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Ransomware 101: What is ransomware?
17th June 2024 • The Backup Wrap-Up • W. Curtis Preston (Mr. Backup)
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ATR2500x-USB Microphone & Logitech BRIO: Today on the backup wrap up, we're

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starting a new series on ransomware.

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Today's episode starts at the beginning by defining the scourge.

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What is it?

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What isn't it?

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Uh, and why it's become such a massive threat to businesses and individuals.

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We'll talk about the evolution of ransomware attacks from

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simple data encryption to sophisticated extortion schemes.

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And discuss the critical importance of prevention and recovery strategies.

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In the coming weeks, you'll see many more episodes on this topic.

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As we focus, especially on how to prepare yourself, to be able to respond

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and recover from a ransomware attack.

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By the way, if you have no idea who I am.

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I'm W.

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Curtis Preston.

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AKA Mr.

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Backup.

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And I've been passionate about backup and recovery for over 30 years.

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Ever since I had to tell my boss that there were no backups of Paris.

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I don't want that to happen to you.

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And that's why I do this.

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On this podcast, we turn unappreciated backup admins into cyber recovery heroes.

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This is the backup wrap-up.

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W. Curtis Preston: Welcome to the backup wrap up.

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I'm your host, w Curtis Preston, AKA, Mr.

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Backup, and I have with me the person who's helping me to celebrate

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my financial freedom from the IRS.

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How's it going?

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Persona.

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I am doing well, Curtis.

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Yeah, congratulations.

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How does it feel to get, what would you call it, uh, the 10

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ton elephant off your back?

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Is that the

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W. Curtis Preston: Yeah.

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Yeah.

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So for those that don't know, like through various things that weren't malfeasance

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on my part I have owed the IRS money.

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For the better part of 10 years, two different totally unrelated

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events I ended up owing them money and I've been paying them, uh, slowly

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and surely for somewhere in the neighborhood of the last 10 years.

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And the literally May 1st I.

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Made the last payment.

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And so for the first time in my fifties, I don't, I don't owe the IR Rs any money.

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Um,

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be in your fifties than your eighties,

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W. Curtis Preston: yeah, that is true.

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That is true.

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That is true.

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I don't recommend owing the IRS money.

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They get theirs for sure.

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Yeah.

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W. Curtis Preston: Anyway, um, so I wanted for, we've, we've finished

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our series on cloud disasters and we had the one episode on.

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The A cloud non-disaster.

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It was a cloud disaster that had a good, happy ending.

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Um, and I wanted us to get back to something else that has been very

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popular with our listeners, which is this, the concept of ransomware.

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If you are, um.

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You know, a new listener to the podcast.

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We have covered ransomware in various ways over the years, and you're going to,

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uh, this episode will actually follow up.

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I'm going to be, if you're listening to this now, the previous few episodes will

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actually be reruns, if you want to call them, of, of, of really good episodes

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where we had guests on that really know.

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This, uh, issue of, of, of ransomware and recovering from ransomware.

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And so I wanted to, um,

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Do you

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W. Curtis Preston: we're gonna follow up.

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What's that?

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are you gonna put Tony's episode out?

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W. Curtis Preston: Uh, oh, you know what?

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Yeah.

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Uh, yeah.

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Now that I realize who you're talking about, yes.

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I will definitely put Tony.

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So, uh, you know, that's probably was the most popular episode that

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we had of that timeframe, which was, uh, our friend Tony over at, uh,

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SPECT Logic and them talking about.

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How they actually recovered from a ransomware attack.

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And, um, and we'll, we'll have some stuff coming up where we're

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gonna be talking about ransomware and different things about how to

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protect from it and how to, uh, more importantly, how to, I don't know.

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More importantly, it's just.

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So many people talk about how to protect from it.

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They don't talk enough about how to respond to it and how to recover from it.

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And that's where, uh, you know, our specialty lies.

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But I Go ahead.

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You know what I just read in the paper, or not

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the paper, what I read online today.

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So insurance companies are now trying to not have companies pay the ransomware

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and just sort of keep this self.

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Propagating, uh, issue.

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Keep going.

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And so they're actually working to not, or to tell their

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clients, don't pay the ransom,

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W. Curtis Preston: Yeah, which is something we've always advised, right?

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We can't make that decision on behalf of those, uh, people.

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But obviously it's not a good thing to pay the ransom, right?

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In some places it may be illegal to pay the ransom.

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In other places and well, and in all places.

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I think it emboldens the behavior.

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Right.

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And you're

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I liken it to my dog where it's like, if you want

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him to do something, you give him a treat and then he keeps doing it

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because he keeps expecting the treat and he knows he'll get a treat.

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W. Curtis Preston: Exactly, uh, yeah, there's a lot of

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reasons not to pay the ransom.

