division
Recommended Practice:
Improving Industrial Control
Systems Cybersecurity with
Defense-In-Depth Strategies
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@pjktech @cohesivenet
upcoming security compliance regulations
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@pjktech @cohesivenet
EU Data Protection Directive: 2018
• data processors responsible for data
protection
• tougher penalties: up to €20M
• impacts every entity that holds or
uses European personal data both
inside and outside of EU
• controllers must meet ”reasonable
expectations” of data privacy =
tokenised, encrypted or anonomised
data
Tweet along: #Sec360
@pjktech @cohesivenet
Safe Harbor/EU-US Privacy Shield: June
• original agreement between US
and EU to adhere to EU laws &
standards when handling EU
citizen’s data
• US companies can self-certify
they are storing customer data
properly
• voided in October 2015, new
voted expected June 2016
Tweet along: #Sec360
@pjktech @cohesivenet
industry-specific guidelines
• Federal Information Security Management Act (FISMA)
• North American Electric Reliability Corp. (NERC)
standards
• Title 21 of the Code of Federal Regulations (21 CFR Part
11) Electronic Records
• Health Insurance Portability and Accountability Act
(HIPAA)
• The Health Information Technology for Economic and
Clinical Health Act (HITECH)
• Patient Safety and Quality Improvement Act (PSQIA,
Patient Safety Rule)
• H.R. 2868: The Chemical Facility Anti-Terrorism
Standards Regulation
Tweet along: #Sec360
@pjktech @cohesivenet
broadly applicable laws and regulations
• Sarbanes-Oxley Act (SOX)
• Payment Card Industry Data Security Standard
(PCI DSS)
• Gramm-Leach-Bliley Act (GLB) Act
• Electronic Fund Transfer Act
• Regulation E (EFTA)
• Customs-Trade Partnership Against Terrorism (C-
TPAT)
• Free and Secure Trade Program (FAST)
• Children's Online Privacy Protection Act (COPPA)
• Fair and Accurate Credit Transaction Act (FACTA)
• Federal Rules of Civil Procedure (FRCP)
Tweet along: #Sec360
@pjktech @cohesivenet
security takeaways
most standards say:
• encrypt sensitive data in
motion and at rest whenever it
is “reasonable and
appropriate”
• ”reasonable expectation” of
companies to provide data
security
Tweet along: #Sec360
@pjktech @cohesivenet
here’s to a more secure 2016
Tweet along: #Sec360
@pjktech @cohesivenet
segment and isolate apps
Tweet along: #Sec360
@pjktech @cohesivenet
enforce traffic policies with firewalls
Tweet along: #Sec360
@pjktech @cohesivenet
detect malicious traffic with NIDS
!
!!
!
Tweet along: #Sec360
@pjktech @cohesivenet
limit intra-app network traffic with WAF
Tweet along: #Sec360
@pjktech @cohesivenet
create logical subnets
Example app network Subnet - 172.31.1.0/26
VNS3 Controllers
172.31.1.56/29
unassigned
172.31.1.8/29
Web
172.31.1.0/29
App
172.31.1.16/29
unassigned
172.31.1.24/29
MQ
172.31.1.40/29
DB
172.31.1.32/29
unassigned
172.31.1.48/29
Define smaller subnets within an app network range
along with firewall rules
Tweet along: #Sec360
@pjktech @cohesivenet
monitor traffic with app-layer switches
Tweet along: #Sec360
@pjktech @cohesivenet
build layers of control and access
Provider Owned/Provider Controlled
Provider Owned/User Controlled
VNS3 - User Owned/User Controlled
User Owned/User Controlled
Key security elements must be controlled 

by the customer, but separate from 

the provider
Cloud Edge Protection
Cloud Isolation
Cloud VLAN
Cloud Network Firewall
Cloud Network Service
VNS3 Virtual Firewall
VNS3 Encrypted Overlay
N
etwork
VNS3 NIDS, WAF, e
tc.
