Entries Tagged "China"
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China is making sure that all newly discovered zero-day exploits are disclosed to the government.
Under the new rules, anyone in China who finds a vulnerability must tell the government, which will decide what repairs to make. No information can be given to “overseas organizations or individuals” other than the product’s manufacturer.
No one may “collect, sell or publish information on network product security vulnerabilities,” say the rules issued by the Cyberspace Administration of China and the police and industry ministries.
This just blocks the cyber-arms trade. It doesn’t prevent researchers from telling the products’ companies, even if they are outside of China.
News from Georgetown’s Center for Security and Emerging Technology:
China Claims Its AI Can Beat Human Pilots in Battle: Chinese state media reported that an AI system had successfully defeated human pilots during simulated dogfights. According to the Global Times report, the system had shot down several PLA pilots during a handful of virtual exercises in recent years. Observers outside China noted that while reports coming out of state-controlled media outlets should be taken with a grain of salt, the capabilities described in the report are not outside the realm of possibility. Last year, for example, an AI agent defeated a U.S. Air Force F-16 pilot five times out of five as part of DARPA’s AlphaDogfight Trial (which we covered at the time). While the Global Times report indicated plans to incorporate AI into future fighter planes, it is not clear how far away the system is from real-world testing. At the moment, the system appears to be used only for training human pilots. DARPA, for its part, is aiming to test dogfights with AI-piloted subscale jets later this year and with full-scale jets in 2023 and 2024.
In January, we learned about a Chinese espionage campaign that exploited four zero-days in Microsoft Exchange. One of the characteristics of the campaign, in the later days when the Chinese probably realized that the vulnerabilities would soon be fixed, was to install a web shell in compromised networks that would give them subsequent remote access. Even if the vulnerabilities were patched, the shell would remain until the network operators removed it.
Now, months later, many of those shells are still in place. And they’re being used by criminal hackers as well.
This is nothing short of extraordinary, and I can think of no real-world parallel. It’s kind of like if a criminal organization infiltrated a door-lock company and surreptitiously added a master passkey feature, and then customers bought and installed those locks. And then if the FBI got a court order to fix all the locks to remove the master passkey capability. And it’s kind of not like that. In any case, it’s not what we normally think of when we think of a warrant. The links above have details, but I would like a legal scholar to weigh in on the implications of this.
Nick Weaver has an excellent post on the Microsoft Exchange hack:
The investigative journalist Brian Krebs has produced a handy timeline of events and a few things stand out from the chronology. The attacker was first detected by one group on Jan. 5 and another on Jan. 6, and Microsoft acknowledged the problem immediately. During this time the attacker appeared to be relatively subtle, exploiting particular targets (although we generally lack insight into who was targeted). Microsoft determined on Feb. 18 that it would patch these vulnerabilities on the March 9th “Patch Tuesday” release of fixes.
Somehow, the threat actor either knew that the exploits would soon become worthless or simply guessed that they would. So, in late February, the attacker changed strategy. Instead of simply exploiting targeted Exchange servers, the attackers stepped up their pace considerably by targeting tens of thousands of servers to install the web shell, an exploit that allows attackers to have remote access to a system. Microsoft then released the patch with very little warning on Mar. 2, at which point the attacker simply sought to compromise almost every vulnerable Exchange server on the Internet. The result? Virtually every vulnerable mail server received the web shell as a backdoor for further exploitation, making the patch effectively useless against the Chinese attackers; almost all of the vulnerable systems were exploited before they were patched.
This is a rational strategy for any actor who doesn’t care about consequences. When a zero-day is confidential and undiscovered, the attacker tries to be careful, only using it on attackers of sufficient value. But if the attacker knows or has reason to believe their vulnerabilities may be patched, they will increase the pace of exploits and, once a patch is released, there is no reason to not try to exploit everything possible.
We know that Microsoft shares advance information about updates with some organizations. I have long believed that they give the NSA a few weeks’ notice to do basically what the Chinese did: use the exploit widely, because you don’t have to worry about losing the capability.
And the vulnerabilities:
The Chinese actors were not using a single vulnerability but actually a sequence of four “zero-day” exploits. The first allowed an unauthorized user to basically tell the server “let me in, I’m the server” by tricking the server into contacting itself. After the unauthorized user gained entry, the hacker could use the second vulnerability, which used a malformed voicemail that, when interpreted by the server, allowed them to execute arbitrary commands. Two further vulnerabilities allow the attacker to write new files, which is a common primitive that attackers use to increase their access: An attacker uses a vulnerability to write a file and then uses the arbitrary command execution vulnerability to execute that file.
Using this access, the attackers could read anybody’s email or indeed take over the mail server completely. Critically, they would almost always do more, introducing a “web shell,” a program that would enable further remote exploitation even if the vulnerabilities are patched.
The details of that web shell matter. If it was sophisticated, it implies that the Chinese hackers were planning on installing it from the beginning of the operation. If it’s kind of slapdash, it implies a last-minute addition when they realized their exploit window was closing.
Now comes the criminal attacks. Any unpatched network is still vulnerable, and we know from history that lots of networks will remain vulnerable for a long time. Expect the ransomware gangs to weaponize this attack within days.
EDITED TO ADD (3/12): Right on schedule, criminal hacker groups are exploiting the vulnerabilities.
EDITED TO ADD (3/13): And now the ransomware.
Check Point has evidence that (probably government affiliated) Chinese hackers stole and cloned an NSA Windows hacking tool years before (probably government affiliated) Russian hackers stole and then published the same tool. Here’s the timeline:
The timeline basically seems to be, according to Check Point:
- 2013: NSA’s Equation Group developed a set of exploits including one called EpMe that elevates one’s privileges on a vulnerable Windows system to system-administrator level, granting full control. This allows someone with a foothold on a machine to commandeer the whole box.
- 2014-2015: China’s hacking team code-named APT31, aka Zirconium, developed Jian by, one way or another, cloning EpMe.
- Early 2017: The Equation Group’s tools were teased and then leaked online by a team calling itself the Shadow Brokers. Around that time, Microsoft cancelled its February Patch Tuesday, identified the vulnerability exploited by EpMe (CVE-2017-0005), and fixed it in a bumper March update. Interestingly enough, Lockheed Martin was credited as alerting Microsoft to the flaw, suggesting it was perhaps used against an American target.
- Mid 2017: Microsoft quietly fixed the vulnerability exploited by the leaked EpMo exploit.
Sidebar photo of Bruce Schneier by Joe MacInnis.