Tag Archives: transparency

SpiderOak’s Warrant Canary Died

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2018/08/spideroaks_warr.html

BoingBoing has the story.

I have never quite trusted the idea of a warrant canary. But here it seems to have worked. (Presumably, if SpiderOak wanted to replace the warrant canary with a transparency report, they would have written something explaining their decision. To have it simply disappear is what we would expect if SpiderOak were being forced to comply with a US government request for personal data.)

EDITED TO ADD (8/9): SpiderOak has posted an explanation claiming that the warrant canary did not die — it just changed.

That’s obviously false, because it did die. And a change is the functional equivalent — that’s how they work. So either they have received a National Security Letter and now have to pretend they did not, or they completely misunderstood what a warrant canary is and how it works. No one knows.

I have never fully trusted warrant canaries — this EFF post explains why — and this is an illustration.

Прозрачност на политическата реклама

Post Syndicated from nellyo original https://nellyo.wordpress.com/2018/05/26/polit_ad_fb_twitter/

Как решавате проблем като този с руската пропаганда? Как  предпазвате от намеса в изборите? c|net информира за нови стъпки на интернет компаниите.

Отговорът на Facebook и Twitter е повече прозрачност относно политическата реклама: двете компании предприемат мерки да се вижда кой плаща политическа реклама. Google също се подготвя за подобна политика на прозрачност.

Facebook създава и архив на данните за политическа реклама на адрес facebook.com/politicalcontentads . Подобен  Ads Transparency Center  предстои да бъде създаден и в Twitter.

В САЩ има проект за закон –  the Honest Ads Act –  ако бъде приет,  прозрачността на политическата реклама онлайн ще е законово задължение.

Текст и обяснение от сайта на Конгреса, мотивите: Законът за честните реклами би попречил на чуждестранните участници да повлияят върху нашите избори, като гарантира, че политическите реклами, продавани онлайн, ще бъдат обхванати от същите правила като рекламите, продавани по телевизията, радиото и сателита.  Въвежда

  •  изискване на цифрови платформи с най-малко 50 000 000 месечни зрители да поддържат публичен архив  – всеки файл  ще съдържа цифрово копие на рекламата, описание на аудиторията, която рекламата цели, броя на генерираните показвания, датите и часовете на публикуване, таксуваните тарифи и информацията за връзка на купувача;
  • изискване  онлайн платформите да положат всички разумни усилия, за да гарантират, че чуждестранни физически и юридически лица не купуват политически реклами, за да повлияят на американския електорат.

 

timeShift(GrafanaBuzz, 1w) Issue 46

Post Syndicated from Blogs on Grafana Labs Blog original https://grafana.com/blog/2018/05/24/timeshiftgrafanabuzz-1w-issue-46/

Welcome to TimeShift The day has finally arrived; GDPR is officially in effect! These new policies are meant to provide more transparency about the data companies collect on users, and how that data is used. I for one am just excited that the onslaught of "We’ve updated our privacy policy" emails arriving in my pummeled inbox is nearing its end.
Grafana Labs is no exception. We encourage you to check out our privacy policy, and if you have any questions, feel free to contact us at [email protected]

Developer Accidentally Makes Available 390,000 ‘Pirated’ eBooks

Post Syndicated from Andy original https://torrentfreak.com/developer-accidentally-makes-available-390000-pirated-ebooks-180509/

Considering the effort it takes to set one up, pirate sites are clearly always intentional. One doesn’t make available hundreds of thousands of potentially infringing works accidentally.

Unless you’re developer Nick Janetakis, that is.

“About 2 years ago I was recording a video course that dealt with setting up HTTPS on a domain name. In all of my courses, I make sure to ‘really’ do it on video so that you can see the entire process from end to end,” Nick wrote this week.

“Back then I used nickjanetakis.com for all of my courses, so I didn’t have a dedicated domain name for the course I was working on.”

So instead, Nick set up an A record to point ssl.nickjanetakis.com to a DigitalOcean droplet (a cloud server) so anyone accessing the sub-domain could access the droplet (and his content) via his sub-domain.

That was all very straightforward and all Nick needed to do was delete the A record after he was done to ensure that he wasn’t pointing to someone else’s IP address when the droplet was eventually allocated to someone else. But he forgot, with some interesting side effects that didn’t come to light until years later.

“I have Google Alerts set up so I get emailed when people link to my site. A few months ago I started to receive an absurd amount of notifications, but I ignored them. I chalked it up to ‘Google is probably on drugs’,” Nick explains.

However, the developer paid more attention when he received an email from a subscriber to his courses who warned that Nick’s site might have been compromised. A Google search revealed a worrying amount of apparently unauthorized eBook content being made available via Nick’s domain.

350,000 items? Whoops! (credit: Nick Janetakis)

Of course, Nick wasn’t distributing any content himself, but as far as Google was concerned, his domain was completely responsible. For confirmation, TorrentFreak looked up Nick’s domain on Google’s Transparency report and found at least nine copyright holders and two reporting organizations complaining of copyright infringement.

“No one from Google contacted me and none of the copyright infringement people reached out to me. I wish they would have,” Nick told us.

The earliest complaint was filed with Google on April 22, 2018, suggesting that the IP address/domain name collision causing the supposed infringement took place fairly recently. From there came a steady flow of reports, but not the tidal wave one might have expected given the volume of results.

Complaints courtesy of LumenDatabase.org

A little puzzled, TorrentFreak asked Nick if he’d managed to find out from DigitalOcean which pirates had been inadvertently using his domain. He said he’d asked, but the company wouldn’t assist.

“I asked DigitalOcean to get the email contact of the person who owned the IP address but they denied me. I just wanted to know for my own sanity,” he says.

With results now dropping off Google very quickly, TF carried out some tests using Google’s cache. None of the tests led us to any recognizable pirate site but something was definitely amiss.

The ‘pirate’ links (which can be found using a ‘site:ssl.nickjanetakis.com’ search in Google) open documents (sample) which contain links to the domain BookFreeNow.com, which looks very much like a pirate site but suggests it will only hand over PDF files after the user joins up, ostensibly for free.

However, experience with this kind of platform tells us that eventually, there would probably be some kind of cost involved, if indirect.



So, after clicking the registration link (or automatically, if you wait a few seconds) we weren’t entirely shocked when we were redirected briefly to an affiliate site that pays generously. From there we were sent to an advert server which caused a MalwareBytes alert, which was enough for us to back right out of there.

While something amazing might have sat behind the doors of BookFreeNow, we suspect that rather than being a regular pirate site, it’s actually set up to give the impression of being one, in order to generate business in other ways.

Certainly, copyright holders are suspicious of it, and have sent numerous complaints to Google.

In any event, Nick Janetakis should be very grateful that his domain is no longer connected to the platform since a basic pirate site, while troublesome, would be much more straightforward to explain. In the meantime, Nick has some helpful tips on how to avoid such a situation in the future.

Source: TF, for the latest info on copyright, file-sharing, torrent sites and more. We also have VPN reviews, discounts, offers and coupons.

My letter urging Georgia governor to veto anti-hacking bill

Post Syndicated from Robert Graham original https://blog.erratasec.com/2018/04/my-letter-urging-georgia-governor-to.html

April 16, 2018

Office of the Governor
206 Washington Street
111 State Capitol
Atlanta, Georgia 30334

Re: SB 315

Dear Governor Deal:

I am writing to urge you to veto SB315, the “Unauthorized Computer Access” bill.

The cybersecurity community, of which Georgia is a leader, is nearly unanimous that SB315 will make cybersecurity worse. You’ve undoubtedly heard from many of us opposing this bill. It does not help in prosecuting foreign hackers who target Georgian computers, such as our elections systems. Instead, it prevents those who notice security flaws from pointing them out, thereby getting them fixed. This law violates the well-known Kirchhoff’s Principle, that instead of secrecy and obscurity, that security is achieved through transparency and openness.

That the bill contains this flaw is no accident. The justification for this bill comes from an incident where a security researcher noticed a Georgia state election system had made voter information public. This remained unfixed, months after the vulnerability was first disclosed, leaving the data exposed. Those in charge decided that it was better to prosecute those responsible for discovering the flaw rather than punish those who failed to secure Georgia voter information, hence this law.

Too many security experts oppose this bill for it to go forward. Signing this bill, one that is weak on cybersecurity by favoring political cover-up over the consensus of the cybersecurity community, will be part of your legacy. I urge you instead to veto this bill, commanding the legislature to write a better one, this time consulting experts, which due to Georgia’s thriving cybersecurity community, we do not lack.

Thank you for your attention.

Sincerely,
Robert Graham
(formerly) Chief Scientist, Internet Security Systems

Engineering deep dive: Encoding of SCTs in certificates

Post Syndicated from Let's Encrypt - Free SSL/TLS Certificates original https://letsencrypt.org/2018/04/04/sct-encoding.html

<p>Let&rsquo;s Encrypt recently <a href="https://community.letsencrypt.org/t/signed-certificate-timestamps-embedded-in-certificates/57187">launched SCT embedding in
certificates</a>.
This feature allows browsers to check that a certificate was submitted to a
<a href="https://en.wikipedia.org/wiki/Certificate_Transparency">Certificate Transparency</a>
log. As part of the launch, we did a thorough review
that the encoding of Signed Certificate Timestamps (SCTs) in our certificates
matches the relevant specifications. In this post, I&rsquo;ll dive into the details.
You&rsquo;ll learn more about X.509, ASN.1, DER, and TLS encoding, with references to
the relevant RFCs.</p>

<p>Certificate Transparency offers three ways to deliver SCTs to a browser: In a
TLS extension, in stapled OCSP, or embedded in a certificate. We chose to
implement the embedding method because it would just work for Let&rsquo;s Encrypt
subscribers without additional work. In the SCT embedding method, we submit
a &ldquo;precertificate&rdquo; with a <a href="#poison">poison extension</a> to a set of
CT logs, and get back SCTs. We then issue a real certificate based on the
precertificate, with two changes: The poison extension is removed, and the SCTs
obtained earlier are added in another extension.</p>

<p>Given a certificate, let&rsquo;s first look for the SCT list extension. According to CT (<a href="https://tools.ietf.org/html/rfc6962#section-3.3">RFC 6962
section 3.3</a>),
the extension OID for a list of SCTs is <code>1.3.6.1.4.1.11129.2.4.2</code>. An <a href="http://www.hl7.org/Oid/information.cfm">OID (object
ID)</a> is a series of integers, hierarchically
assigned and globally unique. They are used extensively in X.509, for instance
to uniquely identify extensions.</p>

<p>We can <a href="https://acme-v01.api.letsencrypt.org/acme/cert/031f2484307c9bc511b3123cb236a480d451">download an example certificate</a>,
and view it using OpenSSL (if your OpenSSL is old, it may not display the
detailed information):</p>

<pre><code>$ openssl x509 -noout -text -inform der -in Downloads/031f2484307c9bc511b3123cb236a480d451

CT Precertificate SCTs:
Signed Certificate Timestamp:
Version : v1(0)
Log ID : DB:74:AF:EE:CB:29:EC:B1:FE:CA:3E:71:6D:2C:E5:B9:
AA:BB:36:F7:84:71:83:C7:5D:9D:4F:37:B6:1F:BF:64
Timestamp : Mar 29 18:45:07.993 2018 GMT
Extensions: none
Signature : ecdsa-with-SHA256
30:44:02:20:7E:1F:CD:1E:9A:2B:D2:A5:0A:0C:81:E7:
13:03:3A:07:62:34:0D:A8:F9:1E:F2:7A:48:B3:81:76:
40:15:9C:D3:02:20:65:9F:E9:F1:D8:80:E2:E8:F6:B3:
25:BE:9F:18:95:6D:17:C6:CA:8A:6F:2B:12:CB:0F:55:
FB:70:F7:59:A4:19
Signed Certificate Timestamp:
Version : v1(0)
Log ID : 29:3C:51:96:54:C8:39:65:BA:AA:50:FC:58:07:D4:B7:
6F:BF:58:7A:29:72:DC:A4:C3:0C:F4:E5:45:47:F4:78
Timestamp : Mar 29 18:45:08.010 2018 GMT
Extensions: none
Signature : ecdsa-with-SHA256
30:46:02:21:00:AB:72:F1:E4:D6:22:3E:F8:7F:C6:84:
91:C2:08:D2:9D:4D:57:EB:F4:75:88:BB:75:44:D3:2F:
95:37:E2:CE:C1:02:21:00:8A:FF:C4:0C:C6:C4:E3:B2:
45:78:DA:DE:4F:81:5E:CB:CE:2D:57:A5:79:34:21:19:
A1:E6:5B:C7:E5:E6:9C:E2
</code></pre>

