[00:31.550 --> 00:37.190] I'm an investigative attorney, and I do a lot of security work around the world. [00:37.350 --> 00:44.710] My associate this morning is Matt Fidler, who is a security consultant and former military intelligence, [00:44.710 --> 00:49.790] and does a lot of security work, both hardware and software. [00:50.390 --> 00:57.870] The impetus for this discussion this morning grew out of last year, the conference in New York. [00:57.870 --> 01:06.810] I was part of a panel involving vulnerability of locks issues, which is what I mainly deal with. [01:06.870 --> 01:19.600] And as a result of that, there was a sense of security community with regard to the ethics of disclosure [01:19.600 --> 01:24.100] of vulnerabilities of locking systems. [01:24.100 --> 01:30.040] And so we decided that we'd put together a presentation and really would like, [01:30.040 --> 01:37.560] at the conclusion of our PowerPoint, to solicit comments from you folks as to what your thoughts are [01:37.560 --> 01:42.620] so these can be taken back to the hardware security community. [01:43.700 --> 01:52.180] Essentially, the locksmiths and their organization have determined that there should not be any disclosure [01:52.180 --> 01:59.100] of defects or vulnerabilities other than the security professionals and security management [01:59.100 --> 02:04.460] and other locksmiths. I don't particularly subscribe to that theory, nor does Matt. [02:04.460 --> 02:07.520] We want to go through why we do not. [02:07.520 --> 02:12.640] It's obviously been dealt with in the logical security community a long time ago, [02:12.640 --> 02:15.280] but not really in the hardware community. [02:15.380 --> 02:19.820] And so we'll present a PowerPoint first. Matt will do that. [02:19.820 --> 02:25.260] And then we want to solicit your comments and input. [02:25.260 --> 02:30.060] Good morning, everybody. So as Mark said, we're going to run through this pretty quick. [02:30.060 --> 02:33.260] Then we can hop down. We've got some swag to throw out. [02:45.200 --> 02:48.760] So this quote goes back over 150 years. [02:49.460 --> 02:52.880] A.C. Cox wrote the book Locks and Safes. [02:53.040 --> 03:01.540] And you can read it, but it details that the unscrupulous individuals already have this bit of information. [03:01.540 --> 03:04.980] They already know about the defects. They're already exploiting them. [03:04.980 --> 03:09.660] And it's better to provide this information to the public and make it available. [03:10.340 --> 03:15.820] This was a Usenet post in June 2nd of this year from a locksmith. [03:15.820 --> 03:21.320] And again, you can read it, but basically they're indicating that providing this type of information, [03:21.320 --> 03:30.460] and I think this was in response to top-level master key or Eric Michaud's multi-lock attack on a plate, [03:30.460 --> 03:35.760] and just indicating that this is all secret information. It should not be published. [03:37.100 --> 03:39.140] So clearly, there are no secrets. [03:39.720 --> 03:43.160] We're going to talk about the importance of full disclosure. [03:43.160 --> 03:47.720] We'll identify from a physical security perspective what defects are. [03:48.200 --> 03:50.620] Mark will go into some of the legal issues of them. [03:55.350 --> 03:58.190] And then we'll go into some case examples of the last year. [04:01.030 --> 04:05.150] So again, locksmiths are the first line in most cases. [04:05.150 --> 04:11.060] They have publicly come out and said that, like you said... [04:11.060 --> 04:12.680] That would be all of you. [04:19.840 --> 04:21.860] So defects, what are defects? [04:21.860 --> 04:25.260] They're simple bypasses, really simple tools. [04:25.260 --> 04:28.320] We're talking seconds of bypass. [04:47.110 --> 04:54.130] We're talking about the type of bypass that does not require sophisticated tools, expertise, and time. [04:54.130 --> 04:56.570] The type of tools that I routinely deal with. [04:56.670 --> 05:00.630] Versus the ballpoint pen opening the tubular lock trick. [05:01.470 --> 05:05.290] That's the type of bypass that we're really talking about. [05:05.290 --> 05:13.430] The simple, really, defects or problems that lead to the ability to circumvent a locking system. [05:17.530 --> 05:20.410] Okay, well, the legal issues are real simple. [05:20.410 --> 05:21.630] The real question is... [05:22.510 --> 05:29.030] What does the end user have a right to know about the security products that they're buying and using? [05:29.030 --> 05:38.810] And what's the liability for the locksmith or architect or hardware vendor if they don't tell you about a vulnerability? [05:38.890 --> 05:42.610] And you put in that system and then you suffer a loss. [05:42.610 --> 05:43.590] Somebody gets injured. [05:43.590 --> 05:44.690] Somebody gets killed. [05:44.690 --> 05:45.750] There's a major theft. [05:45.750 --> 05:47.890] There's a compromise of information. [05:48.270 --> 05:51.830] Who's got the liability or is there any liability? [05:51.830 --> 06:00.950] And especially involving federal and state statutes regarding the disclosure of protection of medical information, financial information. [06:00.950 --> 06:03.730] These are serious legal issues. [06:03.730 --> 06:11.030] The locksmiths really haven't come to grips with them and frankly don't understand a lot of the problems that can face them. [06:11.030 --> 06:19.450] And as an end user security administrator or person responsible for physical security, the real question is... [06:19.450 --> 06:25.310] How much information do you have a right to know in order to make the security assessment? [06:26.070 --> 06:32.390] If you rely on a security consultant to make that assessment for you, that's fine. [06:32.390 --> 06:40.630] But if you're charged with the responsibility and fail to have all the needed information, then you really can't make that assessment. [06:40.630 --> 06:42.270] And then who is liable? [06:42.390 --> 06:44.790] Those are really the critical issues. [06:45.390 --> 06:54.850] So as far as statutory liability, I'm sure most of you out there in the IT world are familiar with HIPAA, SOX, GLBA, all the regulatory compliance