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Steptoe Cyberblog

Interview with Jeanette Manfra

Posted in Data Breach, Security Programs & Policies

Episode 179: Interview with Jeanette Manfra

Our interview is with Jeanette Manfra, DHS’s Assistant Secretary for Cyber Security and Communications. We cover her agency’s binding directive to other civilian agencies to purge Kaspersky software from their systems, and her advice to victims of the Equifax breach (and to doctors who think that Abbott Labs’ heart implants don’t need a security patch because no one has been killed by hackers yet). I also ask how she’s doing at expanding civilian agency security from intrusion prevention to monitoring inside networks – and the future of her agency at DHS.

CFIUS is back in the news as President Trump kills his first deal on national security grounds. Stephen Heifetz explains what he did and what it means for roughly 15 more deals caught in CFIUS’s toils.

For those who are following the 702 Upstream issue from last week’s episode, a bipartisan group of House Judiciary members have come down on Liza Goitein’s side of the debate, saying they’ll abolish upstream collection “about” terrorists. Whether they can sell the moderates of both parties on that, especially in the Senate, remains to be seen.

Jennifer Quinn-Barabanov explains how bad things have gotten for Equifax: a delayed patching process that will be cast as negligent, dozens of class actions, an FTC investigation, multiple Congressional committee hearings, possible SEC inquiries, and the state attorneys general too. I point out that no one has suffered harm from the breach yet and question whether this disaster will look quite so bad in three or four months.

The Trump administration imposes its first cyber attack sanctions, against Iranian hackers. Stephen and I note that three astonishingly different Presidents have managed to pursue cyber policies that are more or less indistinguishable from each other.

I suggest a surprising likely victim of the Russian probe: the effort to enshrine in law the requirement that electronic provider content only be provided in response to a search warrant, not a subpoena. The social media companies that dealt with Russian advertisers have provided less information to the Senate intelligence committee than to Robert Mueller. Why? Because the Senate doesn’t issue search warrants. So if Congress adopts a statutory warrant requirement to get electronic content, it will doom Congressional committees to perennial second-class status in future investigations. I doubt Congress is going to want to do that.

In fact, I predict, Silicon Valley is in for a bad half decade in Washington, as left and right grow increasingly suspicious of the power of social media companies.

Finally, to close out the news on a legal note, Jennifer unpacks two recent and, ahem, “divergent” opinions of the Eighth Circuit on breach lawsuit standing.

Download the 179th Episode (mp3).

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The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

Interview with Rebecca Richards and Elizabeth Goitein

Posted in Data Breach, International, Privacy Regulation

Episode 178: The Evil Dolphin Episode

The Cyberlaw Podcast kicks off a series exploring section 702 – the half-US/half-foreign collection program that has proven effective against terrorists while also proving controversial with civil liberties groups.  With the program due to expire on December 31, we’ll examine the surveillance controversies spawned by the program. Today, we look at the “upstream” collection program under section 702.  We talk to Becky Richards, NSA’s Civil Liberties and Privacy and (whew!) Transparency Officer as well as Liza Goitein of the Brennan Center for Justice.

In the news, Equifax is taking a beating both for a massive and serious data breach and for a series of missteps in its mitigation effort.  Michael Vatis lays out the gory details.

Speaking of ugly, the climate for the online ad business is getting a lot worse, or so I predict, as Russia’s use of social media ads and trolls gets attention in Washington.

Had enough?  Nope.  Now the European Court of Human Rights is piling on, limiting employers’ right to monitor employees.  Maury Shenk explains the law; and I marvel at the court’s ability to take an obligation imposed on governments and turn it into a code of conduct for private employers.

But wait, it gets worse.  Symantec says that a hacker who looks a lot like the Russian government has installed sophisticated hacking tools on the networks that directly control US electric grid systems.  I predict that the Trump administration will do, well, nothing, following an Obama administration tradition in grid hacking cases.

OK, it’s not the power grid, but would you really want hackers to be able to tell your Echo, “Alexa, send me two metric tons of garbanzo beans overnight?”  Now, thanks to what I call the Evil Dolphin attack, they can do exactly that – with you in the room.  Quick, get all the Echos out of Marine World!

OK, here’s a bit of good news, or at least man-bites-dog news.  Maury reports that the European Court of Justice has sent Intel’s $1.26 billion monopolization fine back to the European General Court.  Any time a European court doesn’t reach out to arbitrarily smack a US tech company, it’s cause for wonder.

In other news, Michael reports that Lenovo has settled (and pretty cheaply) with the FTC and a batch of states for installing spyware on its laptops.