<p>Now let&rsquo;s go a little deeper. How is that extension represented in
the certificate? Certificates are expressed in
<a href="https://en.wikipedia.org/wiki/Abstract_Syntax_Notation_One">ASN.1</a>,
which generally refers to both a language for expressing data structures
and a set of formats for encoding them. The most common format,
<a href="https://en.wikipedia.org/wiki/X.690#DER_encoding">DER</a>,
is a tag-length-value format. That is, to encode an object, first you write
down a tag representing its type (usually one byte), then you write
down a number expressing how long the object is, then you write down
the object contents. This is recursive: An object can contain multiple
objects within it, each of which has its own tag, length, and value.</p>

<p>One of the cool things about DER and other tag-length-value formats is that you
can decode them to some degree without knowing what they mean. For instance, I
can tell you that 0x30 means the data type &ldquo;SEQUENCE&rdquo; (a struct, in ASN.1
terms), and 0x02 means &ldquo;INTEGER&rdquo;, then give you this hex byte sequence to
decode:</p>

<pre><code>30 06 02 01 03 02 01 0A
</code></pre>

<p>You could tell me right away that decodes to:</p>

<pre><code>SEQUENCE
INTEGER 3
INTEGER 10
</code></pre>

<p>Try it yourself with this great <a href="https://lapo.it/asn1js/#300602010302010A">JavaScript ASN.1
decoder</a>. However, you wouldn&rsquo;t know
what those integers represent without the corresponding ASN.1 schema (or
&ldquo;module&rdquo;). For instance, if you knew that this was a piece of DogData, and the
schema was:</p>

<pre><code>DogData ::= SEQUENCE {
legs INTEGER,
cutenessLevel INTEGER
}
</code></pre>

<p>You&rsquo;d know this referred to a three-legged dog with a cuteness level of 10.</p>

<p>We can take some of this knowledge and apply it to our certificates. As a first
step, convert the above certificate to hex with
<code>xxd -ps &lt; Downloads/031f2484307c9bc511b3123cb236a480d451</code>. You can then copy
and paste the result into
<a href="https://lapo.it/asn1js">lapo.it/asn1js</a> (or use <a href="https://lapo.it/asn1js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this handy link</a>). You can also run <code>openssl asn1parse -i -inform der -in Downloads/031f2484307c9bc511b3123cb236a480d451</code> to use OpenSSL&rsquo;s parser, which is less easy to use in some ways, but easier to copy and paste.</p>

<p>In the decoded data, we can find the OID <code>1.3.6.1.4.1.11129.2.4.2</code>, indicating
the SCT list extension. Per <a href="https://tools.ietf.org/html/rfc5280#page-17">RFC 5280, section
4.1</a>, an extension is defined:</p>

<pre><code>Extension ::= SEQUENCE {
extnID OBJECT IDENTIFIER,
critical BOOLEAN DEFAULT FALSE,
extnValue OCTET STRING
— contains the DER encoding of an ASN.1 value
— corresponding to the extension type identified
— by extnID
}
</code></pre>

<p>We&rsquo;ve found the <code>extnID</code>. The &ldquo;critical&rdquo; field is omitted because it has the
default value (false). Next up is the <code>extnValue</code>. This has the type
<code>OCTET STRING</code>, which has the tag &ldquo;0x04&rdquo;. <code>OCTET STRING</code> means &ldquo;here&rsquo;s
a bunch of bytes!&rdquo; In this case, as described by the spec, those bytes
happen to contain more DER. This is a fairly common pattern in X.509
to deal with parameterized data. For instance, this allows defining a
structure for extensions without knowing ahead of time all the structures
that a future extension might want to carry in its value. If you&rsquo;re a C
programmer, think of it as a <code>void*</code> for data structures. If you prefer Go,
think of it as an <code>interface{}</code>.</p>

<p>Here&rsquo;s that <code>extnValue</code>:</p>

<pre><code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
</code></pre>

<p>That&rsquo;s tag &ldquo;0x04&rdquo;, meaning <code>OCTET STRING</code>, followed by &ldquo;0x81 0xF5&rdquo;, meaning
&ldquo;this string is 245 bytes long&rdquo; (the 0x81 prefix is part of <a href="#variable-length">variable length
number encoding</a>).</p>

<p>According to <a href="https://tools.ietf.org/html/rfc6962#section-3.3">RFC 6962, section
3.3</a>, &ldquo;obtained SCTs
can be directly embedded in the final certificate, by encoding the
SignedCertificateTimestampList structure as an ASN.1 <code>OCTET STRING</code>
and inserting the resulting data in the TBSCertificate as an X.509v3
certificate extension&rdquo;</p>

<p>So, we have an <code>OCTET STRING</code>, all&rsquo;s good, right? Except if you remove the
tag and length from extnValue to get its value, you&rsquo;re left with:</p>

<pre><code>04 81 F2 00F0007500DB74AFEEC…
</code></pre>

<p>There&rsquo;s that &ldquo;0x04&rdquo; tag again, but with a shorter length. Why
do we nest one <code>OCTET STRING</code> inside another? It&rsquo;s because the
contents of extnValue are required by RFC 5280 to be valid DER, but a
SignedCertificateTimestampList is not encoded using DER (more on that
in a minute). So, by RFC 6962, a SignedCertificateTimestampList is wrapped in an
<code>OCTET STRING</code>, which is wrapped in another <code>OCTET STRING</code> (the extnValue).</p>

<p>Once we decode that second <code>OCTET STRING</code>, we&rsquo;re left with the contents:</p>

<pre><code>00F0007500DB74AFEEC…
</code></pre>

<p>&ldquo;0x00&rdquo; isn&rsquo;t a valid tag in DER. What is this? It&rsquo;s TLS encoding. This is
defined in <a href="https://tools.ietf.org/html/rfc5246#section-4">RFC 5246, section 4</a>
(the TLS 1.2 RFC). TLS encoding, like ASN.1, has both a way to define data
structures and a way to encode those structures. TLS encoding differs
from DER in that there are no tags, and lengths are only encoded when necessary for
variable-length arrays. Within an encoded structure, the type of a field is determined by
its position, rather than by a tag. This means that TLS-encoded structures are
more compact than DER structures, but also that they can&rsquo;t be processed without
knowing the corresponding schema. For instance, here&rsquo;s the top-level schema from
<a href="https://tools.ietf.org/html/rfc6962#section-3.3">RFC 6962, section 3.3</a>:</p>

<pre><code> The contents of the ASN.1 OCTET STRING embedded in an OCSP extension
or X509v3 certificate extension are as follows:

opaque SerializedSCT&lt;1..2^16-1&gt;;

struct {
SerializedSCT sct_list &lt;1..2^16-1&gt;;
} SignedCertificateTimestampList;

Here, &quot;SerializedSCT&quot; is an opaque byte string that contains the
serialized TLS structure.
</code></pre>

<p>Right away, we&rsquo;ve found one of those variable-length arrays. The length of such
an array (in bytes) is always represented by a length field just big enough to
hold the max array size. The max size of an <code>sct_list</code> is 65535 bytes, so the
length field is two bytes wide. Sure enough, those first two bytes are &ldquo;0x00
0xF0&rdquo;, or 240 in decimal. In other words, this <code>sct_list</code> will have 240 bytes. We
don&rsquo;t yet know how many SCTs will be in it. That will become clear only by
continuing to parse the encoded data and seeing where each struct ends (spoiler
alert: there are two SCTs!).</p>

<p>Now we know the first SerializedSCT starts with <code>0075…</code>. SerializedSCT
is itself a variable-length field, this time containing <code>opaque</code> bytes (much like <code>OCTET STRING</code>
back in the ASN.1 world). Like SignedCertificateTimestampList, it has a max size
of 65535 bytes, so we pull off the first two bytes and discover that the first
SerializedSCT is 0x0075 (117 decimal) bytes long. Here&rsquo;s the whole thing, in
hex:</p>

<pre><code>00DB74AFEECB29ECB1FECA3E716D2CE5B9AABB36F7847183C75D9D4F37B61FBF64000001627313EB19000004030046304402207E1FCD1E9A2BD2A50A0C81E713033A0762340DA8F91EF27A48B3817640159CD30220659FE9F1D880E2E8F6B325BE9F18956D17C6CA8A6F2B12CB0F55FB70F759A419
</code></pre>

<p>This can be decoded using the TLS encoding struct defined in <a href="https://tools.ietf.org/html/rfc6962#page-13">RFC 6962, section
3.2</a>:</p>

<pre><code>enum { v1(0), (255) }
Version;

struct {
opaque key_id[32];
} LogID;

opaque CtExtensions&lt;0..2^16-1&gt;;

struct {
Version sct_version;
LogID id;
uint64 timestamp;
CtExtensions extensions;
digitally-signed struct {
Version sct_version;
SignatureType signature_type = certificate_timestamp;
uint64 timestamp;
LogEntryType entry_type;
select(entry_type) {
case x509_entry: ASN.1Cert;
case precert_entry: PreCert;
} signed_entry;
CtExtensions extensions;
};
} SignedCertificateTimestamp;
</code></pre>

<p>Breaking that down:</p>

<pre><code># Version sct_version v1(0)
00
# LogID id (aka opaque key_id[32])
DB74AFEECB29ECB1FECA3E716D2CE5B9AABB36F7847183C75D9D4F37B61FBF64
# uint64 timestamp (milliseconds since the epoch)
000001627313EB19
# CtExtensions extensions (zero-length array)
0000
# digitally-signed struct
04030046304402207E1FCD1E9A2BD2A50A0C81E713033A0762340DA8F91EF27A48B3817640159CD30220659FE9F1D880E2E8F6B325BE9F18956D17C6CA8A6F2B12CB0F55FB70F759A419
</code></pre>

<p>To understand the &ldquo;digitally-signed struct,&rdquo; we need to turn back to <a href="https://tools.ietf.org/html/rfc5246#section-4.7">RFC 5246,
section 4.7</a>. It says:</p>

<pre><code>A digitally-signed element is encoded as a struct DigitallySigned:

struct {
SignatureAndHashAlgorithm algorithm;
opaque signature&lt;0..2^16-1&gt;;
} DigitallySigned;
</code></pre>

<p>And in <a href="https://tools.ietf.org/html/rfc5246#section-7.4.1.4.1">section
7.4.1.4.1</a>:</p>

<pre><code>enum {
none(0), md5(1), sha1(2), sha224(3), sha256(4), sha384(5),
sha512(6), (255)
} HashAlgorithm;

enum { anonymous(0), rsa(1), dsa(2), ecdsa(3), (255) }
SignatureAlgorithm;

struct {
HashAlgorithm hash;
SignatureAlgorithm signature;
} SignatureAndHashAlgorithm;
</code></pre>

<p>We have &ldquo;0x0403&rdquo;, which corresponds to sha256(4) and ecdsa(3). The next two
bytes, &ldquo;0x0046&rdquo;, tell us the length of the &ldquo;opaque signature&rdquo; field, 70 bytes in
decimal. To decode the signature, we reference <a href="https://tools.ietf.org/html/rfc4492#page-20">RFC 4492 section
5.4</a>, which says:</p>

<pre><code>The digitally-signed element is encoded as an opaque vector &lt;0..2^16-1&gt;, the
contents of which are the DER encoding corresponding to the
following ASN.1 notation.

