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How to protect your phone and data against face stealing scams

Cybercriminals can now steal facial recognition data and use AI to create deepfakes for authentication. What does it mean for consumers and business?

Recently, facial recognition technologies have become an increasingly popular tool for secure authentication, one praised for its convenience. When technology giants such as Apple popularized their Face ID technology for face authentication, which, in general, couldn’t be fooled by static photographs and encrypts users’ facial data, security concerns naturally dwindled to the point where even banks and the wider financial sector now use facial recognition systems as a form of authorization.

However, this “good news” about technological progress may also create a false picture of biometric recognition as the ultimate tool for secure authentication. No more passwords, no more scams, no one can steal a 3D image of your natural face, right?

Neither time nor cybersecurity practice stands still, so if you think that facial authentication alone will prevent you from being scammed or your device from being breached, read further to understand the limits to the security it can provide. In the latest ESET Threat Report H1 2024, ESET researchers describe how adversaries use fake mobile apps to replace their own faces with those of their victims using AI face-swapping services. This method can be used by cybercriminals to gain unauthorized access to victims’ accounts.

The strongest protection lies in using combinations of security approaches — for example, leveraging facial authentication with multilayered cybersecurity technologies, including multifactor authentication (MFA) built with prevention in mind to avoid attacks before they can do any harm. ESET covers both consumers and business users with mobile device protection that combines AI, human expertise, and a prevention-first approach.

Preferred security authentication

Biometrics have gained popularity among both consumers and businesses, largely around ease of use. In 2023, biometrics such as fingerprint or face scan were the most preferred security authentication methods to access users’ online accounts, apps, and smart devices. Biometric authentication was used by 27 percent of respondents among consumers in various countries.

Another 2023 survey found that nearly 60 percent of respondents among IT and cybersecurity leaders in the United States mentioned biometrics when asked what they were replacing or expecting to replace workplace passwords with.

Facial recognition, also a part of the biometrics market, reflects public demand for this new technology. In 2022, the market was estimated at roughly $5 billion and is expected to grow, reaching $19.3 billion by 2032.

Since Apple’s camera- and laser-based 3D face mapping was introduced in 2017, big market players such as Samsung have also been considering new technologies such as Metalenz’s tools that can read polarized photons and create an image of a specific face or even record a brief video skin signature.

New attack vector

Nowadays, certain financial apps require that users record a brief video of their face from various angles using the front camera of their mobile device as a form of secure authentication. However, what was intended as an extra layer of security to prevent identity theft and fraudulent activities recently became another attack vector for cybercriminals.

Group-IB’s Threat Intelligence unit discovered a previously unknown iOS Trojan GoldPickaxe.iOS, an imitation of legitimate Thai government applications such as Digital Pension for Thailand. These malicious apps collect identity documents, SMS, and facial recognition data. Likely to ensure the greatest catch of personal data, some member of the GoldPickaxe malware family is available for both iOS and Android platforms. Group-IB attributed the campaign to a Chinese-speaking cybercrime group called GoldFactory.

This malware family is also detected by ESET security solutions.

The GoldPickaxe Android version is distributed via websites posing as the official Google Play store. To distribute the iOS version, the threat actors use a multistage social engineering scheme to persuade victims to install a mobile device management (MDM) profile, which allows attackers to gain complete control over the victim’s iOS device.

For example, attackers pretended to be officials from the Thai Ministry of Finance approaching citizens claiming that the targeted users’ elderly relatives were eligible for additional pension benefits. The victims were then persuaded to click on links to the criminals’ websites to download an MDM profile.

In this way, attackers can access victims’ facial recognition data without cracking Apple’s privacy protection measures such as the Secure Enclave, a hardware-based secure environment designed to keep sensitive user data. 

Creating deep fake videos

Once installed, GoldPickaxe prompts the victim to record a video as a confirmation method in the fake application. The recorded video is then used as raw material for the creation of deepfake videos facilitated by face-swapping artificial intelligence services.

