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Smartphone


    Necessity
       or
Information Sieve

      UNCLASSIFIED
The purpose of this brief is to raise awareness of the vulnerabilities associated with
smartphones. For the purpose of this brief, when the term smartphone is used, it also
includes iPhones and blackberries unless otherwise specified.




                                      UNCLASSIFIED
Definitions


com¡put¡er
noun
1. An electronic device designed to accept data, perform prescribed mathematical
   and logical operations at high speed, and display the results of these
   operations.

tel¡e¡phone
noun
1. An apparatus, system, or process for transmission of sound or speech to a
   distant point, especially by an electric device.




                                   UNCLASSIFIED
Phone…..Really?




    UNCLASSIFIED
The Future

Smartphone sales eclipsed standard cellular phone sales as well as PC
sales last year. According to Google, over 200,000 Android smartphones
are activated each day- Ellis Holman




                            UNCLASSIFIED
Hello?




We are talking about a phone …. Right?

             UNCLASSIFIED
Computer health statistics




         UNCLASSIFIED
Security Risk


What is the biggest security risk when it comes to Smartphones?

HINT: This risk most likely is the same as internet capable
computers or Wi-Fi laptop use.


Answer: You……. The user.


Like most people, when it comes to new technology, we want it
and we want it now. We usually start using this technology for
all the benefits promised without understanding the
vulnerabilities or the security features available.




                                       UNCLASSIFIED
The Numbers

A study conducted by the Ponemon Institute in concert with AVG
Technologies;

•734 random US consumers over age 18 questioned regarding mobile
communications behavior.

• 89 percent respondents unaware smartphone applications can
transmit confidential payment information without the user’s
knowledge or consent.

• 91 percent respondents unaware financial applications for
smartphones can be infected with specialized malware designed to
steal credit card numbers and online banking credentials. 29 percent
report already storing credit and debit card information on their
devices. 35 percent report storing “confidential” work related
documents.

• 56 percent respondents unaware; failing to properly log off a social
network app could allow an imposter to post malicious details or
change personal settings.              UNCLASSIFIED
U.K. National Statistics


• 45 percent of Internet users used a mobile phone to connect to the Internet

• 6 million people accessed the Internet over their mobile phone for the first time in the
  previous 12 months

• The use of wireless hotspots almost doubled in the last 12 months to 4.9 million users

• 21 per cent of Internet users did not believe their skills were sufficient to protect their
  personal data

• 77 per cent of households had Internet access

- Office of National Statistics “Internet Access - Households and Individuals, 2011 “




                                                              UNCLASSIFIED
Malware


• An average of 9 out of every 100 smartphones in
  use is infected with malware of some type




                      UNCLASSIFIED
Definitions

Key Logger: A computer program that records every keystroke made by a
   computer or Smartphone user. The “key-logger” will then send the
   information to an outside server. This is often used in order to gain
              fraudulent access to passwords and other confidential
              information.

               Worm: A computer worm is a self-replicating malware
               computer program that can replicate to such an extent as to take up enough
               bandwidth to cause a denial of service.

               Virus: A Virus is a software program capable of reproducing itself
              to corrupt and cause major damage to files or other programs.
          They can spread quickly, infecting other computers or smartphones.

Trojan: A Trojan horse, or Trojan, is malware that appears to perform a
    desirable function for the user prior to run or install instead facilitates
    unauthorized access of the user‘s computer system.
                                           UNCLASSIFIED
Spyware

Software that self-installs on a computer, enabling information to be gathered covertly
    about a person's knowledge including
     – inbound and outbound texts, emails, and phone calls
     – Web browsing activity
     – Information stored on phone
     – Contacts
     – Can even turn on the phone’s camera to capture images and video




                                       UNCLASSIFIED
Information Hemorrhage on the
                                       WWW
 Web surfing is the primary source of new infections, with attackers relying more and
 more on customized malicious code toolkits to develop and distribute their threats.
 90 percent of all threats detected by Symantec, during a study period, attempted to
 steal confidential information.
 - Michael Dinan, TMCnet Editor


Web browsing is becoming a big threat, with 38 percent of Android owners encountering a
malicious link — 40 percent if you only consider the United States.
- Lookout’s chief technology officer Kevin Mahaffey




                                                      UNCLASSIFIED
Think Before You Click




       UNCLASSIFIED
What’s on Your Phone

"Mobile phones are a huge source of vulnerability. We are definitely seeing an increase in
criminal activity.“ - Gordon Snow, assistant director of the Federal Bureau of Investigation's Cyber Division.




