Today, a reporter asked me about corporate espionage...

Protect Your Assets - counterespionage.com

Q. Would you say that in addition to legitimate competitive intelligence gathering, that most major [industry deleted] manufacturers engage in industrial espionage of some kind as well? Or would this be exaggerating things?

A. If you use the term espionage broadly, I would say all. Everyone keeps an eye on the competition to some extent. Many of the tactics are legal, such as 'open source competitive intelligence'.

If you mean unethical espionage, I would say most. But, take into account that "unethical" means different things in different cultures. Eliciting information from a competitor's employee under a pretext may be viewed as unethical by some cultures, other cultures view it as a patriotic act …and, if that competitor has not taken steps to protect their valuables, then it is the competitor's business ethics which are questionable.

If you mean illegal espionage, then I would say probably most, but it is impossible to know for certain. Like all espionage, if conducted correctly, it is not found out. The cases of illegal espionage that we read about in the papers, and wind up in the courts, are the failures. They constitute the tip of the 'spyberg'.  

My feeling from being in the corporate counterespionage business for over three decades is that everyone engages in some form of espionage. And, over time, most of them have stepped into the last two categories (unethical and illegal) to some extent. These transgressions can range from occasionally accepting information without questioning how it was obtained, to the few who ruthlessly plot and snatch from the unsuspecting, like monkeys in a Buddhist temple.

Q. Is there a fine line between legitimate competitive intelligence gathering and spying - or is it very clear cut? (eg. As a journalist I have sometimes posed as someone working in industry when trying to find things out from a company switchboard in order to gain some information when they won't take calls from reporters etc.)

A. We actually call it a grey line. As I mentioned in the last question, there are varying shades of grey. In fact, you may want to interview Andrew Brown, the author of a revealing new book called, The Grey Line: Modern Corporate Espionage and Counter Intelligence. In the book he explains exactly how corporate espionage is conducted.

Q. If a major firm wants to find out what its biggest rival is up to, will it typically employ a third party specialist or attempt to gather the information in-house?  If they do seek out a specialist, are there a handful of key firms/individuals that are well-known in the trade or is it a much more fragmented industry?!

A. Business consultants and their minions (or "cutouts" as we call them) are the prime conduits of business intelligence. Most companies want 'the goods' but don't want to know how they were obtained, or get their hands and reputations dirty if the operation is exposed. That being said, it is known that some companies have dedicated in-house personnel, for better control. 

Also take into consideration that the government intelligence agencies of just about all countries (except the U.S.) actively collect and present business intelligence information to businesses in their homelands.

There are also people who occasionally pop up and try to sell information on a free-lance basis, or on-spec. My feeling is that they are looked upon with suspicion by potential buyers, as we hear about buyers alerting the victimized competitor to their offers. Makes sense. One never knows when one is being set-up.

~ Kevin

Auto Speed Cam Tickets Everyone in Real Time

The Cordon multi-target photo radar system can keep tabs on as many as 32 vehicles moving along on a four lane highway using sensors that measure the speed of cars as they come in and out of the frame and recording their license plate numbers. Built-in infrared radar enables the technology to work 24 hours a day and the system can be networked to stream the data continuously to a central database via 3G, WiMAX or Wi-Fi.

There are currently speed enforcement photo cameras operating in some states, though the radar can’t track more than one vehicle at a time. ...it doesn’t only go after speedsters. The system can catch drivers sneaking into bus lanes or driving the wrong way thanks to integrated GPS technology that monitors a car’s coordinates. (FutureWatch - It will also conduct automated look-ups for outstanding warrants and stolen vehicles.) 

The radar camera system isn’t scheduled to debut in North American streets until 2012, so drivers with a heavy foot do have some time to repent and change their reckless ways. (more)

Answers to last week's spy quiz...

What is the name of this famous spy story town?

The Village. From the 60's TV show "The Prisoner".

What is its real name?

Portmeirion. Located in Wales.

Did I live there for a week?

Yes!

Cool place. 

Visit their webcam.

Better yet, go there for a week.

Can't go? 

Visit vicariously.

Visual Surveillance Snags Smartphone Texts

Last month, there was news from video provider Qumu of their discomforting survey that at least half of Americans would use smartphones to secretly spy on others. 

Now there is rattling news that spy software can easily do that kind of job. The software can reveal what others are texting in their personal emails or text messages sent forth on their smartphones just by the snooper using a smartphone camera or advanced camera like a digital SLR that shoots HD video, which could read a screen up to 60 metres away.

Researchers from the University of North Carolina Chapel Hill have used iSpy, the program, as proof that keying a private email message or text message in public, whether on a near-empty train or at the far end of a park bench away from everyone else, is still risky business.

They successfully were able to compromise the privacy of users typing on virtual keyboards with iSpy. They say iSpy can identify all the text typed on a smartphone display using video footage of the screen. (more)

Security Director Alert: How Spies Convince Someone They Work in Your Building

Re-framed, this article makes an excellent social engineering warning for your employees. The unknown person who fits this profile is exactly the person you want them to challenge...