But that’s not all, since the fake video would not be enough by itself to fool a bank’s security and authentication systems. The malware also requests the victim’s ID documents, intercepts SMS, and redirects traffic through the proxy server.

GoldPickaxe does not directly perform unauthorized transactions from the victim’s phone. Instead, it collects all the necessary information from the victim to autonomously access the victim’s banking application.

Group-IB researchers hypothesize that the cybercriminals use their own devices to log in to bank accounts, a tactic that was also confirmed by the Thai police.

The importance of prevention

Considering the use of call centers, advanced malware, and AI for deepfake video production, it’s clear that these cybercriminals put some effort into their attacks. This, however, doesn’t mean that such threats cannot be stopped, especially with good prevention.

Let’s start with basic awareness principles:

  • Always try to verify claims about eligibility for prizes, discounts, or, as in the case of GoldPickaxe, pension bonuses. If it seems too good to be true, it probably is.
  • Pay attention to websites distributing mobile apps and use only official app stores.
  • Don’t be fooled by phishing websites. Learn to recognize phishing here.
  • Suspicious activity on your smartphone? Run a security scan with a reputable security app.
  • After discovering a malicious app, delete it and restart your phone. Resetting your Android device to factory settings may be necessary.

However, no one is 100% immune to phishing, and even IT specialists may fall for scams. To keep your mobile device safe, you also need reliable cybersecurity protection.

ESET Mobile Security (EMS) takes a proactive approach and can detect and block threats during the download process, even before installation occurs. EMS scans all files in download folders and can also be used to scan already existing ones. ESET Mobile Security Premium offers even more protection with Anti-Phishing, Anti-Theft, Payment Protection, and App Lock.  

And remember, having one advanced authentication method, no matter how secure (even within iOS, which is a closed system with built-in security features) is no guarantee of safety. Cybercriminals are creative, and it’s important to have multilayered security in cases where some layers of defenses may be evaded.

Protecting businesses

So far, GoldPickaxe has only been targeting consumers. However, similar threats abusing facial recognition technology together with face-swapping AI could potentially be used to target financial departments of companies or business managers.

There have already been attacks involving deepfake videos of C-level executives that have led to huge financial losses. A 2023 study conducted by BlackCloak and Ponemon Institute shows that senior-level corporate executives are increasingly being targeted by sophisticated cyberattacks, including online impersonation.

Even with thorough cyber-awareness training, there is still a good chance that employees will fall victim to sophisticated attacks exposing their corporate mobile devices, paving the way for further attacks against their company. To learn more about the topic of businesses’ attack surface vectoring from employee mobile devices, check this blog.   

Being aware of this, ESET has introduced a new Mobile Threat Defense module to its comprehensive business solution ESET PROTECT, with great pricing available for the Advanced tier and higher. Users of ESET PROTECT Advanced and higher can enjoy one free mobile device seat per one paid seat for other devices.

A single tool is not enough

Creating fake videos using AI for scams sounds scary (and there already are thriller movies utilizing this idea), but ESET research clearly shows that even these elaborate attacks can be avoided or stopped via appropriate cybersecurity solutions.

Let this case be a reminder that no technology is the ultimate answer for everything, and reliable cybersecurity consists of a multilayered defense combined with a prevention-first approach.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

ESET is recognized as a Customers’ Choice for Midsize Enterprises in the 2024 Gartner® Peer Insights™ Voice of the Customer for Endpoint Protection Platforms Report

BRATISLAVAJuly 03, 2024ESET, a global leader in cybersecurity solutions, has been named a Customers’ Choice for Midsize Enterprises in the 2024 Gartner® Peer Insights™ ´Voice of the Customer´ for Endpoint Protection Platforms.1

This distinction is based on reviews from 220 verified end-user professionals, and we believe that it focuses on their direct experience with operating the ESET PROTECT Platform. According to the report, 96 percent of Gartner Peer Insights reviews received for ESET indicated a 5 or 4-star rating (60% 5 star and 36% 4 star). Overall, our customers have given us a rating of 4.6 out of 5, with 90 percent of them concluding they would recommend our product as of June 2024.