To follow up on last week’s podcast, Best Buy has dumped Kaspersky software, so the mistrust virus is spreading from government to the private sector.

Finally, Uber, not content with God mode, also invented Hell, a program that fooled Lyft drivers into chasing fake customers.  Now Hell seems to have come for Uber, as it turns out the now-abandoned escapade might have violated the Computer Fraud and Abuse Act and is the subject of an SDNY/FBI probe.

Download the 178th Episode (mp3).

Subscribe to The Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

 

Steptoe partner Stewart Baker with Liza Goitein (left) and Becky Richards (right)

 

The Cyberlaw Podcast – Interview with Michael Mainelli

Posted in Blockchain, European Union, International, Virtual Currency

Episode 177: We’re back!

In Episode 177, fresh from hiatus, we try to summarize the most interesting cyber stories to break in August. Paul Rosenzweig kicks things off with the Shunning of Kaspersky.  I argue that the most significant – though unsupported – claim about Kaspersky is Sen. Shaheen’s assertion that all of the company’s servers are in Russia.  If true, that’s certainly an objective reason not to let Kaspersky install sensors in non-Russian computers.  The question that remains is how much due process companies like Kaspersky should get. That’s a question unlikely to go away, as DOD is now comprehensively shunning DJI drones, issuing guidance that sounds a lot like Edward Snowden demanding that users uninstall all DJI apps and remove all batteries and storage media.

Speaking of companies the US government can’t trust, Paul and I note that Apple has lost control of its secure enclave software. At the same time, Apple has pulled VPN apps from the Apple store at the direction of the Chinese government.  Tim Cook explains that this makes perfect sense because Chinese law is on the Chinese government’s side but US law was not on the US government’s side.  Right.  Sounds like Tim is as good at lawyering as he is at coding, or at finding new breakthrough products for that matter.

Alan Cohn offers a potentially groundbreaking IOT security act.

Maury Shenk lays out the future of UK data protection law after Brexit.

And Paul and I look for ways in which DNA malware could be used.

To everyone’s surprise, election hacking is still making news.  I use the item to tease our latest plan – an open house Election Day special where a panel of experts debates election security in front of a live Steptoe audience.

Finally, in our long interview, Alan and Maury talk bitcoin, blockchain, and distributed ledgers with Michael Mainelli, Co-Founder and Chairman of Z/Yen, a think tank and venture firm in the City of London; Emeritus Professor and Chairman at Gresham College; an alderman of the City of London; and a founder of Long Finance.

Download the 177th Episode (mp3).

Subscribe to The Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

Russian Cyber Sanctions – What you Need to Know

Posted in Cybersecurity and Cyberwar, International

Steptoe’s International Regulation & Compliance group today authored an advisory entitled: “A Detailed Look at the Countering America’s Adversaries Through Sanctions Act.” The advisory lays out President Trump’s newly signed Countering America’s Adversaries Through Sanctions Act targeting Russia, North Korea, and Iran.  An excerpt detailing the implications of this new law on cybersecurity follows:

The Russia section of the law, called the Countering Russian Influence in Europe and Eurasia Act of 2017 (CRIEEA), expands existing restrictions on US persons doing business with Russia, and adds some potentially significant secondary sanctions targeting non-US person activity involving Russia and certain operations outside of Russia. CRIEEA requires the president to impose blocking sanctions on “any person” determined to “knowingly” engage in “significant activities undermining cybersecurity against any person, including a democratic institution, or government on behalf of” the Russian government, or to be owned or controlled by, or acting for or on behalf of, such a person.  The law also requires the president to impose five or more of the menu-based sanctions on “any person that the president determines knowingly materially assists, sponsors, or provides financial, material, or technological support for, or goods or services (except financial services) in support of” such activity.  Finally, CRIEEA requires the president to impose menu-based sanctions on “any person that the president determines knowingly provides financial services in support of” such activity.  This provision significantly expands OFAC’s existing cyber-related sanctions program, in particular by applying to cyber activity that does damage anywhere in the world, as opposed to only that which impacts the United States.

A link to our full advisory can be accessed here.

Steptoe Cyberlaw Podcast – Interview with David Aitel

Posted in Data Breach, International

Episode 176: Governments to Internet: STFU

Everybody’s a critic, and everybody’s a censor, at least if you judge by today’s episode: Maury Shenk tells us the European Court of Justice will soon rule on its authority to censor what Americans read. Markham Erickson discusses the Ninth Circuit decision upholding national security letter gag orders. And Maury says that China is getting impressively good at deleting images it doesn’t like from citizens’ phones in real time.