                                               UNCLASSIFIED
Keeping in Touch

                     The “Bad Guy” is using the same tools and resources
                     that we (the recreational user) use, and a lot of the
                     time, they know more about the tool.




Across the U.S. and beyond, inmates are using social networks and smartphones smuggled
into prisons and jails to harass their victims or accusers and intimidate witnesses.

In California, home to the nation's largest inmate population, the corrections department
confiscated 12,625 phones in just 10 months this year. - DON THOMPSON, Associated Press November 2011

                                           UNCLASSIFIED
Smart Phishing (Smishing) for
                            Smartphones
Emails or texts messages offering a free one-year warranty extension for a popular
smartphone, links to a company-branded web page. That web page asks for an email address
and then smartphone serial number, IMEI number, type of phone, and capacity of phone.
Cybercriminals use the information requested on the web page to clone the smartphone. –
markmonitor.com




                                      UNCLASSIFIED
Man In The Middle (MITM)
                                Attack




The attacker machine forces traffic between the victim’s machines to route through it by
sending a false Address Resolution Protocol (ARP) reply to both machines. The attacker can
than create new connections and kill existing connections, as well as view and replay
anything that is private between the targets machines.

A testing team has adequately shown that with a mobile laptop in a Wi‐Fi network, it is
possible to intercept communications between a smartphone and the Wi‐Fi hotspot.
- Smobile Systems
                                       UNCLASSIFIED
“There’s an APP for that”




        UNCLASSIFIED
Jailbreaking


•   Gives the user root level access to the phone
•   Strips away security measures designed to protect the smartphone
•   A majority of smartphone malware comes from third party app stores




                                   UNCLASSIFIED
“Trojanized” Apps

The malicious developer selects popular apps to “trojanize” and delivers malware
   along with the clean content




                                    UNCLASSIFIED
Which System is Better?




       UNCLASSIFIED
How You are “Protected”




   Google Bouncer               iTunes               App World
Scans all uploaded       Apple authenticates     Vets applications
   Android                 its developers,         before
   Marketplace apps        tests and digitally     distribution and
   40% decrease in         signs each app          allows user to
   potential malicious     before                  set permissions
   apps in the             distribution            for each item
   marketplace in          making malware          within an app
   2011                    occurrences rare        separately to
                                                   give user control
                             UNCLASSIFIED
Defensive software

                             Malware

                             Anti Virus



      March 2012

AV-TEST an independent
IT security institute, has
 inspected 41 different
    virus scanners for
 Android with regard to
     their detection
      performance.




                                          UNCLASSIFIED
What’s in Your App?


The most common malicious Android apps contain spyware and (SMS) Trojans that:

• collect and send GPS coordinates, contact lists, e-mail addresses etc. to third parties

• send Short Message Service (SMS) to premium-rate numbers

• subscribe infected phones to premium services

• record phone conversations and send them to attackers

• take control over the infected phone

• download other malware onto infected phones
 - Cnet.com




                                      UNCLASSIFIED
Some Android Apps Use
                 Personal Data Suspiciously


A study conducted (2010) by Penn State, Duke, and Intel Labs ;

Found that 358 apps in the Android Market require Internet permissions, as
well as permissions to access location, camera, or audio data. Of those 358,
researchers randomly selected 30 apps, including ones for The Weather
Channel and BBC News.

15 of the 30 apps reported user locations to remote advertising servers, and
seven apps collected the device ID, and sometimes the phone number and SIM
card serial number. One app even transmitted phone information every time
the phone booted – even if the app has not been used. Overall, two-thirds of
the apps used data suspiciously, researchers concluded.
- Pcmag.com




                                 UNCLASSIFIED
App Security


•   Despite increased security in legitimate app marketplaces, malware still comes
    through
•   Scrutinize apps before downloading
     – Do you know the developer?
     – How long has it been available?
     – What are the permissions required?




