[Dailydave] This is interesting and important reading...

dave aitel dave at immunityinc.com
Thu Jun 9 10:01:12 EDT 2016

I just stole it instead of posting a link so you don't even have to
click! :)

But you should read the whole thing, since he is more honest than most.


  President Toomas Hendrik Ilves's opening speech at CyCon in Tallinn on
  June 1, 2016


Ladies and Gentlemen,

When we speak of power in military and security terms in the digital
world, we invariably recognize that this world itself began in the
military research realm. Be it Alan Turing during the Second World War,
working on decrypting Enigma or the origins of the web in DARPA, the
Defense Advanced Research Projects Agency, we recognize that like with
so many technological innovations, the digital world originated in the
defense establishment.

Yet it would be a mistake to confuse etiology with contemporary use;
just as knowing that NASA sponsored the development of Velcro, does not
really come to mind when you fasten your running shoes.

For while all of us here know that the digital world is increasingly a
battlefield, where state and non-state actors, nations, criminals and
terrorists, sometimes in collusion, or in novel public/private
partnerships, use the explosive development of the web for military,
espionage and extortion ends, the defense establishment has become the
tail of the dog.

Although everything we call "cyber" began with military research, the
military side does not occupy the minds of those millions of people
involved in all things digital except at conferences like these. Indeed
the military as opposed to the criminal side of "cyber" was not taken
seriously at all as late as nine years ago, when Estonia was subjected
to what is considered the first Clausewitzean continuation of policy by
digital means.

Indeed, if you go a mile down the road today to our major annual Startup
conference Latitude 59, you will find plenty of young innovators working
on the internet of things, smart health and so on, whose thoughts are
far removed from the military and defence matters you are discussing.

Not that digital means had not been used before that to achieve
political or military ends, but the 2007 massive DDOS attacks on Estonia
are considered the first case of an attack by one country against
another. Back then, though, we were told not even to think of invoking
article 4, let alone 5 of the North Atlantic Treaty.

Nine years later, on the eve of the Warsaw summit, just as an example of
how much attitudes have changed, we anticipate NATO to name "cyber" as
the fifth domain of warfare, after Land, Sea, Air and Space. That in
some way shows how much thinking has changed in less than a decade.

While I cannot but welcome this understanding that digital means can be
just as effective militarily as kinetic means, or more bluntly, that
some lines of code can just as effectively knock out a power plant as a
missile, I nonetheless believe that we are putting the cart, or in more
military terms, the caisson before the horse.

If we look at defense, it is a national prerogative. Cyber-defense, even
more so is national prerogative. For while NATO allies strive for the
interoperability of kinetic weapons systems, so that a British missile
should be mountable under the wing of a French Mirage jet, for example,
cyber-defense has no such requirements. But, as I have lamented for
years on this stage, when it comes to cyber, we find ourselves rather in
intelligence agency mode, where we share as little a possible and only
when necessary.

Not that NATO does not share, but not in ways outsiders think. NATO's
Co-operative Center of Excellence for Cyber Defense, headquartered here
in Tallinn, focuses on research and development of technology and
concepts, and on legal issues. NATO's NCIRC only works on NATO's own
cyber-defense, that is, defending the organization's own networks. There
is no joint NATO cyber capability, still no NATO cyber operations.

NATO's main cyber efforts, however, remain focused on military defense
of the organization itself. While recognizing the importance of civilian
networks and the risks they face, NATO lacks the legal or policy levers
to address these questions directly.

At the supra-national level, the European Union has also begun to deal
with cyber security, supplementing or superseding member state policies
in a number of areas, including those related to economic, justice, and
home affairs. While national governments guard their sovereignty in the
areas of defense and foreign policy, the EU maintains some limited
authority in these areas. In fact, the EU is developing a considerable
role in shaping the European cyber-security landscape, primarily through
legislation and expenditures related to economic regulation, individual
rights, and internal security.

So some progress is being made on threats that are supranational. But
let us think through, what it is that we are talking about, when we talk
about keeping our networks and systems safe. Which systems?

We worry first and foremost about civilian and commercial networks. We
worry about power grids and traffic control systems, hospitals; we worry
about banks and financial markets, credit cards, personal data records.
All of these have come under attack; serious or large-scale damage to
these in the digital age can have disastrous consequences for our
populations, our economies.

In addition we have IoT, machines talking to machines, chips talking to
chips. The worries of the broader public, which focus on issues such as
privacy pale, indeed are miniscule, compared to the damage that can be
wrought with attacks on data integrity, an issue we all of us need to
explain better than we have. And not only to the public but also to our
political leaders, parliament members and policy makers, whose
understanding of these kinds of threats are, alas, not very sophisticated.

