{"id":13018,"date":"2018-08-06T06:30:05","date_gmt":"2018-08-06T14:30:05","guid":{"rendered":"https:\/\/www.palada.net\/index.php\/2018\/08\/06\/news-6785\/"},"modified":"2018-08-06T06:30:05","modified_gmt":"2018-08-06T14:30:05","slug":"news-6785","status":"publish","type":"post","link":"http:\/\/www.palada.net\/index.php\/2018\/08\/06\/news-6785\/","title":{"rendered":"TSMC&#039;s iPhone chip attack is a wake-up call for enterprise security"},"content":{"rendered":"<p><img decoding=\"async\" src=\"https:\/\/images.techhive.com\/images\/article\/2016\/02\/tsmc_in_tainan_science_park-100643688-primary.idge.jpg\"\/><\/p>\n<p><strong>Credit to Author: Jonny Evans| Date: Mon, 06 Aug 2018 05:21:00 -0700<\/strong><\/p>\n<p>Apple chipmaker TSMC suffered a serious WannaCry-related ransomware infection that closed down production at some of its factories. The incident should be a wake-up call for manufacturers across every industry.<\/p>\n<p>TSMC has said the incident was not the result of a direct attack. Instead <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-06\/iphone-chipmaker-blames-wannacry-variant-for-plant-closures\" rel=\"noopener nofollow\" target=\"_blank\">it says<\/a> its systems were exposed to the malware \u201cwhen a supplier installed tainted software without a virus scan.\u201d<\/p>\n<p>The malware spread fast and impacted some of the company\u2019s most advanced facilities used to build Apple\u2019s A-series chips.<\/p>\n<p>The TSMC attack (which seems likely to have impacted iPhone production) took place at a critical time for its biggest customer, with new chips designed to power the <a href=\"http:\/\/www.applemust.com\/will-apples-2018-iphones-tempt-android-switchers-higher\/\" rel=\"nofollow\">next-generation iPhones<\/a> likely at peak production as Apple preps for the <a href=\"http:\/\/www.applemust.com\/ios-12-code-hints-that-an-iphone-x-pro-is-coming-this-fall\/\" rel=\"nofollow\">fall iPhone refresh<\/a>.<\/p>\n<p>TSMC has taken steps to minimize the damage.<\/p>\n<p>\u201cWe are surprised and shocked,\u201d CEO C.C. Wei <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-06\/iphone-chipmaker-blames-wannacry-variant-for-plant-closures\" rel=\"nofollow\">said,<\/a> \u201cWe have installed tens of thousands of tools before, and this is the first time this happened.&#8221;<\/p>\n<p>It was only a matter of time. Manufacturers across every supply chain must take strong steps today to protect themselves. They must accept that they are <a href=\"https:\/\/www.marketwatch.com\/press-release\/frost-sullivan-holistic-enterprise-security-remains-paramount-in-light-of-singhealth-attack-2018-08-06\" rel=\"nofollow\">already being attacked<\/a>\u00a0\u2014 and be prepared to mitigate any that make it through.<\/p>\n<p>Stephen Phipson, chief executive of the Manufacturers\u2019 Organization,\u00a0<a href=\"https:\/\/www.eef.org.uk\/about-eef\/media-news-and-insights\/media-releases\/2018\/apr\/industry-urged-to-boost-cyber-defence\" rel=\"nofollow\">warns<\/a>, \u201cManufacturers urgently need to take steps to protect themselves against the burgeoning threat.\u201d<\/p>\n<p>To understand the scale of risk, the latest report from <a href=\"http:\/\/newsroom.ibm.com\/2018-04-04-IBM-X-Force-Report-Fewer-Records-Breached-In-2017-As-Cybercriminals-Focused-On-Ransomware-And-Destructive-Attacks\" rel=\"nofollow\">IBM X-Force<\/a> warns that 18 percent of all cyber attacks are aimed at manufacturing. IBM\u2019s researchers point out that the true scale of such attacks may exceed published data, saying:<\/p>\n<p>\u201cThe manufacturing sector is not subject to the same obligations to report breaches as industries such as financial services, healthcare, and retail. Nevertheless, there were some incidents in which customers were affected that did see public reporting.