issues. [06:54.850 --> 07:07.070] HIPAA, over one quarter or almost one quarter of HIPAA statutes govern physical access control, access to facilities, file lockers, etc. [07:07.070 --> 07:09.710] containing protected health information. [07:09.710 --> 07:14.870] So clearly we're all in bed with these regulatory issues. [07:14.870 --> 07:20.050] SB 1386, the loss of information, defamation assets. [07:21.410 --> 07:28.870] It's incumbent on us to understand the physical hardware that protects these assets. [07:30.770 --> 07:33.290] So we'll get into the ethical debate. [07:33.290 --> 07:37.630] Again, the question we want to throw out there, we'd like to get your feedback. [07:37.630 --> 07:39.570] Come on up, ask questions. [07:40.390 --> 07:43.950] But again, if the manufacturer is notified, what should they do? [07:43.950 --> 07:44.850] Should they admit it? [07:44.850 --> 07:46.810] Should it be publicized? [07:46.810 --> 07:48.870] We'll talk about some case examples. [07:48.870 --> 07:52.310] We recognize some other vendors and how they use it. [07:52.310 --> 07:53.630] Full disclosure. [07:53.990 --> 07:58.410] And ultimately, what is the vendor's level of negligence? [07:58.410 --> 08:00.350] And one other comment. [08:00.350 --> 08:12.070] If you find a security defect or a vulnerability that allows a lock or system to be bypassed, do you take it to the manufacturer without making it public? [08:12.210 --> 08:14.190] Or do you make it public? [08:14.190 --> 08:22.950] And that's really an interesting question because if you take it to the manufacturer and they have a large embedded base of security products, do they make it public? [08:22.950 --> 08:25.330] The responsible manufacturers will. [08:25.330 --> 08:26.650] A lot of them will not. [08:26.650 --> 08:28.830] So where does that leave the end user? [08:44.100 --> 08:45.140] Anywhere. [08:45.140 --> 08:47.180] In a closed group. [08:47.280 --> 08:49.060] In a closed group, yeah. [08:49.760 --> 08:56.700] So the second point, the reality is you disclose a defect but there isn't one really there. [09:01.430 --> 09:04.030] Someone else may or may not find it. [09:05.250 --> 09:07.690] So, again, we want to pose this question. [09:07.910 --> 09:16.450] There's been a lot of public disclosures on non-physical vulnerabilities that haven't come to fruition. [09:16.450 --> 09:21.730] They were one-time bypasses that someone was able to do in a controlled environment. [09:25.030 --> 09:39.910] Well, the other issue is, and a lot of the locksmiths have propounded, okay, if there's a known vulnerability in a lock or a piece of hardware, okay, you can tell the public, yes, there's a vulnerability, but you can't tell them what it is. [09:39.910 --> 09:41.350] What does that do for you? [09:41.350 --> 09:42.950] In our view, nothing. [09:43.150 --> 09:48.210] Because the minute you disclose there's a hardware defect, somebody's going to find it. [09:48.210 --> 09:50.330] And if they find it, they're going to publish it. [09:50.330 --> 09:52.810] A lot of locksmiths haven't heard of the Internet yet. [09:52.810 --> 09:56.210] And so they still believe that there are secrets out there. [09:56.210 --> 09:59.290] And as we keep trying to tell them, there are no secrets anymore. [10:00.970 --> 10:06.230] So some considerations for thought, again, between the questions and the evidence here. [10:06.410 --> 10:08.290] Need to know at full disclosure. [10:08.910 --> 10:23.610] The level of expertise that we spoke about, you know, some in seconds, but little or no training. [10:49.540 --> 10:59.900] So as far as UL ratings and other industry standard hardware ratings, point of danger feedback should be everywhere. [10:59.900 --> 11:01.460] And what is enough to be secured? [11:01.460 --> 11:04.020] What's too much or too little? [11:04.500 --> 11:06.440] And what's a security defect? [11:06.440 --> 11:12.940] A manufacturing defect versus an exposed vulnerability. [11:12.940 --> 11:19.640] Because there's a continuum of vulnerability versus a real significant design defect. [11:49.740 --> 11:52.940] Let me even take it farther. [11:53.860 --> 11:57.320] The real question is, who has a need to know? [11:57.320 --> 12:01.060] And let's talk about one of the security releases we did last year. [12:01.060 --> 12:05.500] I found a vulnerability in gun lock, gun trigger locks. [12:05.720 --> 12:11.400] A really serious vulnerability to the point that literally I shot a video in Toronto with an 11-year-old kid [12:11.400 --> 12:15.400] removing three of the most popular gun locks off a rifle in seconds. [12:15.500 --> 12:19.120] Should that vulnerability be disclosed to the public? [12:19.120 --> 12:21.040] Or how should they be warned? [12:21.040 --> 12:26.080] Because at some point, some kid's going to get hurt or killed by removing one of these gun locks [12:26.080 --> 12:30.060] that their parents mistakenly believe provides security on that weapon. [12:30.060 --> 12:33.600] It's a perfect example where there can be tragic results. [12:33.600 --> 12:35.400] Do you disclose it? Do you not disclose it? [12:35.400 --> 12:38.700] When I talked to one of the leading manufacturers in the industry, [12:38.700 --> 12:42.380] who I did some work for a long time ago, they didn't want to disclose. [12:42.380 --> 12:44.780] They didn't think it was a big problem, and they weren't talking about it. [12:44.780 --> 12:48.140] And they haven't to this day, and they continue to manufacture the locks. [12:48.220 --> 12:52.940] And these are major manufacturers that are putting this material out there. [12:52.960 --> 12:56.700] Every hardware store and sporting goods store in the country sells them. [12:56.700 --> 13:00.340] Should that be exposed in the national media? [13:05.270 --> 13:07.270] Okay, and we'll talk about that in a minute. [13:07.330 --> 13:13.450] Because, well, you say yes until you're the parent of a kid that reads a report on the Internet [13:13.930 --> 13:17.890] and then goes and pulls a gun lock off a weapon and shoots one of his classmates, [13:17.890 --> 13:21.170] and then you're going to be coming to me saying, what the hell did you publish it for? [13:21.650 --> 13:24.990] Because