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CYBERSECURITY AND
THE INTERNET OF
THINGS
Chris Biedermann
Chief Financial Officer, Chief Data Security Officer – Emitel
PhD Student – Warsaw University of Technology
Information is Everywhere
• Why a discussion on “The Internet of
Things” at a conference on Information
Services?
• With the dramatic growth in connected devices information is now effectively
accumulated and stored a vast array of common devices
• Commonplace “things” that in the past posed no security risk now need to be
thought of in a different light
• Source of confidential information that needs to be adequately protected
• End point that can be used to attack larger systems
• The basic tenants of cybersecurity “CIA” need to be incorporated into how we
view everyday devices
What is “IOT”
• IOT – the “Internet of Things”
• A growing universe of “things” that are now connected to
the internet
• Includes appliances, switches, cars,
medical devices, etc…
• Connecting to the internet opens
up a vast array of new opportunities
The IoT
Connecting a myriad of
devices (actuators and
sensors) with each other
and to higher level
processing centers in the
cloud
- Cloud can utilize more
sophisticated
algorithms
- Cloud can store
massive amount of
data collected for more
intelligent analysis
(data mining)
Communication
performed utilizing the
internet and internet
protocols
Growth of the IoT
• Still in the early stage
• Gartner estimates that by 2020 over 20 billion IoT
connected devices will be in place
• Ericsson predicted
that by the end of
2018 there will be
more IoT
connections than
phone subsriptions
Source: NCTA, Gartner
IoT Growth will bring new opportunities
• Smart Home
• Smart City
• Smart Medical Devices
• Self Driving Cars
New sources of risks
• New ways to hack or disrupt systems
• New sources of data privacy concerns
• All sorts of common day “things” may be storing potentially
Confidential and Personally identifiable information
• Day to day habits of consumers will be tracked in ways not seen
before
• All this data has value for both legitimate and non legitimate
persons
Case Study: example of IoT security risk
• Example - DDoS Attack in October 2016
• DDoS attack utilized distributed computers to overwhelm a target
server
• Unknown group launched the attack (using Marai botnet) on DNS
server that served major corporations such as Amazon, Twitter, Netflix
• Unique as attacked utilized vulnerabilities in common IoT devices (e.g.
smart TV’s) to carry out the attack
Infected devices found in over 164
countries
• Devices that were most vulnerable and therefore most
likely hijacked were home security systems, home
monitoring cameras and smart TVs
Poor security practices are primarily to
blame
• The malicious software (Marai) found easy targets by
scanning IP addresses looking for poorly secured devices
• Many simple IoT devices such as IP cameras or
smartTV’s did not have passwords changed from default
ones.
• In some cases the devices had hardcoded
passwords that could not be changed
• Once attackers had control of the device
they could use it to launch the DDoS attack
Implications
• Hijacking of devices
• Marai example
• Baby monitors
• Japanese toilet example
• Many devices track non standard personal information
(e.g. track behaviors of people) – information is valuable
and can be sold
• What are we doing
• What are we using
• Where are we going
• Significant improvement in overall state of IoT Security
required
IoT security – underlying issues
• IT was estimated that less than 10% of IoT devices on the
market are designed with adequate security
• Lack of consumer awareness
• IoT devices however present unique new challenges – the tend
to have lower processing power and memory than traditional
connected devices – difficulties with
• Encryption methodologies
• Automatic patching and updates
• installation of anti-virus programs
• Lack of standards
Source: IoT Security Foudnation
Potential Solutions
• Technologies will improve to provide some solutions
• However other fundamental changes need to take place
• Drive for open standards
• In most cases today systems from different producers operate in silos
and can not talk to each other
• Industry change and consolidation
• Many smaller players developing proprietary systems
• Consumer education
Considerations for average consumer
• Awareness – know what devices are connected and the
associated risks
• Any malware placed on
computing devices
(e.g. PC, tablet, phone)
can be used to
access IoT devices
on the same network
• Similar guidelines as with PC’s
• Always change default passwords
• Create strong passwords (.eg. I*have*3*children)
• Social Engineering
Be careful of phishing emails
Questions?