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So let's, let's just start with, I.

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Just talking about what ransomware is and just as importantly what ransomware isn't.

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So ransomware, um, and, and I'm gonna start with saying

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that it's, it's a bad term.

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Right.

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The, the term ransomware suggests that it's software.

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It, it suggests that it is a piece of software that you accidentally

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get and boom, you have ransomware.

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And that's actually what I thought in my early days of, of working with ransomware.

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If you click the wrong link And then all of a sudden it

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encrypts

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everything.

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yeah,

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W. Curtis Preston: And, and that isn't really what it is, or at least not from

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what I can tell, uh, most of the time.

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But let's just define this concept of ransomware, and it comes from the

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term ransom, which, where outside of the world of, of it, where, where

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would we see the word ransom used?

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Hostage negotiations,

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W. Curtis Preston: Exactly right.

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kidnapping.

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W. Curtis Preston: kid.

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Yeah, I've taken your kid.

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And you can have them back for $1 billion.

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the most famous kidnapping of all time that I know of was

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the Getty kidnapping, right.

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So I believe it was, uh, John Paul Getty at the time that he

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was the richest man in the world.

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They kidnapped his, um, like grandson and, uh, they demanded probably a

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million dollars or something like that.

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He told him to go pound sand, and then they sent him, uh, his grandchild's ear

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and uh, and he said, fine, you know, I'll, I'll, I'll pay the ransom he got, and

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he got the, he got his grandchild back.

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Interestingly enough, I sat next to.

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I was gonna say,

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W. Curtis Preston: Yeah, I sat next to the grandson of that grandson on a plane once.

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His name's Bazar Getty, also, uh, an actor.

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Um, and, uh, I just randomly asked him if he was related to the Getty

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family, and he's like, well, you know, the, you know, the guy with

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the ear that's my grandfather.

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It's like, wow, that is definitely a connection.

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Um, yeah, so that's what a ransom is, right?

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Is is give me, you know, I've got something of yours.

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And you can have it back if you give me the ransom.

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And you, you've watched tv.

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You've watched

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movies,

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watch tv.

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W. Curtis Preston: well you have watched movies.

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You, you definitely watched YouTube more.

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What is the general thinking regarding paying the ransom in such movies?

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The SBI comes in and everyone else, and they're like, don't pay

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the ransom 'cause you're not gonna see it.

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And it's just gonna, they're just gonna go and do something else again.

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W. Curtis Preston: Exactly.

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Exactly.

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And, and they often do things like demand proof of life.

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Right.

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Um,

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Hold up the newspaper with today's date.

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W. Curtis Preston: Exactly right.

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I want to talk to my kid.

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Right.

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I want to verify.

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Right.

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And all of this has, uh, they, they have parallels in the, the

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world of the ransomware, right?

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Yeah.

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W. Curtis Preston: So really, it, this is where the term comes from, is that

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we're holding your data for ransom.

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And the, the classic way that that manifested itself was what?

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They basically would encrypt your data and say, Hey, if you

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want your data back, then pay us the money and we will give you the encryption key

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so then you can go unencrypt your data and everything will be back to normal.

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W. Curtis Preston: Yeah, it's interesting.

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They, they don't steal it, like in the, in the old, in, in the way of the, you

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know, the, um, uh, of stealing your, your child to, to demand a ransom.

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They.

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Steal it right away from you, like right in front of you.

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It's like, here's your data, but you can't use it.

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You can't

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have it.

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but I think it's also one of those things where it's probably

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faster and easier for them, right?

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anD maybe it's also less detectable, right?

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Because all of a sudden if you're like, Hey, why is my, why am I

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uploading like 10 terabytes today?

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W. Curtis Preston: Exactly.

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Yeah.

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It, it's super easy and super fast to, to encrypt the data just

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enough that it's not useful to you.

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And so they're saying, we'll give you the keys, um, you know,

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and you can have your data back.

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That is a traditional ransomware attack.

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What was that?

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Hopefully we will

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give you the keys and you can recover your data.

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W. Curtis Preston: Right, right.

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And the idea was that, that, that paying the ransom, you know, historically paying

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the ransom was only a good idea if you had no backup of your data or if your backup.

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Was such that it was going to take you so long in order to restore.

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I, when I think back to one of the most famous ransomware attacks in

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the last few years was the Colonial pipeline attack, and that one, as I

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understand it, was that they had a.

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A backup, right?

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But they didn't think they could get the backup recovered fast enough.

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And so they decided to pay the ransom.

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And, um, and, and so they did both, they did recovery and they paid the ransom,

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and, which just seems fundamentally wrong, but historically, that was the

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only reason that you would pay the ransom is if you had no backup or a backup.

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That was not good enough because.

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Unencrypting the data or deen encrypting the data was, the idea

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was that deen encrypting the data was faster than restoring it, right?