In other news, Congressional sanctions on Russia look like a done deal; Anthony Rapa explains (contra the NYT) that the sanctions weren’t watered down in the House – and the fuss they’re likely to cause among our European trading partners.

Speaking of sanctions, how long before Putin decides to sanction the extended Trump family by going after their property, either with legal decrees or illegal hacks? The Trump hotels are already prime targets for credit card hacks; adding doxing and bricking to the mix wouldn’t be hard.

In fact, that’s a lesson Hollywood seems to have absorbed. To keep from getting hacked a la Sony, it looks as though other studios are airbrushing Vladimir Putin from their upcoming films.

Meanwhile, Reuters and others report that Silicon Valley’s Big Tech seems to be AWOL in the fight over section 702 renewal. Not necessarily out of patriotism but possibly also because the EU has tried to tie the fate of 702 with the Privacy Shield, which is the agreement that allows for free data flows between the regions.

As antidote, Stephanie Roy describes one profile in corporate courage – Microsoft’s lawsuit against Russia’s GRU (though they don’t of course name the intelligence agency). Microsoft is using trademark rights to take back some of the GRU’s command and control infrastructure.  It may not change the world, but it’s the best use of trademark enforcement in years.

Finally, our guest for the episode is Dave Aitel, Founder and CEO of Immunity, Inc. Dave combines deep cyber security expertise with a willingness to weigh in on policy issues.  A VEP expert (and contrarian), Dave thinks the recent Belfer Center paper on the topic is embarrassingly wrong and will have to be withdrawn. We cover other issues as well, from when a cyberweapon should be condemned as an indiscriminate violation of international humanitarian law to Kaspersky’s defenestration and the wisdom and proper regulation of private sector hacking back.  It’s a great tour of current issues in cybersecurity.

As always the Cyberlaw Podcast is open to feedback. Send your questions, suggestions for interview candidates or topics to CyberlawPodcast@steptoe.com or leave a message at +1 202 862 5785.

Download the 176th Episode (mp3).

Subscribe to the Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

Steptoe Cyberlaw Podcast – Interview with Eric Hysen

Posted in China, Security Programs & Policies

175: The Tragedy of Federal IT Procurement

This episode is dominated by IT procurement news.  And it’s as irresistible as a twelve-car pileup on the Beltway.  We open the news with an exploration of the federal de-listing of Kaspersky Labs, and how seriously government contracts lawyers take such an action (h/t to Michael Mutek for that).

Then, in the interview, Eric Hysen, formerly of the DHS Digital Service, lays out his view of how DHS’s effort to bring agility and speed to big IT contracts came a cropper, with plenty of color commentary from procurement law guru, Michael Mutek.  If you care about reforming federal IT purchasing (and you should), this interview is a cautionary tale.

In other news, as Steptoe summer associate Quentin Johnson lays out, the Knight First Amendment Institute has brought a lawsuit to declare @realDonaldTrump a public forum from which trolls and griefers may never be excluded.  Gus Hurwitz overcomes his inclination to snark and instead treats the claim seriously, which only makes it sound more ridiculous.  Still, I’m looking forward to seeing White House press briefings moved to the Rose Bowl.

Alan Cohn and I note that Booz Allen has come up with the best explanation yet for NotPetya’s weirdly self-defeating ransomware pose.  The purpose wasn’t to cause Shamoon-style destruction or to collect ransom; the goal was to cover tracks left in earlier intrusions.

Meanwhile, Alan Cohn describes a remarkably functional homeland and cyber security White House and DHS process, including Jeanette Manfra’s swift appointment and Rob Joyce’s sober assessment of the value of norms talk.

China continues to crack down on its citizens, and to get cooperation from at least some US tech companies.   You want cyber norms as the tech sector would write them?  It’s easy:  the norm is whatever the government in the companies’ biggest markets wants.  That, at least, goes a long way to explain Apple’s conduct.

Download the 175th Episode (mp3).

Subscribe to the Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

Steptoe partner Stewart Baker with Eric Hysen

 

Steptoe partner Stewart Baker with Quentin Johnson

Steptoe Cyberlaw Podcast – Interview with Jim Miller

Posted in Cybersecurity and Cyberwar, International

In this episode, we interview Jim Miller, co-chair of a Defense Science Board panel that reported on how the US is postured for cyberconflict and the importance of deterrence. The short answer: deterring cyberconflict is important because our strategic cyberconflict posture sucks. The DSB report is thoughtful, detailed, and troubling. Jim Miller manages to convey its message with grace, good humor, and clarity.

