LulzSec, Anonymous, ICE, FBI and users Part III

Get caught up on this series Part I, and Part II.
So I’ve been talking about these four groups and how they have been interacting. However, these groups are not interacting in a vacuum. Theses groups are either hacking governmental organizations or they are hacking corporations.When Anonymous and LulzSec (or any other hacking group) goes after a company, they are trying to get one of two things, some times both, either user data or  some sort of dirt on the company itself.

User information can range from names, locations, email address to IP addresses and credit card information. Since these guys are going after big companies, like Sony, Blizzard, and other gaming companies, they are most likely going after as much information as they can get their hands on. When it comes to dirt on a company, they go after big companies and small alike. They went after Bank of America in an attempt to reveal improper behavior to punish someone for the financial mess we’re in. Small companies like HBGary was a bit of a grudge match. HBGary claimed that they were able to bring down all of Anonymous, which pissed the group off. HBGary was hack and completely discredited and also showed a lot of nastiness going on in the security world in general.

In some ways it’s pretty obvious how stealing using information impacts the user. Recently, Sony’s PlayStaion Network was down for a month, because of the security breach, which included some 1.3 million user’s information being stolen including credit card information. In another case a game called Brink was hacked and 200,000 users information was stolen.

So, obviously these guys are in the wrong right? Well, yes and no. They think they are completely in the right here. They could have been doing all these things and not made it public. Just stole the information, then sell it to someone and make a lot of money from it. Or perhaps use it themselves. In some cases they did that. Anonymous ordered about 100 pizzas to a Sony Executive’s house. In fact, Sony is currently being sued for the weakness of their network. We would not have known about it, without the hacker attack.

The US government is fighting back and taking down servers which have obvious impacts on users and hosting agents at the same time. However, both ICE and the FBI feel they are 100% in the right based on the law. ICE firmly believes that it has the required authority and rights to take down websites, and the FBI feels it can take whatever servers it needs to find these guys.

It’s the immovable object versions the unstoppable force, with the regular internet users in the middle. Most users won’t notice unless some website they are using goes down, or they find out their card has been hacked. Users that play games, watch movies, and create content have the most risk in this battle.

How can users mitigate their risk? Well, the best thing to do is to get a specific online credit card that has a low limit that will cover your gaming and general online purchases. If you’re only spending $10/month on games then get a card that will have a maximum of $100 or something like that. Minimize the number of credit cards you use online, and try to avoid using debit cards as much as possible. Additionally, try to create difficult passwords, something with multiple capital letters, numbers and special characters if the website allows it. Such as: Dr.Wh0d^nn!t something more random might be better, but it’s still a much more difficult password to deal with than drwhodunit. If you are unable to create passwords like this, then you should request it from the website you are using.

Finally, there’s only so much you can do as a user. Some of this has to deal with how the internet is structured. I’ll discuss this tomorrow. Protect yourself as much as you can.

The NY Times posted this article yesterday about LulzSec.

LulzSec, Anonymous, ICE, FBI and users Part II

Yesterday, I discussed Users, Anonymous and ICE. Today I will introduce LulzSec and the FBI and how they interact with the other two groups, if I have space I’ll also add some of the impact on users.

LulzSec is a rather new hacking group. I think I’ve been seeing posts about them since about June. I’m pretty sure they’ve been around longer than that, but within the last few weeks they’ve really picked up their online activity. This group claims they are fighting for the user and are going after, white hat, black hat, and government agencies. White hat and black hat are different types of hackers. White hats will find vulnerabilities, and then notify the firm of this vulnerabilities in their systems. The white hats help protect user data from the black hats, which are typically the bad hackers. LulzSec is something of a gray hat. They hack firms and then publicly display the vulnerabilities, by they claim they are doing this only to force the firms to change their behavior. They are also attempting to out bad apples, or so they say, in the white hat community. These guys are apparently pretty good, as their domain name was seized by ICE, and they took it back. On the ICE seizure page, in my previous post, they added this “rage guy” to it. They claim they only do it for the Lulz (lols or laughs).

I found this on the Telegraph’s website. No idea who owns the copyright

This of course did not make the US government too happy. So, two days ago the FBI got involved in the situation. They proceeded to take the server which the LulzSec website was hosted. Which impacted innocent websites as well. As the hosting agent wasn’t aware of this action until a few hours after it occurred. According to the hosting agent, the FBI took additional servers that weren’t involved at all. Here’s an article from the NY Times with a bit of a time line of the event. The LulzSec website is currently no longer up, as it appears the server with the website has been taken offline.

LulzSec has been targeted by both governmental agencies and some members of Anonymous and other hacking groups. The hackers are trying to show that these guys are a bunch of amateurs and aren’t covering their tracks very well. There’s been one LulzSec arrest so far in Spain. There have also been numerous Anonymous arrests as well. Each arrest supposedly is a leader in the movement, which each movement denies and mocks the arresting government as being incompetent and the person they caught is only a bit player in their campaign.

So what’s the big idea? They hack stuff, they get arrested, they lose connection to the internet. What’s the big deal? Well, I think that both Anonymous and LulzSec are using hacking as a means of protesting, but also attempting to fight over the structure of the internet. Anonymous feels that no one is listening to the larger internet community on how they feel firms should interact on the internet, and they also feel that the internet should be open and should be unregulated. LulzSec is a bit more of a loose cannon and are basically trying to cause as much mayhem as they possibly can. However, I think that they are using a different technique to achieve the same aims, an unregulated internet.

Tomorrow I’ll discuss some of the impact on users and what the structure of the internet means for most users, and how it can affect how the internet works in the future.