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Yep, yep.

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And that was worthwhile until sort of the.

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Ransomware actors, they had poor code quality, right?

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And so you're putting faith that you are going to pay the ransom

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and you're going to, going back to our classic example, right?

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You're gonna get back your kid,

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W. Curtis Preston: Right.

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Yeah.

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Except sometimes these ransomware actors,

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they would write sort of bad code.

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And when they gave you back the key, like how they actually did the encryption

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W. Curtis Preston: Right.

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very sound.

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And so yeah, it would.

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Decrypt maybe some of the data, but it wasn't still usable.

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So that's like paying the ransom and they give back your kid's finger.

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Right.

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Or

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W. Curtis Preston: Yeah,

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right.

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Or

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Right.

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Or Or they give like a doll of your kid back.

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Right.

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Or whatever it is.

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Right.

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But it's not what you originally had transacted for.

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W. Curtis Preston: Here's some videos of your, while we, while we had kidnapped.

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You have to think about these organizations as very

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sophisticated businesses.

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This is not a script kitty.

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This is not a random piece of software that you download off the internet.

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This is an organization that is trying to make money for other reasons, right?

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They're, they want to do things.

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Sometimes they're state actors, sometimes they're, they're just criminals that are

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just trying to make a lot of money and.

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You need to think about what are they going to focus on

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in terms of software quality?

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The thing they're gonna focus on is making sure that the data gets

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encrypted and making sure that you can't decrypt it without their help.

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They're not necessarily that focused on that second half,

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which is the the decryption part.

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You could make some argument that maybe they want it to work because

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they want to have a reputation as.

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An organization that does get the data back if you actually pay

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the ransom, but the, you know,

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yeah, or the other thing is it may not be very fast, right?

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So

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you might get all your data back, but it might take you a month

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W. Curtis Preston: Exactly.

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Exactly.

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Um, so go ahead.

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I know you talked about, uh, these organizations, right?

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By which you mean the ransomware actors.

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Who are kind of well organized.

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I think the other thing to also mention is it's no longer just a

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single organization necessarily, right?

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You have ransomware as a service where you have these people who have all these

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tools and capabilities and they provided as a service just like you might use AWS

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as a service to host your application.

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They provide all the infrastructure tooling for all these other

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organizations to now start.

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Um.

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Attacking other companies and also encrypting their data.

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W. Curtis Preston: Right.

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Yeah.

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And, and actually I want to get into that in, in a little bit,

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um, what I want to, and that, that everything you said is, is correct.

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Um, let's talk a little bit about what ransomware is not

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what is ransomware, not Curtis.

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W. Curtis Preston: So it, well, it's not just a piece of software that downloads

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and, you know, magic happens, right?

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Um, the, the, the process of getting infected with ransomware is actually

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a very manual process with many steps.

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And, uh, and, and they are steps that are being manually driven by a human

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being somewhere else in the world.

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And.

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The, the idea is that there is that initial access.

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There is, uh, that, that, you know, that basically the, the initial breach, which

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could be via a number of mechanisms.

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It could be, uh, old school phishing.

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It could be something that you download.

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Uh, it, it quite possibly will be something that you download, that

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you get via email, an attachment that you open that you shouldn't have.

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What was the, what was the thing you said?

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Yeah, it could be a zero day exploit, right?

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There are myriad ways that you can basically find yourself with a

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portal to, to the bad guys, right?

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So that, that's the first thing that has to happen, is someone has to gain

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remote access, usually with escalated privileges, but not necessarily so.

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They might just have a, you know, they might have simply

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leveraged stolen credentials.

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That's another thing.

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They, they leveraged stolen credentials and then you didn't

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have MFA on, you might have had a, a server that's got RDP enabled

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and it's, uh, open to the internet.

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Oh my Lord.

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RDP, the ransomware deployment protocol,

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or you just have insecure systems that are internet facing,

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right?

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How many people have like VMware, ESXI, and then they automatically have it

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available on the internet and boom.

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W. Curtis Preston: Exactly.

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Yeah.

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So there, like I said, there, there are myriad ways that you,

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that a bad actor can be given.

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Initial access to one or more, uh, systems.

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Right.

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And there are, and this was, uh, basically you, you referenced this

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earlier, is that there are companies, and again, it's the correct.

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Thing is to call them companies, right?

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There are companies who, this is what they do.

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They call them initial access brokers.

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This is all they do.

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They just get a foothold into an organization and then they say, Hey,

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I've got a foothold into a, b, c company.

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Who wants that?

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And then they bid that on the, you know, on the dark web.

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It just kind of scary when you think about it, right?

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Because it is a specialized role, right?

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That is all they do day in and day out is they try to figure out, how do

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I gain that initial foothold with all these various mechanisms that you talked

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about, Curtis, and then take that and now pass it on to the next person, right?