my kid wouldn't have known about it if you didn't publish it. [13:24.990 --> 13:26.310] That's the problem. [13:32.050 --> 13:34.590] I agree. We'll talk about it in just a minute. [13:38.930 --> 13:40.250] Right, well, that's the attitude. [13:40.370 --> 13:44.050] Actually, we took the attitude that we didn't publish it directly. [13:44.110 --> 13:49.250] We charged a $3 fee for the report so that you'd have to have a credit card to buy it, [13:49.250 --> 13:53.550] which would eliminate virtually every kid from buying the report. [13:53.550 --> 13:55.910] And that's how we control distribution. [13:55.910 --> 13:59.190] All right, we're going to get some swag out. [13:59.850 --> 14:01.070] Oh, yeah, that's important. [14:01.070 --> 14:04.350] Let's, uh, and R.C. and, uh, ask Bob. [14:08.890 --> 14:11.250] Yeah, that's it. [14:12.650 --> 14:14.950] All right, R.C., now you can answer. [14:16.330 --> 14:20.910] In the hardware, locked and hardware environment. [14:20.910 --> 14:21.990] Okay, there you go. [14:21.990 --> 14:24.910] Here's a copy of Make Magazine for you. [14:25.770 --> 14:28.850] So you're all familiar with the controversy. [14:28.850 --> 14:33.230] When we were in the New York Times two years ago on top-level master key, [14:33.230 --> 14:36.830] as I've referred to it in my disk set, in my book, [14:36.830 --> 14:39.210] extrapolation of the top-level master key. [14:39.210 --> 14:42.230] Very, very serious security vulnerability. [14:42.610 --> 14:47.670] Basically, anybody in an organization that has access to one key to one door [14:47.670 --> 14:52.830] that is on the top-level master key system can compromise that system [14:52.830 --> 14:56.790] unless they have the proper locks installed, they've been coded properly, [14:56.790 --> 15:01.510] and they have the proper restricted type of blank with sidebar coding. [15:01.510 --> 15:03.830] It's a serious, serious problem. [15:03.830 --> 15:07.590] Yeah, so the, uh, the second quote I got from Bob, [15:07.590 --> 15:17.570] about locksmiths being huge up in Arkansas, [15:21.430 --> 15:24.170] and that we compromise national security. [15:24.250 --> 15:26.790] Now, then, of course, they turned around and said, [15:26.790 --> 15:31.470] yes, but every locksmith has known about this for 50 years, so it's no secret. [15:31.470 --> 15:35.070] So, of course, there would be a slight inconsistency in that position, [15:35.070 --> 15:38.970] but it shouldn't have been disclosed notwithstanding everybody knew about it. [15:39.390 --> 15:41.250] Everybody except the consumer. [15:41.250 --> 16:02.240] So, the tubular lock bypass, and then shortly after Hope published information on Weinstadt News, [16:02.240 --> 16:06.660] got some, a little bit of, you know, attention. [16:06.800 --> 16:12.680] It wasn't until an individual took that bypass technique and applied it to a kryptonite lock, [16:12.680 --> 16:20.840] that bike users are, you know, a little bit more crazy than motor users. [16:20.840 --> 16:25.800] Right, well, I can tell you the first two days that we posted that on our website, [16:25.800 --> 16:27.860] we had 100,000 hits. [16:27.860 --> 16:35.720] And I had thousands of emails from security administrators from colleges, governments, hospitals, schools, [16:35.720 --> 16:38.960] wanting to know what to do about their laptop locks, [16:38.960 --> 16:44.940] which escalated into the bike lock issue and into gun locks that use tubular locks. [16:44.940 --> 16:47.600] The problem isn't with the tubular lock. [16:47.600 --> 16:51.940] The problem is with inexpensive tubular locks that aren't designed properly. [16:51.940 --> 17:01.190] Now, as a result of that, and I can talk about kryptonite, they really did the right thing. [17:01.520 --> 17:14.580] They woke up one morning to all the flood of media, and it was sort of, it was a big surprise for them. [17:14.580 --> 17:20.460] And so, they spent a couple days looking at the issue, and then they finally made a corporate decision. [17:20.460 --> 17:26.640] They were going to replace every lock, which I believe was the very responsible thing to do. [17:26.640 --> 17:28.760] Frankly, there wasn't anything else they could do. [17:31.560 --> 17:39.340] They, the management of kryptonite, which is a subcompany of Schlage Lock, [17:39.340 --> 17:42.420] they made the decision to bite the bullet. [17:42.420 --> 17:49.060] They admitted the problem, and they offered a free replacement no matter when you bought your lock. [17:49.060 --> 17:54.040] They, to date, have replaced, to my understanding, about 350,000 of them, [17:54.040 --> 17:58.040] at a cost of about $10 million or more to Schlage. [17:58.200 --> 18:01.840] That is the responsible way to do it, and they've redesigned their lock, [18:01.840 --> 18:04.700] and so now it is a very secure piece of hardware. [18:04.700 --> 18:08.980] In fact, it has a security rating in Europe from the rating agency. [18:09.100 --> 18:11.140] They're not going to be easily broken. [18:11.140 --> 18:27.080] Now, that would never have occurred if, actually, we hadn't released our initial report, [18:27.080 --> 18:34.500] and then one of the bikers picked up on it and described the vulnerability for kryptonite locks, [18:34.500 --> 18:39.100] which have been and are the leader worldwide in the industry. [18:39.100 --> 18:41.100] And so it's a prime example. [18:41.280 --> 18:44.680] You know, the bottom line is don't kill the messenger for the message. [18:44.680 --> 18:50.140] If you have a security defect or vulnerability in your hardware, fix it or don't sell it. [18:50.160 --> 18:51.820] That's really the bottom line. [18:51.820 --> 18:57.120] Now, obviously, a lot of lock manufacturers don't subscribe to that theory, but they should, [18:57.120 --> 18:59.560] and the consumer really dictates that. [18:59.560 --> 19:02.540] Right. So, again, kryptonite clearly did it right. [19:02.560 --> 19:08.500] Other vendors, and we're not going to name names, but, again, engineers could not duplicate. [19:08.500 --> 19:10.500] They couldn't take a big advantage. [19:10.500 --> 19:13.720] For our people, we flexed Krypultra to bypass the lock. [19:13.720 --> 19:14.380] It's