                                     UNCLASSIFIED
Mobile Banking

•   Mobile banking has grown 129% in the last year alone
•   Android users alone lost more than one million dollars to cyber-thieves in 2011
    and the numbers are climbing




                                     UNCLASSIFIED
Geo-tag

Most smartphones and some cameras made today are equipped with geo tags. Geo
tags are imbedded in the picture and use the same concept as GPS.




                                 UNCLASSIFIED
Physical Consideration

If you leave your phone unattended, loose or have it stolen, depending on what security
features you have set, a Smudge attack can be conducted. The picture illustrates how easy it
would be to access this phone.




Maintain positive control of your phone and clean the screen after every use if you have a
touch screen keypad.

                                         UNCLASSIFIED
Navy Networks

In October 2010, CTO 10-084 was released prohibiting the connection of unapproved USB
    mass storage devices to government networks. This includes connecting a
    smartphone to a DON computer “just to charge it”. Lack of compliance could result
    in data exfiltration, spillage and the spread of malware




                                    UNCLASSIFIED
Smartphone Headlines

                     HTC Smartphone Vulnerability Exposes Your Personal Data
  Your Smartphone Is Spying on You
                                     Smartphone pictures pose privacy risks
Report Reveals Data Loss as Primary Concern
for Smartphone Users
                                        Tens of Millions of Smartphones Come With
                                        Spyware Preinstalled, Security Analyst Says

Smartphones evidence a boon for divorce
lawyers
                                       Android super smartphones: Too much of a
                                       good thing?

Smartphones overtook PC shipments in 2011
                                             Smartphone scams: Owners warned over
                                             malware apps

                                      UNCLASSIFIED
Recommendations for a More Secure
                          Smartphone

Never store sensitive data on smart phones

                                                 Do not leave phone unattended in public
Enable password protection

                                                Activate the lock-out screen
Update your device regularly, to include
anti-virus software

                                                Enable encryption where possible
Do not open suspicious email or click
unknown links from unsolicited texts or email
                                                Take precautions to avoid theft and recover
                                                 from loss
Avoid using smartphones to conduct online
financial transactions


                                       UNCLASSIFIED
Recommendations for a More Secure
                          Smartphone

Only purchase apps from legitimate marketplaces

                                               Understand the apps you download/use
                                               and what data the app accesses
Turn off GPS & Bluetooth when not in use


                                               Disable Geo-tagging
Never “jailbreak” or “root” a smartphone

                                               Keep phone screen clean if using touch
                                               screen keypads
 Enable “safe mode” to prevent applications
from running in the background without
permission
                                               Data sanitize your device before
                                               redistributing it


                                      UNCLASSIFIED
Summary


• Computer health statistics

• The climb of smartphones

• Activities executed on smartphones

• Security issues involving smartphones

• Application uses and the vulnerabilities

• Physical issues involving smartphones

• Recommendations for smartphones
                               UNCLASSIFIED
YOU Decide!




