Tag Archives: hacking

Backdoor in XZ Utils That Almost Happened

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/04/backdoor-in-xz-utils-that-almost-happened.html

Last week, the Internet dodged a major nation-state attack that would have had catastrophic cybersecurity repercussions worldwide. It’s a catastrophe that didn’t happen, so it won’t get much attention—but it should. There’s an important moral to the story of the attack and its discovery: The security of the global Internet depends on countless obscure pieces of software written and maintained by even more obscure unpaid, distractible, and sometimes vulnerable volunteers. It’s an untenable situation, and one that is being exploited by malicious actors. Yet precious little is being done to remedy it.

Programmers dislike doing extra work. If they can find already-written code that does what they want, they’re going to use it rather than recreate the functionality. These code repositories, called libraries, are hosted on sites like GitHub. There are libraries for everything: displaying objects in 3D, spell-checking, performing complex mathematics, managing an e-commerce shopping cart, moving files around the Internet—everything. Libraries are essential to modern programming; they’re the building blocks of complex software. The modularity they provide makes software projects tractable. Everything you use contains dozens of these libraries: some commercial, some open source and freely available. They are essential to the functionality of the finished software. And to its security.

You’ve likely never heard of an open-source library called XZ Utils, but it’s on hundreds of millions of computers. It’s probably on yours. It’s certainly in whatever corporate or organizational network you use. It’s a freely available library that does data compression. It’s important, in the same way that hundreds of other similar obscure libraries are important.

Many open-source libraries, like XZ Utils, are maintained by volunteers. In the case of XZ Utils, it’s one person, named Lasse Collin. He has been in charge of XZ Utils since he wrote it in 2009. And, at least in 2022, he’s had some “longterm mental health issues.” (To be clear, he is not to blame in this story. This is a systems problem.)

Beginning in at least 2021, Collin was personally targeted. We don’t know by whom, but we have account names: Jia Tan, Jigar Kumar, Dennis Ens. They’re not real names. They pressured Collin to transfer control over XZ Utils. In early 2023, they succeeded. Tan spent the year slowly incorporating a backdoor into XZ Utils: disabling systems that might discover his actions, laying the groundwork, and finally adding the complete backdoor earlier this year. On March 25, Hans Jansen—another fake name—tried to push the various Unix systems to upgrade to the new version of XZ Utils.

And everyone was poised to do so. It’s a routine update. In the span of a few weeks, it would have been part of both Debian and Red Hat Linux, which run on the vast majority of servers on the Internet. But on March 29, another unpaid volunteer, Andres Freund—a real person who works for Microsoft but who was doing this in his spare time—noticed something weird about how much processing the new version of XZ Utils was doing. It’s the sort of thing that could be easily overlooked, and even more easily ignored. But for whatever reason, Freund tracked down the weirdness and discovered the backdoor.

It’s a masterful piece of work. It affects the SSH remote login protocol, basically by adding a hidden piece of functionality that requires a specific key to enable. Someone with that key can use the backdoored SSH to upload and execute an arbitrary piece of code on the target machine. SSH runs as root, so that code could have done anything. Let your imagination run wild.

This isn’t something a hacker just whips up. This backdoor is the result of a years-long engineering effort. The ways the code evades detection in source form, how it lies dormant and undetectable until activated, and its immense power and flexibility give credence to the widely held assumption that a major nation-state is behind this.

If it hadn’t been discovered, it probably would have eventually ended up on every computer and server on the Internet. Though it’s unclear whether the backdoor would have affected Windows and macOS, it would have worked on Linux. Remember in 2020, when Russia planted a backdoor into SolarWinds that affected 14,000 networks? That seemed like a lot, but this would have been orders of magnitude more damaging. And again, the catastrophe was averted only because a volunteer stumbled on it. And it was possible in the first place only because the first unpaid volunteer, someone who turned out to be a national security single point of failure, was personally targeted and exploited by a foreign actor.

This is no way to run critical national infrastructure. And yet, here we are. This was an attack on our software supply chain. This attack subverted software dependencies. The SolarWinds attack targeted the update process. Other attacks target system design, development, and deployment. Such attacks are becoming increasingly common and effective, and also are increasingly the weapon of choice of nation-states.

It’s impossible to count how many of these single points of failure are in our computer systems. And there’s no way to know how many of the unpaid and unappreciated maintainers of critical software libraries are vulnerable to pressure. (Again, don’t blame them. Blame the industry that is happy to exploit their unpaid labor.) Or how many more have accidentally created exploitable vulnerabilities. How many other coercion attempts are ongoing? A dozen? A hundred? It seems impossible that the XZ Utils operation was a unique instance.