amazing. [19:14.380 --> 19:18.520] But I can also tell you that they are, because I'm in contact with a lot of them, [19:18.520 --> 19:21.560] they are implementing design changes that frustrate the problem. [19:21.560 --> 19:24.220] It's actually a very difficult problem to solve. [19:24.220 --> 19:26.520] It's not quite so easy as everybody thinks. [19:26.520 --> 19:31.880] But all of the vendors that I'm dealing with, they are taking a responsible approach now, [19:31.880 --> 19:33.700] and they are solving the problem. [19:34.440 --> 19:37.240] Okay, so bump keys or 999 keys. [19:37.240 --> 19:43.320] This is where a key is cut to its highest position on all the fittings. [19:43.420 --> 19:48.660] The inertia effect against all the pins. [19:48.660 --> 20:01.990] The key is inserted blind, and turn the key and open it. [20:01.990 --> 20:05.890] Yeah, actually, it's Mr. Newton from England, from 300 years ago, [20:05.890 --> 20:08.630] that helped us out on that with his third law of motion. [20:09.030 --> 20:14.350] He just didn't quite foresee it at that time, but that's exactly what it is. [20:14.350 --> 20:17.010] For every action, there's an equal and opposite reaction. [20:17.070 --> 20:22.930] And basically, when you wrap on the pins in a specific way, you create a few milliseconds of gap, [20:22.930 --> 20:24.490] and you can open the lock. [20:24.490 --> 20:30.910] I did some television interviews back at home demonstrating this, [20:30.910 --> 20:33.870] because it is a very big security vulnerability. [20:33.870 --> 20:39.670] Barry Wells has done a lot of work with it in Europe, and there's been a lot of publicity. [20:39.670 --> 20:42.350] Not so much in America yet, but it is a problem. [20:42.350 --> 20:45.450] It's a problem for every standard, conventional pin number lock. [20:45.450 --> 20:48.130] Not for most of the high security locks. [20:48.130 --> 20:50.590] But again, if the public doesn't know about it, [20:50.590 --> 20:55.070] then literally somebody can walk up to your residence door, your business door, [20:55.070 --> 21:00.310] and in two seconds open it with no damage and no real evidence of injury. [21:16.600 --> 21:19.020] Yeah, let me just address that for two minutes. [21:19.020 --> 21:24.300] About seven or eight years ago, I got a phone call from a locksmith in Hawaii. [21:24.500 --> 21:28.640] L-Safe, which is the largest in-room safe manufacturer in the world, [21:28.640 --> 21:35.080] they're owned by the Asa Abloy Group, has over a million safes in luxury hotel rooms, [21:35.080 --> 21:40.240] and virtually all of them are insecure than they were at that time, [21:40.240 --> 21:42.860] although they rated them as a high security safe. [21:43.140 --> 21:45.800] I looked at it, documented the defect, [21:45.800 --> 21:50.220] and frankly had a 16-year-old kid that was working for me in the office for the summer [21:50.760 --> 21:56.600] open it with a screwdriver and a paper clip in about one minute. [21:56.920 --> 21:59.340] And this was brought to the attention of L-Safe. [21:59.340 --> 22:01.720] They really didn't fix it. They didn't acknowledge it. [22:01.720 --> 22:04.080] They didn't acknowledge that I even existed [22:05.020 --> 22:08.820] because of the massive lawsuits that would have flowed from it. [22:08.820 --> 22:12.080] This is a perfect example. Hotel guests have no clue. [22:12.080 --> 22:15.000] I've done a lot of work in the hotel liability area. [22:15.000 --> 22:20.080] A lot of hotel locks are not secure. They should not be relied on. [22:20.080 --> 22:23.340] And the hotels, they're concerned, but they're not concerned [22:23.340 --> 22:27.480] because they have statutory exemption from liability and they have insurance. [22:27.600 --> 22:32.280] And so it's a problem. And again, as a consumer, you ought to be aware of the problem. [22:34.120 --> 22:37.800] So again, as Mark mentioned, we continue to do locks. [22:37.800 --> 22:41.220] That extends across the whole host of applications. [22:41.220 --> 22:48.440] Safes, Harley-Davidson brake locks, J.I.R. keys are compromised with that. [22:48.700 --> 22:49.700] It's huge. [22:49.700 --> 22:54.160] TSA luggage locks. Everybody's using them to lock their luggage when they fly. [22:54.160 --> 22:55.700] They're very insecure. [22:55.880 --> 23:00.580] We put out a security alert and demonstrated how you can take a piece of plastic from a credit card [23:00.580 --> 23:06.300] and open the most popular ones just by sticking a little piece of square plastic in the keyway. [23:06.300 --> 23:07.520] This is not security. [23:07.520 --> 23:13.420] And the real problem in that area is not theft from your luggage because it's easy to rip open luggage. [23:13.420 --> 23:17.920] The real issue, in my view, and I did a magazine article over in Europe on it, [23:17.920 --> 23:23.360] is that contraband can be put into your luggage after you think it's locked. [23:23.360 --> 23:27.520] And if it's not caught in security, then it can be a real serious problem. [23:27.520 --> 23:50.750] And again, Mark, talk about the gun. [23:50.810 --> 23:55.550] Well, multi-lock is a telescoping pin, very high security lock. [23:55.550 --> 23:56.890] They're made in Israel. [23:56.890 --> 23:59.090] I've been to their factory many times. [23:59.090 --> 24:02.230] They're also part of the Assa Abloy group out of Finland. [24:03.170 --> 24:08.890] Eric Michaud actually thought he came up with a compromise. [24:09.710 --> 24:14.370] When you are talking about bypass of locks, especially high security, [24:14.370 --> 24:16.450] one of the criteria is repeatability, [24:17.310 --> 24:22.090] which I don't believe can be shown in this particular bypass. [24:22.510 --> 24:24.710] Opening one lock doesn't mean anything. [24:24.710 --> 24:29.390] Opening all of them or 99% of them reliably within a time frame means a lot. [24:29.390 --> 24:31.950] That has not been demonstrated with multi-lock. [24:31.950 --> 24:33.550] And frankly, I don't think it will. [24:33.550 --> 24:36.750] I've done quite a bit of analysis on their locking system. [24:36.750 --> 24:38.170] It's a very secure device. [24:38.170 --> 24:40.150] But it was published. [24:40.170 --> 