Tag Archives: Target

The security breaches continue

As of Tuesday, September 2, 2014, Home Depot was the latest merchant to announce a potential security breach.

Any more, this means intruders have stolen credit card numbers from its POS (point of sale) systems. The details have yet to be revealed.

If there is any silver lining for Home Depot, it’s the likelihood that another large merchant will probably soon announce its own breach.  But one thing that’s going to be interesting with Home Depot is how they handle the breach, and whether their CEO, CIO, and CISO/CSO (if they have a CISO/CSO) manage to keep their jobs. Recall that Target’s CEO and CIO lost their jobs over the late 2013 Target breach.

Merchants are in trouble. Aging technologies, some related to the continued use of magnetic stripe credit cards, are making it easier for intruders to steal credit card numbers from merchant POS systems.  Chip-and-PIN cards are coming (they’ve been in Europe for years), but they will not make breaches like this a thing of the past; rather, organized criminal organizations, which have made a lot of money from recent break-ins, are developing more advanced technologies like the memory scraping malware that was allegedly used in the Target breach. You can be sure that there will be further improvements on the part of criminal organizations and their advanced malware.

A promising development is the practice of encrypting card numbers in the hardware of the card reader, instead of in the POS system software.  But even this is not wholly secure: companies that manufacture this hardware will themselves be attacked, in the hopes that intruders will be able to steal the secrets of this encryption and exploit it. In case this sounds like science fiction, remember the RSA breach that was very similar.

The cat-and-mouse game continues.

Why there will always be security breaches

At the time of this writing, the Target breach is in the news, and the magnitude of the Target breach has jumped from 40 million to as high as 110 million.

More recently, we’re now hearing about a breach of Neiman Marcus.

Of course, another retailer will be the next victim.  It is not so important to know who that will be, but why.

Retailers are like herds of gazelles on the African plain, and cybercriminals are the lions who devour them.

As lions stalk their prey, sometimes they choose their victim early and target them. At other times, lions run into the herd and find a target of opportunity: one that is a little slower than the rest, or one that makes a mistake and becomes more vulnerable. The slow, sick ones are easy targets, but the healthy, fatter ones are more rewarding targets.

As long as their are lions and gazelles, there will always be victims.

As long as there are retailers that store, process, or transmit valuable data, there will always be cybercriminals that attempt to steal that data.