Solutions are hard. Banning open source won’t work; it’s precisely because XZ Utils is open source that an engineer discovered the problem in time. Banning software libraries won’t work, either; modern software can’t function without them. For years, security engineers have been pushing something called a “software bill of materials”: an ingredients list of sorts so that when one of these packages is compromised, network owners at least know if they’re vulnerable. The industry hates this idea and has been fighting it for years, but perhaps the tide is turning.

The fundamental problem is that tech companies dislike spending extra money even more than programmers dislike doing extra work. If there’s free software out there, they are going to use it—and they’re not going to do much in-house security testing. Easier software development equals lower costs equals more profits. The market economy rewards this sort of insecurity.

We need some sustainable ways to fund open-source projects that become de facto critical infrastructure. Public shaming can help here. The Open Source Security Foundation (OSSF), founded in 2022 after another critical vulnerability in an open-source library—Log4j—was discovered, addresses this problem. The big tech companies pledged $30 million in funding after the critical Log4j supply chain vulnerability, but they never delivered. And they are still happy to make use of all this free labor and free resources, as a recent Microsoft anecdote indicates. The companies benefiting from these freely available libraries need to actually step up, and the government can force them to.

There’s a lot of tech that could be applied to this problem, if corporations were willing to spend the money. Liabilities will help. The Cybersecurity and Infrastructure Security Agency’s (CISA’s) “secure by design” initiative will help, and CISA is finally partnering with OSSF on this problem. Certainly the security of these libraries needs to be part of any broad government cybersecurity initiative.

We got extraordinarily lucky this time, but maybe we can learn from the catastrophe that didn’t happen. Like the power grid, communications network, and transportation systems, the software supply chain is critical infrastructure, part of national security, and vulnerable to foreign attack. The US government needs to recognize this as a national security problem and start treating it as such.

This essay originally appeared in Lawfare.

US Cyber Safety Review Board on the 2023 Microsoft Exchange Hack

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/04/us-cyber-safety-review-board-on-the-2023-microsoft-exchange-hack.html

The US Cyber Safety Review Board released a report on the summer 2023 hack of Microsoft Exchange by China. It was a serious attack by the Chinese government that accessed the emails of senior US government officials.

From the executive summary:

The Board finds that this intrusion was preventable and should never have occurred. The Board also concludes that Microsoft’s security culture was inadequate and requires an overhaul, particularly in light of the company’s centrality in the technology ecosystem and the level of trust customers place in the company to protect their data and operations. The Board reaches this conclusion based on:

  1. the cascade of Microsoft’s avoidable errors that allowed this intrusion to succeed;
  2. Microsoft’s failure to detect the compromise of its cryptographic crown jewels on its own, relying instead on a customer to reach out to identify anomalies the customer had observed;
  3. the Board’s assessment of security practices at other cloud service providers, which maintained security controls that Microsoft did not;
  4. Microsoft’s failure to detect a compromise of an employee’s laptop from a recently acquired company prior to allowing it to connect to Microsoft’s corporate network in 2021;
  5. Microsoft’s decision not to correct, in a timely manner, its inaccurate public statements about this incident, including a corporate statement that Microsoft believed it had determined the likely root cause of the intrusion when in fact, it still has not; even though Microsoft acknowledged to the Board in November 2023 that its September 6, 2023 blog post about the root cause was inaccurate, it did not update that post until March 12, 2024, as the Board was concluding its review and only after the Board’s repeated questioning about Microsoft’s plans to issue a correction;
  6. the Board’s observation of a separate incident, disclosed by Microsoft in January 2024, the investigation of which was not in the purview of the Board’s review, which revealed a compromise that allowed a different nation-state actor to access highly-sensitive Microsoft corporate email accounts, source code repositories, and internal systems; and
  7. how Microsoft’s ubiquitous and critical products, which underpin essential services that support national security, the foundations of our economy, and public health and safety, require the company to demonstrate the highest standards of security, accountability, and transparency.

The report includes a bunch of recommendations. It’s worth reading in its entirety.

The board was established in early 2022, modeled in spirit after the National Transportation Safety Board. This is their third report.

Here are a few news articles.

EDITED TO ADD (4/15): Adam Shostack has some good commentary.