24:42.650] And the flip side of this argument is, [24:42.650 --> 24:47.050] it shouldn't have been published until it was truly documented. [24:47.050 --> 24:49.510] Theoretical in the laboratory is one thing, [24:49.510 --> 24:52.470] but you don't cause a manufacturer problem [24:52.470 --> 24:58.630] or you don't cause the public a security concern unless you can document it. [24:58.630 --> 25:01.770] And so that really is the flip side of this argument. [25:01.770 --> 25:04.190] All right. [25:04.190 --> 25:08.410] So, you know, we're really looking to empower you with your experience, [25:08.410 --> 25:14.070] your vulnerability exposures, to go out there, to look at hardware, [25:14.070 --> 25:27.060] and get all the information out there. [25:27.060 --> 25:28.800] There's a lot of material on the net. [25:28.800 --> 25:31.540] There's some on our website that's publicly available. [25:31.640 --> 25:33.200] A lot of it's restricted. [25:33.380 --> 25:36.180] But there's a lot of material out there. [25:36.180 --> 25:38.440] You really have to understand these systems. [25:38.440 --> 25:41.620] And again, it all comes down to what is your need to know, [25:41.620 --> 25:43.880] which is where I think we ought to begin this discussion. [25:43.960 --> 25:48.200] What is your need to know from manufacturers about vulnerabilities? [25:49.480 --> 25:52.040] So if you want to come up, I'll bring a mic down. [25:53.620 --> 25:55.880] And I think we ought to start off, [25:55.880 --> 25:58.420] what do you all think about the gun lock issue? [25:58.420 --> 26:01.080] And should we have disclosed it? [26:01.960 --> 26:04.640] I thought that's almost unanimous. [26:04.640 --> 26:07.540] Anyone for a free copy of LSS Plus? [26:08.280 --> 26:09.520] Come on up! [26:10.680 --> 26:11.960] I'm about to ask you a question. [26:11.960 --> 26:13.740] Actually, Matt, maybe they ought to come up afterwards, [26:13.740 --> 26:16.980] because otherwise it's going to take time into the presentation. [26:18.620 --> 26:21.240] Maybe they ought to come up to get CDs afterwards. [26:21.240 --> 26:22.100] Yeah, we'll do CDs afterwards. [26:22.100 --> 26:25.760] Why don't we do this at 10 to 11 so that we don't take time into this? [26:26.200 --> 26:30.240] Can you comment on electronic access control systems at all? [26:31.120 --> 26:31.920] Vulnerabilities? [26:32.220 --> 26:36.660] Can you comment on the vulnerabilities of electronic access control systems? [26:36.660 --> 26:45.820] Actually, I just did a survey study of all of the access control technologies for one of the government agencies. [26:46.260 --> 26:50.660] Some of them are secure. Some of them are marginally secure. [26:50.660 --> 26:54.020] There's been a lot in the media about how things can be compromised. [26:56.060 --> 27:05.900] Yeah, the real question is, if there's a security vulnerability on the electronic side, should it be published? [27:06.460 --> 27:07.920] What's your attitude? [27:10.540 --> 27:12.880] Okay, so should it be published? [27:17.250 --> 27:18.870] That's exactly correct. [27:18.870 --> 27:21.070] But the question is, should it be published? [27:23.370 --> 27:25.950] Yeah, you didn't have to use the microphone. [27:25.950 --> 27:31.710] I believe it should be, but manufacturers should be given some disclosure period so that they can react to it. [27:31.710 --> 27:36.950] Yeah, that is the responsible way to do it, unless national security is involved. [27:37.190 --> 27:44.830] Yeah, I mean, most manufacturers, us included, are working on preventing these things from coming out with new technologies. [27:44.870 --> 27:48.890] And it would be unfair for it to be disclosed before we had a solution to the problem. [27:48.890 --> 27:51.430] No, no, I agree with that. Okay, next question. [27:54.130 --> 27:57.570] Hello, my concern is... [27:57.570 --> 27:58.710] You have to speak up. [27:58.890 --> 28:08.350] My concern is with the HID card systems that I installed, just about every server room I had a chance to work in. [28:08.570 --> 28:15.010] And to date, I have not seen any published reports, any vulnerabilities on the system. [28:15.010 --> 28:20.890] I'm sure they exist, but what I'm basically concerned about is electronic systems. [28:20.890 --> 28:25.870] Well, obviously, Matt, maybe you should address that, but the old systems obviously were compromised. [28:25.870 --> 28:29.630] The newer ones are a little bit more difficult. Matt? [28:29.630 --> 28:35.910] So HID has their traditional proximity-based cards have been compromised. [28:35.910 --> 28:39.230] There is public information out there to duplicate a card. [28:39.550 --> 28:45.350] The new HID I-class cards defeat that capability. [28:45.350 --> 28:49.490] But there is publicly available information on the HID cards. [28:50.350 --> 28:51.230] Next. [28:53.130 --> 28:59.430] What do you think about a peer-review system like they do in scientific journals for lock security? [28:59.430 --> 29:00.090] Say that again? [29:00.090 --> 29:06.250] So in scientific journals, what they do is they sort of publish them and let everyone verify before it's considered good. [29:06.250 --> 29:08.310] Do you think that might apply well to lock? [29:08.310 --> 29:11.090] I think that happens on the internet about locks. [29:11.090 --> 29:16.510] It's just that it can really cause a manufacturer problem if you publish that there's a vulnerability. [29:16.510 --> 29:22.430] Well, I mean, do you think we could sort of engineer a place where you could publish a possible vulnerability and people wouldn't lose their head? [29:22.430 --> 29:25.370] I don't think... see, I think that would be all right. [29:25.670 --> 29:32.570] My theory and Matt's theory in all this is the more people that are looking at locks, the better. [29:32.570 --> 29:36.130] Because all it can do is improve the end product. [29:36.270 --> 29:39.370] There's a lot of sports lock-picking clubs in Europe. [29:39.530 --> 29:44.570] I go to some of them and routinely visit with them, speak and learn. [29:44.570 --> 29:48.290] They're just starting in America, and Matt can address that more. [29:48.390 --> 29:55.490] But I think it's a good thing