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Computer Spies Breach Fighter-Jet Project - WSJ.com - 0 views

  • Computer spies have broken into the Pentagon's $300 billion Joint Strike Fighter project -- the Defense Department's costliest weapons program ever -- according to current and former government officials familiar with the attacks.
  • Similar incidents have also breached the Air Force's air-traffic-control system in recent months, these people say. In the case of the fighter-jet program, the intruders were able to copy and siphon off several terabytes of data related to design and electronics systems, officials say, potentially making it easier to defend against the craft.
  • The latest intrusions provide new evidence that a battle is heating up between the U.S. and potential adversaries over the data networks that tie the world together. The revelations follow a recent Wall Street Journal report that computers used to control the U.S. electrical-distribution system, as well as other infrastructure, have also been infiltrated by spies abroad.
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  • Attacks like these -- or U.S. awareness of them -- appear to have escalated in the past six months, said one former official briefed on the matter.
  • while the spies were able to download sizable amounts of data related to the jet-fighter, they weren't able to access the most sensitive material, which is stored on computers not connected to the Internet.
  • Former U.S. officials say the attacks appear to have originated in China. However it can be extremely difficult to determine the true origin because it is easy to mask identities online.
  • A Pentagon report issued last month said that the Chinese military has made "steady progress" in developing online-warfare techniques. China hopes its computer skills can help it compensate for an underdeveloped military, the report said.
  • The Chinese Embassy said in a statement that China "opposes and forbids all forms of cyber crimes." It called the Pentagon's report "a product of the Cold War mentality" and said the allegations of cyber espionage are "intentionally fabricated to fan up China threat sensations."
  • The U.S. has no single government or military office responsible for cyber security. The Obama administration is likely to soon propose creating a senior White House computer-security post to coordinate policy and a new military command that would take the lead in protecting key computer networks from intrusions, according to senior officials.
  • The Bush administration planned to spend about $17 billion over several years on a new online-security initiative and the Obama administration has indicated it could expand on that.
  • The Joint Strike Fighter, also known as the F-35 Lightning II, is the costliest and most technically challenging weapons program the Pentagon has ever attempted. The plane, led by Lockheed Martin Corp.
  • Six current and former officials familiar with the matter confirmed that the fighter program had been repeatedly broken into. The Air Force has launched an investigation.
  • Foreign allies are helping develop the aircraft, which opens up other avenues of attack for spies online. At least one breach appears to have occurred in Turkey and another country that is a U.S. ally, according to people familiar with the matter.
  • Joint Strike Fighter test aircraft are already flying, and money to build the jet is included in the Pentagon's budget for this year and next.
  • Computer systems involved with the program appear to have been infiltrated at least as far back as 2007, according to people familiar with the matter. Evidence of penetrations continued to be discovered at least into 2008. The intruders appear to have been interested in data about the design of the plane, its performance statistics and its electronic systems, former officials said.
  • The intruders compromised the system responsible for diagnosing a plane's maintenance problems during flight, according to officials familiar with the matter. However, the plane's most vital systems -- such as flight controls and sensors -- are physically isolated from the publicly accessible Internet, they said.
  • The intruders entered through vulnerabilities in the networks of two or three contractors helping to build the high-tech fighter jet, according to people who have been briefed on the matter. Lockheed Martin is the lead contractor on the program, and Northrop Grumman Corp. and BAE Systems PLC also play major roles in its development.
  • The spies inserted technology that encrypts the data as it's being stolen; as a result, investigators can't tell exactly what data has been taken. A former Pentagon official said the military carried out a thorough cleanup.
  • Investigators traced the penetrations back with a "high level of certainty" to known Chinese Internet protocol, or IP, addresses and digital fingerprints that had been used for attacks in the past, said a person briefed on the matter.
  • As for the intrusion into the Air Force's air-traffic control systems, three current and former officials familiar with the incident said it occurred in recent months. It alarmed U.S. national security officials, particularly at the National Security Agency, because the access the spies gained could have allowed them to interfere with the system, said one former official. The danger is that intruders might find weaknesses that could be exploited to confuse or damage U.S. military craft.
  • In his speech in Austin, Mr. Brenner, the U.S. counterintelligence chief, issued a veiled warning about threats to air traffic in the context of Chinese infiltration of U.S. networks. He spoke of his concerns about the vulnerability of U.S. air traffic control systems to cyber infiltration, adding "our networks are being mapped." He went on to warn of a potential situation where "a fighter pilot can't trust his radar."
Argos Media