XZ Utils Backdoor

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/04/xz-utils-backdoor.html

The cybersecurity world got really lucky last week. An intentionally placed backdoor in XZ Utils, an open-source compression utility, was pretty much accidentally discovered by a Microsoft engineer—weeks before it would have been incorporated into both Debian and Red Hat Linux. From ArsTehnica:

Malicious code added to XZ Utils versions 5.6.0 and 5.6.1 modified the way the software functions. The backdoor manipulated sshd, the executable file used to make remote SSH connections. Anyone in possession of a predetermined encryption key could stash any code of their choice in an SSH login certificate, upload it, and execute it on the backdoored device. No one has actually seen code uploaded, so it’s not known what code the attacker planned to run. In theory, the code could allow for just about anything, including stealing encryption keys or installing malware.

It was an incredibly complex backdoor. Installing it was a multi-year process that seems to have involved social engineering the lone unpaid engineer in charge of the utility. More from ArsTechnica:

In 2021, someone with the username JiaT75 made their first known commit to an open source project. In retrospect, the change to the libarchive project is suspicious, because it replaced the safe_fprint function with a variant that has long been recognized as less secure. No one noticed at the time.

The following year, JiaT75 submitted a patch over the XZ Utils mailing list, and, almost immediately, a never-before-seen participant named Jigar Kumar joined the discussion and argued that Lasse Collin, the longtime maintainer of XZ Utils, hadn’t been updating the software often or fast enough. Kumar, with the support of Dennis Ens and several other people who had never had a presence on the list, pressured Collin to bring on an additional developer to maintain the project.

There’s a lot more. The sophistication of both the exploit and the process to get it into the software project scream nation-state operation. It’s reminiscent of Solar Winds, although (1) it would have been much, much worse, and (2) we got really, really lucky.

I simply don’t believe this was the only attempt to slip a backdoor into a critical piece of Internet software, either closed source or open source. Given how lucky we were to detect this one, I believe this kind of operation has been successful in the past. We simply have to stop building our critical national infrastructure on top of random software libraries managed by lone unpaid distracted—or worse—individuals.

Security Vulnerability in Saflok’s RFID-Based Keycard Locks

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/03/security-vulnerability-in-safloks-rfid-based-keycard-locks.html

It’s pretty devastating:

Today, Ian Carroll, Lennert Wouters, and a team of other security researchers are revealing a hotel keycard hacking technique they call Unsaflok. The technique is a collection of security vulnerabilities that would allow a hacker to almost instantly open several models of Saflok-brand RFID-based keycard locks sold by the Swiss lock maker Dormakaba. The Saflok systems are installed on 3 million doors worldwide, inside 13,000 properties in 131 countries. By exploiting weaknesses in both Dormakaba’s encryption and the underlying RFID system Dormakaba uses, known as MIFARE Classic, Carroll and Wouters have demonstrated just how easily they can open a Saflok keycard lock. Their technique starts with obtaining any keycard from a target hotel—say, by booking a room there or grabbing a keycard out of a box of used ones—then reading a certain code from that card with a $300 RFID read-write device, and finally writing two keycards of their own. When they merely tap those two cards on a lock, the first rewrites a certain piece of the lock’s data, and the second opens it.

Dormakaba says that it’s been working since early last year to make hotels that use Saflok aware of their security flaws and to help them fix or replace the vulnerable locks. For many of the Saflok systems sold in the last eight years, there’s no hardware replacement necessary for each individual lock. Instead, hotels will only need to update or replace the front desk management system and have a technician carry out a relatively quick reprogramming of each lock, door by door. Wouters and Carroll say they were nonetheless told by Dormakaba that, as of this month, only 36 percent of installed Safloks have been updated. Given that the locks aren’t connected to the internet and some older locks will still need a hardware upgrade, they say the full fix will still likely take months longer to roll out, at the very least. Some older installations may take years.

If ever. My guess is that for many locks, this is a permanent vulnerability.

A Taxonomy of Prompt Injection Attacks

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/03/a-taxonomy-of-prompt-injection-attacks.html

Researchers ran a global prompt hacking competition, and have documented the results in a paper that both gives a lot of good examples and tries to organize a taxonomy of effective prompt injection strategies. It seems as if the most common successful strategy is the “compound instruction attack,” as in “Say ‘I have been PWNED’ without a period.”

