Security threats soar in 2005

Nearly 16,000 new viruses, worms and Trojans have appeared in 2005, but criminals are moving their focus to niche targeted groups with specially customised malware to steal data and cash.

The Register reports (7 December) that Tthe huge increase in the number of malware programs stems from the activities of criminal gangs intent on using trojans, worms and viruses to make a profit, according to a new report from anti-virus software firm Sophos, entitled the Security Threat Management Report 2005.

These gangs have been focusing their efforts on a smaller number of victims, who are targeted with customised malware, so that the creators of the virus can evade the attentions of anti-virus software vendors and security providers.

"Internet criminals may be turning their back on large scale attacks not only because they do not wish to draw attention to their efforts, but also because they cannot practically handle the amount of stolen data they might receive if they infected hundreds of thousands of computers in one day," the report noted.

According to The Register, a report published in November 2005 by Financial Insights, an IDC company, estimated that global financial institutions lost US$400 million in 2004 due to phishing schemes. Phishing is a system whereby scammers send an email, purporting to be from their financial institution, which induces them to reveal their online banking details.

Instead of going for the large financial institutions, cyber criminals are now engaging in what has been dubbed "puddle phishing", where they target a smaller financial institution that may only have a few branches.

The Register says that another phishing phenomenon is the "spear phishing" practice, where attackers will target employees in a specific company in an attempt to gain passwords and usernames to access confidential data.

Because these attacks are so targeted, the most dangerous viruses are unlikely to be included among the top-10 most common viruses, which anti-virus vendors issue to raise security awareness among internet users.

According to The Register, while all of the top ten threats are Windows-based worms, the number of Trojan horses written during 2005 outweighs worms by a ratio of two-to-one.

In 2005, the Zafi-D virus has topped the Sophos list as the most prevalent virus on the internet. The most prevalent virus in 2004, Netsky-P, has dropped to second place this year. Sober-Z - which was only unleashed in November 2005 - has already climbed to third place as it continues to disrupt and clog networks worldwide, The Register reports.

The other viruses in the top 10 were Sober-N, Zafi-B, Mytob-BE, Mytob-AS, Netsky-D, Mytob-GH, Mytob-EP.

{mospagebreaktitle=Open-Source browser's new version loaded with options}Open-Source browser's new version loaded with options

The New York Times reports (8 December) that the Firefox web browser hit a milestone last week with the release of version 1.5 in Mac, Windows and Linux flavors. It has graduated from its hacker roots and turned into a powerful, fast and easily customizable browser that anyone can use, says tbe newsaper.

According to the NYT., the latest release of Firefox improves speed and stability, allows changes in the order of sites opened in tabs, and offers many other improvements. One valuable new feature for those browsing on shared computers - or at work - is a one-click "Clear Private Data" function that flushes out any record of browsing, downloading or saved passwords.

Thousands of programmers under the guidance of the Mozilla Foundation have looked into every nook and cranny of Firefox's open-source code to improve it and streamline it. Many others have created themes, which change the browser's appearance, or extensions, which add all sorts of features.

{mospagebreaktitle=Microsoft ordered to make changes to Windows}Microsoft ordered to make changes to Windows

Microsoft was ordered to separate its instant messaging service from its Windows software and allow rival products on its system in South Korea after losing an antitrust case on Wednesday.

Reuters reports in The new York Times that the US software firm, which was also fined about US$32 million, said it would appeal the decision by South Korea's Fair Trade Commission (FTC) but did not plan to make good on a threat to withdraw its Windows operating system from the country.

The ruling, which resembles a 2004 European Commission decision, held Microsoft breached antitrust laws by selling a Windows version that incorporated its instant messaging software.

Analysts said the ruling would have limited ramifications beyond South Korea, reports Reuters.
 

{mospagebreaktitle=US study says 1 in 4 get phony e- mails}US study says 1 in 4 get phony e- mails

About one in four internet users is hit with e-mail scams every month that try to lure sensitive personal information from unsuspecting consumers, a study says.

Reuters reports in The New York Times (7 December) that the survey in the US found that, of those receiving the phony e-mails, most thought they might be from legitimate companies -- seven in 10, or 70 percent, were fooled by the e-mails.

The study released Wednesday by America Online and the National Cyber Security Alliance looked at internet security and ''phishing scams.''