ESET PROTECT has been developed based on the needs of real customers, constantly receiving new functions and modules to its security stack to address the ever-changing cyber landscape. To fully realize one’s security potential, ESET PROTECT offers a prevention-first approach with:

  • A powerful, modern, multi-layered endpoint security solution
  • Extended protection with mobile threat defense, server, cloud app, and mail security
  • Comprehensive vulnerability assessment and patch management
  • Advanced threat protection and AI-native detection technologies
  • Globally sourced telemetry and threat intelligence
  • Highly scalable Managed Detection and Response services with local support and a 20-minute response time

“We are very proud to be named a Customers’ Choice in Midsize Enterprises category in the 2024 Gartner Peer Insights ´Voice of the Customer´ for Endpoint Protection Platforms. We believe it is a true testament to the quality products and service we provide our customers around the world,“ said Pavol Balaj, Chief Business Officer at ESET. “Ensuring endpoint protection is crucial for businesses, especially in today’s environment. Witnessing positive feedback from customers and knowing that our solutions contribute to organizational safety motivates us to continue our work.“

According to the report, “Vendors placed in the upper-right quadrant of the “Voice of the Customer” quadrants are recognized with the Gartner Peer Insights Customers’ Choice distinction, denoted with a Customers’ Choice badge. The recognized vendors meet or exceed both the market average Overall Experience and the market average User Interest and Adoption.”

For more information about ESET’s awards and recognized excellence, click here.

1Gartner, Voice of the Customer for Endpoint Protection Platforms, By Peer Contributors, 28 June 2024

 

Gartner Disclaimer

GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally, and PEER INSIGHTS is a registered trademark of Gartner, Inc. and/or its affiliates and are used herein with permission. All rights reserved.Gartner® Peer Insights™ content consists of the opinions of individual end users based on their own experiences, and should not be construed as statements of fact, nor do they represent the views of Gartner or its affiliates. Gartner does not endorse any vendor, product or service depicted in this content nor makes any warranties, expressed or implied, with respect to this content, about its accuracy or completeness, including any warranties of merchantability or fitness for a particular purpose.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

ESET Threat Report: Infostealers using AI & banking malware creating deepfake videos to steal money

  • ESET has released its latest Threat Report, which summarizes threat landscape trends seen in ESET telemetry and from the perspective of ESET experts, from December 2023 through May 2024.
  • Infostealers started to impersonate generative AI tools such as Midjourney, Sora, and Gemini. 
  • New mobile malware GoldPickaxe is capable of stealing facial recognition data to create deepfake videos.
  • RedLine Stealer saw several detection spikes in ESET H1 2024 telemetry, caused by campaigns in Spain, Japan and Germany.
  • Balada Injector, a gang notorious for exploiting WordPress plugin vulnerabilities, continued to run rampant in the first half of 2024, compromising over 20,000 websites as ESET telemetry detected 400,000 hits.

BRATISLAVAJune 27, 2024 — ESET has released its latest Threat Report, which summarizes threat landscape trends seen in ESET telemetry and from the perspective of both ESET threat detection and research experts, from December 2023 through May 2024. These past six months painted a dynamic landscape of Android financial threats, malware going after victims’ mobile banking funds – be they in the form of “traditional” banking malware or, more recently, cryptostealers. Infostealing malware can now be found impersonating generative AI tools, and new mobile malware GoldPickaxe is capable of stealing facial recognition data to create deepfake videos used by the malware’s operators to authenticate fraudulent financial transactions. Video games and cheating tools used in online multiplayer games were recently found to contain infostealer malware such as the RedLine Stealer, which saw several detection spikes in H1 2024 in ESET telemetry.