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And it's their job to now figure out, okay, now what can I do next?

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W. Curtis Preston: Yeah, it's a very specialized world, right?

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Um, because there's sort of three phases.

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There's that initial access, there's a second phase, which is discovery and uh,

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and crawling around trying to do lateral movement, trying to expand the footprint.

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And, um, and, and then that third phase, which is the actual, we're going

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to go and encrypt everything, right?

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The go ahead.

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And that second phase, right?

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Just to touch on it, right?

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Moving laterally and trying to figure out other things, right?

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They're trying to do all of this while staying undetected, right?

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Because the last thing you wanna do is give up that access that you paid for from

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initial access broker, right?

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And so you wanna make sure you stay under the radar of the security team

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or whoever else is out there trying to prevent what you're trying to do.

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W. Curtis Preston: Which is why one of the ways they do well, I would say the

Prasanna Malaiyandi:

way that they do that next phase is they use the same tools that you use, right?

Prasanna Malaiyandi:

They're downloading cybersecurity tools that are designed to defend,

Prasanna Malaiyandi:

but they use them to attack.

Prasanna Malaiyandi:

How about Strike is a common

Prasanna Malaiyandi:

one

Prasanna Malaiyandi:

W. Curtis Preston: yeah.

Prasanna Malaiyandi:

Cobalt Strike is definitely one of the, uh, most common ones.

Prasanna Malaiyandi:

And, uh, there are a number of other tools that they download that, that don't

Prasanna Malaiyandi:

initially set off alarms because they're not, it's not like, Hey, hacker tool dot

Prasanna Malaiyandi:

exe, it's a tool that you would install.

Prasanna Malaiyandi:

And so they, they install these tools and then they go and they,

Prasanna Malaiyandi:

they crawl around your organization.

Prasanna Malaiyandi:

And it can be very difficult to detect that once they have gained that foothold

Prasanna Malaiyandi:

and once they're using the same tools that you might be using to poke around.

Prasanna Malaiyandi:

And again, I, I'll go back to that initial access.

Prasanna Malaiyandi:

This is why MFA is so important.

Prasanna Malaiyandi:

Uh, they could, there are a number of ways that they could get in, but MFA would be

Prasanna Malaiyandi:

one of the ways that you would then stop.

Prasanna Malaiyandi:

By the way, it, it does appear that the most common way that they get

Prasanna Malaiyandi:

in is actually stolen credentials.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

And um, which is just really sad.

Prasanna Malaiyandi:

Um, but, but it is what It's Right.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Um, and, and so I, I just, this is the thing.

Prasanna Malaiyandi:

This is where the, what ransomware is not.

Prasanna Malaiyandi:

I just want people to understand that ransomware is not just one

Prasanna Malaiyandi:

piece of software that you happen to accidentally download and then

Prasanna Malaiyandi:

it affects your entire data center.

Prasanna Malaiyandi:

That is absolutely what I, what I, what I used to think it was.

Prasanna Malaiyandi:

Uh, it is a very sophisticated series of actions that are taken in series

Prasanna Malaiyandi:

different, there may be as many as a dozen pieces of software that are

Prasanna Malaiyandi:

installed to affect the ultimate goal that the, the bad actor wants, uh,

Prasanna Malaiyandi:

which of course is demanding the ransom.

Prasanna Malaiyandi:

I do wonder though.

Prasanna Malaiyandi:

Yeah, I do.

Prasanna Malaiyandi:

I agree with that.

Prasanna Malaiyandi:

Curtis, I also wonder though, if we should really think about sort of two segments

Prasanna Malaiyandi:

to, uh, victim segments, if you will.

Prasanna Malaiyandi:

One is the enterprise, which I think a hundred percent everything you said makes

Prasanna Malaiyandi:

sense.

Prasanna Malaiyandi:

I think though, when you think about sort of consumer side.

Prasanna Malaiyandi:

I think it might be slightly different in term because you aren't going to have

Prasanna Malaiyandi:

all of this individual access, right?

Prasanna Malaiyandi:

People spending time on grandma trying to gain access to her laptop, right?

Prasanna Malaiyandi:

I think in those cases it's probably more find common vulnerabilities and

Prasanna Malaiyandi:

whatever is the quickest and easiest way, and you just go as broad as you

Prasanna Malaiyandi:

can because their data may not be as sensitive and as valuable necessarily.

Prasanna Malaiyandi:

Or the willingness to pay.

Prasanna Malaiyandi:

Or the ability to pay.

Prasanna Malaiyandi:

W. Curtis Preston: I do think that

Prasanna Malaiyandi:

consumer based.

Prasanna Malaiyandi:

Attacks probably are much closer to that initial, I download one piece of software

Prasanna Malaiyandi:

and it grabs all my data and boom, right?