Ecdsa-Sig-Value ::= SEQUENCE {
r INTEGER,
s INTEGER
}
</code></pre>

<p>Having dived through two layers of TLS encoding, we are now back in ASN.1 land!
We
<a href="https://lapo.it/asn1js/#304402207E1FCD1E9A2BD2A50A0C81E713033A0762340DA8F91EF27A48B3817640159CD30220659FE9F1D880E2E8F6B325BE9F18956D17C6CA8A6F2B12CB0F55FB70F759A419">decode</a>
the remaining bytes into a SEQUENCE containing two INTEGERS. And we&rsquo;re done! Here&rsquo;s the whole
extension decoded:</p>

<pre><code># Extension SEQUENCE – RFC 5280
30
# length 0x0104 bytes (260 decimal)
820104
# OBJECT IDENTIFIER
06
# length 0x0A bytes (10 decimal)
0A
# value (1.3.6.1.4.1.11129.2.4.2)
2B06010401D679020402
# OCTET STRING
04
# length 0xF5 bytes (245 decimal)
81F5
# OCTET STRING (embedded) – RFC 6962
04
# length 0xF2 bytes (242 decimal)
81F2
# Beginning of TLS encoded SignedCertificateTimestampList – RFC 5246 / 6962
# length 0xF0 bytes
00F0
# opaque SerializedSCT&lt;1..2^16-1&gt;
# length 0x75 bytes
0075
# Version sct_version v1(0)
00
# LogID id (aka opaque key_id[32])
DB74AFEECB29ECB1FECA3E716D2CE5B9AABB36F7847183C75D9D4F37B61FBF64
# uint64 timestamp (milliseconds since the epoch)
000001627313EB19
# CtExtensions extensions (zero-length array)
0000
# digitally-signed struct – RFC 5426
# SignatureAndHashAlgorithm (ecdsa-sha256)
0403
# opaque signature&lt;0..2^16-1&gt;;
# length 0x0046
0046
# DER-encoded Ecdsa-Sig-Value – RFC 4492
30 # SEQUENCE
44 # length 0x44 bytes
02 # r INTEGER
20 # length 0x20 bytes
# value
7E1FCD1E9A2BD2A50A0C81E713033A0762340DA8F91EF27A48B3817640159CD3
02 # s INTEGER
20 # length 0x20 bytes
# value
659FE9F1D880E2E8F6B325BE9F18956D17C6CA8A6F2B12CB0F55FB70F759A419
# opaque SerializedSCT&lt;1..2^16-1&gt;
# length 0x77 bytes
0077
# Version sct_version v1(0)
00
# LogID id (aka opaque key_id[32])
293C519654C83965BAAA50FC5807D4B76FBF587A2972DCA4C30CF4E54547F478
# uint64 timestamp (milliseconds since the epoch)
000001627313EB2A
# CtExtensions extensions (zero-length array)
0000
# digitally-signed struct – RFC 5426
# SignatureAndHashAlgorithm (ecdsa-sha256)
0403
# opaque signature&lt;0..2^16-1&gt;;
# length 0x0048
0048
# DER-encoded Ecdsa-Sig-Value – RFC 4492
30 # SEQUENCE
46 # length 0x46 bytes
02 # r INTEGER
21 # length 0x21 bytes
# value
00AB72F1E4D6223EF87FC68491C208D29D4D57EBF47588BB7544D32F9537E2CEC1
02 # s INTEGER
21 # length 0x21 bytes
# value
008AFFC40CC6C4E3B24578DADE4F815ECBCE2D57A579342119A1E65BC7E5E69CE2
</code></pre>

<p>One surprising thing you might notice: In the first SCT, <code>r</code> and <code>s</code> are twenty
bytes long. In the second SCT, they are both twenty-one bytes long, and have a
leading zero. Integers in DER are two&rsquo;s complement, so if the leftmost bit is
set, they are interpreted as negative. Since <code>r</code> and <code>s</code> are positive, if the
leftmost bit would be a 1, an extra byte has to be added so that the leftmost
bit can be 0.</p>

<p>This is a little taste of what goes into encoding a certificate. I hope it was
informative! If you&rsquo;d like to learn more, I recommend &ldquo;<a href="http://luca.ntop.org/Teaching/Appunti/asn1.html">A Layman&rsquo;s Guide to a
Subset of ASN.1, BER, and DER</a>.&rdquo;</p>

<p><a name="poison"></a>Footnote 1: A &ldquo;poison extension&rdquo; is defined by <a href="https://tools.ietf.org/html/rfc6962#section-3.1">RFC 6962
section 3.1</a>:</p>

<pre><code>The Precertificate is constructed from the certificate to be issued by adding a special
critical poison extension (OID `1.3.6.1.4.1.11129.2.4.3`, whose
extnValue OCTET STRING contains ASN.1 NULL data (0x05 0x00))
</code></pre>

<p>In other words, it&rsquo;s an empty extension whose only purpose is to ensure that
certificate processors will not accept precertificates as valid certificates. The
specification ensures this by setting the &ldquo;critical&rdquo; bit on the extension, which
ensures that code that doesn&rsquo;t recognize the extension will reject the whole
certificate. Code that does recognize the extension specifically as poison
will also reject the certificate.</p>

<p><a name="variable-length"></a>Footnote 2: Lengths from 0-127 are represented by
a single byte (short form). To express longer lengths, more bytes are used (long form).
The high bit (0x80) on the first byte is set to distinguish long form from short
form. The remaining bits are used to express how many more bytes to read for the
length. For instance, 0x81F5 means &ldquo;this is long form because the length is
greater than 127, but there&rsquo;s still only one byte of length (0xF5) to decode.&rdquo;</p>

[$] Making institutional free software successful

Post Syndicated from jake original https://lwn.net/Articles/750781/rss

Many large institutions, especially government agencies, would like to
distribute their software—including the software of the vendors with whom
they contract—as free software. They have a variety of reasons, ranging
from the hope that opening the code will boost its use, all the way to
a mature understanding of the importance of community, transparency, and
freedom. There are special steps institutions can take to help ensure success,
some stemming from best practices performed by many free-software projects
and others specific to large organizations. At the 2018 LibrePlanet conference,
Cecilia Donnelly laid out nine principles for the
successful creation and maintenance of a software project under these
circumstances.

Facebook and Cambridge Analytica

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2018/03/facebook_and_ca.html

In the wake of the Cambridge Analytica scandal, news articles and commentators have focused on what Facebook knows about us. A lot, it turns out. It collects data from our posts, our likes, our photos, things we type and delete without posting, and things we do while not on Facebook and even when we’re offline. It buys data about us from others. And it can infer even more: our sexual orientation, political beliefs, relationship status, drug use, and other personality traits — even if we didn’t take the personality test that Cambridge Analytica developed.

But for every article about Facebook’s creepy stalker behavior, thousands of other companies are breathing a collective sigh of relief that it’s Facebook and not them in the spotlight. Because while Facebook is one of the biggest players in this space, there are thousands of other companies that spy on and manipulate us for profit.

Harvard Business School professor Shoshana Zuboff calls it “surveillance capitalism.” And as creepy as Facebook is turning out to be, the entire industry is far creepier. It has existed in secret far too long, and it’s up to lawmakers to force these companies into the public spotlight, where we can all decide if this is how we want society to operate and — if not — what to do about it.

There are 2,500 to 4,000 data brokers in the United States whose business is buying and selling our personal data. Last year, Equifax was in the news when hackers stole personal information on 150 million people, including Social Security numbers, birth dates, addresses, and driver’s license numbers.

You certainly didn’t give it permission to collect any of that information. Equifax is one of those thousands of data brokers, most of them you’ve never heard of, selling your personal information without your knowledge or consent to pretty much anyone who will pay for it.

Surveillance capitalism takes this one step further. Companies like Facebook and Google offer you free services in exchange for your data. Google’s surveillance isn’t in the news, but it’s startlingly intimate. We never lie to our search engines. Our interests and curiosities, hopes and fears, desires and sexual proclivities, are all collected and saved. Add to that the websites we visit that Google tracks through its advertising network, our Gmail accounts, our movements via Google Maps, and what it can collect from our smartphones.

That phone is probably the most intimate surveillance device ever invented. It tracks our location continuously, so it knows where we live, where we work, and where we spend our time. It’s the first and last thing we check in a day, so it knows when we wake up and when we go to sleep. We all have one, so it knows who we sleep with. Uber used just some of that information to detect one-night stands; your smartphone provider and any app you allow to collect location data knows a lot more.

Surveillance capitalism drives much of the internet. It’s behind most of the “free” services, and many of the paid ones as well. Its goal is psychological manipulation, in the form of personalized advertising to persuade you to buy something or do something, like vote for a candidate. And while the individualized profile-driven manipulation exposed by Cambridge Analytica feels abhorrent, it’s really no different from what every company wants in the end. This is why all your personal information is collected, and this is why it is so valuable. Companies that can understand it can use it against you.

None of this is new. The media has been reporting on surveillance capitalism for years. In 2015, I wrote a book about it. Back in 2010, the Wall Street Journal published an award-winning two-year series about how people are tracked both online and offline, titled “What They Know.”

Surveillance capitalism is deeply embedded in our increasingly computerized society, and if the extent of it came to light there would be broad demands for limits and regulation. But because this industry can largely operate in secret, only occasionally exposed after a data breach or investigative report, we remain mostly ignorant of its reach.

This might change soon. In 2016, the European Union passed the comprehensive General Data Protection Regulation, or GDPR. The details of the law are far too complex to explain here, but some of the things it mandates are that personal data of EU citizens can only be collected and saved for “specific, explicit, and legitimate purposes,” and only with explicit consent of the user. Consent can’t be buried in the terms and conditions, nor can it be assumed unless the user opts in. This law will take effect in May, and companies worldwide are bracing for its enforcement.

Because pretty much all surveillance capitalism companies collect data on Europeans, this will expose the industry like nothing else. Here’s just one example. In preparation for this law, PayPal quietly published a list of over 600 companies it might share your personal data with. What will it be like when every company has to publish this sort of information, and explicitly explain how it’s using your personal data? We’re about to find out.

In the wake of this scandal, even Mark Zuckerberg said that his industry probably should be regulated, although he’s certainly not wishing for the sorts of comprehensive regulation the GDPR is bringing to Europe.

He’s right. Surveillance capitalism has operated without constraints for far too long. And advances in both big data analysis and artificial intelligence will make tomorrow’s applications far creepier than today’s. Regulation is the only answer.

The first step to any regulation is transparency. Who has our data? Is it accurate? What are they doing with it? Who are they selling it to? How are they securing it? Can we delete it? I don’t see any hope of Congress passing a GDPR-like data protection law anytime soon, but it’s not too far-fetched to demand laws requiring these companies to be more transparent in what they’re doing.

One of the responses to the Cambridge Analytica scandal is that people are deleting their Facebook accounts. It’s hard to do right, and doesn’t do anything about the data that Facebook collects about people who don’t use Facebook. But it’s a start. The market can put pressure on these companies to reduce their spying on us, but it can only do that if we force the industry out of its secret shadows.

This essay previously appeared on CNN.com.

EDITED TO ADD (4/2): Slashdot thread.

Welcome Nathan – Our Solutions Engineer

Post Syndicated from Yev original https://www.backblaze.com/blog/welcome-nathan-our-solutions-engineer/

Backblaze is growing, and with it our need to cater to a lot of different use cases that our customers bring to us. We needed a Solutions Engineer to help out, and after a long search we’ve hired our first one! Lets learn a bit more about Nathan shall we?

What is your Backblaze Title?
Solutions Engineer. Our customers bring a thousand different use cases to both B1 and B2, and I’m here to help them figure out how best to make those use cases a reality. Also, any odd jobs that Nilay wants me to do.

Where are you originally from?
I am native to the San Francisco Bay Area, studying mathematics at UC Santa Cruz, and then computer science at California University of Hayward (which has since renamed itself California University of the East Hills. I observe that it’s still in Hayward).

What attracted you to Backblaze?
As a stable, growing company with huge growth and even bigger potential, the business model is attractive, and the team is outstanding. Add to that the strong commitment to transparency, and it’s a hard company to resist. We can store – and restore – data while offering superior reliability at an economic advantage to do-it-yourself, and that’s a great place to be.

What do you expect to learn while being at Backblaze?
Everything I need to, but principally how our customers choose to interact with web storage. Storage isn’t a solution per se, but it’s an important component of any persistent solution. I’m looking forward to working with all the different concepts our customers have to make use of storage.