“GoldPickaxe has both Android and iOS versions and has been targeting victims in Southeast Asia through localized malicious apps. As ESET researchers investigated this malware family, they discovered that an older Android sibling of GoldPickaxe, called GoldDiggerPlus, has also tunneled its way to Latin America and South Africa by actively targeting victims in these regions,” explains Jiří Kropáč, Director of ESET Threat Detection.

In recent months Infostealing malware also began to utilize the impersonation of generative AI tools. In H1 2024, Rilide Stealer was spotted misusing the names of generative AI assistants, such as OpenAI’s Sora and Google’s Gemini, to entice potential victims. In another malicious campaign, the Vidar infostealer was lurking behind a supposed Windows desktop app for AI image generator Midjourney – even though Midjourney’s AI model is only accessible via Discord. Since 2023, ESET Research has increasingly seen cybercriminals abusing the AI theme – a trend that is expected to continue.

Gaming enthusiasts who ventured out of the official gaming ecosystem were attacked by infostealers, as some cracked video games and cheating tools used in online multiplayer games were recently found to contain infostealer malware such as Lumma Stealer and RedLine Stealer. RedLine Stealer saw several detection spikes in H1 2024 in ESET telemetry, caused by campaigns in Spain, Japan, and Germany. Its recent waves were so significant that RedLine Stealer detections in H1 2024 surpassed those from H2 2023 by a third.

Balada Injector, a gang notorious for exploiting WordPress plug-in vulnerabilities, continued to run rampant in the first half of 2024, compromising over 20,000 websites and racking up over 400,000 hits in ESET telemetry for the variants used in the gang’s recent campaign. On the ransomware scene, former leading player LockBit was knocked off its pedestal by Operation Chronos, a global disruption conducted by law enforcement in February 2024. Although ESET telemetry recorded two notable LockBit campaigns in H1 2024, these were found to be the result of non-LockBit gangs using the leaked LockBit builder.

The ESET Threat Report features news about recently released deep-dive investigation into one of the most advanced server-side malware campaigns, which is still growing – Ebury group, with their malware and botnet. Over the years, Ebury has been deployed as a backdoor to compromise almost 400,000 Linux, FreeBSD, and OpenBSD servers; more than 100,000 were still compromised as of late 2023.

For more information, check out the ESET Threat Report H1 2024 on WeLiveSecurity.com. Make sure to follow ESET Research on Twitter (today known as X) for the latest news from ESET Research.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

Kaseya DattoCon Europe: Why quality matters

Opting for cheap cybersecurity solutions could prove more costly than you think.

In the highly competitive world of managed service providers (MSPs), business leaders make tough decisions on how to balance costs and revenues to maximize profits without decreasing quality. In such a world, a low-cost security service seems like a gift from heaven which businesses ought to accept to cut their costs.

But there are certain hidden costs of doing business in areas where such trade-offs between price and quality can become harmful. And cybersecurity is one of those areas.

Participating at the Kaseya DattoCon Europe 2024 conference focusing on MSPs, I had a chance to speak with several MSP representatives on this topic. Time and time again, I heard from them that their budgets were so tight that they opted for a cheaper solution despite the risks of being breached during more elaborate cyberattacks. A penny saved is a penny earned, right?

Well, let me show you why this is not a good idea.

What are your chances

It is true that free antivirus solutions can deflect some simple attacks, but unfortunately, the days when simple viruses were among the few threats to businesses are long gone. While some threat actors are status driven, most remain driven by financial gain (93% of all attacks), and money is the all-powerful motivator for improving their tools and techniques.

This is the reason 66% of organizations worldwide fell victim to ransomware attacks between March 2022 and March 2023, according to a survey published by Statista among cybersecurity leaders at global organizations.

Another more advanced threat causing headaches for business owners all around the world is the exploitation of software vulnerabilities. Currently, MITRE ATT&CK’s List of Common Vulnerabilities and Exposures (CVE) has documented more than 237,000 of them.

A 2024 Ponemon Institute report found that only 38% of respondents are confident that their organizations are effective at detecting and responding to an exploit of a known vulnerability. Almost half of respondents (47%) said it takes at least a month to more than six months for their organizations to respond to a critical software vulnerability.