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Christopher Biedermann, EmiTel Ltd: Cybersecurity and the Internet of Things

  • 1. CYBERSECURITY AND THE INTERNET OF THINGS Chris Biedermann Chief Financial Officer, Chief Data Security Officer – Emitel PhD Student – Warsaw University of Technology
  • 2. Information is Everywhere • Why a discussion on “The Internet of Things” at a conference on Information Services? • With the dramatic growth in connected devices information is now effectively accumulated and stored a vast array of common devices • Commonplace “things” that in the past posed no security risk now need to be thought of in a different light • Source of confidential information that needs to be adequately protected • End point that can be used to attack larger systems • The basic tenants of cybersecurity “CIA” need to be incorporated into how we view everyday devices
  • 3. What is “IOT” • IOT – the “Internet of Things” • A growing universe of “things” that are now connected to the internet • Includes appliances, switches, cars, medical devices, etc… • Connecting to the internet opens up a vast array of new opportunities
  • 4. The IoT Connecting a myriad of devices (actuators and sensors) with each other and to higher level processing centers in the cloud - Cloud can utilize more sophisticated algorithms - Cloud can store massive amount of data collected for more intelligent analysis (data mining) Communication performed utilizing the internet and internet protocols
  • 5. Growth of the IoT • Still in the early stage • Gartner estimates that by 2020 over 20 billion IoT connected devices will be in place • Ericsson predicted that by the end of 2018 there will be more IoT connections than phone subsriptions Source: NCTA, Gartner
  • 6. IoT Growth will bring new opportunities • Smart Home • Smart City • Smart Medical Devices • Self Driving Cars
  • 7. New sources of risks • New ways to hack or disrupt systems • New sources of data privacy concerns • All sorts of common day “things” may be storing potentially Confidential and Personally identifiable information • Day to day habits of consumers will be tracked in ways not seen before • All this data has value for both legitimate and non legitimate persons
  • 8. Case Study: example of IoT security risk • Example - DDoS Attack in October 2016 • DDoS attack utilized distributed computers to overwhelm a target server • Unknown group launched the attack (using Marai botnet) on DNS server that served major corporations such as Amazon, Twitter, Netflix • Unique as attacked utilized vulnerabilities in common IoT devices (e.g. smart TV’s) to carry out the attack
  • 9. Infected devices found in over 164 countries • Devices that were most vulnerable and therefore most likely hijacked were home security systems, home monitoring cameras and smart TVs
  • 10. Poor security practices are primarily to blame • The malicious software (Marai) found easy targets by scanning IP addresses looking for poorly secured devices • Many simple IoT devices such as IP cameras or smartTV’s did not have passwords changed from default ones. • In some cases the devices had hardcoded passwords that could not be changed • Once attackers had control of the device they could use it to launch the DDoS attack
  • 11. Implications • Hijacking of devices • Marai example • Baby monitors • Japanese toilet example • Many devices track non standard personal information (e.g. track behaviors of people) – information is valuable and can be sold • What are we doing • What are we using • Where are we going • Significant improvement in overall state of IoT Security required
  • 12. IoT security – underlying issues • IT was estimated that less than 10% of IoT devices on the market are designed with adequate security • Lack of consumer awareness • IoT devices however present unique new challenges – the tend to have lower processing power and memory than traditional connected devices – difficulties with • Encryption methodologies • Automatic patching and updates • installation of anti-virus programs • Lack of standards Source: IoT Security Foudnation
  • 13. Potential Solutions • Technologies will improve to provide some solutions • However other fundamental changes need to take place • Drive for open standards • In most cases today systems from different producers operate in silos and can not talk to each other • Industry change and consolidation • Many smaller players developing proprietary systems • Consumer education
  • 14. Considerations for average consumer • Awareness – know what devices are connected and the associated risks • Any malware placed on computing devices (e.g. PC, tablet, phone) can be used to access IoT devices on the same network • Similar guidelines as with PC’s • Always change default passwords • Create strong passwords (.eg. I*have*3*children) • Social Engineering Be careful of phishing emails