January 2015

Our goal is to protect security

[Commentary] President Obama made clear the need to protect American companies, consumers and infrastructure from cyberthreats, while safeguarding privacy and civil liberties. In the same way, the hotel industry seeks to address the challenge of providing access to a secure Internet while ensuring the safety and security of guests' data. With nearly 5 million people checking into hotels each day, this balance is of the utmost importance. To be clear, the hotel industry is not interested in stopping guests from using personal hotspots. Nor do we seek to restrict personal Wi-Fi use. We petitioned the government to provide clarity on the steps a business can legally take to provide secure and reliable Wi-Fi Internet. We've seen too often that it only takes one rogue actor to breach a protected system. Guests can unknowingly click on a hotspot they think is secure only to have their information stolen. Hotel operators need tools to respond to a cyberthreat in real time without fear of legal penalty.

[Lugar is president and CEO of the American Hotel & Lodging Association]

EU Considers Taxing Google, Other US Internet Firms

The European Union is considering imposing a tax on US Internet companies such as Google as part of a new plan to build a single digital market across the region, EU digital chief Günther Oettinger said.

Oettinger that Europe is currently a “loser” in the information-technology sector but that the situation could be reversed with investment and by creating a level playing field for all digital companies. He stressed the importance of maintaining the region’s edge in the automotive sector, which looks set to be disrupted by Internet companies. “Taxing is an option but not the decided solution,” Oettinger said of the EU’s plan for a digital single market. The European Commission, the bloc’s executive arm, is expected to announce the plans by May 2015. Asked whether Google might be taxed for showing copyright material, he said yes.

European Official Urges Google to Offer Greater Concessions in Antitrust Inquiry

Günther Oettinger, the European Union’s digital economy commissioner, called on Google to offer more concessions in a long-standing antitrust investigation that the company is facing in the European Union.

Oettinger said that while he respected what Google’s founders had achieved, the company must honor European rules over how it operates across the 28-member bloc. “Google has to bring more offers to us,” Oettinger said, when questioned about Europe’s continuing antitrust investigation. “Google must be ready for a convincing compromise.” Oettinger said that the European Commission wanted to find a resolution to the lengthy Google antitrust case by mid-2015. His colleague, Margrethe Vestager, Europe’s new competition commissioner, is leading the case.

U.S. Capitol
Tuesday, January 20, 2015
9 pm
http://www.whitehouse.gov/sotu



US Discloses New Trove of Phone Call Records

The Justice Department revealed the existence of yet another database of American telephone records, adding new details to the disclosures in recent years about mass government surveillance.

This database was maintained by the Drug Enforcement Administration and contained the records of calls made between phone numbers in the United States and overseas. The phone records were retained even if there was no evidence the callers were involved in criminal activity. The government stored the numbers, the time and date of the call and the length. But, the database did not include names or other personal identifying information or the content of the conversation. It contained records of calls between Americans and people in countries that had connections to international drug trafficking and related criminal activities. Depending on how broadly the government interpreted that definition, it could have collected information on calls to many countries around the world.

GCHQ captured e-mails of journalists from top international media

GCHQ’s bulk surveillance of electronic communications has scooped up e-mails to and from journalists working for some of the US and UK’s largest media organisations, analysis of documents released by whistleblower Edward Snowden reveals.

E-mails from the BBC, Reuters, the Guardian, the New York Times, Le Monde, the Sun, NBC and the Washington Post were saved by GCHQ and shared on the agency’s intranet as part of a test exercise by the signals intelligence agency. The disclosure comes as the British government faces intense pressure to protect the confidential communications of reporters, MPs and lawyers from snooping. The journalists’ communications were among 70,000 emails harvested in the space of less than 10 minutes on one day in November 2008 by one of GCHQ’s numerous taps on the fibre-optic cables that make up the backbone of the internet. The communications, which were sometimes simple mass-PR emails sent to dozens of journalists but also included correspondence between reporters and editors discussing stories, were retained by GCHQ and were available to all cleared staff on the agency intranet. There is nothing to indicate whether or not the journalists were intentionally targeted. The mails appeared to have been captured and stored as the output of a then-new tool being used to strip irrelevant data out of the agency’s tapping process.

NSA Breached North Korean Networks Before Sony Attack, Officials Say

The trail that led American officials to blame North Korea for the destructive cyberattack on Sony Pictures Entertainment in November winds back to 2010, when the National Security Agency scrambled to break into the computer systems of a country considered one of the most impenetrable targets on earth. Spurred by growing concern about North Korea’s maturing capabilities, the American spy agency drilled into the Chinese networks that connect North Korea to the outside world, picked through connections in Malaysia favored by North Korean hackers and penetrated directly into the North with the help of South Korea and other American allies, according to former United States and foreign officials, computer experts later briefed on the operations and a newly disclosed NSA document.

A classified security agency program expanded into an ambitious effort, officials said, to place malware that could track the internal workings of many of the computers and networks used by the North’s hackers, a force that South Korea’s military recently said numbers roughly 6,000 people. Most are commanded by the country’s main intelligence service, called the Reconnaissance General Bureau, and Bureau 121, its secretive hacking unit, with a large outpost in China. The evidence gathered by the “early warning radar” of software painstakingly hidden to monitor North Korea’s activities proved critical in persuading President Obama to accuse the government of Kim Jong-un of ordering the Sony attack, according to the officials and experts, who spoke on the condition of anonymity about the classified NSA operation.

President Obama backs call for tech backdoors

President Barack Obama wants a backdoor to track people’s social media messages.

The President came to the defense of British Prime Minister David Cameron’s call for tech companies to create holes in their technology to allow the government to track suspected terrorists or criminals. “Social media and the Internet is the primary way in which these terrorist organizations are communicating,” President Obama said during a press conference with PM Cameron on Jan 16. “That’s not different from anybody else, but they’re good at it and when we have the ability to track that in a way that is legal, conforms with due process, rule of law and presents oversight, then that’s a capability that we have to preserve,” he said. While President Obama measured his comments, he voiced support for the views expressed by Cameron and FBI Director James Comey, who have worried about tech companies’ increasing trends towards building digital walls around users’ data that no one but them can access.

Zombie Cookies Slated to be Killed

Turn said it would stop using tracking cookies that are impossible to delete. "We have heard the concerns and are actively re-evaluating this method," said Max Ochoa, Turn's chief privacy officer.

He said the company plans aims to suspend the practice by "early February." Turn's zombie cookie was exploiting a hidden undeletable number that Verizon uses to track its customers on their smartphones on tablets. Turn used the Verizon number to respawn tracking cookies that users had deleted. The company said it will now re-evaluate its practices.

Decoding the Paradox of Rising Cable Stocks

[Commentary] The stock market is often an early indicator of major developments in finance, the economy and geopolitics. But sometimes that collective wisdom generates signals so difficult to decipher that they seem contradictory. That’s the situation right now for net neutrality and the future of the big cable and telecommunications companies.

The Federal Communications Commission is expected to issue a draft proposal on Feb. 5 for significantly tighter regulations for Internet carriers. But the issues involved are so complex and far-reaching that the market is having difficulty interpreting them. “I don’t think people in the stock market have caught up to events yet,” Richard Greenfield, a media analyst with BTIG, said in an interview last week. “Big things are happening. The prices don’t seem to reflect all of this yet.”