Due to the manner of their business, MSPs should be also concern themselves with cloud attacks. In 2022, nearly 50 percent of respondents globally stated that their company confronted unplanned expenses in order to fix security gaps due to cloud attacks, and 15 percent of respondents registered a decrease in new sales.

So, if you think that your clientele encountering more advanced cyberattacks is just a “theoretical threat” and “something like that can’t happen to them on my watch,” think again.

Possible loses

Now, let’s take a look at the financial aspects of deploying a high-quality cybersecurity solution. Something I heard particularly from smaller and medium-sized MSPs trying to make every penny count was that they aim to save as much money as possible.

However, my response was that by investing a few thousand euros more now, they could save hundreds of thousands of euros in the long run.

To drive this point home, the costs of a breach are not small. IBM Security studied 553 organizations impacted by data breaches that occurred between March 2022 and March 2023, and found that the average total cost of a data breach reached $4.45 million in 2023.

Only a third of companies discovered the data breach by themselves, which really highlights the importance of high-quality support, particularly threat detection—especially considering that the costs were nearly $1 million higher in cases where attackers disclosed a breach.

At ESET we believe in a prevention-first approach, which means mitigating a threat before it can do any harm. Catching malware activity within business systems is nice, but it often also means that the malware has already caused complications, such as business disruptions and revenue losses from system downtime, lost customers, and reputation damage. In the aforementioned IBM study, these additional costs reached an average of $1.3 million.

In the U.S. alone, the cost of cybercrime in general reached $320 billion in 2023 and is projected to reach $1.82 trillion by 2028.

These worrying trends expose the claim that smaller businesses are not interesting for cybercriminals as a myth. Quite the opposite, threat actors are well aware of smaller and medium-sized businesses’ (SMBs) weaknesses. This year, 56% of SMBs have already faced at least one cyberattack and 78% are concerned that a severe cyberattack could drive them out of business.

There is a price for deploying a lower-quality product and you probably don’t want to pay it.

Deploying high-end technology is not window dressing

At present, many MSPs are given solutions for free, which keeps them in vendors’ ecosystems. But they pay a price in terms of poor operability and performance. For example, representatives at some bigger MSPs I spoke with said that they weren’t happy with the quality of the telemetry they could gather from clients’ endpoints.

On the other hand, ESET products were praised for their automation and seamless operation without disruptions. Our protection for businesses, ESET PROTECT, enables operating on a single unified cybersecurity platform, which makes the lives of MSP admins easier. “It simply works,” I heard from our customers, which is feedback we have been receiving since we launched our MSP program in 2013.

“We’ve picked up customers of all shapes and sizes over the last 20 years. But from an antivirus and endpoint security point of view, once we’d settled on ESET, the products evolved as we have. The relationships we’ve been able to garner and build with the Support Teams, the Sales Teams, the PreSales Executives, with everybody at ESET are long-standing,” said Andrew Owens, Head of Sales, Risc IT Solutions.

Check out how the ESET MSP Program elevates Risc IT Solutions’ business growth here:

And there is another aspect of investing in a high-quality security solution – vendors’ experiences and reliability. For example, ESET is a global leader in digital security with more than 30 years of experience, having more than 1 billion protected internet users, 13 global Research & Development (R&D) centers, and more than 600 R&D experts. The quality of our protection has been repeatedly acknowledged in numerous comparatives over the years.

What about the reliability of cheap or free products? Let’s put it this way: there is a reason many of them don’t appear among the recognized comparative tests and analyses.

Benefits of ESET MSP program:

Leading cybersecurity technology –ESET PROTECT offers multilayered security technology combining machine learning, AI, a cloud reputation system, and human expertise. With ESET PROTECT, MSPs can offer flexible subscription solutions, providing security for all major platforms.

Multiple capabilities in one package – Decrease the attack surface with modern endpoint protection, server protection, threat hunting, mobile threat defense, cloud app protection, Vulnerability & Patch Management, and much more.

