Syria Death Toll at Least 93,000, Says UN
June 13th, 2013Via: BBC:
At least 93,000 people have been killed in Syria since the start of the conflict, according to latest United Nations figures.
This represents a rise of more than 30,000 since the UN last issued figures covering the period to November 2012.
At least 5,000 people have been dying in Syria every month since last July, the UN’s human rights body says.
But it says these statistics are an underestimate as it believes many deaths have not been reported.
Companies Scramble for Consumer Data; Don’t Have to Pay Much
June 13th, 2013Via: Financial Times:
Corporate competition to accumulate information about consumers is intensifying even as concerns about government surveillance grow, pushing down the market price for intimate personal details to fractions of a cent.
Over recent years, the surveillance of consumers has developed into a multibillion-dollar industry conducted by largely unregulated companies that obtain information by scouring web searches, social networks, purchase histories and public records, among other sources.
The resulting dossiers include thousands of details about individuals, including personal ailments, credit scores and even due dates for pregnant women. Companies feed the details into algorithms to determine how to predict and influence consumer behaviour.
Basic age, gender and location information sells for as little as $0.0005 per person, or $0.50 per thousand people, according to price details seen by the Financial Times. Information about people believed to be “influential” within their social networks sells for $0.00075, or $0.75 per thousand people. Slightly more valuable are income details and shopping histories, which both sell for $0.001.
According to industry sources, most people’s profile information sells for less than a dollar in total. “You’re not worth much,” said Dave Morgan, founder of one of the first companies to use web surfing data to target online ads.
As basic information on consumers becomes ubiquitous, data brokers are tracking down even more details. For $0.26 per person, LeadsPlease.com sells the names and mailing addresses of people suffering from ailments such as cancer, diabetes and clinical depression. The information includes specific medications including cancer treatment drug Methotrexate and Paxil, the antidepressant, according to price details viewed by the FT.
The Cyberwar Industrial Complex
June 13th, 2013Via: Wired:
In short, despite the sequestration, layoffs, and furloughs in the federal government, it’s a boom time for Alexander. In April, as part of its 2014 budget request, the Pentagon asked Congress for $4.7 billion for increased “cyberspace operations,” nearly $1 billion more than the 2013 allocation. At the same time, budgets for the CIA and other intelligence agencies were cut by almost the same amount, $4.4 billion. A portion of the money going to Alexander will be used to create 13 cyberattack teams.
What’s good for Alexander is good for the fortunes of the cyber-industrial complex, a burgeoning sector made up of many of the same defense contractors who grew rich supplying the wars in Iraq and Afghanistan. With those conflicts now mostly in the rearview mirror, they are looking to Alexander as a kind of savior. After all, the US spends about $30 billion annually on cybersecurity goods and services.
In the past few years, the contractors have embarked on their own cyber building binge parallel to the construction boom at Fort Meade: General Dynamics opened a 28,000-square-foot facility near the NSA; SAIC cut the ribbon on its new seven-story Cyber Innovation Center; the giant CSC unveiled its Virtual Cyber Security Center. And at consulting firm Booz Allen Hamilton, where former NSA director Mike McConnell was hired to lead the cyber effort, the company announced a “cyber-solutions network” that linked together nine cyber-focused facilities. Not to be outdone, Boeing built a new Cyber Engagement Center. Leaving nothing to chance, it also hired retired Army major general Barbara Fast, an old friend of Alexander’s, to run the operation. (She has since moved on.)
Defense contractors have been eager to prove that they understand Alexander’s worldview. “Our Raytheon cyberwarriors play offense and defense,” says one help-wanted site. Consulting and engineering firms such as Invertix and Parsons are among dozens posting online want ads for “computer network exploitation specialists.” And many other companies, some unidentified, are seeking computer and network attackers. “Firm is seeking computer network attack specialists for long-term government contract in King George County, VA,” one recent ad read. Another, from Sunera, a Tampa, Florida, company, said it was hunting for “attack and penetration consultants.”
One of the most secretive of these contractors is Endgame Systems, a startup backed by VCs including Kleiner Perkins Caufield & Byers, Bessemer Venture Partners, and Paladin Capital Group. Established in Atlanta in 2008, Endgame is transparently antitransparent. “We’ve been very careful not to have a public face on our company,” former vice president John M. Farrell wrote to a business associate in an email that appeared in a WikiLeaks dump. “We don’t ever want to see our name in a press release,” added founder Christopher Rouland. True to form, the company declined wired’s interview requests.
Perhaps for good reason: According to news reports, Endgame is developing ways to break into Internet-connected devices through chinks in their antivirus armor. Like safecrackers listening to the click of tumblers through a stethoscope, the “vulnerability researchers” use an extensive array of digital tools to search for hidden weaknesses in commonly used programs and systems, such as Windows and Internet Explorer. And since no one else has ever discovered these unseen cracks, the manufacturers have never developed patches for them.