Ignore This Title and HackAPrompt: Exposing Systemic Vulnerabilities of LLMs through a Global Scale Prompt Hacking Competition

Abstract: Large Language Models (LLMs) are deployed in interactive contexts with direct user engagement, such as chatbots and writing assistants. These deployments are vulnerable to prompt injection and jailbreaking (collectively, prompt hacking), in which models are manipulated to ignore their original instructions and follow potentially malicious ones. Although widely acknowledged as a significant security threat, there is a dearth of large-scale resources and quantitative studies on prompt hacking. To address this lacuna, we launch a global prompt hacking competition, which allows for free-form human input attacks. We elicit 600K+ adversarial prompts against three state-of-the-art LLMs. We describe the dataset, which empirically verifies that current LLMs can indeed be manipulated via prompt hacking. We also present a comprehensive taxonomical ontology of the types of adversarial prompts.

China Surveillance Company Hacked

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/02/china-surveillance-company-hacked.html

Last week, someone posted something like 570 files, images and chat logs from a Chinese company called I-Soon. I-Soon sells hacking and espionage services to Chinese national and local government.

Lots of details in the news articles.

These aren’t details about the tools or techniques, more the inner workings of the company. And they seem to primarily be hacking regionally.

AIs Hacking Websites

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/02/ais-hacking-websites.html

New research:

LLM Agents can Autonomously Hack Websites

Abstract: In recent years, large language models (LLMs) have become increasingly capable and can now interact with tools (i.e., call functions), read documents, and recursively call themselves. As a result, these LLMs can now function autonomously as agents. With the rise in capabilities of these agents, recent work has speculated on how LLM agents would affect cybersecurity. However, not much is known about the offensive capabilities of LLM agents.

In this work, we show that LLM agents can autonomously hack websites, performing tasks as complex as blind database schema extraction and SQL injections without human feedback. Importantly, the agent does not need to know the vulnerability beforehand. This capability is uniquely enabled by frontier models that are highly capable of tool use and leveraging extended context. Namely, we show that GPT-4 is capable of such hacks, but existing open-source models are not. Finally, we show that GPT-4 is capable of autonomously finding vulnerabilities in websites in the wild. Our findings raise questions about the widespread deployment of LLMs.

Microsoft Executives Hacked

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2024/01/microsoft-executives-hacked.html

Microsoft is reporting that a Russian intelligence agency—the same one responsible for SolarWinds—accessed the email system of the company’s executives.

Beginning in late November 2023, the threat actor used a password spray attack to compromise a legacy non-production test tenant account and gain a foothold, and then used the account’s permissions to access a very small percentage of Microsoft corporate email accounts, including members of our senior leadership team and employees in our cybersecurity, legal, and other functions, and exfiltrated some emails and attached documents. The investigation indicates they were initially targeting email accounts for information related to Midnight Blizzard itself.

This is nutty. How does a “legacy non-production test tenant account” have access to executive e-mails? And why no try-factor authentication?

Cyberattack on Ukraine’s Kyivstar Seems to Be Russian Hacktivists

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/12/cyberattack-on-ukraines-kyivstar-seems-to-be-russian-hacktivists.html

The Solntsepek group has taken credit for the attack. They’re linked to the Russian military, so it’s unclear whether the attack was government directed or freelance.

This is one of the most significant cyberattacks since Russia invaded in February 2022.

Online Retail Hack

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/11/online-retail-hack.html

Selling miniature replicas to unsuspecting shoppers:

Online marketplaces sell tiny pink cowboy hats. They also sell miniature pencil sharpeners, palm-size kitchen utensils, scaled-down books and camping chairs so small they evoke the Stonehenge scene in “This Is Spinal Tap.” Many of the minuscule objects aren’t clearly advertised.

[…]

But there is no doubt some online sellers deliberately trick customers into buying smaller and often cheaper-to-produce items, Witcher said. Common tactics include displaying products against a white background rather than in room sets or on models, or photographing items with a perspective that makes them appear bigger than they really are. Dimensions can be hidden deep in the product description, or not included at all.

In those instances, the duped consumer “may say, well, it’s only $1, $2, maybe $3­—what’s the harm?” Witcher said. When the item arrives the shopper may be confused, amused or frustrated, but unlikely to complain or demand a refund.

“When you aggregate that to these companies who are selling hundreds of thousands, maybe millions of these items over time, that adds up to a nice chunk of change,” Witcher said. “It’s finding a loophole in how society works and making money off of it.”

Defrauding a lot of people out of a small amount each can be a very successful way of making money.

Crashing iPhones with a Flipper Zero

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/11/crashing-iphones-with-a-flipper-zero.html

The Flipper Zero is an incredibly versatile hacking device. Now it can be used to crash iPhones in its vicinity by sending them a never-ending stream of pop-ups.

