WEBVTT

1
00:00:00.270 --> 00:00:01.200
<v Instructor>In this lesson,</v>

2
00:00:01.200 --> 00:00:02.280
we will learn about

3
00:00:02.280 --> 00:00:04.860
commercial and government challenges.

4
00:00:04.860 --> 00:00:06.930
Commercial and government challenges

5
00:00:06.930 --> 00:00:10.680
include securing sensitive operations and data

6
00:00:10.680 --> 00:00:12.780
in sectors like manufacturing,

7
00:00:12.780 --> 00:00:15.690
finance, and government, or defense

8
00:00:15.690 --> 00:00:19.230
against sophisticated threats and vulnerabilities.

9
00:00:19.230 --> 00:00:20.580
In manufacturing,

10
00:00:20.580 --> 00:00:24.210
protecting industrial control systems or ICS

11
00:00:24.210 --> 00:00:27.600
and intellectual property from cyber attack helps

12
00:00:27.600 --> 00:00:30.270
to maintain operational continuity

13
00:00:30.270 --> 00:00:32.340
and competitive advantage.

14
00:00:32.340 --> 00:00:34.020
In the financial sector,

15
00:00:34.020 --> 00:00:38.490
challenges in securing transaction systems, customer data,

16
00:00:38.490 --> 00:00:41.010
and ensuring regulatory compliance

17
00:00:41.010 --> 00:00:44.490
protect against fraud and data breaches.

18
00:00:44.490 --> 00:00:47.040
In the government and defense sector,

19
00:00:47.040 --> 00:00:50.460
classified information, critical infrastructure,

20
00:00:50.460 --> 00:00:53.520
and military operations must be safe

21
00:00:53.520 --> 00:00:57.480
from state sponsored cyber attack and espionage.

22
00:00:57.480 --> 00:01:01.110
Let's learn more about commercial and government challenges

23
00:01:01.110 --> 00:01:03.480
to the manufacturing, financial,

24
00:01:03.480 --> 00:01:06.330
and government defense sectors.

25
00:01:06.330 --> 00:01:09.300
First, we have the manufacturing sector.

26
00:01:09.300 --> 00:01:11.310
In the manufacturing sector,

27
00:01:11.310 --> 00:01:13.860
protecting industrial control systems

28
00:01:13.860 --> 00:01:16.140
or ICS is critical.

29
00:01:16.140 --> 00:01:19.320
Industrial control systems, control machines,

30
00:01:19.320 --> 00:01:21.630
robotics, and other equipment

31
00:01:21.630 --> 00:01:24.390
that are central to the production process

32
00:01:24.390 --> 00:01:26.400
and attack on these systems

33
00:01:26.400 --> 00:01:30.720
could disrupt the entire supply chain and halt operations.

34
00:01:30.720 --> 00:01:32.981
So manufacturers must ensure

35
00:01:32.981 --> 00:01:36.090
that both the operational technology

36
00:01:36.090 --> 00:01:39.300
and information technology that they use

37
00:01:39.300 --> 00:01:42.780
are secured to maintain business continuity.

38
00:01:42.780 --> 00:01:46.350
An example of an attack in the manufacturing sector

39
00:01:46.350 --> 00:01:50.190
is the 2019 attack, a Norsk Hydro,

40
00:01:50.190 --> 00:01:52.440
a global aluminum producer.

41
00:01:52.440 --> 00:01:53.940
Norsk Hydro, was hit

42
00:01:53.940 --> 00:01:55.980
by the LockerGoga ransomware,

43
00:01:55.980 --> 00:01:57.270
which forced the company

44
00:01:57.270 --> 00:02:00.960
to switch to manual operations at several plants.

45
00:02:00.960 --> 00:02:03.630
The ransomware encrypted critical files

46
00:02:03.630 --> 00:02:05.040
across their network,

47
00:02:05.040 --> 00:02:09.360
disrupting both administrative and production systems.

48
00:02:09.360 --> 00:02:12.600
So employees had to use handwritten notes

49
00:02:12.600 --> 00:02:14.400
to maintain operations,

50
00:02:14.400 --> 00:02:16.860
severely slowing down production.

51
00:02:16.860 --> 00:02:19.440
This disruption affected the company's

52
00:02:19.440 --> 00:02:21.690
entire production process,

53
00:02:21.690 --> 00:02:24.300
including aluminum rolling plants

54
00:02:24.300 --> 00:02:26.430
and extrusion operations,

55
00:02:26.430 --> 00:02:29.940
and it resulted in significant financial losses,

56
00:02:29.940 --> 00:02:32.553
estimated to be over $40 million.