There are fewer opportunities to put your social engineering skills to the test better than trying to convince someone you work at their establishment. Whether you just want to serve yourself a drink refill at a restaurant or you want to surprise your significant other with a birthday bouquet, here's how to get in unnoticed...

Take Advantage of Human Nature
The best way to get into a building or office that you want access to is to go in behind someone else. Most people call it "tailgating," and it's a serious security issue for offices, apartment complexes, college dorms, anywhere with restricted access, but it's your best friend here. 

Probably not a spy.

Dress the Part
This part requires some familiarity with the place you're going to visit, but no one is going to believe you work in an office where everyone is wearing shirts and ties if you walk in wearing a polo and jeans. Make sure you dress at or slightly above the dress code for the place you're visiting.

Be Ready for Questioning
Ideally, you'll be able to slip into an office and get around to where you need to be without any questioning at all. However, if you're overdressed, underdressed, or just unlucky enough to run into a curious employee, you need to be ready to deal with it.

Remember to Smile
Not always, of course—grinning to yourself will make you stand out—but keeping a relatively upbeat and positive demeanor will make you stand out less than someone who's hunched over, shifty-eyed, and ducking around corners wearing a Mission: Impossible serious-face. People by nature avoid confrontation, and you can use this to your advantage by being confident, being positive, and engaging when appropriate. (more via Alan Henry at lifehacker.com)

Tomorrow, the US Goverment Takes Over the Airwaves

If you have ever wondered about the government’s ability to control the civilian airwaves, you will have your answer on November 9th.

On that day, federal authorities are going to shut off all television and radio communications simultaneously at 2:00PM EST to complete the first ever test of the national Emergency Alert System (EAS).

Only the President has the authority to activate EAS at the national level, and he has delegated that authority to the Director of FEMA. (more)

QR Codes - Taking Candy from Strangers

QR codes, part of popular marketing strategies created to engage mobile device users, have become a vector for malware that hackers could use to remotely access all of the data in a person’s phone and record their every move through pictures and audio, according to cybersecurity researchers. And there’s no way to know once a device is infected.

In an interview on Tuesday with Security Management, Nicholas Percoco, senior vice president and head of Trustwave SpiderLabs, a group of ethical hackers at a data security firm with expertise in investigations, research, and application security, said that most attacks that happen on mobile platforms occur when a user goes to malicious URL or they’re redirected to a Web site containing malicious code. Hackers are using QR codes as a tool to direct mobile phone users to those Web sites and infect mobile devices with malware. (more)

Foreign Spies Stealing US Economic Secrets Report Released (FREE)

The Office of the National Counterintelligence Executive (ONCIX) Report: "Foreign Spies Stealing US Economic Secrets in Cyberspace - Report to Congress on Foreign Economic Collection and Industrial Espionage, 2009-2011" has been released.
Foreign economic collection and industrial espionage against the United States represent significant and growing threats to the nation's prosperity and security. Cyberspace—where most business activity and development of new ideas now takes place—amplifies these threats by making it possible for malicious actors, whether they are corrupted insiders or foreign intelligence services (FIS), to quickly steal and transfer massive quantities of data while remaining anonymous and hard to detect.

Pervasive Threat from Adversaries and Partners:
Sensitive US economic information and technology are targeted by the intelligence services, private sector companies, academic and research institutions, and citizens of dozens of countries.

• Chinese actors are the world’s most active and persistent perpetrators of economic espionage. US private sector firms and cybersecurity specialists have reported an onslaught of computer network intrusions that have originated in China, but the IC cannot confirm who was responsible.

• Russia’s intelligence services are conducting a range of activities to collect economic information and technology from US targets.

• Some US allies and partners use their broad access to US institutions to acquire sensitive US economic and technology information, primarily through aggressive elicitation and other human intelligence (HUMINT) tactics. Some of these states have advanced cyber capabilities.

Outlook:
Because the United States is a leader in the development of new technologies and a central player in global financial and trade networks, foreign attempts to collect US technological and economic information will continue at a high level and will represent a growing and persistent threat to US economic security. The nature of the cyber threat will evolve with continuing technological advances in the global information environment.

"You're only a stranger here once!" ~Tampa, FL

Do you recall my prediction about Tampa?
FutureWatch (September 2008) - Although facial recognition and tracking didn't catch on the first go-around (the Tampa, Florida experiment), it is ripe for a come-back. 5 years from now, this will be commonplace – along with automatic license plate readers and motion-intention evaluators.

August 2003 - Tampa police have scrapped their controversial security camera system that scanned city streets for criminals, citing its failure over two years to recognize anyone wanted by authorities.

History...
July 2001 - The Tampa City Council took a fully-informed look at Ybor City's controversial high-tech face-scanning software. When the dust settled, the council split down the middle with a 3-3 vote on whether or not to do away with the face-scanning software.

Fast Forward... 2011 - via National Motorists Association...

