May 2014

Sen Schumer presses Froman to file trade case against China over cyber spying

Sen Charles Schumer (D-NY) called on US Trade Representative Michael Froman to file a case against China over its cyber spying.

Sen Schumer urged Froman to file a case against Beijing at the World Trade Organization (WTO) in response to cyberattacks on US businesses.

"The sanctioning of these attacks, in which Chinese military officials have illegally gathered corporate information from members of the US solar, nuclear and metal industries is a threat not just to these specific companies, but to our entire economy," Sen Schumer wrote.

The Justice Department issued criminal indictments on five members of the Chinese People’s Liberation Army for online theft of trade secrets from US firms.

Sen Schumer said that since China won't extradite those involved to go on trial here, US government officials have to seek damages through a WTO suit. "Cyber-attacks from China and other nations could prove crippling to American businesses in the years to come, so we need real teeth in our response,” Sen Schumer said. "DOJ did the right thing in filing these indictments, but the only way to really punish China for these outrageous attacks is through the WTO."

Assessing Cybersecurity Regulations

Executive Order (EO) 13636, “Improving Critical Infrastructure Cybersecurity,” called on Executive Branch agencies to assess whether and how existing cybersecurity regulation could be streamlined and better aligned with the Cybersecurity Framework launched in February 2014.

The EO directs Executive Branch departments and agencies with responsibility for regulating the security of private-sector critical infrastructure to: (1) assess the sufficiency of existing regulatory authority to establish requirements based on the Cybersecurity Framework to address current and projected cyber risks; and (2) identify proposed changes in order to address insufficiencies identified.

The Cybersecurity Framework articulates a risk management approach based on best practices and globally recognized standards. It is a voluntary tool that organizations can use to strengthen cyber risk management.

After extensive research, we determined that the following departments and agencies were required to submit reports: Environmental Protection Agency (drinking water and waste-water), Department of Health and Human Services (medical devices, electronic health records, health exchanges), and the Department of Homeland Security (chemical facilities and transportation).

Is Government Forcing a Secure Smartphone Revolution?

The world has been questioning whether the public sector is forcing a secure smartphone revolution ever since Edward Snowden, ex-National Security Agency contractor, leaked documents exposing the organization's spying program.

Global paranoia over America's aggressive surveillance has prompted companies to ramp up the development of cryptophones, which are smartphones designed specifically for secure, hack-proof communications.

Why Does The Air Force Spend Twice As Much To Hack Than To Deflect Threats?

The House approved legislation that breaks out $13.4 million for Air Force cyberattack operations and $5.6 million for efforts to defend the service's networks. But those numbers likely underrepresent cyber offense and especially cyber defense spending, some military budget analysts say.

The problem with cyber funding -- governmentwide -- is that it's hard to define what cyber is, they note. "What they are splitting out here is really just a portion of what they are doing for cyber offense and defense," said Todd Harrison, director of defense budget studies at the Center for Strategic and Budgetary Assessments. "I think it's the part that's more focused on specific adversaries around the world."

The House’s version of the 2015 National Defense Authorization Act would spend a total of $67 million on Cyber Command offensive and defensive activities. The command oversees all Defense Department cyber operations. "I expect that if you did a true accounting of what DOD is spending on cyber, it would be in the billions" of dollars, Harrison said.

Spectrum Sharing: Let’s Walk Before Running

The Federal Communications Commission recently released proposed rules for the 3.5 GHz proceeding, a proceeding that has received a lot of attention as it is the first attempt to apply the President’s Council of Advisors on Science and Technology (PCAST) report that promotes the sharing of federal spectrum with non-federal users.

The Commission has identified this spectrum as an “innovation band” and we applaud them for their “outside-the-box” thinking on increasing spectrum efficiency. However, it is crucial that the Commission find the right balance between implementation of this new sharing model and incentives to invest in the technology necessary to make it work.

As this 3.5 GHz spectrum is spectrally higher than what mobile broadband optimally uses, the FCC has proposed using this band for “small cell” deployments. Small cells are low-powered, low-elevation micro cells that are typically installed in office complexes, campuses and residential areas to augment the large macro cell sites that are used for main coverage areas.

Small cells are typically used to increase network capacity in areas such as stadiums or metro stations where demand for network services is concentrated in a small area. Today, this is accomplished in many areas by using Wi-Fi networks where available. But a licensed spectrum band such as 3.5 GHz could offer an alternative and potentially even better user experience than Wi-Fi as small cells would be connected directly to a mobile operator’s macro network.