\u201d<\/p>\n<p>A wave of ransomware attacks \u2014 including the original <a href=\"https:\/\/securityintelligence.com\/media\/wannacry-ransomware-state-of-the-attack\/\" rel=\"nofollow\">WannaCry<\/a> ransomware a variant of which impacted TSMC, along with\u00a0<a href=\"https:\/\/securityintelligence.com\/monitor-your-network-for-notpetya-in-real-time\/\" rel=\"nofollow\">NotPetya<\/a>, and\u00a0<a href=\"https:\/\/securityintelligence.com\/bad-rabbit-ransomware-attacks-highlight-risk-of-propagating-malware-outbreaks\/\" rel=\"nofollow\">Bad Rabbit<\/a> hit the sector in 2017. It\u2019s not clear how much damage was done. We\u2019ve seen whole cities (including <a href=\"https:\/\/www.reuters.com\/article\/us-usa-cyber-atlanta-budget\/atlanta-officials-reveal-worsening-effects-of-cyber-attack-idUSKCN1J231M\" rel=\"nofollow\">Atlanta<\/a>) impacted by similar attacks against infrastructure.<\/p>\n<p>Production isn\u2019t just hardware \u2014 we\u2019ve also seen at least one example in which attempts to subvert device security have been made by attempting to undermine the software development environment.<\/p>\n<p><a href=\"http:\/\/researchcenter.paloaltonetworks.com\/2015\/09\/novel-malware-xcodeghost-modifies-xcode-infects-apple-ios-apps-and-hits-app-store\/\" rel=\"nofollow\">XCodeGhost<\/a> was a version of Apple\u2019s XCode development environment distributed through non-traditional channels that sewed malware inside apps built using the kit. Apple stopped this fast, but apps made using XCodeGhost were distributed at the App Store briefly.<\/p>\n<p>We\u2019ve also seen plenty of incidents in which production facilities have been targeted. <a href=\"https:\/\/www.computerworld.com\/article\/2493138\/security0\/after-stuxnet--the-new-rules-of-cyberwar.html\">StuxNet<\/a> may have been the first but is unlikely to be the last. Only last year <a href=\"http:\/\/blog.checkpoint.com\/2017\/03\/10\/preinstalled-malware-targeting-mobile-users\/\" rel=\"nofollow\">Checkpoint<\/a> revealed that dozens of shipping Android smartphones contained malware that had been installed during manufacturing.<\/p>\n<p>The evolution of connected manufacturing creates a huge number of potential attack vectors \u2014 and these vulnerabilities have huge value.<\/p>\n<p>A hacker getting into your computer to steal personal data is bad enough, but criminals successfully attacking manufacturing, healthcare, transportation, or energy logistics can hold entire nations, or at least, corporations, to ransom.<\/p>\n<p>As we enter a state of <a href=\"https:\/\/cynefinroad.com\/alternative-war\/\" rel=\"nofollow\">hybrid warfare<\/a>, there should be little doubt among C-seat executives, consumers, or security professionals that attacks against key manufacturing infrastructure will intensify. The apps used to control <a href=\"https:\/\/www.automationworld.com\/article\/technologies\/mobility\/industrial-mobile-apps-whos-using-them-and-why\" rel=\"nofollow\">connected industrial equipment<\/a> must also be thoroughly secured.<\/p>\n<p>The TSMC case is a clear illustration of the need for enterprise security chiefs to ensure strict adherence to the security protocols in place across their company.<\/p>\n<p>It also shows that even where such adherence is kept, manufacturers must attend to the security practice of all their <a href=\"https:\/\/www.apple.com\/supplier-responsibility\/\" rel=\"nofollow\">partners<\/a>\u00a0\u2014 including equipment suppliers.<\/p>\n<p>The famed Target attack in which credit card details belonging to millions of customers were seized was enabled by a security weakness in the company\u2019s connected HVAC systems. This is why a recent <a href=\"https:\/\/www.trendmicro.com\/vinfo\/us\/security\/news\/internet-of-things\/rogue-robots-testing-industrial-robot-security\" rel=\"nofollow\">Trend Micro report<\/a> is so concerning. It found that many industrial robots in use across Industry 4.0 run outdated software, use vulnerable operating systems, and\/or possess poor password protection.<\/p>\n<p>In the case of TSMC, it seems clear the company acted swiftly to protect its systems and reject the attack. The company has also done precisely the right thing in disclosing the attack \u2014 situational awareness demands everyone shares what they know as attacks occur.<\/p>\n<p>While the company denies the incident was the result of a hack, its timing \u2014 as A-series processor production peaks, causes one to wonder just how the partner company was itself attacked. Was this the result of a deliberately engineered series of sophisticated (phishing?) attacks in which multiple attack vectors were used in an attempt to insert malware into the Apple supply chain?