The request reads like a shopping list for a counter-terrorism strike: low-light cameras to identify people and vehicles at 100 meters, helmet-mounted cameras, cameras for "use around high-risk activities" and cameras that can read license plates across three lanes of traffic.

In reality, it’s part of a plan proposed by Tampa city officials to provide security for next year’s Republican National Convention. Funds to buy or lease the gear are expected to come from federal taxpayers in the form of a $55 million congressional appropriation.

The surveillance will target convention protestors (as many as 10,000, according to convention organizers), but, given the sweeping nature of the plan, many bystanders and motorists are likely to be ensnared as well.

And while police officials admit they may not get all 238 cameras on the original request, critics are already reacting. A spokesperson for the American Civil Liberties Union of Florida likens the approach to "hitting a gnat with a sledgehammer." (To be fair, officials canceled a request for two aerial surveillance drones due to cost concerns.)

FutureWatch - Drones are already in some state and local police toy chests. Tampa will eventually get one, too.

"Anyone who feels they were hacked, please raise your hand."

News Corporation has begun a voluntary program that allows people who believe they have been the victims of phone hacking to apply online for compensation.

A statement issued Friday by the company’s British publishing unit, News International, urged possible victims to take advantage of the settlement plan, calling it a “speedy, cost-effective alternative to litigation.” Charles Gray, a former High Court judge and arbitration specialist, will assess the applications and serve as an independent adjudicator, News International said. There is no limit on how much the company might have to pay. (more)

"Come on, Joey. Halloween is over."

MA - Police arrested a Framingham man at gunpoint yesterday after he chased two women with a sharp lawn-edging tool, a prosecutor said yesterday in Framingham District Court.

Joseph Kenney, 48, is also charged with trying to illegally record police with his cellphone, prosecutor Christopher Baker said during Kenney's arraignment.

Police went to Elm Street yesterday around 1 a.m. to check on a large gathering in the street. There, they found Kenney chasing two women with a lawn edger, Baker said.

"The officers ordered him to drop it, and he didn't until the officers drew their weapons," Baker said.

Kenney complained that "those kids are always in my parking lot" so he confronted them, Baker said.

Police arrested Kenney, who lives at 10 Elm St., and initially charged him with assault with a dangerous weapon and disorderly conduct.

On the way to the police station, the officer noticed Kenney was using his phone, Baker said. Kenney told the officer he was recording him.

The officer said Kenney did not have permission to record his voice, but Kenney refused to stop. As a result, police charged Kenney with illegal wiretapping. (more)

True story. Only the street name has been changed to protect the innocent.

"Wake up, Nguyen. Time to spy on the submarine races."

When foreign spies set their sights on America's secrets, many times they're not looking underground for secret bunkers or in the sky for massive spy blimps, but under the sea at the nation's low-profile underwater drone fleet.

According to some of the military's top counterintelligence analysts, in recent years there has been a significant increase in both old school spying and cyber operations, especially by unnamed East Asian nations, directed at gaining classified information on America's autonomous underwater vehicles (AUVs) in hopes of undercutting the U.S.'s "underseas battlespace dominance." (more)

Must be a Saturday Night Live skit that didn't get used...

Croatian businessman Vladimir Selebaj, who has been jailed over malversations with his production company Core Media, speaks to his parents only in French due to fears of wiretapping.

A French citizen, Selebaj allegedly talks only in French during his parents visits because he thinks he is being targeted by the police chief, Oliver Grbic.  

Grbic is currently in a relationship with Selebaj’s wife, Dijana Culjak.

Selebaj has been detained in Zagreb Remetinec prison while the investigation is underway, daily Vecernji List writes. (more)

BlackBerry / India Ink Surveillance Contract - RIM shot

 Remember when India was threatening to shut down BlackBerry service unless it could tap user's communications? Reports have RIM operating a wiretapping facility in Mumbai to help with that.

Back in 2010, the Indian government set multiple deadlines for RIM to provide the government with access to encrypted BlackBerry communication or face a shutdown of BlackBerry services in the country. Those deadlines came and went, with RIM insisting that it has no back door that would let government authorities (or anybody else) decrypt and access communications on its BlackBerry Enterprise services. 

However, by the beginning of 2011 RIM had been working with the Indian government to provide access to consumer-level BlackBerry Messenger and BlackBerry Internet Services (BIS) email—and now the Wall Street Journal reports RIM is operating a small surveillance facility in Mumbai to process government requests for access to BlackBerry user communications. (more)

Spy Train Tracks Wirey Thieves

Using a thermal camera to track copper cable thieves.

UK - Network Rail said covert spy train patrols to deter metal thieves from the rail network are having an effect.

In the last year the price of copper has doubled and this year alone in the east there have been 72 serious incidents of cable theft, causing delays to more than 2,500 trains and costing the company more than £1m.

Look East joined Network Rail and the British Transport Police on a special spy train as they went on the hunt for thieves in Essex and Hertfordshire. (video)