Sen Thune Calls on Congress to Permanently Stop Taxes on Internet Access

Sen John Thune (R-SD), Ranking Member of the Senate Commerce Committee and member of the Senate Finance Committee, took to the Senate floor to call on Congress to pass his Internet Tax Freedom Forever (ITFA) Act, which would make permanent the expiring provision preventing Internet access from being taxed, which would discourage and reduce deployment and investment.

Sen Thune made the following remarks on the Senate Floor, “…the Internet provides unprecedented economic and social benefits. Mom and pop businesses in South Dakota, Oregon, and across America have found access to consumers and new business opportunities that are only possible through the Internet…the moratorium on Internet access taxes has contributed to the Internet now being accessed by hundreds of millions of Americans every day.

"Thanks to this 16-year ban, consumer access to the Internet is free from state and local taxation for nearly all Americans…The moratorium also benefits consumers by prohibiting multiple and discriminatory taxes on goods and services sold over the Internet…My bill with Finance Committee Chairman Wyden provides for a permanent extension of the moratorium. By passing a permanent extension, we’ll provide certainty to Internet consumers in every state.”

Ambitious Cox Gigabit Broadband Plans Revealed

Cox Communications provided details about the plans for deploying gigabit broadband service that Cox CEO Pat Esser initially revealed in late April -- and although Cox isn’t the first cable operator to announce gigabit broadband plans, it is inarguably the most ambitious.

According to the announcement, Cox plans to roll out gigabit Internet speeds across all of its markets nationwide, beginning with new residential construction projects and new and existing neighborhoods in Phoenix, Las Vegas and Omaha. The announcement says Cox “will begin market-wide deployment of gigabit speeds by the end of 2016.”

Cox also said it plans to double the speeds on its most popular Internet tiers for all customers. This includes customers that currently receive 25 Mbps and 50 Mbps service -- and according to Cox, those two service tiers represent more than 70% of the company’s high-speed Internet customers.

Cops: Don’t ban online gambling

The national police officers union is telling Congress not to impose a nationwide ban on online gambling. “We cannot ban our way out of this problem as this would simply drive online gaming further and further underground and put more and more people at risk,” Fraternal Order of Police National President Chuck Canterbury wrote to heads of the House Judiciary Committee.

“Not only does the black market for Internet gaming include no consumer protections, it also operates entirely offshore with unlicensed operators, drastically increasing the threat of identity theft, fraud or other criminal acts.” The police union is pushing back against measures like a bill from Sen Lindsey Graham (R-SC) and Rep. Jason Chaffetz (R-UT) that would ban most forms of online gambling across the country.

6 Types of Pirates Hollywood Combats

Verance, a technology company that works with studios to prevent content theft, has identified six types of pirates, and suggested ways Hollywood can thwart their illicit activity.

Verance determined the types based on a consumer survey intended to figure out why so many people watch pirated copies of movies and TV shows. The types range from No Big Deals to Library Builders, with the former the biggest category.

So what is Hollywood to do? Verance recommends that it make legitimate copies of movies easier to find and cheaper. People do not want to pay $10-15 to buy a movie using iTunes or Hollywood's own clunky service when they can find it online for nothing (or close to it).

Convenience trumps cost, according to Verance, and that is one area in which the company argues its “curtailment and conversion technologies” can help.

The report's central argument, that Hollywood can deter people from pirating movies and TV shows, is important to an industry that acknowledges it has lost the public relations battle. Most people believe piracy is acceptable, and stream or download copies of movies they want to see.

House reformers claim victory over NSA

Lawmakers worried about protecting civil liberties said they had scored a win with the passage of the USA Freedom Act.

The bill had to overcome opposition from members on both sides of the aisle who worried it was too weak to curb the National Security Agency (NSA), but its passage nonetheless amounted to a step forward, they said.

“As result of the Freedom Act passing the House, the NSA might still be watching us, but now we can watch them,” said Rep James Sensenbrenner (R-WI), the bill’s author.

“This is a win for civil liberties today,” added Rep John Conyers (D-MI) on the House Judiciary Committee.

The bill ends the NSA’s collection of Americans’ phone records and adds new transparency provisions that Rep Sensenbrenner, who also wrote the Patriot Act, said would prevent abuses from ever happening again. Under the bill, the NSA would have to tell Congress about any new policy changes within a day, and then would have to inform the public within 45 days.

“That way, if the NSA goes too far, Congress will be able to stop it and the American public will be able to know what is happening,” Rep Sensenbrenner said.