Misha Glenny: Hire the hackers!

111,675 views ・ 2011-09-13

TED


Please double-click on the English subtitles below to play the video.

00:15
Now this is a very un-TED-like thing to do,
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but let's kick off the afternoon
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with a message
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from a mystery sponsor.
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Anonymous: Dear Fox News,
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it has come to our unfortunate attention
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that both the name and nature of Anonymous
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has been ravaged.
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We are everyone. We are no one.
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We are anonymous. We are legion.
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We do not forgive. We do not forget.
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We are but the base of chaos.
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00:49
Misha Glenny: Anonymous, ladies and gentlemen --
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a sophisticated group
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of politically motivated hackers
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who have emerged in 2011.
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00:59
And they're pretty scary.
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01:01
You never know when they're going to attack next,
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who or what the consequences will be.
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01:07
But interestingly,
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they have a sense of humor.
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01:12
These guys hacked into Fox News' Twitter account
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to announce President Obama's assassination.
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01:20
Now you can imagine the panic that would have generated
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in the newsroom at Fox.
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01:25
"What do we do now?
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Put on a black armband, or crack open the champagne?"
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01:30
(Laughter)
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01:32
And of course, who could escape the irony
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of a member of Rupert Murdoch's News Corp.
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being a victim of hacking for a change.
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01:42
(Laughter)
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01:44
(Applause)
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01:48
Sometimes you turn on the news
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and you say, "Is there anyone left to hack?"
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01:53
Sony Playstation Network -- done,
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the government of Turkey -- tick,
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Britain's Serious Organized Crime Agency -- a breeze,
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the CIA -- falling off a log.
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02:03
In fact, a friend of mine from the security industry
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told me the other day
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that there are two types of companies in the world:
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those that know they've been hacked, and those that don't.
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I mean three companies
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providing cybersecurity services to the FBI
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have been hacked.
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02:22
Is nothing sacred anymore, for heaven's sake?
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02:25
Anyway, this mysterious group Anonymous --
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02:27
and they would say this themselves --
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they are providing a service
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by demonstrating how useless companies are
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at protecting our data.
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02:38
But there is also a very serious aspect to Anonymous --
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they are ideologically driven.
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02:44
They claim that they are battling
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a dastardly conspiracy.
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They say that governments are trying
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to take over the Internet and control it,
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and that they, Anonymous,
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are the authentic voice of resistance --
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be it against Middle Eastern dictatorships,
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against global media corporations,
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or against intelligence agencies,
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03:06
or whoever it is.
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03:08
And their politics are not entirely unattractive.
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Okay, they're a little inchoate.
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03:15
There's a strong whiff
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of half-baked anarchism about them.
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03:20
But one thing is true:
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we are at the beginning
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of a mighty struggle
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for control of the Internet.
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03:29
The Web links everything,
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and very soon
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it will mediate most human activity.
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Because the Internet has fashioned
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a new and complicated environment
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for an old-age dilemma
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that pits the demands of security
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with the desire for freedom.
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Now this is a very complicated struggle.
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03:52
And unfortunately, for mortals like you and me,
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we probably can't understand it very well.
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03:58
Nonetheless,
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in an unexpected attack of hubris
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a couple of years ago,
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I decided I would try and do that.
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And I sort of get it.
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04:11
These were the various things that I was looking at
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as I was trying to understand it.
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04:15
But in order to try and explain the whole thing,
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I would need another 18 minutes or so to do it,
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04:21
so you're just going to have to take it on trust from me on this occasion,
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and let me assure you that all of these issues
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are involved in cybersecurity and control of the Internet
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one way or the other,
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but in a configuration
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that even Stephen Hawking would probably have difficulty
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trying to get his head around.
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04:41
So there you are.
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And as you see, in the middle,
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there is our old friend, the hacker.
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The hacker is absolutely central
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to many of the political, social
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and economic issues affecting the Net.
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04:55
And so I thought to myself,
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"Well, these are the guys who I want to talk to."
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05:01
And what do you know,
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nobody else does talk to the hackers.
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They're completely anonymous, as it were.
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05:09
So despite the fact
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that we are beginning to pour billions,
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hundreds of billions of dollars,
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into cybersecurity --
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05:19
for the most extraordinary technical solutions --
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05:23
no one wants to talk
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to these guys, the hackers,
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05:27
who are doing everything.
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05:30
Instead, we prefer these really dazzling technological solutions,
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which cost a huge amount of money.
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05:38
And so nothing is going into the hackers.
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05:41
Well, I say nothing,
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but actually there is one teeny weeny little research unit
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in Turin, Italy
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called the Hackers Profiling Project.
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05:52
And they are doing some fantastic research
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into the characteristics,
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into the abilities
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and the socialization of hackers.