The Power of Old Technology

So most of what I post about is about innovation and how that can impact the economy. However, these innovations can take years to hit the larger part of a given market let alone the greater population (either in a country or in the world). I think it’s pretty obvious why it takes so long for technology to diffuse in a given area, but I’ll list some. I think the two biggest adoption slow downs are price and lock-in. I think price is fairly straight forward, if you can’t afford it you can’t buy it right away. You have to wait until the product reaches a price point you can afford. This may mean that you bought an original iPhone when the iPhone 3GS came out or something along those lines. Lock-in is a little bit more complicated. There can be a couple different types of lock-in. Keeping with the cell phone example, you are locked into a specific network based on your contract, and in some cases with the difficulty in taking your number to the new network with you. The other type of lock in is the fact that you are already using a phone. You may already really enjoy using your Blackberry, because you use Blackberry messenger, so you’re going to continue using Blackberry phones even if it is a lesser product.

Most of those examples are from our developed world. Most of the time we don’t think about how the rest of the world uses technology. In parts of India people are still using those old Nokia phones we had about 10 years ago. They were sturdy phones that were able to call and text. In those areas were the only connection is a mobile phone that is powered by a solar panel these old technologies are important. The problem with mixing new technologies like solar panels with rural farmers that still mostly use a hoe for farming is that they have no abilities to fix or deal with a broken solar panel. While most people in the developed world do not either, there are people that do have the experience and they are only a phone call away.

Old technologies also have a habit of making a comeback. Look at the recent explosion of LP sales. This technology was basically dead during the 80’s and 90’s, however it’s extremely popular now again. This is partially because of other effects. The fact that when you purchase many LPs you are able to get a digital version of the album makes it less risky for you to buy the LP. I say risky, not that there is much risk, because without that most people would result to downloading a copy of the album and with the copyright system the way it is, you risk lawsuits etc.

There’s an interesting book on this topic. It’s called “Shock of the Old” by David Edgerton. It’s a great read, pretty fast to get through it too. There’s some surprising numbers in there. For instance, the Nazi’s used more horses in WWII than the British did in WWI. While they were used for carrying supplies, it’s not something we see in movies or video games. Apparently even the US had 1 horse for every 4 men.

Are there any old technologies that you’ve seen a resurfacing of, or that you’ve heard of being used today?

Technology Incubators and You

So, I had a discussion on faccebook that went from discussing the cost of labor for a dutch bike mechanic (€40 for about 15 minutes for work to install wheel (i did it myself in 30 minutes instead of paying that)) to a discussion about technology incubators. It got me thinking about incubators and how people think of them. Technology Incubators come in a variety of forms and while many are attached to universities there have recently been a few where they are unaffiliated and some 18 year old kid makes one. But what is an incubator? Well, at the most basic level an incubator is a place that allows a firm to grow from an idea into an actual business. When it graduates it’s at the stage where it’s making enough money to support itself, or it has gotten Venture Capital (VC) backing so it has enough money to expand to a larger facility.

My first experience with an incubator was the Machine Assistance Center (MAC) at the University of Pittsburgh where I did my undergraduate. I thought it was the coolest idea. It was this old warehouse that was converted into separate mini-factories with a few different companies in it. The rent was free or dirt cheap, and there was equipment, like lathes, drill presses and a 6 axis CNC machine. The firms were able to rent time on these tools to create their product, make new prototypes and train new employees. The university also used these tools to train community members on how to use them to gain new skills for employment. Eventually these firms were making enough money that they were able to move out of the MAC get their own place and set up shop there.

I know that in Pittsburgh there are at least two other incubators. I’m sure there are more. Carnegie Mellon started the other two I’m aware of. However, these ones are software based start ups. So these firms have very different needs than physical product based firms. The Innovation Lab at Eindhoven University of Technology, in Eindhoven The Netherlands, where I’m pursuing my master’s degree, has a different model than either. It has spaces large enough for firms that need to manufacture products, but it also has a lot of offices for consultation firms as well. So, there are many different models for an incubator and non are exactly the same.

Ok, that’s great, why should I care about these things? Well, it matters because some of these are tax payer subsidized or were created through your tax dollars (Tax Euros? Just doesn’t sound right). Earlier this year Obama started the win the future campaign, which put a couple hundred million into both VC, public groups and incubators to help reduce the barriers to entry for new companies. Many policy makers believe that these incubators or hubs of heavy start up activity could spawn another Silicon Valley, or greatly boost the economy through job creating companies. Sadly, most of these companies actually only employ a few people and don’t become huge firms like we’d like them to be (Clarysse et al, 2005). However, this activity still can help the economy of the region to some extent.

So what do we do about it? Well, I plan on studying these and their impact for my master’s thesis, so we’ll see what I find. I probably won’t post to much about it as I might try to publish a paper about it. However, when I do that I’ll write about my findings on here. Until then, I say we should be supporting these incubators. Lowering barriers to competition will eventually lead to new products, services and lower pricing. That’s what we, as consumers, want right? Besides, I want to start a company some day and I’d like some help in getting me to the point where I can get VC funding 😉

Moar?
Here’s an article about the “Win the future” campaign from when it was first announced: http://techcrunch.com/2011/01/31/startup-america-a-campaign-to-celebrate-inspire-and-accelerate-entrepreneurship/

References:
Clarysse, B., Wright, M., Lockett, A., Veld, E. Van de, Vohora, A. (2005) “Spinning out new ventures: A typology of incubation strategies from European research Institutions”, Journal of Business Venturing. Vol. 20 pp 183-216 http://www.feb.ugent.be/nl/Ondz/wp/Papers/wp_04_228.pdf