   UNCLASSIFIED

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Smartphone

  • 1. Smartphone Necessity or Information Sieve UNCLASSIFIED
  • 2. The purpose of this brief is to raise awareness of the vulnerabilities associated with smartphones. For the purpose of this brief, when the term smartphone is used, it also includes iPhones and blackberries unless otherwise specified. UNCLASSIFIED
  • 3. Definitions com¡put¡er noun 1. An electronic device designed to accept data, perform prescribed mathematical and logical operations at high speed, and display the results of these operations. tel¡e¡phone noun 1. An apparatus, system, or process for transmission of sound or speech to a distant point, especially by an electric device. UNCLASSIFIED
  • 4. Phone…..Really? UNCLASSIFIED
  • 5. The Future Smartphone sales eclipsed standard cellular phone sales as well as PC sales last year. According to Google, over 200,000 Android smartphones are activated each day- Ellis Holman UNCLASSIFIED
  • 6. Hello? We are talking about a phone …. Right? UNCLASSIFIED
  • 8. Security Risk What is the biggest security risk when it comes to Smartphones? HINT: This risk most likely is the same as internet capable computers or Wi-Fi laptop use. Answer: You……. The user. Like most people, when it comes to new technology, we want it and we want it now. We usually start using this technology for all the benefits promised without understanding the vulnerabilities or the security features available. UNCLASSIFIED
  • 9. The Numbers A study conducted by the Ponemon Institute in concert with AVG Technologies; •734 random US consumers over age 18 questioned regarding mobile communications behavior. • 89 percent respondents unaware smartphone applications can transmit confidential payment information without the user’s knowledge or consent. • 91 percent respondents unaware financial applications for smartphones can be infected with specialized malware designed to steal credit card numbers and online banking credentials. 29 percent report already storing credit and debit card information on their devices. 35 percent report storing “confidential” work related documents. • 56 percent respondents unaware; failing to properly log off a social network app could allow an imposter to post malicious details or change personal settings. UNCLASSIFIED
  • 10. U.K. National Statistics • 45 percent of Internet users used a mobile phone to connect to the Internet • 6 million people accessed the Internet over their mobile phone for the first time in the previous 12 months • The use of wireless hotspots almost doubled in the last 12 months to 4.9 million users • 21 per cent of Internet users did not believe their skills were sufficient to protect their personal data • 77 per cent of households had Internet access - Office of National Statistics “Internet Access - Households and Individuals, 2011 “ UNCLASSIFIED
  • 11. Malware • An average of 9 out of every 100 smartphones in use is infected with malware of some type UNCLASSIFIED
  • 12. Definitions Key Logger: A computer program that records every keystroke made by a computer or Smartphone user. The “key-logger” will then send the information to an outside server. This is often used in order to gain fraudulent access to passwords and other confidential information. Worm: A computer worm is a self-replicating malware computer program that can replicate to such an extent as to take up enough bandwidth to cause a denial of service. Virus: A Virus is a software program capable of reproducing itself to corrupt and cause major damage to files or other programs. They can spread quickly, infecting other computers or smartphones. Trojan: A Trojan horse, or Trojan, is malware that appears to perform a desirable function for the user prior to run or install instead facilitates unauthorized access of the user‘s computer system. UNCLASSIFIED
  • 13. Spyware Software that self-installs on a computer, enabling information to be gathered covertly about a person's knowledge including – inbound and outbound texts, emails, and phone calls – Web browsing activity – Information stored on phone – Contacts – Can even turn on the phone’s camera to capture images and video UNCLASSIFIED
  • 14. Information Hemorrhage on the WWW Web surfing is the primary source of new infections, with attackers relying more and more on customized malicious code toolkits to develop and distribute their threats. 90 percent of all threats detected by Symantec, during a study period, attempted to steal confidential information. - Michael Dinan, TMCnet Editor Web browsing is becoming a big threat, with 38 percent of Android owners encountering a malicious link — 40 percent if you only consider the United States. - Lookout’s chief technology officer Kevin Mahaffey UNCLASSIFIED
  • 15. Think Before You Click UNCLASSIFIED
  • 16. What’s on Your Phone "Mobile phones are a huge source of vulnerability. We are definitely seeing an increase in criminal activity.“ - Gordon Snow, assistant director of the Federal Bureau of Investigation's Cyber Division. UNCLASSIFIED
  • 17. Keeping in Touch The “Bad Guy” is using the same tools and resources that we (the recreational user) use, and a lot of the time, they know more about the tool. Across the U.S. and beyond, inmates are using social networks and smartphones smuggled into prisons and jails to harass their victims or accusers and intimidate witnesses. In California, home to the nation's largest inmate population, the corrections department confiscated 12,625 phones in just 10 months this year. - DON THOMPSON, Associated Press November 2011 UNCLASSIFIED
  • 18. Smart Phishing (Smishing) for Smartphones Emails or texts messages offering a free one-year warranty extension for a popular smartphone, links to a company-branded web page. That web page asks for an email address and then smartphone serial number, IMEI number, type of phone, and capacity of phone. Cybercriminals use the information requested on the web page to clone the smartphone. – markmonitor.com UNCLASSIFIED