Where else have you worked?
All sorts of places, but I’ll admit publicly to EMC, Gemalto, and my own little (failed, alas) startup, IC2N. I worked with low-level document imaging.

Where did you go to school?
UC Santa Cruz, BA Mathematics CU Hayward, Master of Science in Computer Science.

What’s your dream job?
Sipping tea in the California redwood forest. However, solutions engineer at Backblaze is a good second choice!

Favorite place you’ve traveled?
Ashland, Oregon, for the Oregon Shakespeare Festival and the marble caves (most caves form from limestone).

Favorite hobby?
Theater. Pathfinder. Writing. Baking cookies and cakes.

Of what achievement are you most proud?
Marrying the most wonderful man in the world.

Star Trek or Star Wars?
Star Trek’s utopian science fiction vision of humanity and science resonates a lot more strongly with me than the dystopian science fantasy of Star Wars.

Coke or Pepsi?
Neither. I’d much rather have a cup of jasmine tea.

Favorite food?
It varies, but I love Indian and Thai cuisine. Truly excellent Italian food is marvelous – wood fired pizza, if I had to pick only one, but the world would be a boring place with a single favorite food.

Why do you like certain things?
If I knew that, I’d be in marketing.

Anything else you’d like you’d like to tell us?
If you haven’t already encountered the amazing authors Patricia McKillip and Lois McMasters Bujold – go encounter them. Be happy.

There’s nothing wrong with a nice cup of tea and a long game of Pathfinder. Sign us up! Welcome to the team Nathan!

The post Welcome Nathan – Our Solutions Engineer appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

Welcome Alex!

Post Syndicated from Yev original https://www.backblaze.com/blog/welcome-alex/

As we sail past 500 Petabytes of data stored, our Operations Department continues to grow. To that end we’ve added a brand new member to our Operations and Engineering teams, Alex! He straddles the line between Ops and Engineering, working on both internal and external systems – making sure they run smoothly. Lets learn a bit more about Alex, shall we?

What is your Backblaze Title?
Operations Engineer.

Where are you originally from?
Chicago, IL.

What attracted you to Backblaze?
The company mission and overall transparency really appealed to me. It was a great opportunity to work in an environment that aligned with my core values.

What do you expect to learn while being at Backblaze?
I expect to learn more about modern cloud technologies and data center deployments.

Where else have you worked?
I worked at a startup called Cleversafe out of college which was later acquired by IBM.

Where did you go to school?
University of Illinois at Urbana-Champaign

What’s your dream job?
NHL general manager.

Favorite place you’ve traveled?
The Cinque Terre. It’s a set of small towns along the Italian Riviera that has great hiking.

Favorite hobby?
Playing hockey.

Of what achievement are you most proud?
Graduating college with two engineering degrees.

Star Trek or Star Wars?
Neither.

Favorite food?
Homemade pizza.

Why do you like certain things?
Life’s too short not to like certain things.

Cinque Terre is definitely one of the most beautiful places on earth, as long as you don’t visit on a foggy day! If you happen to find the perfect NHL job, we’ll understand! Oh, and thanks for bringing Cosmo to the office on occasion! Welcome aboard!

The post Welcome Alex! appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

Preparing for AWS Certificate Manager (ACM) Support of Certificate Transparency

Post Syndicated from Jonathan Kozolchyk original https://aws.amazon.com/blogs/security/how-to-get-ready-for-certificate-transparency/

 

Update from March 27, 2018: On March 27, 2018, we updated ACM APIs so that you can disable Certificate Transparency logging on a per-certificate basis.


Starting April 30, 2018, Google Chrome will require all publicly trusted certificates issued after this date to be logged in at least two Certificate Transparency logs. This means that any certificate issued that is not logged will result in an error message in Google Chrome. Beginning April 24, 2018, Amazon will log all new and renewed certificates in at least two public logs unless you disable Certificate Transparency logging.

Without Certificate Transparency, it can be difficult for a domain owner to know if an unexpected certificate was issued for their domain. Under the current system, no record is kept of certificates being issued, and domain owners do not have a reliable way to identify rogue certificates.

To address this situation, Certificate Transparency creates a cryptographically secure log of each certificate issued. Domain owners can search the log to identify unexpected certificates, whether issued by mistake or malice. Domain owners can also identify Certificate Authorities (CAs) that are improperly issuing certificates. In this blog post, I explain more about Certificate Transparency and tell you how to prepare for it.

How does Certificate Transparency work?

When a CA issues a publicly trusted certificate, the CA must submit the certificate to one or more Certificate Transparency log servers. The Certificate Transparency log server responds with a signed certificate timestamp (SCT) that confirms the log server will add the certificate to the list of known certificates. The SCT is then embedded in the certificate and delivered automatically to a browser. The SCT is like a receipt that proves the certificate was published into the Certificate Transparency log. Starting April 30, Google Chrome will require an SCT as proof that the certificate was published to a Certificate Transparency log in order to trust the certificate without displaying an error message.

What is Amazon doing to support Certificate Transparency?

Certificate Transparency is a good practice. It enables AWS customers to be more confident that an unauthorized certificate hasn’t been issued by a CA. Beginning on April 24, 2018, Amazon will log all new and renewed certificates in at least two Certificate Transparency logs unless you disable Certificate Transparency logging.

We recognize that there can be times when our customers do not want to log certificates. For example, if you are building a website for an unreleased product and have registered the subdomain, newproduct.example.com, requesting a logged certificate for your domain will make it publicly known that the new product is coming. Certificate Transparency logging also can expose server hostnames that you want to keep private. Hostnames such as payments.example.com can reveal the purpose of a server and provide attackers with information about your private network. These logs do not contain the private key for your certificate. For these reasons, on March 27, 2018 we updated ACM APIs so that you can disable Certificate Transparency logging on a per-certificate basis using the ACM APIs or with the AWS CLI. Doing so will lead to errors in Google Chrome, which may be preferable to exposing the information.

Please refer to ACM documentation for specifics on how to opt out of Certificate Transparency logging.

Conclusion

Beginning April 24, 2018, ACM will begin logging all new and renewed certificates by default. If you don’t want a certificate to be logged, you’ll be able to opt out using the AWS API or CLI. However, for Google Chrome to trust the certificate, all issued or imported certificates must have the SCT information embedded in them by April 30, 2018.

If you have comments about this blog post, submit them in the “Comments” section below. If you have questions, start a new thread in the ACM forum.

– Jonathan

Interested in AWS Security news? Follow the AWS Security Blog on Twitter.

Election Security

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2018/02/election_securi_2.html

I joined a letter supporting the Secure Elections Act (S. 2261):

The Secure Elections Act strikes a careful balance between state and federal action to secure American voting systems. The measure authorizes appropriation of grants to the states to take important and time-sensitive actions, including:

  • Replacing insecure paperless voting systems with new equipment that will process a paper ballot;
  • Implementing post-election audits of paper ballots or records to verify electronic tallies;

  • Conducting “cyber hygiene” scans and “risk and vulnerability” assessments and supporting state efforts to remediate identified vulnerabilities.

    The legislation would also create needed transparency and accountability in elections systems by establishing clear protocols for state and federal officials to communicate regarding security breaches and emerging threats.

Backblaze and GDPR

Post Syndicated from Andy Klein original https://www.backblaze.com/blog/gdpr-compliance/

GDPR General Data Protection Regulation

Over the next few months the noise over GDPR will finally reach a crescendo. For the uninitiated, “GDPR” stands for “General Data Protection Regulation” and it goes into effect on May 25th of this year. GDPR is designed to protect how personal information of EU (European Union) citizens is collected, stored, and shared. The regulation should also improve transparency as to how personal information is managed by a business or organization.

Backblaze fully expects to be GDPR compliant when May 25th rolls around and we thought we’d share our experience along the way. We’ll start with this post as an introduction to GDPR. In future posts, we’ll dive into some of the details of the process we went through in meeting the GDPR objectives.

GDPR: A Two Way Street

To ensure we are GDPR compliant, Backblaze has assembled a dedicated internal team, engaged outside counsel in the United Kingdom, and consulted with other tech companies on best practices. While it is a sizable effort on our part, we view this as a waypoint in our ongoing effort to secure and protect our customers’ data and to be transparent in how we work as a company.

In addition to the effort we are putting into complying with the regulation, we think it is important to underscore and promote the idea that data privacy and security is a two-way street. We can spend millions of dollars on protecting the security of our systems, but we can’t stop a bad actor from finding and using your account credentials left on a note stuck to your monitor. We can give our customers tools like two factor authentication and private encryption keys, but it is the partnership with our customers that is the most powerful protection. The same thing goes for your digital privacy — we’ll do our best to protect your information, but we will need your help to do so.

Why GDPR is Important

At the center of GDPR is the protection of Personally Identifiable Information or “PII.” The definition for PII is information that can be used stand-alone or in concert with other information to identify a specific person. This includes obvious data like: name, address, and phone number, less obvious data like email address and IP address, and other data such as a credit card number, and unique identifiers that can be decoded back to the person.

How Will GDPR Affect You as an Individual

If you are a citizen in the EU, GDPR is designed to protect your private information from being used or shared without your permission. Technically, this only applies when your data is collected, processed, stored or shared outside of the EU, but it’s a good practice to hold all of your service providers to the same standard. For example, when you are deciding to sign up with a service, you should be able to quickly access and understand what personal information is being collected, why it is being collected, and what the business can do with that information. These terms are typically found in “Terms and Conditions” and “Privacy Policy” documents, or perhaps in a written contract you signed before starting to use a given service or product.

Even if you are not a citizen of the EU, GDPR will still affect you. Why? Because nearly every company you deal with, especially online, will have customers that live in the EU. It makes little sense for Backblaze, or any other service provider or vendor, to create a separate set of rules for just EU citizens. In practice, protection of private information should be more accountable and transparent with GDPR.

How Will GDPR Affect You as a Backblaze Customer

Over the coming months Backblaze customers will see changes to our current “Terms and Conditions,” “Privacy Policy,” and to our Backblaze services. While the changes to the Backblaze services are expected to be minimal, the “terms and privacy” documents will change significantly. The changes will include among other things the addition of a group of model clauses and related materials. These clauses will be generally consistent across all GDPR compliant vendors and are meant to be easily understood so that a customer can easily determine how their PII is being collected and used.

Common GDPR Questions:

Here are a few of the more common questions we have heard regarding GDPR.

  1. GDPR will only affect citizens in the EU.
    Answer: The changes that are being made by companies such as Backblaze to comply with GDPR will almost certainly apply to customers from all countries. And that’s a good thing. The protections afforded to EU citizens by GDPR are something all users of our service should benefit from.
  2. After May 25, 2018, a citizen of the EU will not be allowed to use any applications or services that store data outside of the EU.
    Answer: False, no one will stop you as an EU citizen from using the internet-based service you choose. But, you should make sure you know where your data is being collected, processed, and stored. If any of those activities occur outside the EU, make sure the company is following the GDPR guidelines.
  3. My business only has a few EU citizens as customers, so I don’t need to care about GDPR?
    Answer: False, even if you have just one EU citizen as a customer, and you capture, process or store data their PII outside of the EU, you need to comply with GDPR.
  4. Companies can be fined millions of dollars for not complying with GDPR.
    Answer:
    True, but: the regulation allows for companies to be fined up to $4 Million dollars or 20% of global revenue (whichever is greater) if they don’t comply with GDPR. In practice, the feeling is that such fines will be reserved (at least initially) for egregious violators that ignore or merely give “lip-service” to GDPR.
  5. You’ll be able to tell a company is GDPR compliant because they have a “GDPR Certified” badge on their website.
    Answer: There is no official GDPR certification or an official GDPR certification program. Companies that comply with GDPR are expected to follow the articles in the regulation and it should be clear from the outside looking in that they have followed the regulations. For example, their “Terms and Conditions,” and “Privacy Policy” should clearly spell out how and why they collect, use, and share your information. At some point a real GDPR certification program may be adopted, but not yet.