Thus, in the parlance of the trade, these vulnerabilities are known as “zero-day exploits,” because it has been zero days since they have been uncovered and fixed. They are the Achilles’ heel of the security business, says a former senior intelligence official involved with cyberwarfare. Those seeking to break into networks and computers are willing to pay millions of dollars to obtain them.
According to Defense News’ C4ISR Journal and Bloomberg Businessweek, Endgame also offers its intelligence clients—agencies like Cyber Command, the NSA, the CIA, and British intelligence—a unique map showing them exactly where their targets are located. Dubbed Bonesaw, the map displays the geolocation and digital address of basically every device connected to the Internet around the world, providing what’s called network situational awareness. The client locates a region on the password-protected web-based map, then picks a country and city— say, Beijing, China. Next the client types in the name of the target organization, such as the Ministry of Public Security’s No. 3 Research Institute, which is responsible for computer security—or simply enters its address, 6 Zhengyi Road. The map will then display what software is running on the computers inside the facility, what types of malware some may contain, and a menu of custom-designed exploits that can be used to secretly gain entry. It can also pinpoint those devices infected with malware, such as the Conficker worm, as well as networks turned into botnets and zombies— the equivalent of a back door left open.
Bonesaw also contains targeting data on US allies, and it is soon to be upgraded with a new version codenamed Velocity, according to C4ISR Journal. It will allow Endgame’s clients to observe in real time as hardware and software connected to the Internet around the world is added, removed, or changed. But such access doesn’t come cheap. One leaked report indicated that annual subscriptions could run as high as $2.5 million for 25 zero-day exploits.
The buying and using of such a subscription by nation-states could be seen as an act of war. “If you are engaged in reconnaissance on an adversary’s systems, you are laying the electronic battlefield and preparing to use it,” wrote Mike Jacobs, a former NSA director for information assurance, in a McAfee report on cyberwarfare. “In my opinion, these activities constitute acts of war, or at least a prelude to future acts of war.” The question is, who else is on the secretive company’s client list? Because there is as of yet no oversight or regulation of the cyberweapons trade, companies in the cyber-industrial complex are free to sell to whomever they wish. “It should be illegal,” says the former senior intelligence official involved in cyberwarfare. “I knew about Endgame when I was in intelligence. The intelligence community didn’t like it, but they’re the largest consumer of that business.”
Thus, in their willingness to pay top dollar for more and better zero-day exploits, the spy agencies are helping drive a lucrative, dangerous, and unregulated cyber arms race, one that has developed its own gray and black markets. The companies trading in this arena can sell their wares to the highest bidder—be they frontmen for criminal hacking groups or terrorist organizations or countries that bankroll terrorists, such as Iran. Ironically, having helped create the market in zero-day exploits and then having launched the world into the era of cyberwar, Alexander now says the possibility of zero-day exploits falling into the wrong hands is his “greatest worry.”
NIKKEI 225 DOWN 6.4%
June 13th, 2013Via: Bloomberg:
Japanese stocks plunged, with the Nikkei 225 (NKY) Stock Average entering a bear market at the close, as the yen rose to its strongest against the dollar in two months. All shares on the gauge fell for the second time this year.
All 33 industry groups declined on the broader Topix index, which sank 4.8 percent to 1,044.17 at the close in Tokyo. The Nikkei 225 slumped 6.4 percent to 12,445.38, its lowest since April 3 and the third fall of more than 5 percent in the past month. The gauge dropped 20 percent from its May 22 high, passing the threshold some investors use to define a bear market and wiping 42.7 trillion yen ($453 billion) from market value. Nikkei 225 futures lost 6.3 percent in Osaka.
‘Digital Blackwater’: Meet the Contractors Analyzing Your Private Data
June 12th, 2013Via: Salon:
From Narus, the Israeli-born Boeing subsidiary that makes NSA’s high-speed interception software, to CSC, the “systems integrator” that runs NSA’s internal IT system, defense and intelligence, contractors are making millions of dollars selling technology and services that help the world’s largest surveillance system spy on you. If the 70 percent figure is applied to the NSA’s estimated budget of $8 billion a year (the largest in the intelligence community), NSA contracting could reach as high as $6 billion every year.
But it’s probably much more than that.
“The largest concentration of cyber power on the planet is the intersection of the Baltimore Parkway and Maryland Route 32,” says Michael V. Hayden, who oversaw the privatization effort as NSA director from 1999 to 2005. He was referring not to the NSA itself but to the business park about a mile down the road from the giant black edifice that houses NSA’s headquarters in Fort Meade, Md. There, all of NSA’s major contractors, from Booz to SAIC to Northrop Grumman, carry out their surveillance and intelligence work for the agency.