Prasanna Malaiyandi:

And then tries to reach out to a command and control server.

Prasanna Malaiyandi:

Uh, and then it's probably closer to that initial definition than we talked

Prasanna Malaiyandi:

about where it's just one single piece of software because there, there really

Prasanna Malaiyandi:

isn't anything else, uh, to get out there.

Prasanna Malaiyandi:

But that's not necessarily our target market.

Prasanna Malaiyandi:

So I wasn't really focusing on that.

Prasanna Malaiyandi:

But you know, from a company perspective.

Prasanna Malaiyandi:

Uh, you know, or any, any organization perspective, it's going

Prasanna Malaiyandi:

to be a very complicated process.

Prasanna Malaiyandi:

Uh, and that could go on for months

Prasanna Malaiyandi:

I was actually gonna

Prasanna Malaiyandi:

W. Curtis Preston: before you actually get a, you know, a big, a big payload.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Just uh, I think if I go back and think about, and it's not ransomware, but just

Prasanna Malaiyandi:

talking about this attack vector, because it is common in other places as well.

Prasanna Malaiyandi:

If I think about like the SolarWinds attack, right?

Prasanna Malaiyandi:

They were in their systems for months,

Prasanna Malaiyandi:

right?

Prasanna Malaiyandi:

W. Curtis Preston: they were part of the, they were actually part of the

Prasanna Malaiyandi:

supply chain, as I recall, right?

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

They're very, depending on the size of the fish, right?

Prasanna Malaiyandi:

They're very, very there.

Prasanna Malaiyandi:

There is a risk reward.

Prasanna Malaiyandi:

Um, you know, a trade off, right?

Prasanna Malaiyandi:

The longer they can stay in undetected, the more exploration that they can do,

Prasanna Malaiyandi:

the bigger the payoff, but the longer they stay in undetected, the greater

Prasanna Malaiyandi:

the risk that they will eventually be detected before they can do the payoff.

Prasanna Malaiyandi:

So there's a, you know, a big risk reward there.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

W. Curtis Preston: Um, so the other and really important

Prasanna Malaiyandi:

thing, and this is why, um.

Prasanna Malaiyandi:

This is why some have changing the name of, uh, ransomware and that is that no

Prasanna Malaiyandi:

longer, um, is simply encrypting the data and then saying you can have it back if

Prasanna Malaiyandi:

you, uh, give us a ransomware no longer.

Prasanna Malaiyandi:

Is that the normal mo of the, the ransomware attackers?

Prasanna Malaiyandi:

What

Prasanna Malaiyandi:

is the normal mo.

Prasanna Malaiyandi:

Have evolved, or I would say devolved, but yeah, they have, they have evolved.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

So now they realize, okay, people have backups, they have other systems, right?

Prasanna Malaiyandi:

And so I would say before we get to sort of, okay, what is it really now,

Prasanna Malaiyandi:

right?

Prasanna Malaiyandi:

I think in between what they had started to do was really

Prasanna Malaiyandi:

attack those systems, right?

Prasanna Malaiyandi:

So it wasn't just encrypt your data,

Prasanna Malaiyandi:

W. Curtis Preston: Right.

Prasanna Malaiyandi:

But even locally it was like, Hey, now let's start

Prasanna Malaiyandi:

going after the backup systems, right?

Prasanna Malaiyandi:

Because if you can restore your data, then you don't need us, right?

Prasanna Malaiyandi:

You don't need the key.

Prasanna Malaiyandi:

W. Curtis Preston: Yeah,

Prasanna Malaiyandi:

that, that is a really good point.

Prasanna Malaiyandi:

That basically part of that sophisticated ex, you know, um, uh,

Prasanna Malaiyandi:

large attack, they are definitely going to go after the backup system.

Prasanna Malaiyandi:

They're trying to identify what your backup system, they know the

Prasanna Malaiyandi:

vulnerabilities of the different backup systems, and they then

Prasanna Malaiyandi:

go after those vulnerabilities.

Prasanna Malaiyandi:

And this is.

Prasanna Malaiyandi:

Why I talk about, and we'll talk later about changes that you should

Prasanna Malaiyandi:

be making to your backup system in order to protect from this.

Prasanna Malaiyandi:

This is part of the evolution of the, of these ransomware attackers, is

Prasanna Malaiyandi:

first all they had to do was encrypt.

Prasanna Malaiyandi:

And then they found out, uh, you know, and people would pay the ransom.

Prasanna Malaiyandi:

And then they found that some people had backup and recovery systems

Prasanna Malaiyandi:

and disaster recovery systems, and they were stopped, pay the ransom.

Prasanna Malaiyandi:

Well, they want people to pay the ransom.

Prasanna Malaiyandi:

And so they're like, well, what can we do next?