  • 19. Man In The Middle (MITM) Attack The attacker machine forces traffic between the victim’s machines to route through it by sending a false Address Resolution Protocol (ARP) reply to both machines. The attacker can than create new connections and kill existing connections, as well as view and replay anything that is private between the targets machines. A testing team has adequately shown that with a mobile laptop in a Wi‐Fi network, it is possible to intercept communications between a smartphone and the Wi‐Fi hotspot. - Smobile Systems UNCLASSIFIED
  • 20. “There’s an APP for that” UNCLASSIFIED
  • 21. Jailbreaking • Gives the user root level access to the phone • Strips away security measures designed to protect the smartphone • A majority of smartphone malware comes from third party app stores UNCLASSIFIED
  • 22. “Trojanized” Apps The malicious developer selects popular apps to “trojanize” and delivers malware along with the clean content UNCLASSIFIED
  • 23. Which System is Better? UNCLASSIFIED
  • 24. How You are “Protected” Google Bouncer iTunes App World Scans all uploaded Apple authenticates Vets applications Android its developers, before Marketplace apps tests and digitally distribution and 40% decrease in signs each app allows user to potential malicious before set permissions apps in the distribution for each item marketplace in making malware within an app 2011 occurrences rare separately to give user control UNCLASSIFIED
  • 25. Defensive software Malware Anti Virus March 2012 AV-TEST an independent IT security institute, has inspected 41 different virus scanners for Android with regard to their detection performance. UNCLASSIFIED
  • 26. What’s in Your App? The most common malicious Android apps contain spyware and (SMS) Trojans that: • collect and send GPS coordinates, contact lists, e-mail addresses etc. to third parties • send Short Message Service (SMS) to premium-rate numbers • subscribe infected phones to premium services • record phone conversations and send them to attackers • take control over the infected phone • download other malware onto infected phones - Cnet.com UNCLASSIFIED
  • 27. Some Android Apps Use Personal Data Suspiciously A study conducted (2010) by Penn State, Duke, and Intel Labs ; Found that 358 apps in the Android Market require Internet permissions, as well as permissions to access location, camera, or audio data. Of those 358, researchers randomly selected 30 apps, including ones for The Weather Channel and BBC News. 15 of the 30 apps reported user locations to remote advertising servers, and seven apps collected the device ID, and sometimes the phone number and SIM card serial number. One app even transmitted phone information every time the phone booted – even if the app has not been used. Overall, two-thirds of the apps used data suspiciously, researchers concluded. - Pcmag.com UNCLASSIFIED
  • 28. App Security • Despite increased security in legitimate app marketplaces, malware still comes through • Scrutinize apps before downloading – Do you know the developer? – How long has it been available? – What are the permissions required? UNCLASSIFIED
  • 29. Mobile Banking • Mobile banking has grown 129% in the last year alone • Android users alone lost more than one million dollars to cyber-thieves in 2011 and the numbers are climbing UNCLASSIFIED
  • 30. Geo-tag Most smartphones and some cameras made today are equipped with geo tags. Geo tags are imbedded in the picture and use the same concept as GPS. UNCLASSIFIED
  • 31. Physical Consideration If you leave your phone unattended, loose or have it stolen, depending on what security features you have set, a Smudge attack can be conducted. The picture illustrates how easy it would be to access this phone. Maintain positive control of your phone and clean the screen after every use if you have a touch screen keypad. UNCLASSIFIED
  • 32. Navy Networks In October 2010, CTO 10-084 was released prohibiting the connection of unapproved USB mass storage devices to government networks. This includes connecting a smartphone to a DON computer “just to charge it”. Lack of compliance could result in data exfiltration, spillage and the spread of malware UNCLASSIFIED
  • 33. Smartphone Headlines HTC Smartphone Vulnerability Exposes Your Personal Data Your Smartphone Is Spying on You Smartphone pictures pose privacy risks Report Reveals Data Loss as Primary Concern for Smartphone Users Tens of Millions of Smartphones Come With Spyware Preinstalled, Security Analyst Says Smartphones evidence a boon for divorce lawyers Android super smartphones: Too much of a good thing? Smartphones overtook PC shipments in 2011 Smartphone scams: Owners warned over malware apps UNCLASSIFIED
  • 34. Recommendations for a More Secure Smartphone Never store sensitive data on smart phones Do not leave phone unattended in public Enable password protection Activate the lock-out screen Update your device regularly, to include anti-virus software Enable encryption where possible Do not open suspicious email or click unknown links from unsolicited texts or email Take precautions to avoid theft and recover from loss Avoid using smartphones to conduct online financial transactions UNCLASSIFIED
  • 35. Recommendations for a More Secure Smartphone Only purchase apps from legitimate marketplaces Understand the apps you download/use and what data the app accesses Turn off GPS & Bluetooth when not in use Disable Geo-tagging Never “jailbreak” or “root” a smartphone Keep phone screen clean if using touch screen keypads Enable “safe mode” to prevent applications from running in the background without permission Data sanitize your device before redistributing it UNCLASSIFIED
  • 36. Summary • Computer health statistics • The climb of smartphones • Activities executed on smartphones • Security issues involving smartphones • Application uses and the vulnerabilities • Physical issues involving smartphones • Recommendations for smartphones UNCLASSIFIED
  • 37. YOU Decide! UNCLASSIFIED

