[iwar] * FBI issues hack-attack alerts: Strike 'probable' (fwd)


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Date: Mon, 6 Nov 2000 18:17:45 -0800 (PST)
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Subject: [iwar] * FBI issues hack-attack alerts: Strike 'probable' (fwd)
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FBI issues hack-attack alerts: Strike 'probable' 
by   Carlos Grande 

National Post Copyright 2000 
Financial Post DataGroup
All rights reserved. November 06, 2000 Monday TORONTO EDITIONS 

Hackers who have recently crashed some of the Internet's biggest Web
sites, wiping millions off dot-com share prices, are likely to strike
again, according to the United States government's top Web security
body. 

The National Infrastructure Protection Center (NIPC) issued two alerts
in October about updates -- via the Web -- of software used to paralyze
the likes of Yahoo, Amazon.com and eBay. 

Michael Vatis, director of the NIPC -- it is part of the FBI -- said it
was 'probable there would be another attack at least as successful' in
the coming months. 

The warning, which was similar to those issued by the NIPC before the
previous hacks, was made to policy-makers and industry leaders meeting
in late October in London to discuss international co-operation on
rising Internet crime. 

The hacking technique used on eBay and others is known as distributed
denial of service.  It is part of a spectrum of Internet crime ranging
from electronic sabotage by disgruntled employees to computer viruses,
fraud and, less commonly, 'cyber-terrorism.'

Some industry estimates say total global losses from Internet crime in
2000 will reach US$1.5-trillion. 

'All of the efficiencies and advances in productivity created by the
Internet have a downside,' said Mr.  Vatis.  'They make businesses more
vulnerable.'

Electronic crime is the fastest- growing area of work for the FBI's
international attaches, he added. 

The Organization for Economic Co-operation and Development (OECD)
believes that unless Internet crime is stemmed, it will undermine
consumer trust in e-commerce and the huge investments made by businesses
and governments. 

Last month, OECD officials published figures from U.S.  researchers
showing reported electronic breaches in the first two quarters of 2000
outstripping those for all of 1999.  A similar pattern is emerging in
Japan. 

'The outlook is not encouraging.  The response from consumers to new
Internet business models is becoming cautious,' said Risaburo Nezu, head
of the OECD's directorate for science, technology and industry. 

However, agreement on how to co-ordinate Internet security
internationally is far from straightforward.  It raises the vexed
question of whether national jurisdictions can be applied globally. 

Legislators on Internet security in the U.S., Britain and the
Netherlands are aware of the fine line between protecting individual
rights to data privacy and meeting law-enforcement needs.  Yet recent
Internet surveillance bills such as Britain's regulation of
investigatory powers bill triggered controversy among privacy
campaigners and business. 

Delegates at last month's event, organized by the World E-commerce
Forum, showed little support for creation of a new global Internet
security body. 

Despite the 'invisibility' of much Internet crime, the regulatory issue
is not going to disappear.  It is due to be discussed at the next
meeting of G8 officials in Berlin, while the World Trade Organization is
likely to focus on e-commerce when its next round of talks starts in
spring. 

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