Prasanna Malaiyandi:

And so the next thing they decided to do was attack the backup systems.

Prasanna Malaiyandi:

I, I don't think that they listen to this podcast

Prasanna Malaiyandi:

or I've read your books, Curtis.

Prasanna Malaiyandi:

I'm just saying.

Prasanna Malaiyandi:

W. Curtis Preston: Yeah, I don't think so.

Prasanna Malaiyandi:

I don't think so.

Prasanna Malaiyandi:

They went after specific backup products that had specific vulnerabilities,

Prasanna Malaiyandi:

especially Windows based backup products, because Windows was the, you know, or

Prasanna Malaiyandi:

it continues to be the prop predominant.

Prasanna Malaiyandi:

Os that they're attacking in a ransomware attack.

Prasanna Malaiyandi:

It's not the only one, but it is a predominant one.

Prasanna Malaiyandi:

So they went after backup systems that were based on windows.

Prasanna Malaiyandi:

Also backup systems whose backups were all stored on disk.

Prasanna Malaiyandi:

'cause those backups are easy to, uh, delete and or encrypt.

Prasanna Malaiyandi:

Right?

Prasanna Malaiyandi:

Um, and.

Prasanna Malaiyandi:

The, and we'll, we'll talk more about things, but the idea is to,

Prasanna Malaiyandi:

with the backup system, the, the, the quick answer is to make sure

Prasanna Malaiyandi:

that your backup system isn't susceptible to those types of attacks.

Prasanna Malaiyandi:

We'll talk about that, uh, in another episode.

Prasanna Malaiyandi:

That could be an entire episode in and of itself.

Prasanna Malaiyandi:

W. Curtis Preston: Yeah, exactly.

Prasanna Malaiyandi:

Uh, so what, what happened next?

Prasanna Malaiyandi:

yeah.

Prasanna Malaiyandi:

So then, okay, they went after a backup system.

Prasanna Malaiyandi:

Sometimes they were successful, sometimes they weren't.

Prasanna Malaiyandi:

But then they realized just like classic ransomware or classic kidnapping and

Prasanna Malaiyandi:

people paying ransom, they're like, Hey, if we actually take your data right.

Prasanna Malaiyandi:

Then now you don't have that option to be like, Hey, just

Prasanna Malaiyandi:

give me the encryption key.

Prasanna Malaiyandi:

You can actually blackmail people and say, by the way, if you don't want me

Prasanna Malaiyandi:

to release this information, pay up.

Prasanna Malaiyandi:

And it might be sensitive information like the Sony hack where they

Prasanna Malaiyandi:

exfiltrated a bunch of data and it was emails about studio, like what studio

Prasanna Malaiyandi:

executives were saying and all the rest things you don't want out in public.

Prasanna Malaiyandi:

W. Curtis Preston: Right.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

And, and it could be anything.

Prasanna Malaiyandi:

I, I think the Sony attack was the first one that I really remember.

Prasanna Malaiyandi:

Because it was basically impair, it was embarrassing data.

Prasanna Malaiyandi:

There are, um, others where it's like, listen, we have your 11 herbs and spices

Prasanna Malaiyandi:

and we're gonna release 'em to the public.

Prasanna Malaiyandi:

By the way, the 11 herbs and spices, I'm pretty sure have been

Prasanna Malaiyandi:

released, but not by KFC, but, but by other comp or other entities.

Prasanna Malaiyandi:

But you know, we have your company's trade secrets.

Prasanna Malaiyandi:

We may have, um, proof of you doing things that are actually crimes, right?

Prasanna Malaiyandi:

We, you know, um, you know, there are basically, we might have competitive

Prasanna Malaiyandi:

information that you don't want given to your closest competitor.

Prasanna Malaiyandi:

There are a number of things, and also I'd say the, the, the one

Prasanna Malaiyandi:

category of data that we haven't discussed is we have PII, right?

Prasanna Malaiyandi:

We have a whole bunch of names and credit card data.

Prasanna Malaiyandi:

That we're going to release if you don't pay the ransom.

Prasanna Malaiyandi:

I'd say the best example of that would be the Ashley Madison attack.

Prasanna Malaiyandi:

I don't remember if that was actually a ransomware attack, but that is an example

Prasanna Malaiyandi:

of the kind of thing I'm so Ashley mad.

Prasanna Malaiyandi:

So for those that you don't remember, and it's still around amazingly

Prasanna Malaiyandi:

enough, Ashley Madison is a website and an organization designed, uh, to

Prasanna Malaiyandi:

help people cheat on their spouses.

Prasanna Malaiyandi:

And they released a bunch of identities of people that were there.

Prasanna Malaiyandi:

There were a number of suicides that followed that, uh, particular incident.

Prasanna Malaiyandi:

So it could be personal information, it could be medical information.