Hinweis der Redaktion

  1. Which one of these definitions is closer to what a smart phone is? Are we using the right terminology?
  2. Only about two years ago, the circled words on this screen were used to describe computers and their capabilities.Do you associate any of these words with your home phone? That is if you still have one.
  3. Does this slide depict the decline of the home computer? Instead of a computer in every home, will we have two, three or maybe more in every household?
  4. The smartphone has made information sharing quick,easy and able to be conducted on the run. What about The talking piece? There is no stats on the percentage of time spent TALKING!
  5. Based on all the functions available for a smartphone, we really need to treat them as a computer. This is just a to illustrate how vulnerable our computers are and they have been around longer than smartphones. If we have protection measures in place for our computers and we are still having problems with keeping them secure and healthy, are people really aware of the vulnerabilities of smartphones and how to keep them secure?
  6. This study shows that people continue to use technology without understanding the risk or vulnerabilities associated with it. These numbers should be a wakeup call for all of us.
  7. Assuming that Americans are not that different from our friends in the U.K., let look at the practices of the U.K. and then consider our numbers from the previous slide. Does 21% seem like a low number? People usually do not admit short comings. Example, How many people would admit not being a good driver?
  8. A snapshot in time on the internet, 90% of all threats detected were after confidential information. With this in mind, is your smartphone protected? 40% of Android users in the US have experienced a malicious link. Do you have personal data on your phone? Or do you use the web to update or post personal data?
  9. Contact lists, location data, text messages, Social Networking and banking information are just some of the things stored on or conducted with smartphones. Is this information important to you? How cautious are you with your information?
  10. Facebook continues to be a prime source of personal information. It also allows for ease of communication based on your privacy settings. With smartphones, as you see in the slide, bad guys are using this to their advantage. Yes, the bad guys are using the same resources that we do.
  11. Like professional Angler (Fisherman) Fred Arbogast, people who phish on the internet know what lures or bait to use to hook their prey. The bad guys have now set their sights on smartphone users and this type of phishing is now referred to as smishing.
  12. Man in the middle attacks leave little clues for people to identify when they have been a victim. No questionable e-mail that the victim has to respond to, know suspicious links clicked on or no noticeable interaction with questionable entities. The only thing you may question is if you used a Wi-Fi hotspot prior to the compromise of whatever you are missing. Question: So what are you doing on your smartphone while on a Wi-Fi hotspot?
  13. Over 500,000 cleared by Apple. There are many, many more available and not always for good things.
  14. The answer is up for you as the user to decide. While any one system is not better than another it IS important to know your phone and the vulnerabilities specific to the type of phone you have.
  15. 30 random apps selected and the results are a bit scary. What did you agree to when you downloaded your apps? The app developers can claim that permission (from the user) was granted, but the reality is that in most cases the app developer never spelled out why it needs access to sensitive information or what will be done with it.
  16. Geo-tagging still remains an issue. This has been briefed and discussed in the past and awareness has been raised for the people who already own smartphones. However, new users remain unaware of this vulnerability and do not turn this feature off.
  17. This is an example of a low tech hack on a high tech piece of equipment. Do we really need to make it this easy for a bad guy?
  18. can introduce malicious code to the network, provide an avenue to exfiltrate data from the device, or provide adversaries access to critical unclassified or classified networks
  19. Just some of the headlines on smartphones. As the actor Kevin Costner heard in “the field of dreams” “If you build it, they will come” The smartphone was built and the vulnerabilities did come, along with those willing to exploit the weaknesses.