because there are engineers, lawyers, doctors, teachers, kids, housewives. [29:55.730 --> 29:58.510] To pick a lock is an intellectual challenge. [29:58.510 --> 30:00.050] It's not just mechanical. [30:00.130 --> 30:01.750] To me, it's much better than chess. [30:01.750 --> 30:03.650] I've been doing it since I was 15. [30:03.770 --> 30:05.190] And it's intriguing. [30:05.190 --> 30:07.510] In fact, I'm doing a new book on the subject. [30:07.590 --> 30:10.770] And it is really intriguing. [30:10.770 --> 30:18.190] And so the more people that are looking at locks and finding potential exploits, in my view, the better. [30:18.190 --> 30:20.970] And the responsible manufacturers will agree with me. [30:20.970 --> 30:26.770] They want the input because at the end of the day, they want to make the best locks possible. [30:26.770 --> 30:28.130] End of story. [30:28.490 --> 30:29.270] Next. [30:30.050 --> 30:36.690] Briefly, lockpicking101.com is the definitive source for information. [30:36.690 --> 30:41.570] They've started some lock sports organizations. [30:41.630 --> 30:46.330] There's one in Europe that very well runs its tool, tool.nl. [30:46.330 --> 30:48.730] I think the URL was in the presentation. [30:49.410 --> 30:51.910] But lock sports are picking up. [30:51.910 --> 30:54.350] Clearly, we have the lockpicking competition here. [30:54.770 --> 30:55.930] It's a blast. [30:55.930 --> 30:57.010] It's a lot of fun. [30:57.990 --> 31:03.070] So I'm curious to get the thoughts on going back to the tubular gun lock issue. [31:03.070 --> 31:11.810] If you remove as far layers as you want to go, that also includes, say, store locks to gun stores. [31:13.210 --> 31:17.810] Given the number of lawsuits that have come against gun manufacturers for what has happened, [31:17.810 --> 31:23.090] do you believe there will be a change before there's a lot of lawsuits against gun lock manufacturers for the same thing? [31:23.090 --> 31:23.850] No. [31:23.850 --> 31:26.890] You know, it depends if they're negligent. [31:26.890 --> 31:30.350] If it was purely a negligent design, yes. [31:30.350 --> 31:40.990] The real problem in lockpicking and decoding and impressioning is one of expertise and skill level and time and tools required. [31:41.150 --> 31:50.790] If a 10-year-old kid can open a gun lock by wrapping it on the floor or sticking an ice pick into it, [31:50.790 --> 31:55.430] which is what I demonstrated, and pop it off the weapon in two seconds, [31:55.430 --> 31:59.830] I think they're going to get sued if somebody gets hurt or killed. [32:00.930 --> 32:05.070] It's a defective manufacturer and they all copied each other's defects. [32:05.250 --> 32:08.530] If it's more esoteric than that, no. [32:09.090 --> 32:16.670] Well, the reason why I mention that is a lot of the lawsuits that have been against manufacturers of guns have just been because of guns. [32:16.670 --> 32:17.750] Yeah, that's right. [32:17.770 --> 32:27.010] And so, going along those lines, if we do end up with something like a mandatory gun lock law, which could happen, [32:28.150 --> 32:35.790] given the fact that the locks actually work and you're still able to use a weapon, do you see that going down the bad path? [32:35.790 --> 32:42.390] Yeah, I mean, if the gun locks work, and I'm dealing with some manufacturers in Europe on this issue, [32:42.390 --> 32:48.930] if they work and then there's a defect and you're able to fire the weapon, it puts them a lot closer to liability. [32:49.930 --> 32:54.250] I'm not sure I... gun locks are a really complicated problem. [32:54.990 --> 32:55.990] Next. [32:57.610 --> 33:04.750] In the American patent system, we're dealing with software now, and it's stifling innovation left and right. [33:04.750 --> 33:14.570] I was wondering about your opinion on whether or not the American patent system is stifling or helping innovation in the creation of locks, and better locks. [33:15.010 --> 33:21.730] Yeah, I think it's helping. I mean, look, if you're inventive and create something that is unique and provides security, [33:21.730 --> 33:24.990] and some of them do, some of them don't, the patent doesn't guarantee security. [33:25.150 --> 33:31.970] I think our system rewards you for that, but it gives you a monopoly on that product for 20 years. [33:33.310 --> 33:37.710] Every major design defect in locks is described as patentless improvement. [33:38.130 --> 33:46.250] And so I've done a lot of research in the U.S. and in the patent offices to find out vulnerabilities from when I write books. [33:46.410 --> 33:49.450] And so, you know, it's a positive thing. [33:49.450 --> 33:53.990] So harder designs actually do make it into multiple vendors of locks. [33:54.170 --> 34:03.310] Yeah. Oh, sure. Yeah, look, there's nothing new in locks. Everybody copies everything and modifies it for patents. Yes, sir. [34:03.310 --> 34:12.230] Hi, you mentioned the full disclosure of 7 cases of national security. [34:12.290 --> 34:17.750] If you found out that some government organization was using a certain brand of lock, do you know about the users? [34:17.750 --> 34:20.330] You know, this audio system is not really good. [34:21.010 --> 34:27.110] If you found out that some government organization, you know, like some base was using a certain brand of lock [34:27.110 --> 34:31.430] and you knew there was a streaming vulnerability and you brought it to, you know, [34:31.430 --> 34:40.290] either the attention of security forces or someone in charge of security on the base or organization, [34:40.290 --> 34:44.790] and they didn't do anything about it, I mean, how do you normally handle that? [34:46.150 --> 34:55.390] Well, that's a real judgment call. I've brought vulnerabilities to GSA's attention and did not publish them upon their request. [34:55.510 --> 35:00.510] Even though their first comment was, if it's not covert, we don't care. [35:00.510 --> 35:03.490] If you have to drill a hole in the lock, we don't care. [35:03.490 --> 35:07.270] I said, okay, we're going to publish it. No, you're not. Why not? [35:07.270 --> 35:09.810] Well, because it's a security problem. [35:09.810 --> 35:16.050] Well, but these locks are used in the