For all the hoopla about GDPR, the regulation is reasonably well thought out and addresses a very important issue — people’s privacy online. Creating a best practices document, or in this case a regulation, that companies such as Backblaze can follow is a good idea. The document isn’t perfect, and over the coming years we expect there to be changes. One thing we hope for is that the countries within the EU continue to stand behind one regulation and not fragment the document into multiple versions, each applying to themselves. We believe that having multiple different GDPR versions for different EU countries would lead to less protection overall of EU citizens.

In summary, GDPR changes are coming over the next few months. Backblaze has our internal staff and our EU-based legal council working diligently to ensure that we will be GDPR compliant by May 25th. We believe that GDPR will have a positive effect in enhancing the protection of personally identifiable information for not only EU citizens, but all of our Backblaze customers.

The post Backblaze and GDPR appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

Early Challenges: Making Critical Hires

Post Syndicated from Gleb Budman original https://www.backblaze.com/blog/early-challenges-making-critical-hires/

row of potential employee hires sitting waiting for an interview

In 2009, Google disclosed that they had 400 recruiters on staff working to hire nearly 10,000 people. Someday, that might be your challenge, but most companies in their early days are looking to hire a handful of people — the right people — each year. Assuming you are closer to startup stage than Google stage, let’s look at who you need to hire, when to hire them, where to find them (and how to help them find you), and how to get them to join your company.

Who Should Be Your First Hires

In later stage companies, the roles in the company have been well fleshed out, don’t change often, and each role can be segmented to focus on a specific area. A large company may have an entire department focused on just cubicle layout; at a smaller company you may not have a single person whose actual job encompasses all of facilities. At Backblaze, our CTO has a passion and knack for facilities and mostly led that charge. Also, the needs of a smaller company are quick to change. One of our first hires was a QA person, Sean, who ended up being 100% focused on data center infrastructure. In the early stage, things can shift quite a bit and you need people that are broadly capable, flexible, and most of all willing to pitch in where needed.

That said, there are times you may need an expert. At a previous company we hired Jon, a PhD in Bayesian statistics, because we needed algorithmic analysis for spam fighting. However, even that person was not only able and willing to do the math, but also code, and to not only focus on Bayesian statistics but explore a plethora of spam fighting options.

When To Hire

If you’ve raised a lot of cash and are willing to burn it with mistakes, you can guess at all the roles you might need and start hiring for them. No judgement: that’s a reasonable strategy if you’re cash-rich and time-poor.

If your cash is limited, try to see what you and your team are already doing and then hire people to take those jobs. It may sound counterintuitive, but if you’re already doing it presumably it needs to be done, you have a good sense of the type of skills required to do it, and you can bring someone on-board and get them up to speed quickly. That then frees you up to focus on tasks that can’t be done by someone else. At Backblaze, I ran marketing internally for years before hiring a VP of Marketing, making it easier for me to know what we needed. Once I was hiring, my primary goal was to find someone I could trust to take that role completely off of me so I could focus solely on my CEO duties

Where To Find the Right People

Finding great people is always difficult, particularly when the skillsets you’re looking for are highly in-demand by larger companies with lots of cash and cachet. You, however, have one massive advantage: you need to hire 5 people, not 5,000.

People You Worked With

The absolutely best people to hire are ones you’ve worked with before that you already know are good in a work situation. Consider your last job, the one before, and the one before that. A significant number of the people we recruited at Backblaze came from our previous startup MailFrontier. We knew what they could do and how they would fit into the culture, and they knew us and thus could quickly meld into the environment. If you didn’t have a previous job, consider people you went to school with or perhaps individuals with whom you’ve done projects previously.

People You Know

Hiring friends, family, and others can be risky, but should be considered. Sometimes a friend can be a “great buddy,” but is not able to do the job or isn’t a good fit for the organization. Having to let go of someone who is a friend or family member can be rough. Have the conversation up front with them about that possibility, so you have the ability to stay friends if the position doesn’t work out. Having said that, if you get along with someone as a friend, that’s one critical component of succeeding together at work. At Backblaze we’ve hired a number of people successfully that were friends of someone in the organization.

Friends Of People You Know

Your network is likely larger than you imagine. Your employees, investors, advisors, spouses, friends, and other folks all know people who might be a great fit for you. Make sure they know the roles you’re hiring for and ask them if they know anyone that would fit. Search LinkedIn for the titles you’re looking for and see who comes up; if they’re a 2nd degree connection, ask your connection for an introduction.

People You Know About

Sometimes the person you want isn’t someone anyone knows, but you may have read something they wrote, used a product they’ve built, or seen a video of a presentation they gave. Reach out. You may get a great hire: worst case, you’ll let them know they were appreciated, and make them aware of your organization.

Other Places to Find People

There are a million other places to find people, including job sites, community groups, Facebook/Twitter, GitHub, and more. Consider where the people you’re looking for are likely to congregate online and in person.

A Comment on Diversity

Hiring “People You Know” can often result in “Hiring People Like You” with the same workplace experiences, culture, background, and perceptions. Some studies have shown [1, 2, 3, 4] that homogeneous groups deliver faster, while heterogeneous groups are more creative. Also, “Hiring People Like You” often propagates the lack of women and minorities in tech and leadership positions in general. When looking for people you know, keep an eye to not discount people you know who don’t have the same cultural background as you.

Helping People To Find You

Reaching out proactively to people is the most direct way to find someone, but you want potential hires coming to you as well. To do this, they have to a) be aware of you, b) know you have a role they’re interested in, and c) think they would want to work there. Let’s tackle a) and b) first below.

Your Blog

I started writing our blog before we launched the product and talked about anything I found interesting related to our space. For several years now our team has owned the content on the blog and in 2017 over 1.5 million people read it. Each time we have a position open it’s published to the blog. If someone finds reading about backup and storage interesting, perhaps they’d want to dig in deeper from the inside. Many of the people we’ve recruited have mentioned reading the blog as either how they found us or as a factor in why they wanted to work here.
[BTW, this is Gleb’s 200th post on Backblaze’s blog. The first was in 2008. — Editor]

Your Email List

In addition to the emails our blog subscribers receive, we send regular emails to our customers, partners, and prospects. These are largely focused on content we think is directly useful or interesting for them. However, once every few months we include a small mention that we’re hiring, and the positions we’re looking for. Often a small blurb is all you need to capture people’s imaginations whether they might find the jobs interesting or can think of someone that might fit the bill.

Your Social Involvement

Whether it’s Twitter or Facebook, Hacker News or Slashdot, your potential hires are engaging in various communities. Being socially involved helps make people aware of you, reminds them of you when they’re considering a job, and paints a picture of what working with you and your company would be like. Adam was in a Reddit thread where we were discussing our Storage Pods, and that interaction was ultimately part of the reason he left Apple to come to Backblaze.

Convincing People To Join

Once you’ve found someone or they’ve found you, how do you convince them to join? They may be currently employed, have other offers, or have to relocate. Again, while the biggest companies have a number of advantages, you might have more unique advantages than you realize.

Why Should They Join You

Here are a set of items that you may be able to offer which larger organizations might not:

Role: Consider the strengths of the role. Perhaps it will have broader scope? More visibility at the executive level? No micromanagement? Ability to take risks? Option to create their own role?

Compensation: In addition to salary, will their options potentially be worth more since they’re getting in early? Can they trade-off salary for more options? Do they get option refreshes?

Benefits: In addition to healthcare, food, and 401(k) plans, are there unique benefits of your company? One company I knew took the entire team for a one-month working retreat abroad each year.

Location: Most people prefer to work close to home. If you’re located outside of the San Francisco Bay Area, you might be at a disadvantage for not being in the heart of tech. But if you find employees close to you you’ve got a huge advantage. Sometimes it’s micro; even in the Bay Area the difference of 5 miles can save 20 minutes each way every day. We located the Backblaze headquarters in San Mateo, a middle-ground that made it accessible to those coming from San Jose and San Francisco. We also chose a downtown location near a train, restaurants, and cafes: all to make it easier and more pleasant. Also, are you flexible in letting your employees work remotely? Our systems administrator Elliott is about to embark on a long-term cross-country journey working from an RV.

Environment: Open office, cubicle, cafe, work-from-home? Loud/quiet? Social or focused? 24×7 or work-life balance? Different environments appeal to different people.

Team: Who will they be working with? A company with 100,000 people might have 100 brilliant ones you’d want to work with, but ultimately we work with our core team. Who will your prospective hires be working with?

Market: Some people are passionate about gaming, others biotech, still others food. The market you’re targeting will get different people excited.

Product: Have an amazing product people love? Highlight that. If you’re lucky, your potential hire is already a fan.

Mission: Curing cancer, making people happy, and other company missions inspire people to strive to be part of the journey. Our mission is to make storing data astonishingly easy and low-cost. If you care about data, information, knowledge, and progress, our mission helps drive all of them.

Culture: I left this for last, but believe it’s the most important. What is the culture of your company? Finding people who want to work in the culture of your organization is critical. If they like the culture, they’ll fit and continue it. We’ve worked hard to build a culture that’s collaborative, friendly, supportive, and open; one in which people like coming to work. For example, the five founders started with (and still have) the same compensation and equity. That started a culture of “we’re all in this together.” Build a culture that will attract the people you want, and convey what the culture is.

Writing The Job Description

Most job descriptions focus on the all the requirements the candidate must meet. While important to communicate, the job description should first sell the job. Why would the appropriate candidate want the job? Then share some of the requirements you think are critical. Remember that people read not just what you say but how you say it. Try to write in a way that conveys what it is like to actually be at the company. Ahin, our VP of Marketing, said the job description itself was one of the things that attracted him to the company.

Orchestrating Interviews

Much can be said about interviewing well. I’m just going to say this: make sure that everyone who is interviewing knows that their job is not only to evaluate the candidate, but give them a sense of the culture, and sell them on the company. At Backblaze, we often have one person interview core prospects solely for company/culture fit.

Onboarding

Hiring success shouldn’t be defined by finding and hiring the right person, but instead by the right person being successful and happy within the organization. Ensure someone (usually their manager) provides them guidance on what they should be concentrating on doing during their first day, first week, and thereafter. Giving new employees opportunities and guidance so that they can achieve early wins and feel socially integrated into the company does wonders for bringing people on board smoothly

In Closing

Our Director of Production Systems, Chris, said to me the other day that he looks for companies where he can work on “interesting problems with nice people.” I’m hoping you’ll find your own version of that and find this post useful in looking for your early and critical hires.

Of course, I’d be remiss if I didn’t say, if you know of anyone looking for a place with “interesting problems with nice people,” Backblaze is hiring. 😉

The post Early Challenges: Making Critical Hires appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

Blame privacy activists for the Memo??

Post Syndicated from Robert Graham original http://blog.erratasec.com/2018/02/blame-privacy-activists-for-memo.html

Former FBI agent Asha Rangappa @AshaRangappa_ has a smart post debunking the Nunes Memo, then takes it all back again with an op-ed on the NYTimes blaming us privacy activists. She presents an obviously false narrative that the FBI and FISA courts are above suspicion.

I know from first hand experience the FBI is corrupt. In 2007, they threatened me, trying to get me to cancel a talk that revealed security vulnerabilities in a large corporation’s product. Such abuses occur because there is no transparency and oversight. FBI agents write down our conversation in their little notebooks instead of recording it, so that they can control the narrative of what happened, presenting their version of the converstion (leaving out the threats). In this day and age of recording devices, this is indefensible.

She writes “I know firsthand that it’s difficult to get a FISA warrant“. Yes, the process was difficult for her, an underling, to get a FISA warrant. The process is different when a leader tries to do the same thing.

I know this first hand having casually worked as an outsider with intelligence agencies. I saw two processes in place: one for the flunkies, and one for those above the system. The flunkies constantly complained about how there is too many process in place oppressing them, preventing them from getting their jobs done. The leaders understood the system and how to sidestep those processes.

That’s not to say the Nunes Memo has merit, but it does point out that privacy advocates have a point in wanting more oversight and transparency in such surveillance of American citizens.

Blaming us privacy advocates isn’t the way to go. It’s not going to succeed in tarnishing us, but will push us more into Trump’s camp, causing us to reiterate that we believe the FBI and FISA are corrupt.