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06:01
But because they're a U.N. operation,
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maybe that's why governments and corporations
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are not that interested in them.
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06:07
Because it's a U.N. operation,
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of course, it lacks funding.
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06:12
But I think they're doing very important work.
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Because where we have a surplus of technology
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in the cybersecurity industry,
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we have a definite lack of --
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call me old-fashioned --
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human intelligence.
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06:29
Now, so far I've mentioned
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the hackers Anonymous
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who are a politically motivated hacking group.
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06:36
Of course, the criminal justice system
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treats them as common old garden criminals.
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But interestingly,
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Anonymous does not make use of its hacked information
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for financial gain.
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But what about the real cybercriminals?
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Well real organized crime on the Internet
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goes back about 10 years
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when a group of gifted Ukrainian hackers
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developed a website,
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which led to the industrialization
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of cybercrime.
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Welcome to the now forgotten realm of CarderPlanet.
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07:13
This is how they were advertising themselves
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a decade ago on the Net.
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Now CarderPlanet was very interesting.
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Cybercriminals would go there
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to buy and sell stolen credit card details,
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to exchange information
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about new malware that was out there.
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And remember, this is a time
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when we're seeing for the first time
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so-called off-the-shelf malware.
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This is ready for use, out-of-the-box stuff,
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which you can deploy
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even if you're not a terribly sophisticated hacker.
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And so CarderPlanet became a sort of supermarket
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for cybercriminals.
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And its creators
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were incredibly smart and entrepreneurial,
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because they were faced
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with one enormous challenge as cybercriminals.
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And that challenge is:
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How do you do business,
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how do you trust
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somebody on the Web who you want to do business with
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when you know that they're a criminal?
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(Laughter)
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It's axiomatic that they're dodgy,
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and they're going to want to try and rip you off.
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So the family, as the inner core of CarderPlanet was known,
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came up with this brilliant idea
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called the escrow system.
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They appointed an officer
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who would mediate between the vendor and the purchaser.
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The vendor, say, had stolen credit card details;
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the purchaser wanted to get a hold of them.
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The purchaser would send the administrative officer
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some dollars digitally,
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and the vendor would sell the stolen credit card details.
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And the officer would then verify
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if the stolen credit card worked.
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And if they did,
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he then passed on the money to the vendor
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and the stolen credit card details to the purchaser.
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And it was this
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which completely revolutionized cybercrime on the Web.
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And after that, it just went wild.
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We had a champagne decade
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for people who we know as Carders.
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Now I spoke to one of these Carders
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who we'll call RedBrigade --
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although that wasn't even his proper nickname --
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but I promised I wouldn't reveal who he was.
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09:19
And he explained to me how in 2003 and 2004
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he would go on sprees in New York,
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taking out $10,000 from an ATM here,
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$30,000 from an ATM there,
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using cloned credit cards.
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He was making, on average a week,
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$150,000 --
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tax free of course.
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And he said
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that he had so much money
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stashed in his upper-East side apartment at one point
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that he just didn't know what to do with it
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and actually fell into a depression.
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But that's a slightly different story,
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which I won't go into now.
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09:57
Now the interesting thing about RedBrigade
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is that he wasn't an advanced hacker.
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He sort of understood the technology,
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and he realized that security was very important
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if you were going to be a Carder,
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but he didn't spend his days and nights
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bent over a computer, eating pizza,
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drinking coke and that sort of thing.
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He was out there on the town
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having a fab time enjoying the high life.
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And this is because
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hackers are only one element
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in a cybercriminal enterprise.
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And often they're the most vulnerable element of all.
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And I want to explain this to you
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by introducing you to six characters
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who I met
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while I was doing this research.
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Dimitry Golubov, aka SCRIPT --
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born in Odessa, Ukraine in 1982.
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Now he developed his social and moral compass
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on the Black Sea port during the 1990s.
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This was a sink-or-swim environment
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where involvement in criminal or corrupt activities
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was entirely necessary
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if you wanted to survive.
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As an accomplished computer user,
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what Dimitry did
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was to transfer the gangster capitalism of his hometown
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onto the Worldwide Web.
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And he did a great job in it.
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You have to understand though
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that from his ninth birthday,
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the only environment he knew
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was gangsterism.
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He knew no other way of making a living
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and making money.
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Then we have Renukanth Subramaniam,
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aka JiLsi --
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founder of DarkMarket,
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born in Colombo, Sri Lanka.
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As an eight year-old,
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he and his parents fled the Sri Lankan capital
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because Singhalese mobs were roaming the city,
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looking for Tamils like Renu to murder.
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At 11, he was interrogated by the Sri Lankan military,
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accused of being a terrorist,
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and his parents sent him on his own to Britain
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as a refugee seeking political asylum.
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At 13,
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with only little English and being bullied at school,
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he escaped into a world of computers
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where he showed great technical ability,
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but he was soon being seduced
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by people on the Internet.