Prasanna Malaiyandi:

Healthcare records of celebrities or even other folks that

Prasanna Malaiyandi:

could be detrimental if released publicly.

Prasanna Malaiyandi:

W. Curtis Preston: Right, right.

Prasanna Malaiyandi:

And, and put it into your company.

Prasanna Malaiyandi:

Amazingly, Ashley Madison, they released all that stuff and one of the things that

Prasanna Malaiyandi:

came out was that it turns out that all of the female subscribers were all fake,

Prasanna Malaiyandi:

and yet the company still runs.

Prasanna Malaiyandi:

The company is still out there and people are still paying memberships.

Prasanna Malaiyandi:

But, um, yeah, so that's, that is an important.

Prasanna Malaiyandi:

Change in how the, the ransomware folks are operating.

Prasanna Malaiyandi:

Uh, basically, this is why many people are now starting to call it extortion

Prasanna Malaiyandi:

wear rather than just ransomware, because they're saying that we, we

Prasanna Malaiyandi:

literally have stolen your data and we are going to release it to the

Prasanna Malaiyandi:

public if you don't give us the ransom.

Prasanna Malaiyandi:

And here's my question.

Prasanna Malaiyandi:

Let's just say I've got the best, the absolute best.

Prasanna Malaiyandi:

Backup and disaster recovery system in the world.

Prasanna Malaiyandi:

I've got a button that I can press and five seconds later, my entire

Prasanna Malaiyandi:

environment is recovered without incident.

Prasanna Malaiyandi:

How well will that help me with an extortion attack?

Prasanna Malaiyandi:

It wouldn't

Prasanna Malaiyandi:

W. Curtis Preston: Not at

Prasanna Malaiyandi:

all.

Prasanna Malaiyandi:

That's the worst.

Prasanna Malaiyandi:

That's the worst part.

Prasanna Malaiyandi:

I this whole thing.

Prasanna Malaiyandi:

well, and this is my problem.

Prasanna Malaiyandi:

I know we had talked about comparing classic ransomware to digital ransomware.

Prasanna Malaiyandi:

W. Curtis Preston: Mm-Hmm.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

In classic ransomware, you pay the ransom.

Prasanna Malaiyandi:

They may or may not return the person, but if they return the

Prasanna Malaiyandi:

person, you know you're good

Prasanna Malaiyandi:

W. Curtis Preston: Right.

Prasanna Malaiyandi:

Prasanna Malaiyandi: in digital ransomware.

Prasanna Malaiyandi:

Even if you pay the ransom to give you back the encryption keys, they

Prasanna Malaiyandi:

still have that original data.

Prasanna Malaiyandi:

They could decide in a year, Hey, I'm gonna release this and embarrass you.

Prasanna Malaiyandi:

They could decide, Hey, I'm just gonna release

Prasanna Malaiyandi:

this anyway.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

And.

Prasanna Malaiyandi:

If there's no honor among thieves, right,

Prasanna Malaiyandi:

W. Curtis Preston: Right.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

how can you trust that they will do the right thing?

Prasanna Malaiyandi:

W. Curtis Preston: Yeah, you, you can, you can't, which is really why the only

Prasanna Malaiyandi:

defense to this type of ransomware is to not let it happen in the first place.

Prasanna Malaiyandi:

Which is why I think that people should be focusing a lot more on the

Prasanna Malaiyandi:

prevention of exfiltration, right?

Prasanna Malaiyandi:

Exfiltration is just a very fancy word for sucking the data

Prasanna Malaiyandi:

out of your company, right?

Prasanna Malaiyandi:

Um, and there are ways, there are ways to do that, but they are not.

Prasanna Malaiyandi:

Easy and they come with a lot of false positives, et cetera, et cetera.

Prasanna Malaiyandi:

So not everybody is that, um, hot on it.

Prasanna Malaiyandi:

And I just think it's something that we need to continue to work on.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Or detection also,

Prasanna Malaiyandi:

right?

Prasanna Malaiyandi:

W. Curtis Preston: Yes, yes.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Well, yeah, detecting it, detecting that you've got the ransomware detecting

Prasanna Malaiyandi:

that the exfiltration is happening.

Prasanna Malaiyandi:

Stopping the exfiltration, right?

Prasanna Malaiyandi:

Because a lot of the exfiltration is all sent to like the same place right there.

Prasanna Malaiyandi:

There's certain websites and things that, um, it's like, why are we

Prasanna Malaiyandi:

sending data to what is like mega sum?

Prasanna Malaiyandi:

And there's some big file sharing site.

Prasanna Malaiyandi:

Like you, you should block all access to all, like, file

Prasanna Malaiyandi:

sharing sites like that, right?

Prasanna Malaiyandi:

Um, and then if you, if you have a legitimate need for that.