banking industry and everybody ought to know about it. [35:16.050 --> 35:20.090] No, they really shouldn't know about it, and if you publish it, we'll classify it. [35:20.270 --> 35:22.390] Now, that was the government's response. [35:22.390 --> 35:25.570] I wasn't afraid of their response because I don't think they could sustain that, [35:25.570 --> 35:34.370] but I didn't publish it because it was a responsible thing to do about five years ago. [35:37.030 --> 35:40.890] Regarding the situation where you disclosed to the manufacturer first, [35:40.890 --> 35:44.770] before the public giving them a chance to do like what Kryptonite did, [35:45.310 --> 35:49.210] what kind of turnaround time is reasonable for a manufacturer to be able to... [35:49.210 --> 35:53.790] Oh, I think Kryptonite was pretty reasonable. They did it in, like, two months. [35:53.850 --> 35:54.330] Really? [35:54.330 --> 36:01.910] Yeah. They had a huge problem, and they acknowledged it, and they fixed it. [36:01.910 --> 36:05.390] I mean, they did what they were supposed to do, and it cost them $10 million to do it. [36:05.430 --> 36:08.690] And with no questions asked, you know, they didn't depreciate the... [36:08.690 --> 36:12.650] If you had had that lock for 10 years, they still gave you a new one. [36:12.670 --> 36:16.390] They didn't depreciate the value like your insurance company would do on your homeowners [36:16.390 --> 36:20.490] and say, well, that lock's only... you know, you paid $100 for it, but it's only worth $25, [36:20.490 --> 36:23.670] so now we're going to give you a coupon for $25 to go buy a new one, [36:23.670 --> 36:25.850] which would have been a marketing bonanza for them. [36:25.850 --> 36:27.670] They didn't do that. They just replaced it. [36:27.670 --> 36:31.350] They said, hey, you know, send us your lock or send us proof, we'll send you more. [36:34.150 --> 36:40.710] I don't know if they... I don't know if they probably not. I don't know. [36:40.710 --> 36:45.130] But they do have a better lock now. It's a tough lock. [36:46.230 --> 36:52.490] I understand your argument about defective, you know, being something that maybe a 10-year-old could open [36:52.490 --> 36:57.830] versus a skilled person, but, you know, I don't have any 10-year-olds running around my corporation, [36:57.830 --> 37:03.230] and if I go to buy a lock to lock the data center door, you know, I want to be... [37:03.230 --> 37:08.430] I think as a consumer, I'm surprised that the Consumer Product Safety Commission or somebody else [37:09.130 --> 37:16.870] wouldn't go after manufacturers because, you know, we've had Firestone for the Ford tires on the SUVs. [37:16.870 --> 37:20.290] People got killed. [37:20.290 --> 37:27.310] You know, I mean, if I lock my house and a skilled burglar comes in and murders me, you know, I'm killed. [37:27.650 --> 37:32.610] Vioxx, the anti-arthritis drug, it was, you know, clearly uncovered that they knew there was a problem [37:32.610 --> 37:36.430] and swept it under the rug, and they're being punished for that fact. [37:36.950 --> 37:38.730] Will this happen in the lock industry? [37:38.730 --> 37:41.850] I don't think so. It's a different set of problems. [37:41.850 --> 37:48.610] And frankly, the problem is, in all those cases you've named, you're not dealing with criminal actions. [37:48.610 --> 37:56.930] Here you're dealing with somebody that's violating the law, and you really can't control that other than criminal statutes. [37:56.930 --> 38:03.390] That's the sanction. And so the real question, again, that nobody's really addressed yet is, [38:03.390 --> 38:08.190] what's your... how much information do you think you ought to be entitled to from the lock manufacturer, [38:08.190 --> 38:10.090] and who ought to be entitled to it? [38:10.090 --> 38:14.930] But isn't the lock's sole purpose to prevent criminal action in some ways? [38:14.930 --> 38:22.790] Yeah, that's true, but... yeah, I agree, but it's a little more complicated. [38:26.410 --> 38:30.330] That's right. Now, they're trying to sue the gun manufacturer. [38:32.610 --> 38:36.590] Right. Well, yeah, okay, but that's not going to go anywhere. [38:36.990 --> 38:38.990] Next question, because we're running out of time. [38:40.470 --> 38:48.830] Instead of waiting for a lock manufacturer to invest marketing dollars and then pissing them off by releasing a security breach, [38:48.830 --> 38:56.270] do you think the manufacturers would consider almost like a hardware open-source review of their design before going to market? [38:56.450 --> 38:59.470] Why not? No. [38:59.470 --> 39:00.910] But isn't it better than... [39:00.910 --> 39:07.270] Well, first of all, until they receive a patent, they're not going to publish anything. That's the way things work. [39:07.270 --> 39:12.890] And, I mean, part of the security of locks is you not knowing how they work. [39:12.970 --> 39:15.910] But didn't you just prove security by obscurity doesn't work? [39:15.910 --> 39:19.210] Yeah, well, actually, I prefer to call it security by ignorance. [39:19.750 --> 39:26.210] And that's really what it is, because, look, if you're a security manager, IT professional, [39:26.210 --> 39:31.110] you're charged with a physical security responsibility as well as logical security. [39:31.110 --> 39:41.450] You can't make the risk assessment in your organization unless you know what the bypass techniques are and are shown what those are. [39:41.550 --> 39:47.970] If they'll tell you that, I don't have a problem with their policy. I don't think we ought to be telling criminals how to bypass locks. [39:47.970 --> 39:55.590] If you have a need to know because you have a protection responsibility, I think you have a right to know everything about that lock. [39:55.590 --> 40:06.390] Now, unlike software and Bill Gates and everybody who doesn't give you the code, if you're smart, you can take a lock and it'll tell you everything about itself. [40:06.470 --> 40:10.070] So if you're smart enough to figure it out, the information is there anyway. [40:10.110 --> 40:13.430] But I think you have a right to know that information. [40:13.850 --> 40:17.950] How can you differentiate between a