Huang: Spectre/Meltdown Pits Transparency Against Liability

Post Syndicated from corbet original https://lwn.net/Articles/746111/rss

Here’s a blog post
from “bunnie” Huang
on the tension between transparency and product
liability around hardware flaws. “The open source community could
use the Spectre/Meltdown crisis as an opportunity to reform the status
quo. Instead of suing Intel for money, what if we sue Intel for
documentation? If documentation and transparency have real value, then this
is a chance to finally put that value in economic terms that Intel
shareholders can understand. I propose a bargain somewhere along these
lines: if Intel releases comprehensive microarchitectural hardware design
specifications, microcode, firmware, and all software source code (e.g. for
AMT/ME) so that the community can band together to hammer out any other
security bugs hiding in their hardware, then Intel is absolved of any
payouts related to the Spectre/Meltdown exploits.

Early Challenges: Managing Cash Flow

Post Syndicated from Gleb Budman original https://www.backblaze.com/blog/managing-cash-flow/

Cash flow projection charts

This post by Backblaze’s CEO and co-founder Gleb Budman is the eighth in a series about entrepreneurship. You can choose posts in the series from the list below:

  1. How Backblaze got Started: The Problem, The Solution, and the Stuff In-Between
  2. Building a Competitive Moat: Turning Challenges Into Advantages
  3. From Idea to Launch: Getting Your First Customers
  4. How to Get Your First 1,000 Customers
  5. Surviving Your First Year
  6. How to Compete with Giants
  7. The Decision on Transparency
  8. Early Challenges: Managing Cash Flow

Use the Join button above to receive notification of new posts in this series.

Running out of cash is one of the quickest ways for a startup to go out of business. When you are starting a company the question of where to get cash is usually the top priority, but managing cash flow is critical for every stage in the lifecycle of a company. As a primarily bootstrapped but capital-intensive business, managing cash flow at Backblaze was and still is a key element of our success and requires continued focus. Let’s look at what we learned over the years.

Raising Your Initial Funding

When starting a tech business in Silicon Valley, the default assumption is that you will immediately try to raise venture funding. There are certainly many advantages to raising funding — not the least of which is that you don’t need to be cash-flow positive since you have cash in the bank and the expectation is that you will have a “burn rate,” i.e. you’ll be spending more than you make.

Note: While you’re not expected to be cash-flow positive, that doesn’t mean you don’t have to worry about cash. Cash-flow management will determine your burn rate. Whether you can get to cash-flow breakeven or need to raise another round of funding is a direct byproduct of your cash flow management.

Also, raising funding takes time (most successful fundraising cycles take 3-6 months start-to-finish), and time at a startup is in short supply. Constantly trying to raise funding can take away from product development and pursuing growth opportunities. If you’re not successful in raising funding, you then have to either shut down or find an alternate method of funding the business.

Sources of Funding

Depending on the stage of the company, type of company, and other factors, you may have access to different sources of funding. Let’s list a number of them:

Customers

Sales — the best kind of funding. It is non-dilutive, doesn’t have to be paid back, and is a direct metric of the success of your company.

Pre-Sales — some customers may be willing to pay you for a product in beta, a test, or pre-pay for a product they’ll receive when finished. Pre-Sales income also is great because it shares the characteristics of cash from sales, but you get the cash early. It also can be a good sign that the product you’re building fills a market need. We started charging for Backblaze computer backup while it was still in private beta, which allowed us to not only collect cash from customers, but also test the billing experience and users’ real desire for the service.

Services — if you’re a service company and customers are paying you for that, great. You can effectively scale for the number of hours available in a day. As demand grows, you can add more employees to increase the total number of billable hours.

Note: If you’re a product company and customers are paying you to consult, that can provide much needed cash, and could provide feedback toward the right product. However, it can also distract from your core business, send you down a path where you’re building a product for a single customer, and addict you to a path that prevents you from building a scalable business.

Investors

Yourself — you likely are putting your time into the business, and deferring salary in the process. You may also put your own cash into the business either as an investment or a loan.

Angels — angels are ideal as early investors since they are used to investing in businesses with little to no traction. AngelList is a good place to find them, though finding people you’re connected with through someone that knows you well is best.

Crowdfunding — a component of the JOBS Act permitted entrepreneurs to raise money from nearly anyone since May 2016. The SEC imposes limits on both investors and the companies. This article goes into some depth on the options and sites available.

VCs — VCs are ideal for companies that need to raise at least a few million dollars and intend to build a business that will be worth over $1 billion.

Debt

Friends & Family — F&F are often the first people to give you money because they are investing in you. It’s great to have some early supporters, but it also can be risky to take money from people who aren’t used to the risks. The key advice here is to only take money from people who won’t mind losing it. If someone is talking about using their children’s college funds or borrowing from their 401k, say ‘no thank you’ — even if they’re sure they want to loan you money.

Bank Loans — a variety of loan types exist, but most either require the company to have been operational for a couple years, be able to borrow against money the company has or is making, or be able to get a personal guarantee from the founders whereby their own credit is on the line. Fundera provides a good overview of loan options and can help secure some, but most will not be an option for a brand new startup.

Grants

Government — in some areas there is the potential for government grants to facilitate research. The SBIR program facilitates some such grants.

At Backblaze, we used a number of these options:

• Investors/Yourself
We loaned a cumulative total of a couple hundred thousand dollars to the company and invested our time by going without a salary for a year and a half.
• Customers/Pre-Sales
We started selling the Backblaze service while it was still in beta.
• Customers/Sales
We launched v1.0 and kept selling.
• Investors/Angels
After a year and a half, we raised $370k from 11 angels. All of them were either people whom we knew personally or were a strong recommendation from a mutual friend.
• Debt/Loans
After a couple years we were able to get equipment leases whereby the Storage Pods and hard drives were used as collateral to secure the lease on them.
• Investors/VCs
Ater five years we raised $5m from TMT Investments to add to the balance sheet and invest in growth.

The variety and quantity of sources we used is by no means uncommon.

GAAP vs. Cash

Most companies start tracking financials based on cash, and as they scale they switch to GAAP (Generally Accepted Accounting Principles). Cash is easier to track — we got paid $XXXX and spent $YYY — and as often mentioned, is required for the business to stay alive. GAAP has more subtlety and complexity, but provides a clearer picture of how the business is really doing. Backblaze was on a ‘cash’ system for the first few years, then switched to GAAP. For this post, I’m going to focus on things that help cash flow, not GAAP profitability.

Stages of Cash Flow Management

All-spend

In a pure service business (e.g. solo proprietor law firm), you may have no expenses other than your time, so this stage doesn’t exist. However, in a product business there is a period of time where you are building the product and have nothing to sell. You have zero cash coming in, but have cash going out. Your cash-flow is completely negative and you need funds to cover that.

Sales-generating

Starting to see cash come in from customers is thrilling. I initially had our system set up to email me with every $5 payment we received. You’re making sales, but not covering expenses.

Ramen-profitable

But it takes a lot of $5 payments to pay for servers and salaries, so for a while expenses are likely to outstrip sales. Getting to ramen-profitable is a critical stage where sales cover the business expenses and are “paying enough for the founders to eat ramen.” This extends the runway for a business, but is not completely sustainable, since presumably the founders can’t (or won’t) live forever on a subsistence salary.

Business-profitable

This is the ultimate stage whereby the business is truly profitable, including paying everyone market-rate salaries. A business at this stage is self-sustaining. (Of course, market shifts and plenty of other challenges can kill the business, but cash-flow issues alone will not.)

Note, I’m using the word ‘profitable’ here to mean this is still on a cash-basis.

Backblaze was in the all-spend stage for just over a year, during which time we built the service and hadn’t yet made the service available to customers. Backblaze was in the sales-generating stage for nearly another year before the company was barely ramen-profitable where sales were covering the company expenses and paying the founders minimum wage. (I say ‘barely’ since minimum wage in the SF Bay Area is arguably never subsistence.) It took almost three more years before the company was business-profitable, paying everyone including the founders market-rate.

Cash Flow Forecasting

When raising funding it’s helpful to think of milestones reached. You don’t necessarily need enough cash on day one to last for the next 100 years of the company. Some good milestones to consider are how much cash you need to prove there is a market need, prove you can build a product to meet that need, or get to ramen-profitable.

Two things to consider:

1) Unit Economics (COGS)

If your product is 100% software, this may not be relevant. Once software is built it costs effectively nothing to deliver the product to one customer or one million customers. However, in most businesses there is some incremental cost to provide the product. If you’re selling a hardware device, perhaps you sell it for $100 but it costs you $50 to make it. This is called “COGS” (Cost of Goods Sold).

Many products rely on cloud services where the costs scale with growth. That model works great, but it’s still important to understand what the costs are for the cloud service you use per unit of product you sell.

Support is often done by the founders early-on in a business, but that is another real cost to factor in and estimate on a per-user basis. Taking all of the per unit costs combined, you may charge $10/month/user for your service, but if it costs you $7/month/user in cloud services, you’re only netting $3/month/user.

2) Operating Expenses (OpEx)

These are expenses that don’t scale with the number of product units you sell. Typically this includes research & development, sales & marketing, and general & administrative expenses. Presumably there is a certain level of these functions required to build the product, market it, sell it, and run the organization. You can choose to invest or cut back on these, but you’ll still make the same amount per product unit.

Incremental Net Profit Per Unit

If you’ve calculated your COGS and your unit economics are “upside down,” where the amount you charge is less than that it costs you to provide your service, it’s worth thinking hard about how that’s going to change over time. If it will not change, there is no scale that will make the business work. Presuming you do make money on each unit of product you sell — what is sometimes referred to as “Contribution Margin” — consider how many of those product units you need to sell to cover your operating expenses as described above.

Calculating Your Profit

The math on getting to ramen-profitable is simple:

(Number of Product Units Sold x Contribution Margin) - Operating Expenses = Profit

If your operating expenses include subsistence salaries for the founders and profit > $0, you’re ramen-profitable.

Improving Cash Flow

Having access to sources of cash, whether from selling to customers or other methods, is excellent. But needing less cash gives you more choices and allows you to either dilute less, owe less, or invest more.

There are two ways to improve cash flow:

1) Collect More Cash

The best way to collect more cash is to provide more value to your customers and as a result have them pay you more. Additional features/products/services can allow this. However, you can also collect more cash by changing how you charge for your product. If you have a subscription, changing from charging monthly to yearly dramatically improves your cash flow. If you have a product that customers use up, selling a year’s supply instead of selling them one-by-one can help.

2) Spend Less Cash

Reducing COGS is a fantastic way to spend less cash in a scalable way. If you can do this without harming the product or customer experience, you win. There are a myriad of ways to also reduce operating expenses, including taking sub-market salaries, using your home instead of renting office space, staying focused on your core product, etc.

Ultimately, collecting more and spending less cash dramatically simplifies the process of getting to ramen-profitable and later to business-profitable.

Be Careful (Why GAAP Matters)

A word of caution: while running out of cash will put you out of business immediately, overextending yourself will likely put you out of business not much later. GAAP shows how a business is really doing; cash doesn’t. If you only focus on cash, it is possible to commit yourself to both delivering products and repaying loans in the future in an unsustainable fashion. If you’re taking out loans, watch the total balance and monthly payments you’re committing to. If you’re asking customers for pre-payment, make sure you believe you can deliver on what they’ve paid for.

Summary

There are numerous challenges to building a business, and ensuring you have enough cash is amongst the most important. Having the cash to keep going lets you keep working on all of the other challenges. The frameworks above were critical for maintaining Backblaze’s cash flow and cash balance. Hopefully you can take some of the lessons we learned and apply them to your business. Let us know what works for you in the comments below.

The post Early Challenges: Managing Cash Flow appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

New White House Announcement on the Vulnerability Equities Process

Post Syndicated from Bruce Schneier original https://www.schneier.com/blog/archives/2017/11/new_white_house_1.html

The White House has released a new version of the Vulnerabilities Equities Process (VEP). This is the inter-agency process by which the US government decides whether to inform the software vendor of a vulnerability it finds, or keep it secret and use it to eavesdrop on or attack other systems. You can read the new policy or the fact sheet, but the best place to start is Cybersecurity Coordinator Rob Joyce’s blog post.