Instance
OS Port Filtering
Encrypted Disk
Tweet along: #Sec360
@pjktech @cohesivenet
use encrypted overlay networks
• use unique X.509 credentials for each Overlay IP address
• create a secure TLS VPN tunnel between networks
• encrypt all data in motion end-to-end
VNS3 Controller 1
VNS3 Controller 2
VNS3 Controller 3
VNS3 Overlay Network - 172.31.1.0/24
Public IP: 52.1.108.23 Public IP: 54.15.88.193
Public IP: 52.22.100.95
Peered Peered
Overlay IP: 172.31.1.1
Cloud Server A
Overlay IP: 172.31.1.2
Cloud Server B
Overlay IP: 172.31.1.3
Cloud Server C
Overlay IP: 172.31.1.4
Primary DB
Overlay IP: 172.31.1.5
Backup DB
Tweet along: #Sec360
@pjktech @cohesivenet
Conclusions
• data center security does not work for cloud security
• everyone is liable for weak security - including your
customers
• applications need security via network virtualization
• compliance regulations emphasize network segmentation,
app security and isolation
• app layer switches and network controls can make for a more
secure 2016
Tweet along: #Sec360
@pjktech @cohesivenet
Q&A
Stay in touch:
@pjktech
@cohesivenet
contactme@cohesive.net

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Let’s rethink cloud application security in 2016 - Patrick Kerpan's Secure360 presentation 2016

  • 2. Tweet along: #Sec360 @pjktech @cohesivenet About me Patrick Kerpan CEO at Cohesive Networks @pjktech BANKS
  • 3. Tweet along: #Sec360 @pjktech @cohesivenet About Cohesive Networks 2,000+ customers protect cloud- based applications User-controlled security & connectivity at the top of the cloud Cloud is creating demand for more connectivity and security honest approach to cloud security
  • 4. Tweet along: #Sec360 @pjktech @cohesivenet Agenda • data center security is not cloud security • post-Snowden realities • application layer network security • upcoming security compliance regulations • here’s to a more secure 2016
  • 5. Tweet along: #Sec360 @pjktech @cohesivenet data center security is not cloud security
  • 6. Tweet along: #Sec360 @pjktech @cohesivenet modern apps business applications are collections of servers Database Tier AppServer Tier Web Tier
  • 7. Tweet along: #Sec360 @pjktech @cohesivenet enterprise data center enterprise data centers are filled with these applications
  • 8. Tweet along: #Sec360 @pjktech @cohesivenet data center security: walls 80% of security spend is on perimeter, leaving only 20% for interior network security Perimeter Security
  • 9. Tweet along: #Sec360 @pjktech @cohesivenet data center vulnerability Hacker Penetration Perimeter Security
  • 10. Tweet along: #Sec360 @pjktech @cohesivenet Perimeter Security data center vulnerability Vulnerabilities go undetected for an average of 234 days!
  • 11. Tweet along: #Sec360 @pjktech @cohesivenet post-Snowden realities
  • 12. Tweet along: #Sec360 @pjktech @cohesivenet target: governments
  • 13. Tweet along: #Sec360 @pjktech @cohesivenet target: retail
  • 14. Tweet along: #Sec360 @pjktech @cohesivenet target: healthcare
  • 15. Tweet along: #Sec360 @pjktech @cohesivenet target: social media
  • 16. Tweet along: #Sec360 @pjktech @cohesivenet application layer network security
  • 17. Tweet along: #Sec360 @pjktech @cohesivenet application segmentation micro-perimeter around critical apps in any environment
  • 18. Tweet along: #Sec360 @pjktech @cohesivenet limit server interactions server traffic must go through a secure app-layer switch
  • 19. Tweet along: #Sec360 @pjktech @cohesivenet control network flow traffic only flows in permitted directions, from permitted locations
  • 20. Tweet along: #Sec360 @pjktech @cohesivenet security for each app Tweet along: #Sec360 @pjktech
  • 21. Tweet along: #Sec360 @pjktech @cohesivenet upcoming security compliance regulations
  • 22. Tweet along: #Sec360 @pjktech @cohesivenet practical, compelling needs PR.AC-5 NIST Cyber Security Framework “Network integrity is protected, incorporating network segregation where appropriate”
  • 23. Tweet along: #Sec360 @pjktech @cohesivenet practical, compelling needs PCI DSS Payment Card Industry Data Security Standard v3.0 “adequate network segmentation isolates systems that store, process, or transmit cardholder data from those that do not"
  • 24. Tweet along: #Sec360 @pjktech @cohesivenet practical, compelling needs US DHS Guidelines National Cyber Security Division Recommended Practice: Improving Industrial Control Systems Cybersecurity with Defense-In-Depth Strategies
  • 25. Tweet along: #Sec360 @pjktech @cohesivenet upcoming security compliance regulations