consumer and a possible criminal? [40:17.950 --> 40:26.150] Well, that's a real good question because if the consumer relies on his locksmith or their locksmith as their security professional, [40:26.150 --> 40:31.990] then no problem. Let the security professional say, look, yeah, there's a vulnerability. You don't need to know what it is. [40:31.990 --> 40:37.130] I mean, my mother, she puts new locks on their house. She doesn't need to know how to pick them or open them. [40:37.130 --> 40:42.870] She just needs to know, is it secure and how long would it take a competent burglar to open it? [40:42.870 --> 40:47.890] Well, first of all, burglars don't open locks by picking them. They use a crowbar or a brick. [40:47.970 --> 40:50.590] Ninety-nine percent of the burglaries are done that way. [40:50.590 --> 40:57.450] We're talking about more sophisticated burglaries and information theft and compromise of data and that type of thing. [40:57.770 --> 41:05.190] Just a quick question about, you were saying that 50 years they knew how to circumvent the tumbler lock. [41:05.190 --> 41:10.030] And I'm wondering if the information space in lock picking is a lot tighter than information security [41:10.030 --> 41:12.990] because 50 years the public hasn't heard about this. [41:12.990 --> 41:16.710] Honestly, they really haven't. It's really quite amazing. [41:16.710 --> 41:22.290] This has been around for a long, long time, especially on plum keying and on master keying. [41:23.150 --> 41:26.870] A lot of folks know about it. The locksmithing community was aware of it. [41:26.870 --> 41:30.830] The problem was they weren't telling their end-user customers. [41:30.830 --> 41:35.970] A lot of them didn't understand it. So the end-user customer had no way to assess their risk. [41:35.970 --> 41:41.250] So the second part of the question I had is, for the kryptonite locks, I don't know a lot about locks, but I know about bytes. [41:41.250 --> 41:47.890] And I haven't seen, before this vulnerability was published, anyone whose kryptonite lock ever was really knocked open. [41:49.410 --> 41:52.250] I'm sure there are, but I'm wondering if you have any statistics. [41:52.410 --> 41:58.110] Actually, what we published, a variance of that was published about 10 years before in the UK. [41:58.110 --> 41:59.690] Nobody paid any attention to it. [42:00.550 --> 42:06.310] If you understand lock-picking theory and impressioning theory, then it's a real simple deal. [42:10.710 --> 42:13.830] Going to travel locks for a second. [42:13.830 --> 42:24.910] About 10 years ago, actually maybe 12 or 13, we had an attempt by the government to put something into place called Keyestro in cryptography. [42:25.970 --> 42:32.650] Would you consider the quote-unquote TSA safe locks to be a form of physical Keyestro? [42:33.730 --> 42:37.330] No. First of all, they're $10 cheap locks. [42:37.330 --> 42:39.990] And the problem is the public doesn't understand that. [42:39.990 --> 42:41.890] They think they're buying security. [42:41.890 --> 42:43.790] And it's a matter of convenience. [42:43.790 --> 42:45.130] Look, you have two choices. [42:45.130 --> 42:49.970] If you want to lock your luggage to prevent pilfering, allegedly, [42:49.970 --> 42:53.790] then you put a lock that TSA can get into, because otherwise they're going to cut the lock, [42:53.790 --> 42:56.710] because they have a legitimate interest in seeing what's in your luggage. [42:56.710 --> 42:57.230] End of story. [42:57.230 --> 42:59.310] I mean, that's why TSA locks were developed. [42:59.510 --> 43:06.170] A trade organization got all the lock manufacturers together, established criteria for five different kinds of locks [43:06.170 --> 43:11.990] that all have master keys or a bypass key that TSA can get into. [43:12.050 --> 43:13.370] And that's their sole purpose. [43:13.370 --> 43:17.150] But isn't that a... that's not a form of Keyestro? [43:17.150 --> 43:21.290] It's not a form of giving them, here's the pattern for the key to get into the lock? [43:21.290 --> 43:22.950] In that regard, yeah. [43:22.950 --> 43:27.290] But I don't think anybody's going to disagree that TSA doesn't have the right to check your luggage. [43:27.290 --> 43:28.430] No, I'm not disagreeing with that. [43:28.430 --> 43:29.310] I'm just saying that this is... [43:29.970 --> 43:30.310] Yeah, maybe. [43:30.310 --> 43:32.330] I mean, it's a loose parallel. [43:33.110 --> 43:34.790] I don't think it's exact. [43:35.370 --> 43:36.090] Okay. [43:36.090 --> 43:36.430] Yeah. [43:36.430 --> 43:37.190] All right. [43:39.070 --> 43:40.230] Yeah, actually, I would just... [43:41.250 --> 43:45.290] I travel a lot, and I would recommend, instead of using a lock, use a penetration tag. [43:45.290 --> 43:47.350] Use, like, the little wire tags or something like that. [43:47.350 --> 43:49.530] Because at least that way you know if somebody broke into the bag. [43:49.810 --> 43:51.110] You tagged it. [43:51.110 --> 43:53.210] You know when you pull it... [44:01.510 --> 44:05.030] Well, it's not TSA that I'm worried about sticking something back in there. [44:05.030 --> 44:05.690] They'll steal it. [44:05.690 --> 44:06.950] They won't put it back in. [44:08.450 --> 44:10.350] Well, that's been documented. [44:10.350 --> 44:11.490] There's been lots of arrests. [44:11.490 --> 44:16.650] The problem is your hotel porter in London putting something into your locked luggage that you don't know is there, [44:16.650 --> 44:22.330] either narcotics or explosives or whatever, and you think you're okay because it was locked. [44:22.330 --> 44:24.050] That's where I think the problem is. [44:24.290 --> 44:26.130] We've got time for one more quick question. [44:26.130 --> 44:26.570] Yeah. [44:32.250 --> 44:36.750] I'd love to do something with it. [44:36.750 --> 44:38.650] I had some media interest, but nobody... [44:38.650 --> 44:39.470] It's America. [44:39.470 --> 44:40.590] Nobody does anything. [44:40.590 --> 44:42.570] I think it's a great idea, though. [44:43.370 --> 44:44.630] Are we out of time, Matt? [44:44.630 --> 44:45.590] Yeah, we're out of time. [44:45.870 --> 44:47.190] Thank you very much. [44:49.970 --> 44:50.650] Pleasure.