Prasanna Malaiyandi:

Then, um, you open it up, but chances are you probably don't.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

W. Curtis Preston: Yeah.

Prasanna Malaiyandi:

Um, so that's just a brief overview of what ransomware is, what it isn't,

Prasanna Malaiyandi:

how it's evolved, uh, in terms, and by the way, just a final thing regarding

Prasanna Malaiyandi:

the whole exfiltration thing, talk, talking about part two and part three.

Prasanna Malaiyandi:

Not only have they gone directly attacking the backup systems in order to.

Prasanna Malaiyandi:

Basically take them out of the war.

Prasanna Malaiyandi:

The, that's not what I, that's not what I meant to take them, to take to, to take

Prasanna Malaiyandi:

them away from you as a weapon in the war.

Prasanna Malaiyandi:

I, I don't know, I'm mixing metaphors here, but they're also, they've discovered

Prasanna Malaiyandi:

that it is a source for exfiltration.

Prasanna Malaiyandi:

So if they can gain, uh, unrestricted access to the backup

Prasanna Malaiyandi:

system, then um, they can do that.

Prasanna Malaiyandi:

And by the way, if, if you, if you're.

Prasanna Malaiyandi:

This is your first episode.

Prasanna Malaiyandi:

You really should go back a couple episodes and listen to that episode

Prasanna Malaiyandi:

with Dwayne Lalo, uh, where, where it's talking about a red team P person, and

Prasanna Malaiyandi:

he talked about just how great it is if you can gain access to a backup system.

Prasanna Malaiyandi:

He, he was like, I love backup systems.

Prasanna Malaiyandi:

Right.

Prasanna Malaiyandi:

Yeah, that was a great episode.

Prasanna Malaiyandi:

Any final thoughts?

Prasanna Malaiyandi:

No, I think, yeah, we covered sort of what's ransomware,

Prasanna Malaiyandi:

what isn't, and yeah, like you said, Curtis, at the beginning I was also

Prasanna Malaiyandi:

thinking, oh, it's just software installed that someone drops onto your system.

Prasanna Malaiyandi:

But really it's this lengthy process that happens in order to

Prasanna Malaiyandi:

be able to gain that foothold.

Prasanna Malaiyandi:

And so,

Prasanna Malaiyandi:

W. Curtis Preston: Yeah.

Prasanna Malaiyandi:

And I, and I, I do think that maybe that's the way it's,

Prasanna Malaiyandi:

that's the way it started, right?

Prasanna Malaiyandi:

It was an initial piece of software that you just happened to download

Prasanna Malaiyandi:

and it would encrypt your data, boom.

Prasanna Malaiyandi:

And then, and then, and reach out to the person so that they could, uh, do that.

Prasanna Malaiyandi:

But that's not going to work in a large organization, right?

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

W. Curtis Preston: So they, so their attack evolved as well, right?

Prasanna Malaiyandi:

So they've evolved over the time to go after a bigger, bigger, and bigger fish.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

Well, and I think also that a lot of the security infrastructure has

Prasanna Malaiyandi:

also evolved, and so the ransomware attackers are also evolving.

Prasanna Malaiyandi:

In turn, it's like a cat and mouse game.

Prasanna Malaiyandi:

W. Curtis Preston: Exactly.

Prasanna Malaiyandi:

Um, and, and you know, you have to be right all the time.

Prasanna Malaiyandi:

They only have to be right once, unfortunately.

Prasanna Malaiyandi:

All right.

Prasanna Malaiyandi:

Well thanks for having a chat.

Prasanna Malaiyandi:

Yeah.

Prasanna Malaiyandi:

It was good.

Prasanna Malaiyandi:

I enjoy these.

Prasanna Malaiyandi:

I'm excited for this new series.

Prasanna Malaiyandi:

I.

Prasanna Malaiyandi:

W. Curtis Preston: Yeah, me too.

Prasanna Malaiyandi:

Thanks to our listeners, uh, we'd be nothing without you.

Prasanna Malaiyandi:

Make sure to subscribe so that you don't miss an episode.

Prasanna Malaiyandi:

That is a wrap,

Prasanna Malaiyandi:

The backup wrap up is written, recorded and produced by me w Curtis Preston.

Prasanna Malaiyandi:

If you need backup or Dr.

Prasanna Malaiyandi:

Consulting content generation or expert witness work,

Prasanna Malaiyandi:

check out backup central.com.

Prasanna Malaiyandi:

You can also find links from my O'Reilly Books on the same website.

Prasanna Malaiyandi:

Remember, this is an independent podcast and any opinions that you

Prasanna Malaiyandi:

hear are those of the speaker.

Prasanna Malaiyandi:

And not necessarily an employer.

Prasanna Malaiyandi:

Thanks for listening.

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