57
00:02:33.390 --> 00:02:36.600
This attack demonstrates the vulnerabilities

58
00:02:36.600 --> 00:02:38.970
within manufacturing operations

59
00:02:38.970 --> 00:02:42.030
and the need to secure industrial systems

60
00:02:42.030 --> 00:02:44.130
against ransomware attack.

61
00:02:44.130 --> 00:02:48.420
Intellectual property is another concern for manufacturers.

62
00:02:48.420 --> 00:02:51.810
Intellectual property includes product designs,

63
00:02:51.810 --> 00:02:55.110
trade secrets, and proprietary processes.

64
00:02:55.110 --> 00:02:57.120
If stolen through an attack,

65
00:02:57.120 --> 00:02:59.190
this information can be sold

66
00:02:59.190 --> 00:03:03.690
to competitors eroding a company's competitive advantage.

67
00:03:03.690 --> 00:03:06.780
So to safeguard intellectual property,

68
00:03:06.780 --> 00:03:09.870
manufacturers deploy strong encryption methods

69
00:03:09.870 --> 00:03:11.940
and access controls.

70
00:03:11.940 --> 00:03:14.790
For example, in 2014,

71
00:03:14.790 --> 00:03:19.620
the US Steel Corporation was targeted by cyber espionage,

72
00:03:19.620 --> 00:03:23.580
allegedly carried out by Chinese state sponsored hackers,

73
00:03:23.580 --> 00:03:26.910
aiming to steal proprietary information.

74
00:03:26.910 --> 00:03:29.130
The hackers were accused of attempting

75
00:03:29.130 --> 00:03:30.930
to access trade secrets

76
00:03:30.930 --> 00:03:33.996
related to US steel's production, innovations,

77
00:03:33.996 --> 00:03:36.480
and manufacturing techniques,

78
00:03:36.480 --> 00:03:39.120
potentially providing Chinese competitors

79
00:03:39.120 --> 00:03:40.740
with an unfair advantage

80
00:03:40.740 --> 00:03:42.840
in the global steel market.

81
00:03:42.840 --> 00:03:46.620
Finally, manufacturers also face the challenge

82
00:03:46.620 --> 00:03:50.130
of securing the growing number of connected devices

83
00:03:50.130 --> 00:03:52.650
and sensors in their factories.

84
00:03:52.650 --> 00:03:56.760
With the rise of the Internet of things in manufacturing,

85
00:03:56.760 --> 00:03:59.250
the attack surface has increased.

86
00:03:59.250 --> 00:04:02.280
Giving cyber criminals more entry points

87
00:04:02.280 --> 00:04:04.260
into a company's network,

88
00:04:04.260 --> 00:04:07.920
securing IOT or Internet of things devices

89
00:04:07.920 --> 00:04:10.650
with updated firmware and monitoring

90
00:04:10.650 --> 00:04:13.440
traffic patterns for unusual activity,

91
00:04:13.440 --> 00:04:16.380
can mitigate some of these risks.

92
00:04:16.380 --> 00:04:19.140
Second, we have the financial sector.

93
00:04:19.140 --> 00:04:20.970
In the financial sector,

94
00:04:20.970 --> 00:04:24.390
securing transaction systems ensures trust

95
00:04:24.390 --> 00:04:26.760
and prevents financial loss.

96
00:04:26.760 --> 00:04:29.940
Financial institutions process millions

97
00:04:29.940 --> 00:04:31.590
of transactions daily,

98
00:04:31.590 --> 00:04:33.390
and a breach in their systems

99
00:04:33.390 --> 00:04:36.510
could have devastating consequences.

100
00:04:36.510 --> 00:04:40.200
Cyber criminals often target financial systems

101
00:04:40.200 --> 00:04:43.830
to steal funds or hold systems for ransom.

102
00:04:43.830 --> 00:04:47.610
A notable example of financial sector attack

103
00:04:47.610 --> 00:04:49.890
is the 2016 attack

104
00:04:49.890 --> 00:04:52.380
on the Bangladesh central bank.

105
00:04:52.380 --> 00:04:53.430
In this attack,

106
00:04:53.430 --> 00:04:57.450
hackers exploited weaknesses in the SWIFT payment system

107
00:04:57.450 --> 00:05:00.810
and attempted to steal nearly $1 billion.