In considering a way forward, there are some key tenets on which we can build a better process.

Improved transparency is critical. The American people should have confidence in the integrity of the process that underpins decision making about discovered vulnerabilities. Since I took my post as Cybersecurity Coordinator, improving the VEP and ensuring its transparency have been key priorities, and we have spent the last few months reviewing our existing policy in order to improve the process and make key details about the VEP available to the public. Through these efforts, we have validated much of the existing process and ensured a rigorous standard that considers many potential equities.

The interests of all stakeholders must be fairly represented. At a high level we consider four major groups of equities: defensive equities; intelligence / law enforcement / operational equities; commercial equities; and international partnership equities. Additionally, ordinary people want to know the systems they use are resilient, safe, and sound. These core considerations, which have been incorporated into the VEP Charter, help to standardize the process by which decision makers weigh the benefit to national security and the national interest when deciding whether to disclose or restrict knowledge of a vulnerability.

Accountability of the process and those who operate it is important to establish confidence in those served by it. Our public release of the unclassified portions Charter will shed light on aspects of the VEP that were previously shielded from public review, including who participates in the VEP’s governing body, known as the Equities Review Board. We make it clear that departments and agencies with protective missions participate in VEP discussions, as well as other departments and agencies that have broader equities, like the Department of State and the Department of Commerce. We also clarify what categories of vulnerabilities are submitted to the process and ensure that any decision not to disclose a vulnerability will be reevaluated regularly. There are still important reasons to keep many of the specific vulnerabilities evaluated in the process classified, but we will release an annual report that provides metrics about the process to further inform the public about the VEP and its outcomes.

Our system of government depends on informed and vigorous dialogue to discover and make available the best ideas that our diverse society can generate. This publication of the VEP Charter will likely spark discussion and debate. This discourse is important. I also predict that articles will make breathless claims of “massive stockpiles” of exploits while describing the issue. That simply isn’t true. The annual reports and transparency of this effort will reinforce that fact.

Mozilla is pleased with the new charter. I am less so; it looks to me like the same old policy with some new transparency measures — which I’m not sure I trust. The devil is in the details, and we don’t know the details — and it has giant loopholes that pretty much anything can fall through:

The United States Government’s decision to disclose or restrict vulnerability information could be subject to restrictions by partner agreements and sensitive operations. Vulnerabilities that fall within these categories will be cataloged by the originating Department/Agency internally and reported directly to the Chair of the ERB. The details of these categories are outlined in Annex C, which is classified. Quantities of excepted vulnerabilities from each department and agency will be provided in ERB meetings to all members.

This is me from last June:

There’s a lot we don’t know about the VEP. The Washington Post says that the NSA used EternalBlue “for more than five years,” which implies that it was discovered after the 2010 process was put in place. It’s not clear if all vulnerabilities are given such consideration, or if bugs are periodically reviewed to determine if they should be disclosed. That said, any VEP that allows something as dangerous as EternalBlue — or the Cisco vulnerabilities that the Shadow Brokers leaked last August — to remain unpatched for years isn’t serving national security very well. As a former NSA employee said, the quality of intelligence that could be gathered was “unreal.” But so was the potential damage. The NSA must avoid hoarding vulnerabilities.

I stand by that, and am not sure the new policy changes anything.

More commentary.

Here’s more about the Windows vulnerabilities hoarded by the NSA and released by the Shadow Brokers.

EDITED TO ADD (11/18): More news.

EDITED TO ADD (11/22): Adam Shostack points out that the process does not cover design flaws or trade-offs, and that those need to be covered:

…we need the VEP to expand to cover those issues. I’m not going to claim that will be easy, that the current approach will translate, or that they should have waited to handle those before publishing. One obvious place it gets harder is the sources and methods tradeoff. But we need the internet to be a resilient and trustworthy infrastructure.

The Decision on Transparency

Post Syndicated from Gleb Budman original https://www.backblaze.com/blog/transparency-in-business/

Backblaze transparency

This post by Backblaze’s CEO and co-founder Gleb Budman is the seventh in a series about entrepreneurship. You can choose posts in the series from the list below:

  1. How Backblaze got Started: The Problem, The Solution, and the Stuff In-Between
  2. Building a Competitive Moat: Turning Challenges Into Advantages
  3. From Idea to Launch: Getting Your First Customers
  4. How to Get Your First 1,000 Customers
  5. Surviving Your First Year
  6. How to Compete with Giants
  7. The Decision on Transparency

Use the Join button above to receive notification of new posts in this series.

“Are you crazy?” “Why would you do that?!” “You shouldn’t share that!”

These are just a few of the common questions and comments we heard after posting some of the information we have shared over the years. So was it crazy? Misguided? Should you do it?

With that background I’d like to dig into the decision to become so transparent, from releasing stats on hard drive failures, to storage pod specs, to publishing our cloud storage costs, and open sourcing the Reed-Solomon code. What was the thought process behind becoming so transparent when most companies work so hard to hide their inner workings, especially information such as the Storage Pod specs that would normally be considered a proprietary advantage? Most importantly I’d like to explore the positives and negatives of being so transparent.

Sharing Intellectual Property

The first “transparency” that garnered a flurry of “why would you share that?!” came as a result of us deciding to open source our Storage Pod design: publishing the specs, parts, prices, and how to build it yourself. The Storage Pod was a key component of our infrastructure, gave us a cost (and thus competitive) advantage, took significant effort to develop, and had a fair bit of intellectual property: the “IP.”

The negatives of sharing this are obvious: it allows our competitors to use the design to reduce our cost advantage, and it gives away the IP, which could be patentable or have value as a trade secret.

The positives were certainly less obvious, and at the time we couldn’t have guessed how massive they would be.

We wrestled with the decision: prospective users and others online didn’t believe we could offer our service for such a low price, thinking that we would burn through some cash hoard and then go out of business. We wanted to reassure them, but how?

This is how our response evolved:

We’ve built a lower cost storage platform.
But why would anyone believe us?
Because, we’ve designed our own servers and they’re less expensive.
But why would anyone believe they were so low cost and efficient?
Because here’s how much they cost versus others.
But why would anyone believe they cost that little and still enabled us to efficiently store data?
Because here are all the components they’re made of, this is how to build them, and this is how they work.
Ok, you can’t argue with that.

Great — so that would reassure people. But should we do this? Is it worth it?

This was 2009, we were a tiny company of seven people working from our co-founder’s one-bedroom apartment. We decided that the risk of not having potential customers trust us was more impactful than the risk of our competitors possibly deciding to use our server architecture. The former might kill the company in short order; the latter might make it harder for us to compete in the future. Moreover, we figured that most competitors were established on their own platforms and were unlikely to switch to ours, even if it were better.

Takeaway: Build your brand today. There are no assurances you will make it to tomorrow if you can’t make people believe in you today.

A Sharing Success Story — The Backblaze Storage Pod

So with that, we decided to publish everything about the Storage Pod. As for deciding to actually open source it? That was a ‘thank you’ to the open source community upon whose shoulders we stood as we used software such as Linux, Tomcat, etc.

With eight years of hindsight, here’s what happened:

As best as I can tell, none of our direct competitors ever used our Storage Pod design, opting instead to continue paying more for commercial solutions.

  • Hundreds of press articles have been written about Backblaze as a direct result of sharing the Storage Pod design.
  • Millions of people have read press articles or our blog posts about the Storage Pods.
  • Backblaze was established as a storage tech thought leader, and a resource for those looking for information in the space.
  • Our blog became viewed as a resource, not a corporate mouthpiece.
  • Recruiting has been made easier through the awareness of Backblaze, the appreciation for us taking on challenging tech problems in interesting ways, and for our openness.
  • Sourcing for our Storage Pods has become easier because we can point potential vendors to our blog posts and say, “here’s what we need.”

And those are just the direct benefits for us. One of the things that warms my heart is that doing this has helped others:

  • Several companies have started selling servers based on our Storage Pod designs.
  • Netflix credits Backblaze with being the inspiration behind their CDN servers.
  • Many schools, labs, and others have shared that they’ve been able to do what they didn’t think was possible because using our Storage Pod designs provided lower-cost storage.
  • And I want to believe that in general we pushed forward the development of low-cost storage servers in the industry.

So overall, the decision on being transparent and sharing our Storage Pod designs was a clear win.

Takeaway: Never underestimate the value of goodwill. It can help build new markets that fuel your future growth and create new ecosystems.

Sharing An “Almost Acquisition”

Acquisition announcements are par for the course. No company, however, talks about the acquisition that fell through. If rumors appear in the press, the company’s response is always, “no comment.” But in 2010, when Backblaze was almost, but not acquired, we wrote about it in detail. Crazy?

The negatives of sharing this are slightly less obvious, but the two issues most people worried about were, 1) the fact that the company could be acquired would spook customers, and 2) the fact that it wasn’t would signal to potential acquirers that something was wrong.

So, why share this at all? No one was asking “did you almost get acquired?”

First, we had established a culture of transparency and this was a significant event that occurred for us, thus we defaulted to assuming we would share. Second, we learned that acquisitions fall through all the time, not just during the early fishing stage, but even after term sheets are signed, diligence is done, and all the paperwork is complete. I felt we had learned some things about the process that would be valuable to others that were going through it.

As it turned out, we received emails from startup founders saying they saved the post for the future, and from lawyers, VCs, and advisors saying they shared them with their portfolio companies. Among the most touching emails I received was from a founder who said that after an acquisition fell through she felt so alone that she became incredibly depressed, and that reading our post helped her see that this happens and that things could be OK after. Being transparent about almost getting acquired was worth it just to help that one founder.

And what about the concerns? As for spooking customers, maybe some were — but our sign-ups went up, not down, afterward. Any company can be acquired, and many of the world’s largest have been. That we were being both thoughtful about where to go with it, and open about it, I believe gave customers a sense that we would do the right thing if it happened. And as for signaling to potential acquirers? The ones I’ve spoken with all knew this happens regularly enough that it’s not a factor.

Takeaway: Being open and transparent is also a form of giving back to others.

Sharing Strategic Data

For years people have been desperate to know how reliable are hard drives. They could go to Amazon for individual reviews, but someone saying “this drive died for me” doesn’t provide statistical insight. Google published a study that showed annualized drive failure rates, but didn’t break down the results by manufacturer or model. Since Backblaze has deployed about 100,000 hard drives to store customer data, we have been able to collect a wealth of data on the reliability of the drives by make, model, and size. Was Backblaze the only one with this data? Of course not — Google, Amazon, Microsoft, and any other cloud-scale storage provider tracked it. Yet none would publish. Should Backblaze?

Again, starting with the main negatives: 1) sharing which drives we liked could increase demand for them, thus reducing availability or increasing prices, and 2) publishing the data might make the drive vendors unhappy with us, thereby making it difficult for us to buy drives.

But we felt that the largest drive purchasers (Amazon, Google, etc.) already had their own stats and would buy the drives they chose, and if individuals or smaller companies used our stats, they wouldn’t sufficiently move the overall market demand. Also, we hoped that the drive companies would see that we were being fair in our analysis and, if anything, would leverage our data to make drives even better.

Again, publishing the data resulted in tremendous value for Backblaze, with millions of people having read the analysis that we put out quarterly. Also, becoming known as the place to go for drive reliability information is a natural fit with being a backup and storage provider. In addition, in a twist from many people’s expectations, some of the drive companies actually started working closer with us, seeing that we could be a good source of data for them as feedback. We’ve also seen many individuals and companies make more data-based decisions on which drives to buy, and researchers have used the data for a variety of analyses.

traffic spike from hard drive reliability post

Backblaze blog analytics showing spike in readership after a hard drive stats post

Takeaway: Being open and transparent is rarely as risky as it seems.

Sharing Revenue (And Other Metrics)

Journalists always want to publish company revenue and other metrics, and private companies always shy away from sharing. For a long time we did, too. Then, we opened up about that, as well.

The negatives of sharing these numbers are: 1) external parties may otherwise perceive you’re doing better than you are, 2) if you share numbers often, you may show that growth has slowed or worse, 3) it gives your competitors info to compare their own business too.