<\/p>\n<p>I think it highly probable that Apple, TSMC, and the hapless supplier will be strenuously exploring that possibility. We can expect much more of this as <a href=\"https:\/\/blogs.computerworld.com\/article\/3294956\/apple-on-the-tracks-ios-on-the-railways.html\" rel=\"nofollow\">connected industry<\/a> opens the doors for large-scale, complex, and <span style=\"text-decoration: underline;\">highly profitable<\/span> attacks.<\/p>\n<p>It is also why every enterprise must double down to ensure internal and external employees are clued-up to the scale, potential consequence, and best practices for the prevention of such attacks, as <a href=\"https:\/\/blogs.computerworld.com\/article\/3293922\/apple-users-most-appealing-to-cybercriminals-online-scams.html\" rel=\"nofollow\">noted last week<\/a>.<\/p>\n<p><strong>Google+?<\/strong>\u00a0If you use social media and happen to be a Google+ user, why not\u00a0join\u00a0<a href=\"https:\/\/plus.google.com\/u\/0\/communities\/102592251674546201152\" rel=\"nofollow\">AppleHolic&#8217;s Kool Aid Corner community<\/a>\u00a0and get involved with the conversation as we pursue the spirit of the New Model Apple?<\/p>\n<p><strong>Got a story? Please\u00a0<\/strong><a href=\"https:\/\/twitter.com\/jonnyevans_cw\" rel=\"nofollow\">drop me a line via Twitter<\/a>\u00a0and let me know. I&#8217;d like it if you chose to follow me on Twitter so I can let you know about new articles I publish and reports I find.<\/p>\n<p><a href=\"https:\/\/www.computerworld.com\/article\/3294785\/security\/tsmcs-iphone-chip-attack-is-a-wake-up-call-for-enterprise-security.html#tk.rss_security\" target=\"bwo\" >http:\/\/www.computerworld.com\/category\/security\/index.rss<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p><img decoding=\"async\" src=\"https:\/\/images.techhive.com\/images\/article\/2016\/02\/tsmc_in_tainan_science_park-100643688-primary.idge.jpg\"\/><\/p>\n<p><strong>Credit to Author: Jonny Evans| Date: Mon, 06 Aug 2018 05:21:00 -0700<\/strong><\/p>\n<article>\n<section class=\"page\">\n<p>Apple chipmaker TSMC suffered a serious WannaCry-related ransomware infection that closed down production at some of its factories. The incident should be a wake-up call for manufacturers across every industry.<\/p>\n<h2><strong>Manufacturing is under attack<\/strong><\/h2>\n<p>TSMC has said the incident was not the result of a direct attack. Instead <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-08-06\/iphone-chipmaker-blames-wannacry-variant-for-plant-closures\" rel=\"noopener nofollow\" target=\"_blank\">it says<\/a> its systems were exposed to the malware \u201cwhen a supplier installed tainted software without a virus scan.\u201d<\/p>\n<p>The malware spread fast and impacted some of the company\u2019s most advanced facilities used to build Apple\u2019s A-series chips.<\/p>\n<p class=\"jumpTag\"><a href=\"\/article\/3294785\/security\/tsmcs-iphone-chip-attack-is-a-wake-up-call-for-enterprise-security.html#jump\">To read this article in full, please click here<\/a><\/p>\n<\/section>\n<\/article>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"colormag_page_container_layout":"default_layout","colormag_page_sidebar_layout":"default_layout","footnotes":""},"categories":[11062,10643],"tags":[10480,10554,714],"class_list":["post-13018","post","type-post","status-publish","format-standard","hentry","category-computerworld","category-independent","tag-ios","tag-mobile","tag-security"],"_links":{"self":[{"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/posts\/13018","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/comments?post=13018"}],"version-history":[{"count":0,"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/posts\/13018\/revisions"}],"wp:attachment":[{"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/media?parent=13018"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/categories?post=13018"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.palada.net\/index.php\/wp-json\/wp\/v2\/tags?post=13018"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}