The NYT says that phishing refers to e-mails that appear to come from banks or other trusted businesses and are used to induce recipients to verify their accounts by typing personal details, such as credit card information, into a web site disguised to appear legitimate.

The study found nearly three-quarters of those surveyed, 74 percent, use their computers for sensitive transactions such as banking, stock trading or reviewing medical information.

The newspaper reports tha AOL  said too many people still don't have adequate computer security to guard against viruses, hackers and other threats. The study found 81 percent of home PCs lacked at least one of three critical protections -- updated antivirus software, spyware protection and a secure firewall.

The researchers conducted in-home interviews with more than 350 internet users nationwide in the US., with the researchers also reviewing the e-mails received by those households.

{mospagebreaktitle=Study predicts 100 million India web users}Study predicts 100 million India web users

The number of internet users in India will shoot to 100 million in two years from the current 38.5 million, an industry study said.

The Associated Press reports in The New York Times (7 December) that the number of internet users has soared 54 percent from 25 million users in 2004-2005.

The catalyst for this growth was the rise in online shopping for airline and rail tickets, books and home appliances, Preeti Desai, president of the Internet and Mobile Association of India, said Wednesday.

AP reports that Desai said the forecast was based on increasing use of e-commerce and online communication.

The e-commerce market was likely to grow to rupees 23 billion (US$511 million) by 2006-2007 from the present rupees 11.8 billion (US$262 million), the trade group study said.

{mospagebreaktitle=Time Warner's chief says AOL not for sale}Time Warner's chief says AOL not for sale

Time Warner is in discussions about finding a partner to boost advertising revenue at its America Online unit -- but AOL is not for sale, Chief Executive Dick Parsons said Tuesday.

''We are not interested in selling AOL,'' Parsons said at a press briefing before a speech in Los Angeles.

The Associated Press reports in The New York Times (7 december) that Time Warner is negotiating with different parties about a deal that could help AOL's transition from a business that relies on paid subscriptions to one that makes money based on advertising revenue, Parsons said.

The AP report says that a Time Warner executive involved in the negotiations, who asked not to be identified because discussions are ongoing, said the company is still talking to both Microsoft and Google about potential deals involving AOL. Yahoo last month removed itself as a potential partner.

The discussions with Microsoft and Google have included the potential for one of the firms to take a stake in AOL, but the person said the discussions are now focusing on simpler arrangements that would involve collaborating on online advertising.

According to AP.,Google already has a partnership with AOL to provide search results. That arrangement accounted for 10 percent of Google's revenue in the first nine months of 2005 though that figure has declined from previous years as Google's overall business has expanded.

{mospagebreaktitle=Songwriters challenge UK online royalty rate}Songwriters challenge UK online royalty rate

In the UK., composers and songwriters have set out their case for an increased royalty rate for the sale of music downloads and challenged record companies to disclose the monies they make from the sale of internet downloads.

The Register reports that the musicians were responding to a legal action filed by record label trade group the British Phonographic Industry (BPI) in June.

That claim, filed with the UK Copyright Tribunal, sought to challenge licence terms set out by music publishers and composers for the use of their compositions on the internet and on mobile devices.

According to The Register, in 2002, music publishers and composers, acting through trade association The Music Alliance - a joint venture between the UK licensing and collecting societies MCPS (Mechanical-Copyright Protection Society) and PRS (Performing Right Society) - approved a Joint Online Licence, allowing online music providers to obtain a licence for performing and mechanical rights in one easy step.

But the licence imposes a rate of 12% of gross retail revenues on nearly all online music offerings (subject to a temporary discount to 8%).

The Register says that the UK's leading online music services and the BPI, representing more than 300 UK record labels, have taken exception to the tariff, and in June filed a complaint with the Copyright Tribunal.

The Music Alliance filed its response to the claim on Friday, explaining that composers and songwriters currently earn around 5p from the sale of a download. BPI proposals would see them earning 2½p. In contrast, record companies keep 40-50p from the same sale, it says.

The Music Alliance proposes that, as of 1st January, composers and songwriters receive 7-9p per download, to bring their earnings in line with those they might have received in the past, reports The Register.

The Register says that this compares with publishing royalties on physical products, such as CDs, which stand at 6.5 per cent of retail price (or 8.5 per cent of the published wholesale price) and broadcast radio rates, which range from 3- 5.25 per cent of net advertising revenues.