Posts from ‘Compliance’
Last week’s Sony data breach shattered TJX’s longstanding record for the largest customer data theft ever, a dubious honor that TJX has held since 2007.
The massive Sony breach leaves millions and millions of credit cards at risk. Details still aren’t clear yet, but the Sony breach *may* have included the theft of customer credit card information, as well as other personal information such as billing addresses, usernames/passwords, email addresses, birthdays, and transaction histories.
Did Sony take reasonable care to protect, encrypt, and secure the private and sensitive data of its users?
Did Sony take too long to notify customers that their personal information had been exposed?
Looks like these questions will be answered in a courtroom as the first lawsuit resulting from the Sony security breach of the personal data of more than 75 million Sony PlayStation Network customers has been filed.
The class action lawsuit seeks seeks a trial by jury and fitting monetary reimbursement…. And the case’s Overview cites “breach of warranty, negligent data security, violations of consumers’ rights of privacy, failure to protect those rights, and failure and on-going refusal to timely inform consumers of unauthorized third party access to their credit card account and other nonpublic and private financial information” as cause enough, noting Sony’s “failure to maintain adequate computer data security of consumer personal data and financial data.”
For more information, take a look at the post on the Sony PlayStation blog. I’m sure we’ll be learning more as further breach details are disclosed and as court proceedings advance.
Many thanks to the Verizon RISK Team (along with the U.S. Secret Service and the Dutch High Tech Crime Unit) for publishing their 7th annual analysis of data breaches. Compromised data continues to plague organizations worldwide, and studies like the 2011 Data Breach Investigations Report can help us all avoid becoming a victim – both as individuals and also as corporate citizens.
Here are a few noteworthy data points:
Nearly 800 data breaches were reported in 2010, a sharp increase from the 900 breaches reported in the previous six years combined- 4 million records were compromised in 2010 which is significantly less than the 144 million compromised in 2009
- Many breaches involved sending data externally – Take this as a warning to pay more attention to information leaving your organization
- 89% of companies suffering credit card breaches were not PCI compliant at the time of the breach, indicating that organizations with rigorous compliance efforts are less likely to be breached
- Only 17% of breaches implicated insiders (down from 31% last year) and 29% had a physical component
A key takeaway is that while the quantity of data breaches quintupled in 2010, the number of compromised records actually dropped. This data is consistent with the growing belief that attackers are increasingly targeting smaller companies (which tend to have less focus and expertise on IT security) simply because they are easier to exploit.
As the Verizon team points out, in the world of cyber crime, knowledge is power. Not only do companies require visibility into the files and data that are being transferred around an in/out of their organization, but they also need the management and enforcement capabilities to control, govern, and protect the growing number of mission-critical and confidential files that are being accessed every day by internal and external systems, applications and people.

Definitely not. To begin with, there are numerous kinds of encryption—some of which can actually be broken quite easily. One of the earlier common forms of encryption (around 1996) relied on encryption keys that were 40 bits in length; surprisingly, many technologies and products continue to use this older, weaker form of encryption. Although there are nearly a trillion possible encryption keys using this form of encryption, relatively little computing power is needed to break the encryption—a modern home computer can do so in just a few days, and a powerful supercomputer can do so in a few minutes.