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He was convicted of mortgage and credit card fraud,
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and he will be released from Wormwood Scrubs jail in London
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in 2012.
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Matrix001,
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who was an administrator at DarkMarket.
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Born in Southern Germany
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to a stable and well-respected middle class family,
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his obsession with gaming as a teenager
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led him to hacking.
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And he was soon controlling huge servers around the world
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where he stored his games
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that he had cracked and pirated.
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His slide into criminality
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was incremental.
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And when he finally woke up to his situation
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and understood the implications,
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he was already in too deep.
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Max Vision, aka ICEMAN --
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mastermind of CardersMarket.
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Born in Meridian, Idaho.
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Max Vision was one of the best penetration testers
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working out of Santa Clara, California
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in the late 90s for private companies
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and voluntarily for the FBI.
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Now in the late 1990s,
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he discovered a vulnerability
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on all U.S. government networks,
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and he went in and patched it up --
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because this included nuclear research facilities --
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sparing the American government
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a huge security embarrassment.
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But also, because he was an inveterate hacker,
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he left a tiny digital wormhole
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through which he alone could crawl.
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But this was spotted by an eagle-eye investigator,
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and he was convicted.
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At his open prison,
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he came under the influence of financial fraudsters,
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and those financial fraudsters
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persuaded him to work for them
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on his release.
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And this man with a planetary-sized brain
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is now serving a 13-year sentence
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in California.
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Adewale Taiwo, aka FreddyBB --
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master bank account cracker
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from Abuja in Nigeria.
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He set up his prosaically entitled newsgroup,
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before arriving in Britain
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in 2005
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to take a Masters in chemical engineering
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at Manchester University.
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He impressed in the private sector,
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developing chemical applications for the oil industry
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while simultaneously running
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a worldwide bank and credit card fraud operation that was worth millions
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until his arrest in 2008.
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And then finally, Cagatay Evyapan,
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aka Cha0 --
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one of the most remarkable hackers ever,
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from Ankara in Turkey.
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He combined the tremendous skills of a geek
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with the suave social engineering skills
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of the master criminal.
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One of the smartest people I've ever met.
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He also had the most effective
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virtual private network security arrangement
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the police have ever encountered
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amongst global cybercriminals.
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Now the important thing
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about all of these people
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is they share certain characteristics
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despite the fact that they come from very different environments.
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They are all people who learned their hacking skills
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in their early to mid-teens.
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They are all people
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who demonstrate advanced ability
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in maths and the sciences.
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Remember that, when they developed those hacking skills,
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their moral compass had not yet developed.
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And most of them, with the exception of SCRIPT and Cha0,
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they did not demonstrate
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any real social skills in the outside world --
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only on the Web.
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And the other thing is
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the high incidence of hackers like these
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who have characteristics which are consistent
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with Asperger's syndrome.
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Now I discussed this
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with Professor Simon Baron-Cohen
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who's the professor of developmental psychopathology at Cambridge.
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And he has done path-breaking work on autism
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and confirmed, also for the authorities here,
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that Gary McKinnon --
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who is wanted by the United States
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for hacking into the Pentagon --
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suffers from Asperger's
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and a secondary condition
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of depression.
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And Baron-Cohen explained
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that certain disabilities
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can manifest themselves in the hacking and computing world
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as tremendous skills,
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and that we should not be throwing in jail
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people who have such disabilities and skills
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because they have lost their way socially
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or been duped.
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Now I think we're missing a trick here,
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because I don't think people like Max Vision should be in jail.
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And let me be blunt about this.
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In China, in Russia and in loads of other countries
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that are developing cyber-offensive capabilities,
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this is exactly what they are doing.
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They are recruiting hackers
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both before and after they become involved
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in criminal and industrial espionage activities --
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are mobilizing them
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on behalf of the state.
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We need to engage
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and find ways of offering guidance
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to these young people,
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because they are a remarkable breed.
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And if we rely, as we do at the moment,
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solely on the criminal justice system
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and the threat of punitive sentences,
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we will be nurturing a monster we cannot tame.
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Thank you very much for listening.
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(Applause)
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Chris Anderson: So your idea worth spreading
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is hire hackers.
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How would someone get over that kind of fear
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that the hacker they hire
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might preserve that little teensy wormhole?
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MG: I think to an extent,
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you have to understand
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that it's axiomatic among hackers that they do that.
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They're just relentless and obsessive
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about what they do.
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But all of the people who I've spoken to
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who have fallen foul of the law,
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they have all said, "Please, please give us a chance
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to work in the legitimate industry.
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We just never knew how to get there, what we were doing.
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We want to work with you."
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Chris Anderson: Okay, well that makes sense. Thanks a lot Misha.
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(Applause)
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Original video on YouTube.com
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