108
00:05:00.810 --> 00:05:02.190
The attackers believed

109
00:05:02.190 --> 00:05:04.500
to be the North Korean Lazarus group

110
00:05:04.500 --> 00:05:06.690
used sophisticated techniques

111
00:05:06.690 --> 00:05:08.820
to infiltrate the bank's network

112
00:05:08.820 --> 00:05:11.820
and issue fraudulent transfer requests.

113
00:05:11.820 --> 00:05:14.317
They initially succeeded in transferring

114
00:05:14.317 --> 00:05:18.270
$81 million to accounts in the Philippines

115
00:05:18.270 --> 00:05:21.600
before a typo in one of the transfer orders,

116
00:05:21.600 --> 00:05:25.560
raised suspicion, and resulted in uncovering the theft.

117
00:05:25.560 --> 00:05:27.960
While most of the money was recovered,

118
00:05:27.960 --> 00:05:31.200
the attack exposed significant vulnerabilities

119
00:05:31.200 --> 00:05:33.480
in inter-bank payment systems,

120
00:05:33.480 --> 00:05:35.970
including poor security protocols

121
00:05:35.970 --> 00:05:40.200
and insufficient monitoring of suspicious transactions.

122
00:05:40.200 --> 00:05:43.230
Customer data including personal information,

123
00:05:43.230 --> 00:05:44.550
credit card numbers,

124
00:05:44.550 --> 00:05:48.600
and banking details are prime targets for cyber criminals,

125
00:05:48.600 --> 00:05:52.020
making it essential for financial institutions

126
00:05:52.020 --> 00:05:55.500
to comply with strict data protection regulations

127
00:05:55.500 --> 00:05:57.360
to prevent breaches.

128
00:05:57.360 --> 00:06:01.350
For example, institutions must adhere to regulations

129
00:06:01.350 --> 00:06:04.980
like the general data protection regulation in Europe

130
00:06:04.980 --> 00:06:08.490
and the payment card industry data security standard,

131
00:06:08.490 --> 00:06:11.520
which ensures appropriate measures are taken

132
00:06:11.520 --> 00:06:14.880
to protect customer data and prevent fraud.

133
00:06:14.880 --> 00:06:18.330
Failure to comply can lead to hefty fines

134
00:06:18.330 --> 00:06:20.400
and damage to reputation.

135
00:06:20.400 --> 00:06:22.800
Given the financial sector's reliance

136
00:06:22.800 --> 00:06:25.920
on digital infrastructure and customer trust,

137
00:06:25.920 --> 00:06:28.800
it remains a major target for attack,

138
00:06:28.800 --> 00:06:32.640
emphasizing the need for strong security measures.

139
00:06:32.640 --> 00:06:34.200
Third and last,

140
00:06:34.200 --> 00:06:37.200
we have the government or defense sector.

141
00:06:37.200 --> 00:06:39.450
In the government and defense sector,

142
00:06:39.450 --> 00:06:43.410
securing classified information is a top priority.

143
00:06:43.410 --> 00:06:45.930
State sponsored attacks often aimed

144
00:06:45.930 --> 00:06:49.230
to steal or manipulate sensitive government data,

145
00:06:49.230 --> 00:06:50.280
which could be used

146
00:06:50.280 --> 00:06:52.860
to gain a strategic advantage.

147
00:06:52.860 --> 00:06:55.140
A well-known example of an attack

148
00:06:55.140 --> 00:06:57.720
in the government or defense sector

149
00:06:57.720 --> 00:07:01.260
is the 2020 SolarWinds cyber attack

150
00:07:01.260 --> 00:07:05.400
where hackers infiltrated several US government agencies.

151
00:07:05.400 --> 00:07:06.480
In this attack,

152
00:07:06.480 --> 00:07:10.710
the hackers inserted malicious code into software updates

153
00:07:10.710 --> 00:07:13.350
for the SolarWinds Orion platform,

154
00:07:13.350 --> 00:07:16.320
which is widely used for network management.

155
00:07:16.320 --> 00:07:19.050
This allowed the attackers to gain access

156
00:07:19.050 --> 00:07:23.400
to sensitive systems without detection for several months.

157
00:07:23.400 --> 00:07:27.300
Overall, the breach affected multiple federal agencies,

158
00:07:27.300 --> 00:07:30.540
including the departments of Homeland Security,

159
00:07:30.540 --> 00:07:32.220
Energy, and Treasury,

160
00:07:32.220 --> 00:07:35.520
potentially, exposing national security secrets

161
00:07:35.520 --> 00:07:38.280
and critical infrastructure information.