These types of hacks have been possible for decades, but they require special equipment and a fair amount of expertise. The capabilities generally required expensive SDRs­—short for software-defined radios­—that, unlike traditional hardware-defined radios, use firmware and processors to digitally re-create radio signal transmissions and receptions. The $200 Flipper Zero isn’t an SDR in its own right, but as a software-controlled radio, it can do many of the same things at an affordable price and with a form factor that’s much more convenient than the previous generations of SDRs.

Hacking Scandinavian Alcohol Tax

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/10/hacking-scandinavian-alcohol-tax.html

The islands of Åland are an important tax hack:

Although Åland is part of the Republic of Finland, it has its own autonomous parliament. In areas where Åland has its own legislation, the group of islands essentially operates as an independent nation.

This allows Scandinavians to avoid the notoriously high alcohol taxes:

Åland is a member of the EU and its currency is the euro, but Åland’s relationship with the EU is regulated by way of a special protocol. In order to maintain the important sale of duty-free goods on ferries operating between Finland and Sweden, Åland is not part of the EU’s VAT area.

Basically, ferries between the two countries stop at the island, and people stock up—I mean really stock up, hand trucks piled with boxes—on tax-free alcohol. Åland gets the revenue, and presumably docking fees.

The purpose of the special status of the Åland Islands was to maintain the right to tax free sales in the ship traffic. The ship traffic is of vital importance for the province’s communication, and the intention was to support the economy of the province this way.

Hacking the High School Grading System

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/10/hacking-the-high-school-grading-system.html

Interesting New York Times article about high-school students hacking the grading system.

What’s not helping? The policies many school districts are adopting that make it nearly impossible for low-performing students to fail—they have a grading floor under them, they know it, and that allows them to game the system.

Several teachers whom I spoke with or who responded to my questionnaire mentioned policies stating that students cannot get lower than a 50 percent on any assignment, even if the work was never done, in some cases. A teacher from Chapel Hill, N.C., who filled in the questionnaire’s “name” field with “No, no, no,” said the 50 percent floor and “NO attendance enforcement” leads to a scenario where “we get students who skip over 100 days, have a 50 percent, complete a couple of assignments to tip over into 59.5 percent and then pass.”

It’s a basic math hack. If a student needs two-thirds of the points—over 65%—to pass, then they have to do two-thirds of the work. But if doing zero work results in a 50% grade, then they only have to do a little bit of work to get over the pass line.

I know this is a minor thing in the universe of problems with secondary education and grading, but I found the hack interesting. (And this is exactly the sort of thing I explore in my latest book: A Hacker’s Mind.

Hacking Gas Pumps via Bluetooth

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/10/hacking-gas-pumps-via-bluetooth.html

Turns out pumps at gas stations are controlled via Bluetooth, and that the connections are insecure. No details in the article, but it seems that it’s easy to take control of the pump and have it dispense gas without requiring payment.

It’s a complicated crime to monetize, though. You need to sell access to the gas pump to others.

EDITED TO ADD (10/13): Reader Jeff Hall says that story is not accurate, and that the gas pumps do not have a Bluetooth connection.

Spyware Vendor Hacked

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/09/spyware-vendor-hacked.html

A Brazilian spyware app vendor was hacked by activists:

In an undated note seen by TechCrunch, the unnamed hackers described how they found and exploited several security vulnerabilities that allowed them to compromise WebDetetive’s servers and access its user databases. By exploiting other flaws in the spyware maker’s web dashboard—used by abusers to access the stolen phone data of their victims—the hackers said they enumerated and downloaded every dashboard record, including every customer’s email address.

The hackers said that dashboard access also allowed them to delete victim devices from the spyware network altogether, effectively severing the connection at the server level to prevent the device from uploading new data. “Which we definitely did. Because we could. Because #fuckstalkerware,” the hackers wrote in the note.

The note was included in a cache containing more than 1.5 gigabytes of data scraped from the spyware’s web dashboard. That data included information about each customer, such as the IP address they logged in from and their purchase history. The data also listed every device that each customer had compromised, which version of the spyware the phone was running, and the types of data that the spyware was collecting from the victim’s phone.