Flexibility – With daily billing and monthly invoicing, customers pay for what they really use: no flat rates, with no long-term commitment. Flexible management allows users to upgrade subscriptions and adjust seat counts on their own.

Unified ecosystem – With ESET’s cloud-first ESET PROTECT Platform, users have a complete overview of all their clients from a single pane of glass, allowing them to see and manage clients in one place.

Automation – ESET PROTECT automation features, such as Dynamic Groups, were designed to save IT admins time and help them avoid portal fatigue.

Integrations – ESET actively cooperates with the major RMM and PSA players to create best-of-breed, in-depth integrations.

As you can see, this is not just a simple protection of businesses’ endpoints against simple viruses but a robust solution covering a huge threat landscape. And all of these are offered for a fair price. If you are not sure about the ESET MSP program value, just check the prices for all these capabilities on the cybersecurity market when offered as standalone products.

You have only one reputation

A vision of having a free cybersecurity solution that covers all business needs while saving some money may be intriguing but is far from reality. While cyberthreats are becoming more sophisticated, IT processes are getting more complicated, and a proper cybersecurity solution should address both problems at once.

Failing to do so leads to business losses, disruptions, and losing clients. Remember, you have only one reputation, which is worth more than savings on a cybersecurity product.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

Locked Shields 2024: Ancient inspiration deployed for today’s complex digital battlegrounds

 

Is it strange that cybersecurity companies would be called to share their expertise in a military simulation of today’s digital battlespace? The answer seems to be a resounding no.

However, despite being civilian organizations that don’t drill cyber-military scenarios, full-stack cybersecurity companies consider every day to be the real thing, with malware researchers, threat monitoring analysts, and product R&D teams alternating in various combinations to help set up and test our clients’ IT security and monitor for and deter threats. To be successful, our teams must master an agile phalanx-like approach to protect the collective of online users.

The phalanx, an ancient box-like formation that enabled classical Greek heavy infantry – composed of citizen-soldiers – to rapidly form ranks into a tight defensive structure of overlapping shields, is a well-chosen muse for Locked Shields, the annual cyber-wargaming event organized by the NATO Cooperative Cyber Defense Centre of Excellence. Locked Shields, and the phalanx that inspired it, is the perfect bridge to connect today’s digital present to the analog past, demonstrating that Trojan horses and other ancient battle tactics are still relevant in today’s battlespace.

Our forces and kit

On April 24-25, more than 60 ESET system engineers, security monitoring analysts, malware researchers and analysts, and communications specialists formed ranks with defenders from the Slovak and Hungarian militaries and the private and academic sectors to defend our assigned battlespace, within a virtual nation named Berylia, against massive cyberattacks designed to cripple the country and create public unrest.

Underpinned by this year’s Locked Shields theme “Collaboration is our protection,” our citizen-soldiers used their skills, experience, and tool sets to achieve fourth place out of 18 teams. To give a further sense of scale, the simulation brought together over 4,000 participants from 39 countries to deliver the largest Locked Shields event yet.

Along with our on-loan cyber warriors and their significant professional experience, ESET brought several pieces of critical kit to the simulated battlespace:

Setting up defenses

Team Berylia was given a few windows of time to explore the virtual battlespace and calibrate tools before the hostilities began. This meant establishing the processes of:

  • Deploying ESET endpoint security solutions, the ESET Inspect agent, and other security agents.
  • Setting up and configuring the IT systems Team Berylia would use to manage the power grid, gas distribution, air defense, satellite, 5G, and situational awareness systems, to name a few.
  • Calibrating ESET Inspect detections to Berylia’s network, thus reducing noise and giving our defenders the time to allocate threat monitoring and remediation capacity where the battle dictated.

Based on our experience with providing detection and response services to our customers, we also established other proven processes and tools, deployed across critical areas, that tremendously helped us during the execution phase.