162
00:07:38.280 --> 00:07:41.130
This attack highlights the vulnerabilities

163
00:07:41.130 --> 00:07:44.520
in the government and defense software supply chain,

164
00:07:44.520 --> 00:07:46.119
and underscores the need

165
00:07:46.119 --> 00:07:48.660
for stronger security protocols

166
00:07:48.660 --> 00:07:51.120
in managing third party software.

167
00:07:51.120 --> 00:07:54.060
Next, government and defense communications

168
00:07:54.060 --> 00:07:57.060
are a critical asset that must be protected.

169
00:07:57.060 --> 00:07:59.433
Military operations rely heavily

170
00:07:59.433 --> 00:08:03.840
on secure communication networks and command systems.

171
00:08:03.840 --> 00:08:06.630
A cyber attack disrupting these systems

172
00:08:06.630 --> 00:08:08.970
could manipulate battlefield data

173
00:08:08.970 --> 00:08:11.400
or disable critical infrastructure,

174
00:08:11.400 --> 00:08:14.730
putting missions and service members at risk.

175
00:08:14.730 --> 00:08:18.540
Governments must invest in cybersecurity strategies

176
00:08:18.540 --> 00:08:21.510
to safeguard their military assets.

177
00:08:21.510 --> 00:08:25.050
In 2008, the US military was targeted

178
00:08:25.050 --> 00:08:29.340
by a malware known as Agent.btz,

179
00:08:29.340 --> 00:08:33.600
which infiltrated systems through infected USB drives.

180
00:08:33.600 --> 00:08:37.620
The malware created a backdoor into military networks,

181
00:08:37.620 --> 00:08:41.730
allowing unauthorized access to sensitive information.

182
00:08:41.730 --> 00:08:43.740
The US Department of Defense

183
00:08:43.740 --> 00:08:46.560
spent significant time and resources

184
00:08:46.560 --> 00:08:48.540
eradicating this malware,

185
00:08:48.540 --> 00:08:49.980
which led to the ban

186
00:08:49.980 --> 00:08:54.690
on the use of USB drives across military networks.

187
00:08:54.690 --> 00:08:59.370
This attack emphasized the growing threat of cyber espionage

188
00:08:59.370 --> 00:09:02.010
and was a catalyst for the creation

189
00:09:02.010 --> 00:09:04.980
of the US cyber command in 2010,

190
00:09:04.980 --> 00:09:07.920
tasked with defending military networks

191
00:09:07.920 --> 00:09:10.710
and enhancing cyber capabilities.

192
00:09:10.710 --> 00:09:14.730
So remember, securing sensitive operations

193
00:09:14.730 --> 00:09:16.620
and data is a challenge

194
00:09:16.620 --> 00:09:19.590
for both commercial and government sectors,

195
00:09:19.590 --> 00:09:23.700
especially in industries like manufacturing, finance,

196
00:09:23.700 --> 00:09:25.890
and government or defense.

197
00:09:25.890 --> 00:09:27.270
In manufacturing,

198
00:09:27.270 --> 00:09:30.870
protecting systems that control production processes

199
00:09:30.870 --> 00:09:33.420
and safeguarding intellectual property

200
00:09:33.420 --> 00:09:36.840
are essential to maintaining business continuity

201
00:09:36.840 --> 00:09:38.670
and staying competitive.

202
00:09:38.670 --> 00:09:41.510
Next, financial institutions must focus

203
00:09:41.510 --> 00:09:45.690
on securing transaction systems and customer data

204
00:09:45.690 --> 00:09:48.390
while complying with strict regulations

205
00:09:48.390 --> 00:09:51.300
to prevent fraud and breaches.

206
00:09:51.300 --> 00:09:55.170
Finally, government and defense sectors face the threat

207
00:09:55.170 --> 00:09:58.530
of state-sponsored cyber attack aimed at stealing

208
00:09:58.530 --> 00:10:01.560
or manipulating classified information

209
00:10:01.560 --> 00:10:04.230
and disrupting critical infrastructure.

210
00:10:04.230 --> 00:10:05.940
Across all sectors,

211
00:10:05.940 --> 00:10:09.120
strong cyber security strategies protect

212
00:10:09.120 --> 00:10:12.363
against growing and sophisticated threats.