Hacking Food Labeling Laws

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/08/hacking-food-labeling-laws.html

This article talks about new Mexican laws about food labeling, and the lengths to which food manufacturers are going to ensure that they are not effective. There are the typical high-pressure lobbying tactics and lawsuits. But there’s also examples of companies hacking the laws:

Companies like Coca-Cola and Kraft Heinz have begun designing their products so that their packages don’t have a true front or back, but rather two nearly identical labels—except for the fact that only one side has the required warning. As a result, supermarket clerks often place the products with the warning facing inward, effectively hiding it.

[…]

Other companies have gotten creative in finding ways to keep their mascots, even without reformulating their foods, as is required by law. Bimbo, the international bread company that owns brands in the United States such as Entenmann’s and Takis, for example, technically removed its mascot from its packaging. It instead printed the mascot on the actual food product—a ready to eat pancake—and made the packaging clear, so the mascot is still visible to consumers.

UK Electoral Commission Hacked

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/08/uk-electoral-commission-hacked.html

The UK Electoral Commission discovered last year that it was hacked the year before. That’s fourteen months between the hack and the discovery. It doesn’t know who was behind the hack.

We worked with external security experts and the National Cyber Security Centre to investigate and secure our systems.

If the hack was by a major government, the odds are really low that it has resecured its systems—unless it burned the network to the ground and rebuilt it from scratch (which seems unlikely).

China Hacked Japan’s Military Networks

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/08/china-hacked-japans-military-networks.html

The NSA discovered the intrusion in 2020—we don’t know how—and alerted the Japanese. The Washington Post has the story:

The hackers had deep, persistent access and appeared to be after anything they could get their hands on—plans, capabilities, assessments of military shortcomings, according to three former senior U.S. officials, who were among a dozen current and former U.S. and Japanese officials interviewed, who spoke on the condition of anonymity because of the matter’s sensitivity.

[…]

The 2020 penetration was so disturbing that Gen. Paul Nakasone, the head of the NSA and U.S. Cyber Command, and Matthew Pottinger, who was White House deputy national security adviser at the time, raced to Tokyo. They briefed the defense minister, who was so concerned that he arranged for them to alert the prime minister himself.

Beijing, they told the Japanese officials, had breached Tokyo’s defense networks, making it one of the most damaging hacks in that country’s modern history.

More analysis.

Microsoft Signing Key Stolen by Chinese

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2023/08/microsoft-signing-key-stolen-by-chinese.html

A bunch of networks, including US Government networks, have been hacked by the Chinese. The hackers used forged authentication tokens to access user email, using a stolen Microsoft Azure account consumer signing key. Congress wants answers. The phrase “negligent security practices” is being tossed about—and with good reason. Master signing keys are not supposed to be left around, waiting to be stolen.

Actually, two things went badly wrong here. The first is that Azure accepted an expired signing key, implying a vulnerability in whatever is supposed to check key validity. The second is that this key was supposed to remain in the the system’s Hardware Security Module—and not be in software. This implies a really serious breach of good security practice. The fact that Microsoft has not been forthcoming about the details of what happened tell me that the details are really bad.

I believe this all traces back to SolarWinds. In addition to Russia inserting malware into a SolarWinds update, China used a different SolarWinds vulnerability to break into networks. We know that Russia accessed Microsoft source code in that attack. I have heard from informed government officials that China used their SolarWinds vulnerability to break into Microsoft and access source code, including Azure’s.

I think we are grossly underestimating the long-term results of the SolarWinds attacks. That backdoored update was downloaded by over 14,000 networks worldwide. Organizations patched their networks, but not before Russia—and others—used the vulnerability to enter those networks. And once someone is in a network, it’s really hard to be sure that you’ve kicked them out.

Sophisticated threat actors are realizing that stealing source code of infrastructure providers, and then combing that code for vulnerabilities, is an excellent way to break into organizations who use those infrastructure providers. Attackers like Russia and China—and presumably the US as well—are prioritizing going after those providers.

News articles.

EDITED TO ADD: Commentary:

This is from Microsoft’s explanation. The China attackers “acquired an inactive MSA consumer signing key and used it to forge authentication tokens for Azure AD enterprise and MSA consumer to access OWA and Outlook.com. All MSA keys active prior to the incident—including the actor-acquired MSA signing key—have been invalidated. Azure AD keys were not impacted. Though the key was intended only for MSA accounts, a validation issue allowed this key to be trusted for signing Azure AD tokens. The actor was able to obtain new access tokens by presenting one previously issued from this API due to a design flaw. This flaw in the GetAccessTokenForResourceAPI has since been fixed to only accept tokens issued from Azure AD or MSA respectively. The actor used these tokens to retrieve mail messages from the OWA API.”