With many of these contractors now focused on cyber-security, Hayden has even coined a new term — “Digital Blackwater” – for the industry. “I use that for the concept of the private sector in cyber,” he told a recent conference in Washington, in an odd reference to the notorious mercenary army. “I saw this in government and saw it a lot over the last four years. The private sector has really moved forward in terms of providing security,” he said. Hayden himself has cashed out too: He is now a principal with the Chertoff Group, the intelligence advisory company led by Michael Chertoff, the former secretary of Homeland Security.
Research Credit: conceptualdecay
Britain: Workers Take 6% Pay Cut Over the Last Five Years
June 12th, 2013Via: Guardian:
Britain’s workers have suffered more financial pain since 2008 than in any five-year period of the modern age, according to research by a leading tax thinktank that shows employees have sacrificed pay to keep their jobs.
Describing this downturn as the longest and deepest slump in a century, the Institute for Fiscal Studies says workers have suffered unprecedented pay cuts of 6% in real terms over the last five years.
Historically, real wages rise by about 2% a year. This suggests that people are more than 15% worse off than they would have been if the pre-crisis wage trends had continued.
Analysing downturns going back to the great depression, Paul Johnson, director of the IFS, said: “This time really does seem to be different … it has been deeper and longer than those of the 1990s, the 1980s and even the 1930s. It has seen household incomes and spending drop more and stay lower longer.”
The report finds that since the start of the recession real wages have fallen by more than in any comparable five-year period. It also highlights an “unprecedented” drop in productivity as output has tumbled faster than employment.
On Technology Eliminating Jobs: ‘This Time It Might Be Different’
June 12th, 2013Via: MIT Technology Review:
Given his calm and reasoned academic demeanor, it is easy to miss just how provocative Erik Brynjolfsson’s contention really is. Brynjolfsson, a professor at the MIT Sloan School of Management, and his collaborator and coauthor Andrew McAfee have been arguing for the last year and a half that impressive advances in computer technology—from improved industrial robotics to automated translation services—are largely behind the sluggish employment growth of the last 10 to 15 years. Even more ominous for workers, the MIT academics foresee dismal prospects for many types of jobs as these powerful new technologies are increasingly adopted not only in manufacturing, clerical, and retail work but in professions such as law, financial services, education, and medicine.
That robots, automation, and software can replace people might seem obvious to anyone who’s worked in automotive manufacturing or as a travel agent. But Brynjolfsson and McAfee’s claim is more troubling and controversial. They believe that rapid technological change has been destroying jobs faster than it is creating them, contributing to the stagnation of median income and the growth of inequality in the United States. And, they suspect, something similar is happening in other technologically advanced countries.
Perhaps the most damning piece of evidence, according to Brynjolfsson, is a chart that only an economist could love. In economics, productivity—the amount of economic value created for a given unit of input, such as an hour of labor—is a crucial indicator of growth and wealth creation. It is a measure of progress. On the chart Brynjolfsson likes to show, separate lines represent productivity and total employment in the United States. For years after World War II, the two lines closely tracked each other, with increases in jobs corresponding to increases in productivity. The pattern is clear: as businesses generated more value from their workers, the country as a whole became richer, which fueled more economic activity and created even more jobs. Then, beginning in 2000, the lines diverge; productivity continues to rise robustly, but employment suddenly wilts. By 2011, a significant gap appears between the two lines, showing economic growth with no parallel increase in job creation. Brynjolfsson and McAfee call it the “great decoupling.” And Brynjolfsson says he is confident that technology is behind both the healthy growth in productivity and the weak growth in jobs.
It’s a startling assertion because it threatens the faith that many economists place in technological progress. Brynjolfsson and McAfee still believe that technology boosts productivity and makes societies wealthier, but they think that it can also have a dark side: technological progress is eliminating the need for many types of jobs and leaving the typical worker worse off than before. Brynjolfsson can point to a second chart indicating that median income is failing to rise even as the gross domestic product soars. “It’s the great paradox of our era,” he says. “Productivity is at record levels, innovation has never been faster, and yet at the same time, we have a falling median income and we have fewer jobs. People are falling behind because technology is advancing so fast and our skills and organizations aren’t keeping up.”
cryptogon.net Up Again
June 12th, 2013I had a database problem with cryptogon.net that resulted in downtime. I’ve got it running again.
The Moral Order Is Inverted
June 11th, 2013Via: TruthDig:
The moral order is inverted. The criminal class is in power. We are the prey. Manning, in a just society, would be a prosecution witness against war criminals. Those who committed these crimes should be facing prison. But we do not live in a just society.
Air Force Prohibiting Airmen from Reading NSA Scandal Stories
June 11th, 2013Via: Caffeinated Thoughts:
I wanted to make sure that all of you read this because just doing a simple search could jeopardize your future. In summary, anything to do with the recent news about the NSA and Verizon phone records are considered classified and searching news or records about these on our NIPRNET computers is unauthorized. Thanks!