Contracting Boom Could Fizzle Out - washingtonpost.com - 0 views

  • The recent surge in the Washington area's defense-contracting workforce would begin to ebb under Defense Secretary Robert M. Gates's latest budget proposal as the Pentagon moves to replace legions of private workers with full-time civil servants.
  • The budget would reverse a contracting boom, beginning after the 2001 terrorist attacks, in which the proportion of private contractors grew to 39 percent of the Pentagon's workforce. Gates said he wants to reduce that percentage to a pre-Sept. 11 level of 26 percent.
  • Roughly 7.5 percent of metropolitan Washington's labor force -- about 291,000 jobs -- is tied to Pentagon contracting. Defense analysts and government contracting experts said Gates's move could affect companies such as CACI and SAIC, which do large amounts of government contracting work, offering technical services, administrative support, database outsourcing and contract management.
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  • Local giants Lockheed Martin and General Dynamics also run substantial government-support operations and would see some weapons projects cut, while other programs would receive budget increases.
  • In particular, the proposed budget would sharply reduce the number of contractors who help the Pentagon oversee and manage its vast weapons-buying apparatus following a string of reports chronicling cost overruns and other problems.
  • A CACI executive said the company is waiting for further details before commenting. The Arlington company has 12,300 employees, half of whom are in the D.C. region. Ninety-five percent of its $2.4 billion in revenue last year came from federal contracts for technical services and information technology and contracting oversight for the Army and Navy, as well as such Pentagon offices as the Defense Advanced Research Projects Agency and the Missile Defense Agency.
  • Overall, the budget Gates proposed calls for major cuts to the weapons programs of some of the largest contractors.
  • One of the hardest-hit defense firms was Boeing. The Chicago company's $150 billion Future Combat Systems, a family of Army vehicles linked by high-tech communications, came under criticism from Gates for being costly and plagued by development problems. He proposed canceling the $87 billion vehicle part of the system -- a move that would hurt Boeing, SAIC and their subcontractors, BAE and General Dynamics.
  • Gates also proposed canceling some of Boeing's missile defense programs, including one to equip a modified 747 aircraft with a laser that can shoot down missiles soon after they're launched, saying the program "has significant affordability and technology problems and the program's proposed operational role is highly questionable."
  • Boeing would also be hurt because it makes one-third of the F-22 fighter jet and the Pentagon plans to stop ordering additional aircraft. Gates would also cancel the Air Force's program to build a new search-and-rescue helicopter, which had been awarded to Boeing. And it would not order more of Boeing's C-17 cargo planes. Boeing could also see a military satellite program, known as TSAT, end.
  • Lockheed Martin, of Bethesda, the biggest defense contractor in the world, also took hits on several of its major programs.
  • Gates said he would kill the company's bid to build the presidential helicopter, known as the VH-71, citing the fact that the program is six years late and has gone from initial estimates of $6 billion to $13 billion.
  • Lockheed was also hit by the move to not order more F-22 fighter jets. Perhaps hoping for support in Congress, the company has taken out newspaper ads explaining how its F-22 supports roughly 25,000 jobs around the country.
  • But the Pentagon proposed ordering more of Lockheed's F-35 known as the Joint Strike Fighter, and it would increase from two to three the number of littoral combat ships being built by Lockheed and General Dynamics to patrol near enemy coastlines.
Argos Media

U.S. to create cybersecurity military command: report | Technology | Internet | Reuters - 0 views

  • The Obama administration plans to create a new military command to focus on Pentagon computer networks and offensive capabilities in cyberwarfare, The Wall Street Journal reported on Tuesday, citing current and former officials familiar with the plans.
  • Pentagon officials were quoted as saying the new command will be unveiled within the next few weeks. The cyber command will likely to be led by a military official of four-star rank and initially would be part of the Pentagon's Strategic Command, the newspaper said, citing officials familiar with the proposal.
  • The initiative will reshape the military's efforts to protect its networks from attacks by hackers, especially those from countries such as China and Russia, the newspaper said.
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  • The newspaper earlier reported that computer spies have repeatedly breached the Pentagon's costliest weapons program -- the $300 billion Joint Strike Fighter project.
  • The Journal quoted former U.S. officials as saying the attacks seemed to have originated in China, although it noted it was difficult to determine the origin because of the ease of hiding identities online.
Argos Media

New Military Command to Focus on Cybersecurity - WSJ.com - 0 views

  • The Obama administration plans to create a new military command to coordinate the defense of Pentagon computer networks and improve U.S. offensive capabilities in cyberwarfare, according to current and former officials familiar with the plans.
  • The initiative will reshape the military's efforts to protect its networks from attacks by hackers, especially those from countries such as China and Russia. The new command will be unveiled within the next few weeks, Pentagon officials said.
  • The move comes amid growing evidence that sophisticated cyberspies are attacking the U.S. electric grid and key defense programs. A page-one story in The Wall Street Journal on Tuesday reported that hackers breached the Pentagon's biggest weapons program, the $300 billion Joint Strike Fighter, and stole data.
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  • A White House team reviewing cybersecurity policy has completed its recommendations, including the creation of a top White House cyberpolicy official
  • Defense Secretary Robert Gates plans to announce the creation of a new military "cyber command" after the rollout of the White House review, according to military officials familiar with the plan.
  • NSA's increasingly muscular role in domestic cybersecurity has raised alarms among some officials and on Capitol Hill. Rod Beckstrom, former chief of the National Cyber Security Center, which is charged with coordinating cybersecurity activities across the U.S. government, resigned last month after warning that the growing reliance on the NSA was a "bad strategy" that posed "threats to our democratic processes."
  • Pentagon officials said the front-runner to lead the new command is National Security Agency Director Keith Alexander, a three-star Army general.
  • Former President George W. Bush's top intelligence adviser, Mike McConnell, first proposed the creation of a unified cyber command last fall. The military's cybersecurity efforts are currently divided between entities like the NSA and the Defense Information Systems Agency, which is responsible for ensuring secure and reliable communications for the military. The Air Force also runs a significant cybersecurity effort.
  • Cyber defense is the Department of Homeland Security's responsibility, so the command would be charged with assisting that department's defense efforts. The relationship would be similar to the way Northern Command supports Homeland Security with rescue capabilities in natural disasters. The NSA, where much of the government's cybersecurity expertise is housed, established a similar relationship with Homeland Security through a cybersecurity initiative that the Bush administration began in its final year.
  • The cyber command is likely to be led by a military official of four-star rank, according to officials familiar with the proposal. It would, at least initially, be part of the Pentagon's Strategic Command, which is currently responsible for computer-network security and other missions.
  • In a rare public appearance Tuesday at a cybersecurity conference in San Francisco, Gen. Alexander called for a "team" approach to cybersecurity that would give the NSA lead responsibility for protecting military and intelligence networks while the Department of Homeland Security worked to protect other government networks.
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