We decided that, while some may have perceived we were bigger, our scale was plenty significant. Since we choose what we share and when, it’s up to us whether to disclose at any point. And if our competitors compare, what will they actually change that would affect us?

I did wait to share revenue until I felt I had the right person to write about it. At one point a journalist said she wouldn’t write about us unless I disclosed revenue. I suggested we had a lot to offer for the story, but didn’t want to share revenue yet. She refused to budge and I walked away from the article. Several year later, I reached out to a journalist who had covered Backblaze before and I felt understood our business and offered to share revenue with him. He wrote a deep-dive about the company, with revenue being one of the components of the story.

Sharing these metrics showed that we were at scale and running a real business, one with positive unit economics and margins, but not one where we were gouging customers.

Takeaway: Being open with the press about items typically not shared can be uncomfortable, but the press can amplify your story.

Should You Share?

For Backblaze, I believe the results of transparency have been staggering. However, it’s not for everyone. Apple has, clearly, been wildly successful taking secrecy to the extreme. In their case, early disclosure combined with the long cycle of hardware releases could significantly impact sales of current products.

“For Backblaze, I believe the results of transparency have been staggering.” — Gleb Budman

I will argue, however, that for most startups transparency wins. Most startups need to establish credibility and trust, build awareness and a fan base, show that they understand what their customers need and be useful to them, and show the soul and passion behind the company. Some startup companies try to buy these virtues with investor money, and sometimes amplifying your brand via paid marketing helps. But, authentic transparency can build awareness and trust not only less expensively, but more deeply than money can buy.

Backblaze was open from the beginning. With no outside investors, as founders we were able to express ourselves and make our decisions. And it’s easier to be a company that shares if you do it from the start, but for any company, here are a few suggestions:

  1. Ask about sharing: If something significant happens — good or bad — ask “should we share this?” If you made a tough decision, ask “should we share the thinking behind the decision and why it was tough?”
  2. Default to yes: It’s often scary to share, but look for the reasons to say ‘yes,’ not the reasons to say ‘no.’ That doesn’t mean you won’t sometimes decide not to, but make that the high bar.
  3. Minimize reviews: Press releases tend to be sanitized and boring because they’ve been endlessly wordsmithed by committee. Establish the few things you don’t want shared, but minimize the number of people that have to see anything else before it can go out. Teach, then trust.
  4. Engage: Sharing will result in comments on your blog, social, articles, etc. Reply to people’s questions and engage. It’ll make the readers more engaged and give you a better understanding of what they’re looking for.
  5. Accept mistakes: Things will become public that aren’t perfectly sanitized. Accept that and don’t punish people for oversharing.

Building a culture of a company that is open to sharing takes time, but continuous practice will build that, and over time the company will navigate its voice and approach to sharing.

The post The Decision on Transparency appeared first on Backblaze Blog | Cloud Storage & Cloud Backup.

Greater Transparency into Actions AWS Services Perform on Your Behalf by Using AWS CloudTrail

Post Syndicated from Ujjwal Pugalia original https://aws.amazon.com/blogs/security/get-greater-transparency-into-actions-aws-services-perform-on-your-behalf-by-using-aws-cloudtrail/

To make managing your AWS account easier, some AWS services perform actions on your behalf, including the creation and management of AWS resources. For example, AWS Elastic Beanstalk automatically handles the deployment details of capacity provisioning, load balancing, auto-scaling, and application health monitoring. To make these AWS actions more transparent, AWS adds an AWS Identity and Access Management (IAM) service-linked roles to your account for each linked service you use. Service-linked roles let you view all actions an AWS service performs on your behalf by using AWS CloudTrail logs. This helps you monitor and audit the actions AWS services perform on your behalf. No additional actions are required from you and you can continue using AWS services the way you do today.

To learn more about which AWS services use service-linked roles and log actions on your behalf to CloudTrail, see AWS Services That Work with IAM. Over time, more AWS services will support service-linked roles. For more information about service-linked roles, see Role Terms and Concepts.

In this blog post, I demonstrate how to view CloudTrail logs so that you can more easily monitor and audit AWS services performing actions on your behalf. First, I show how AWS creates a service-linked role in your account automatically when you configure an AWS service that supports service-linked roles. Next, I show how you can view the policies of a service-linked role that grants an AWS service permission to perform actions on your behalf. Finally, I  use the configured AWS service to perform an action and show you how the action appears in your CloudTrail logs.

How AWS creates a service-linked role in your account automatically

I will use Amazon Lex as the AWS service that performs actions on your behalf for this post. You can use Amazon Lex to create chatbots that allow for highly engaging conversational experiences through voice and text. You also can use chatbots on mobile devices, web browsers, and popular chat platform channels such as Slack. Amazon Lex uses Amazon Polly on your behalf to synthesize speech that sounds like a human voice.

Amazon Lex uses two IAM service-linked roles:

  • AWSServiceRoleForLexBots — Amazon Lex uses this service-linked role to invoke Amazon Polly to synthesize speech responses for your chatbot.
  • AWSServiceRoleForLexChannels — Amazon Lex uses this service-linked role to post text to your chatbot when managing channels such as Slack.

You don’t need to create either of these roles manually. When you create your first chatbot using the Amazon Lex console, Amazon Lex creates the AWSServiceRoleForLexBots role for you. When you first associate a chatbot with a messaging channel, Amazon Lex creates the AWSServiceRoleForLexChannels role in your account.

1. Start configuring the AWS service that supports service-linked roles

Navigate to the Amazon Lex console, and choose Get Started to navigate to the Create your Lex bot page. For this example, I choose a sample chatbot called OrderFlowers. To learn how to create a custom chatbot, see Create a Custom Amazon Lex Bot.

Screenshot of making the choice to create an OrderFlowers chatbot

2. Complete the configuration for the AWS service

When you scroll down, you will see the settings for the OrderFlowers chatbot. Notice the field for the IAM role with the value, AWSServiceRoleForLexBots. This service-linked role is “Automatically created on your behalf.” After you have entered all details, choose Create to build your sample chatbot.

Screenshot of the automatically created service-linked role

AWS has created the AWSServiceRoleForLexBots service-linked role in your account. I will return to using the chatbot later in this post when I discuss how Amazon Lex performs actions on your behalf and how CloudTrail logs these actions. First, I will show how you can view the permissions for the AWSServiceRoleForLexBots service-linked role by using the IAM console.

How to view actions in the IAM console that AWS services perform on your behalf

When you configure an AWS service that supports service-linked roles, AWS creates a service-linked role in your account automatically. You can view the service-linked role by using the IAM console.

1. View the AWSServiceRoleForLexBots service-linked role on the IAM console

Go to the IAM console, and choose AWSServiceRoleForLexBots on the Roles page. You can confirm that this role is a service-linked role by viewing the Trusted entities column.

Screenshot of the service-linked role

2.View the trusted entities that can assume the AWSServiceRoleForLexBots service-linked role

Choose the Trust relationships tab on the AWSServiceRoleForLexBots role page. You can view the trusted entities that can assume the AWSServiceRoleForLexBots service-linked role to perform actions on your behalf. In this example, the trusted entity is lex.amazonaws.com.

Screenshot of the trusted entities that can assume the service-linked role

3. View the policy attached to the AWSServiceRoleForLexBots service-linked role

Choose AmazonLexBotPolicy on the Permissions tab to view the policy attached to the AWSServiceRoleForLexBots service-linked role. You can view the policy summary to see that AmazonLexBotPolicy grants permission to Amazon Lex to use Amazon Polly.

Screenshot showing that AmazonLexBotPolicy grants permission to Amazon Lex to use Amazon Polly

4. View the actions that the service-linked role grants permissions to use

Choose Polly to view the action, SynthesizeSpeech, that the AmazonLexBotPolicy grants permission to Amazon Lex to perform on your behalf. Amazon Lex uses this permission to synthesize speech responses for your chatbot. I show later in this post how you can monitor this SynthesizeSpeech action in your CloudTrail logs.

Screenshot showing the the action, SynthesizeSpeech, that the AmazonLexBotPolicy grants permission to Amazon Lex to perform on your behalf

Now that I know the trusted entity and the policy attached to the service-linked role, let’s go back to the chatbot I created earlier and see how CloudTrail logs the actions that Amazon Lex performs on my behalf.

How to use CloudTrail to view actions that AWS services perform on your behalf

As discussed already, I created an OrderFlowers chatbot on the Amazon Lex console. I will use the chatbot and display how the AWSServiceRoleForLexBots service-linked role helps me track actions in CloudTrail. First, though, I must have an active CloudTrail trail created that stores the logs in an Amazon S3 bucket. I will use a trail called TestTrail and an S3 bucket called account-ids-slr.

1. Use the Amazon Lex chatbot via the Amazon Lex console

In Step 2 in the first section of this post, when I chose Create, Amazon Lex built the OrderFlowers chatbot. After the chatbot was built, the right pane showed that a Test Bot was created. Now, I choose the microphone symbol in the right pane and provide voice input to test the OrderFlowers chatbot. In this example, I tell the chatbot, “I would like to order some flowers.” The bot replies to me by asking, “What type of flowers would you like to order?”

Screenshot of voice input to test the OrderFlowers chatbot

When the chatbot replies using voice, Amazon Lex uses Amazon Polly to synthesize speech from text to voice. Amazon Lex assumes the AWSServiceRoleForLexBots service-linked role to perform the SynthesizeSpeech action.

2. Check CloudTrail to view actions performed on your behalf

Now that I have created the chatbot, let’s see which actions were logged in CloudTrail. Choose CloudTrail from the Services drop-down menu to reach the CloudTrail console. Choose Trails and choose the S3 bucket in which you are storing your CloudTrail logs.

Screenshot of the TestTrail trail

In the S3 bucket, you will find log entries for the SynthesizeSpeech event. This means that CloudTrail logged the action when Amazon Lex assumed the AWSServiceRoleForLexBots service-linked role to invoke Amazon Polly to synthesize speech responses for your chatbot. You can monitor and audit this invocation, and it provides you with transparency into Amazon Polly’s SynthesizeSpeech action that Amazon Lex invoked on your behalf. The applicable CloudTrail log section follows and I have emphasized the key lines.

{  
         "eventVersion":"1.05",
         "userIdentity":{  
           "type":"AssumedRole",
            "principalId":"{principal-id}:OrderFlowers",
            "arn":"arn:aws:sts::{account-id}:assumed-role/AWSServiceRoleForLexBots/OrderFlowers",
            "accountId":"{account-id}",
            "accessKeyId":"{access-key-id}",
            "sessionContext":{  
               "attributes":{  
                  "mfaAuthenticated":"false",
                  "creationDate":"2017-09-17T17:30:05Z"
               },
               "sessionIssuer":{  
                  "type":"Role",
                  "principalId":"{principal-id}",
                  "arn":"arn:aws:iam:: {account-id}:role/aws-service-role/lex.amazonaws.com/AWSServiceRoleForLexBots",
                  "accountId":"{account-id",
                  "userName":"AWSServiceRoleForLexBots"
               }
            },
            "invokedBy":"lex.amazonaws.com"
         },
         "eventTime":"2017-09-17T17:30:05Z",
         "eventSource":"polly.amazonaws.com",
         "eventName":"SynthesizeSpeech",
         "awsRegion":"us-east-1",
         "sourceIPAddress":"lex.amazonaws.com",
         "userAgent":"lex.amazonaws.com",
         "requestParameters":{  
            "outputFormat":"mp3",
            "textType":"text",
            "voiceId":"Salli",
            "text":"**********"
         },
         "responseElements":{  
            "requestCharacters":45,
            "contentType":"audio/mpeg"
         },
         "requestID":"{request-id}",
         "eventID":"{event-id}",
         "eventType":"AwsApiCall",
         "recipientAccountId":"{account-id}"
      }

Conclusion

Service-linked roles make it easier for you to track and view actions that linked AWS services perform on your behalf by using CloudTrail. When an AWS service supports service-linked roles to enable this additional logging, you will see a service-linked role added to your account.

If you have comments about this post, submit a comment in the “Comments” section below. If you have questions about working with service-linked roles, start a new thread on the IAM forum or contact AWS Support.

– Ujjwal