Communication and legal support

The exercise included elements that strongly correlated with a security vendor’s business-as-usual operations. For example, ESET and others supplied communications experts who were tasked with preparing reports, such as the SITREP (situation report), used to help defenders keep track of the cyber situation and the status of all capabilities, and the Cyber Threat Intelligence report (CTIREP), which provides an evidence-based analysis of emerging threats.

In parallel, the legal team managed cooperation agreements between infrastructure operators in Berylia, and their cross-border allies, to share electricity and provided counsel to ensure defensive operations remained adherent to international law.

What we learned about ourselves and our tools

We successfully rebuffed the network attacks on the firewall and against the following systems: air defense, gas distribution, and power grid. In addition, the defenders quickly hunted down most of the pre-planted backdoors, both known and custom, severely limiting the usefulness of this attack vector for the Lock Shields’ (aggressor) red team. Unfortunately, a simulated thunderstorm took down our power grid.

But fortune smiles upon the prepared. Our communications and legal teams, and power grid operators, were able to mitigate the impact in a great demonstration of teamwork and coordinated operations between multiple (defender) blue teams. This was proof that a phalanx can still be deployed, even in the modern hybrid battlespace. Cooperation with the friendly neighboring teams happened in two key ways:

  • First, quick communication, legal analysis, and agreements with neighboring power suppliers allowed electricity supply to be restored.
  • Second, we provided these neighbors with threat intelligence derived from the attacks we had already experienced.

Prevention first

This collaborative defense approach was backed by the sharing of indicators of compromise (IoCs) via the Malware Information Sharing Platform (MISP) server, which provided mutually enriching data points for threat hunting by all blue teams.

In short, this cyber-battle simulation was an intensively immersive experience for all the technologists involved, be it threat analysts trying to understand tactics to anticipate the next stages of an attack or engineers configuring cyber defenses. Locked Shields is proof that our experts, well versed in operations on the digital front lines, could drop the normal constraints of cybersecurity for businesses and partner with both national and European defense structures when called upon.

Looking back on Locked Shields 2024

With collaboration being the focus of the 15th annual exercise under the theme “Collaboratio tutela nostra est,” or ‘Collaboration is our protection’, ESET supplied the Slovak-Hungarian team with defensive capabilities that contributed to the team’s top three placings in:

  • Cyber threat intelligence
  • Client-side protection
  • Forensics
  • Strategic communications

Taking fourth place out of 18 participating teams, made up of similarly composed cross-country units, the Slovak-Hungarian team successfully achieved its strategic objectives, building not only on expertise and state-of-the-art security technologies but, most importantly, on communication and intensive cooperation between the participants.

Likely considered underdogs by many, we punched well above our weight and tested ourselves and our security technologies to the limit. ESET considers this fertile ground for new ideas and further collaboration experience and a great demonstration of the reasons why we’ve been successful at protecting progress for more than 30 years.

About Version 2 Digital

Version 2 Digital is one of the most dynamic IT companies in Asia. The company distributes a wide range of IT products across various areas including cyber security, cloud, data protection, end points, infrastructures, system monitoring, storage, networking, business productivity and communication products.

Through an extensive network of channels, point of sales, resellers, and partnership companies, Version 2 offers quality products and services which are highly acclaimed in the market. Its customers cover a wide spectrum which include Global 1000 enterprises, regional listed companies, different vertical industries, public utilities, Government, a vast number of successful SMEs, and consumers in various Asian cities.

About ESET
For 30 years, ESET® has been developing industry-leading IT security software and services for businesses and consumers worldwide. With solutions ranging from endpoint security to encryption and two-factor authentication, ESET’s high-performing, easy-to-use products give individuals and businesses the peace of mind to enjoy the full potential of their technology. ESET unobtrusively protects and monitors 24/7, updating defenses in real time to keep users safe and businesses running without interruption. Evolving threats require an evolving IT security company. Backed by R&D facilities worldwide, ESET became the first IT security company to earn 100 Virus Bulletin VB100 awards, identifying every single “in-the-wild” malware without interruption since 2003.

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