In the news, Brian Egan and I find ourselves unable to turn away from the Trump-Putin meeting in Warsaw. Bottom line: by raising concerns with election hacking, Trump did and said more or less what any President would have said and done – except he failed to stick the landing with a self-serving debrief. Or if the President’s short-lived establishment of a “joint computer security unit” was self-serving, we missed it.

File this under dog bites man: Europeans are beating up on Google. The UK data protection commissioner says it was unlawful for the National Health Service to share medical data with Google’s DeepMind subsidiary, even if the goal was to provide new medical insights.

And the EU’s massive fine for Google’s abuse of its dominant position leads to musings on the regulatory foundations of some competition law doctrines – plus an enthusiastic book recommendation.

Speaking of regulating cyberspace, China’s regulatory association is demanding “core socialist values” and in-house auditors for internet content sites.

Finally, in a first, we invite Steptoe summer associate Josh Holtzman on the podcast. Josh does a fine job breaking down the issues in a court fight over warrants-and-gag-orders served on Facebook, probably as part of an investigation into violence accompanying Donald Trump’s inauguration.

As always the Cyberlaw Podcast is open to feedback. Send your questions, suggestions for interview candidates or topics to CyberlawPodcast@steptoe.com or leave a message at +1 202 862 5785.

Download the 174th Episode (mp3).

Subscribe to the Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

 

Steptoe partner Stewart Baker with Jim Miller.

 

Steptoe partner Stewart Baker with Joshua Holtzman.

Steptoe Cyberlaw Podcast – Interview with Richard Ledgett

Posted in Cybersecurity and Cyberwar, International, Security Programs & Policies

Episode 173:  Interview with Richard Ledgett

Today we deliver the second half of our bifurcated holiday podcast with an interview of Richard Ledgett, recently retired from his tour as NSA’s deputy director. We cover much recent history, from Putin’s election adventurism to questions about whether NSA can keep control of the cyberweapons it develops.  Along the way, Rick talks about the difference between CIA and NSA approaches to hacking, the rise of NSA as an intelligence analysis force, the growing effort to keep Kaspersky products out of sensitive systems, and the divergence among intel agencies about whether Putin’s attack on the American election was intended mainly to hurt Hillary Clinton or to help Donald Trump.

As always the Cyberlaw Podcast is open to feedback. Send your questions, suggestions for interview candidates or topics to CyberlawPodcast@steptoe.com or leave a message at +1 202 862 5785.

Download the 173rd episode (mp3).

Subscribe to the Cyberlaw Podcast here. We are also on iTunes, Pocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.

Steptoe Cyberlaw Podcast – News Roundup

Posted in Cybersecurity and Cyberwar, International, Privacy Regulation

172:  The Self-Referential Episode

In this news-only episode, we cover the irresistible story of the week: Trump, Russia, and the Media.  It’s especially irresistible for us because we’ve had two of the protagonists on as guests.  I make the bold prediction that Shane Harris’s stories on Russia collusion and the Trump campaign will be seen as the moment when the media OCD fascination with Russia collusion finally jumped the shark.  Though in this case, the shark had already consumed at least one Pulitzer-prize winning journalist, Eric Lichtblau.  (And for the record, CNN, I am not advocating that more journalists should be eaten by sharks, and I refuse to accept the blame when they are.)

Unfortunately, journalists chasing nonstories can’t devote any attention to some very real stories involving government and IT.  So we do it for them.  Stephen Heifetz reports on the CFIUS logjam that is blocking close to a dozen transactions because the administration has not filled the subcabinet positions that could sort through the filings with a coherent policy in mind.

In other cyberwar logjam news, the UN Government Group of Experts (GGE) has failed to produce a consensus report following up on earlier reports endorsing some application of the law of war to cyberattacks.  Brian Egan explains what that means for the UN, the Trump administration, and the future of international cooperation on cyber norms.

Finally, Stephanie Roy explains the significance of the latest spat between Ajit Pai and Mignon Clyburn over online privacy regulation.

As always, the Cyberlaw Podcast welcomes feedback.  Send an email to CyberlawPodcast@steptoe.com or leave a message at +1 202 862 5785.

Download the 172nd Episode (mp3).

Subscribe to the Cyberlaw Podcast here.  We are also on iTunesPocket Casts, and Google Play (available for Android and Google Chrome)!

The views expressed in this podcast are those of the speakers and do not reflect the opinions of the firm.