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April 21st, 2009

Spies Breach 300 Billion Fighter-Jet Project, Government Asks Hackers For Help

Computer spies have broken into the Pentagon’s $300 billion Joint Strike Fighter project — the Defense Department’s costliest weapons program ever — according to current and former government officials familiar with the attacks.

Similar incidents have also breached the Air Force’s air-traffic-control system in recent months, these people say. In the case of the fighter-jet program, the intruders were able to copy and siphon off several terabytes of data related to design and electronics systems, officials say, potentially making it easier to defend against the craft.

The latest intrusions provide new evidence that a battle is heating up between the U.S. and potential adversaries over the data networks that tie the world together. The revelations follow a recent Wall Street Journal report that computers used to control the U.S. electrical-distribution system, as well as other infrastructure, have also been infiltrated by spies abroad.

Many details couldn’t be learned, including the specific identity of the attackers, and the scope of the damage to the U.S. defense program, either in financial or security terms. In addition, while the spies were able to download sizable amounts of data related to the jet-fighter, they weren’t able to access the most sensitive material, which is stored on computers not connected to the Internet. The intruders compromised the system responsible for diagnosing a plane’s maintenance problems during flight, according to officials familiar with the matter. However, the plane’s most vital systems — such as flight controls and sensors — are physically isolated from the publicly accessible Internet.

Former U.S. officials say the attacks appear to have originated in China. However it can be extremely difficult to determine the true origin because it is easy to mask identities online.

A Pentagon report issued last month said that the Chinese military has made “steady progress” in developing online-warfare techniques. China hopes its computer skills can help it compensate for an underdeveloped military, the report said. Investigators traced the penetrations back with a “high level of certainty” to known Chinese Internet protocol, or IP, addresses and digital fingerprints that had been used for attacks in the past, said a person briefed on the matter.

The Chinese Embassy said in a statement that China “opposes and forbids all forms of cyber crimes.” It called the Pentagon’s report “a product of the Cold War mentality” and said the allegations of cyber espionage are “intentionally fabricated to fan up China threat sensations.”

Pentagon officials declined to comment directly on the Joint Strike Fighter compromises. Pentagon systems “are probed daily,” said Air Force Lt. Col. Eric Butterbaugh, a Pentagon spokesman. “We aggressively monitor our networks for intrusions and have appropriate procedures to address these threats.” U.S. counterintelligence chief Joel Brenner, speaking earlier this month to a business audience in Austin, Texas, warned that fighter-jet programs have been compromised.

Maybe this is the reason why General Dynamics Information Technology put out an ad last month on behalf of the Homeland Security Department seeking someone who could “think like the bad guy.” Applicants, it said, must understand hackers’ tools and tactics and be able to analyze Internet traffic and identify vulnerabilities in the federal systems.

In the Pentagon’s budget request submitted last week, Defense Secretary Robert Gates said the Pentagon will increase the number of cyberexperts it can train each year from 80 to 250 by 2011.

With warnings that the U.S. is ill-prepared for a cyberattack, the White House conducted a 60-day study of how the government can better manage and use technology to protect everything from the electrical grid and stock markets to tax data, airline flight systems, and nuclear launch codes.

U.S. computer networks, including those at the Pentagon and other federal agencies, are under persistent attack, ranging from nuisance hacking to more nefarious assaults, possibly from other nations, such as China. Industry leaders told Congress during a recent hearing that law enforcement and other protections are too outdated to fend off threats from criminals, terrorists and unfriendly foreign nations.

Just last week, a former government official revealed that spies had hacked into the U.S. electric grid and left behind computer programs that would let them disrupt service. The intrusions were discovered after electric companies gave the government permission to audit their systems, said the ex-official, who was not authorized to discuss the matter and spoke on condition of anonymity.

Cyberthreats are also included as a key potential national security risk outlined in a classified report put together by Adm. Mike Mullen, chairman of the Joint Chiefs of Staff. Pentagon officials say they spent more than $100 million in the last six months responding to and repairing damage from cyberattacks and other computer network problems.

Short said the $60 million, four-year contract with US-CERT uses the ethical hackers to analyze threats to the government’s computer systems and develop ways to reduce vulnerabilities.

Faced with such cyberchallenges, Obama ordered the 60-day review to examine how federal agencies manage and protect their massive amounts of data and what the government’s role should be in guarding the vast networks that control the country’s vital utilities and infrastructure.

Credit: SIOBHAN GORMAN, AUGUST COLE and YOCHI DREAZEN, WSJ.com
Credit: Yahoo News

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