But you all know this, of course. What I would like to draw greater
attention to is that almost all the these systems whose security you
worry about are commercial products, both software and hardware.
Companies, banks, municipal SCADA systems, IoT-based cars and
refrigerators, manufacturing processes are all vulnerable. And the more
modern, the more digitized, the less legacy-based the system, the more

In other words, we are concerned about commercial software and hardware
produced by multinational or international companies; the same Microsoft
or SAP or Oracle software and Intel, Alcatel, HP or Huawei hardware is
used the world over.

Through the years, I have asked the question of whether the Westphalian
state system can still work in a digital 21st century. Historically, our
security has been implemented and guaranteed by national-territorial
units, also known as states.

Today, however, in the digital world, the digital domain, the most
fundamental aspects of our security represent an intimate and
inextricable intertwining of the state and the private sector.

The private sector has a different set of concerns. With commercial
products security considerations are driven by the bottom line. These
companies may have headquarters in Palo Alto, Beijing or Walldorf, but
their customers span the globe. So they may care about security, but
they need to care about the security of their customers across the world.

So it would be unsurprising to see situations where companies and
governments pursuing the same aims ultimately, disagree about how to
achieve security. Witness the showdown between Apple and the FBI over
unlocking an encrypted iPhone – two actors, opposed to one another, but
ultimately committed to security, but with very different visions of how
to get there.

Usually we end up talking about PPP, public/private partnerships,
government working together with the private sector. Yet as I mentioned,
the private sector is multinational and international, privacy,
integrity and security concerns are historically strictly national.

So far, when we have seen conflicts between IT companies and
territoriality, they have primarily been about taxation,
extraterritoriality of jurisdiction as with U.S. government's purview
over data in servers abroad.

It is a truism, ladies and gentlemen, that in the world of cyber,
geography ceases to play a role, all distances are equal. Unlike
conventional warfare, there is, in the case of cyber an equality of
threat regardless of distance. All the more so when we overwhelmingly
use software and hardware sold and used around the world.

With hard- and software used around the world and territorially based
states responsible for security of systems used in those states, we
clearly have a problem with suggestions for closer co-operation between
the government and private sector.

Unless of course states get together to work with the private sector.

To agree on minimum standards, issue certificates of origin for hardware
that these days may contain components of dubious origin despite the
good reputation of the final fabricator. Or to issue warnings when one
country discovers a zero day exploit, a new worm, etc. That is the kind
of thinking we should develop.

Clearly this is difficult, especially when we consider authoritarian and
undemocratic regimes. NATO as a group of like-minded and basically
value-based nations could serve this function but so far has not,
locked, as I mentioned, in espionage rather than interoperability mode.
Moreover it is also geographically based, not really useful in in the
instantaneous, borderless digital. Where would that leave Australia,
Japan, South Korea or Chile? Or even local non-members such as Finland,
Sweden and Austria. As the threats that we face know no geography, why
should defense?

So perhaps what we should consider is something like John McCain's, and
before that Madeleine Albright's "Community of Democracies", ideas
floated in the late nineties and first decade of this century. Not NATO
but democracies that are concerned about digital security. A club of
rule of law based democratic countries that also certify software and
hardware, where membership is a privilege that also carries benefits to
those who join.

I rush to say this is most decidedly not a grouping like the conventions
proposed in various forms often by undemocratic authoritarian countries
that involve, inter aliareplacing ICANN with the ITU or with treaties
that would limit freedom of expression, indeed even allow for censorship
on the world wide web.

The democratic and rule-of-law nature of a country would be the primary
consideration for membership, something like the Copenhagen Criteria
that needed to be fulfilled for countries even to begin being considered
for EU accession. Except we would leave out the geographic dimension.
All countries, with no geographical limit, could join the digital
security organisation.

One such constellation already exists, the Budapest Convention,
originally the Council of Europe convention on cybercrime, where
signatories obligate themselves to extradite cyber-criminals. We do not
need to recall that the primary sources of cyber crime are countries
that have refused to accede to the convention.

Getting this right, of course, will be very difficult and indeed could
be considered utopian. With a quarter century in foreign policy,
negotiating inter alia Estonia's EU and NATO accession and any number of
other agreements, I know full well how difficult it would be to bring
together nations, private corporations and get all to agree on something
that works, let alone is robust.

Yet something along these lines, I believe, will be necessary if we are
to get genuine public-private co-operation to guarantee our citizens and
nations security in world where digitization has permeated our lives so
completely. And will continue to do so at an accelerating pace,
following Moore's Law.

The earlier we start, the less damage we will face.

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