  • 26. Tweet along: #Sec360 @pjktech @cohesivenet EU Data Protection Directive: 2018 • data processors responsible for data protection • tougher penalties: up to €20M • impacts every entity that holds or uses European personal data both inside and outside of EU • controllers must meet ”reasonable expectations” of data privacy = tokenised, encrypted or anonomised data
  • 27. Tweet along: #Sec360 @pjktech @cohesivenet Safe Harbor/EU-US Privacy Shield: June • original agreement between US and EU to adhere to EU laws & standards when handling EU citizen’s data • US companies can self-certify they are storing customer data properly • voided in October 2015, new voted expected June 2016
  • 28. Tweet along: #Sec360 @pjktech @cohesivenet industry-specific guidelines • Federal Information Security Management Act (FISMA) • North American Electric Reliability Corp. (NERC) standards • Title 21 of the Code of Federal Regulations (21 CFR Part 11) Electronic Records • Health Insurance Portability and Accountability Act (HIPAA) • The Health Information Technology for Economic and Clinical Health Act (HITECH) • Patient Safety and Quality Improvement Act (PSQIA, Patient Safety Rule) • H.R. 2868: The Chemical Facility Anti-Terrorism Standards Regulation
  • 29. Tweet along: #Sec360 @pjktech @cohesivenet broadly applicable laws and regulations • Sarbanes-Oxley Act (SOX) • Payment Card Industry Data Security Standard (PCI DSS) • Gramm-Leach-Bliley Act (GLB) Act • Electronic Fund Transfer Act • Regulation E (EFTA) • Customs-Trade Partnership Against Terrorism (C- TPAT) • Free and Secure Trade Program (FAST) • Children's Online Privacy Protection Act (COPPA) • Fair and Accurate Credit Transaction Act (FACTA) • Federal Rules of Civil Procedure (FRCP)
  • 30. Tweet along: #Sec360 @pjktech @cohesivenet security takeaways most standards say: • encrypt sensitive data in motion and at rest whenever it is “reasonable and appropriate” • ”reasonable expectation” of companies to provide data security
  • 31. Tweet along: #Sec360 @pjktech @cohesivenet here’s to a more secure 2016
  • 32. Tweet along: #Sec360 @pjktech @cohesivenet segment and isolate apps
  • 33. Tweet along: #Sec360 @pjktech @cohesivenet enforce traffic policies with firewalls
  • 34. Tweet along: #Sec360 @pjktech @cohesivenet detect malicious traffic with NIDS ! !! !
  • 35. Tweet along: #Sec360 @pjktech @cohesivenet limit intra-app network traffic with WAF
  • 36. Tweet along: #Sec360 @pjktech @cohesivenet create logical subnets Example app network Subnet - 172.31.1.0/26 VNS3 Controllers 172.31.1.56/29 unassigned 172.31.1.8/29 Web 172.31.1.0/29 App 172.31.1.16/29 unassigned 172.31.1.24/29 MQ 172.31.1.40/29 DB 172.31.1.32/29 unassigned 172.31.1.48/29 Define smaller subnets within an app network range along with firewall rules
  • 37. Tweet along: #Sec360 @pjktech @cohesivenet monitor traffic with app-layer switches
  • 38. Tweet along: #Sec360 @pjktech @cohesivenet build layers of control and access Provider Owned/Provider Controlled Provider Owned/User Controlled VNS3 - User Owned/User Controlled User Owned/User Controlled Key security elements must be controlled 
 by the customer, but separate from 
 the provider Cloud Edge Protection Cloud Isolation Cloud VLAN Cloud Network Firewall Cloud Network Service VNS3 Virtual Firewall VNS3 Encrypted Overlay N etwork VNS3 NIDS, WAF, e tc. Instance OS Port Filtering Encrypted Disk
  • 39. Tweet along: #Sec360 @pjktech @cohesivenet use encrypted overlay networks • use unique X.509 credentials for each Overlay IP address • create a secure TLS VPN tunnel between networks • encrypt all data in motion end-to-end VNS3 Controller 1 VNS3 Controller 2 VNS3 Controller 3 VNS3 Overlay Network - 172.31.1.0/24 Public IP: 52.1.108.23 Public IP: 54.15.88.193 Public IP: 52.22.100.95 Peered Peered Overlay IP: 172.31.1.1 Cloud Server A Overlay IP: 172.31.1.2 Cloud Server B Overlay IP: 172.31.1.3 Cloud Server C Overlay IP: 172.31.1.4 Primary DB Overlay IP: 172.31.1.5 Backup DB
  • 40. Tweet along: #Sec360 @pjktech @cohesivenet Conclusions • data center security does not work for cloud security • everyone is liable for weak security - including your customers • applications need security via network virtualization • compliance regulations emphasize network segmentation, app security and isolation • app layer switches and network controls can make for a more secure 2016
  • 41. Tweet along: #Sec360 @pjktech @cohesivenet Q&A Stay in touch: @pjktech @cohesivenet contactme@cohesive.net