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There will be a lot of talk in coming months about the government surveillance golem assembled in the shadows of the internet. Good. But what about the pervasive claim the private sector has staked to our digital lives, from where we (and our phones) spend the night to how often we text our spouse or swipe our Visa at the liquor store? It's not a stretch to say that there's a corporate spy operation equal to the NSA—indeed, sometimes it's hard to tell the difference.

Almost 48 hours after an unnamed hacker announced the breach of Hacking Team, exposing more than 400GB of secrets, the Italian surveillance tech company is investigating what happened, and coming out of its radio silence. The cyberintrusion, which was “quite sophisticated,” was likely the work of people “with a lot of expertise,” according to the company spokesperson Eric Rabe, who spoke with Motherboard on the phone from Milan, where he flew after finding out about the attack.

A divided Fourth Circuit has ruled, in United States v. Graham, that “the government conducts a search under the Fourth Amendment when it obtains and inspects a cell phone user’s historical [cell-site location information] for an extended period of time” and that obtaining such records requires a warrant. The new case creates multiple circuit splits, which may lead to Supreme Court review. Specifically, the decision creates a clear circuit split with the Fifth and Eleventh Circuits on whether acquiring cell-site records is a search. It also creates an additional clear circuit split with the Eleventh Circuit on whether, if cell-site records are protected, a warrant is required. Finally, it also appears to deepen an existing split between the Fifth and Third Circuits on whether the Stored Communications Act allows the government to choose whether to obtain an intermediate court order or a warrant for cell-site records. This post will cover the reasoning of the new case in detail.

Verizon users might want to start looking for another provider. In an effort to better serve advertisers, Verizon Wireless has been silently modifying its users' web traffic on its network to inject a cookie-like tracker. This tracker, included in an HTTP header called X-UIDH, is sent to every unencrypted website a Verizon customer visits from a mobile device. It allows third-party advertisers and websites to assemble a deep, permanent profile of visitors' web browsing habits without their consent.Verizon apparently created this mechanism to expand their advertising programs, but it has privacy implications far beyond those programs. Indeed, while we're concerned about Verizon's own use of the header, we're even more worried about what it allows others to find out about Verizon users. The X-UIDH header effectively reinvents the cookie, but does so in a way that is shockingly insecure and dangerous to your privacy. Worse still, Verizon doesn't let users turn off this "feature." In fact, it functions even if you use a private browsing mode or clear your cookies. You can test whether the header is injected in your traffic by visiting lessonslearned.org/sniff or amibeingtracked.com over a cell data connection.How X-UIDH Works, and Why It's a Problem

To compound the problem, the header also affects more than just web browsers. Mobile apps that send HTTP requests will also have the header inserted. This means that users' behavior in apps can be correlated with their behavior on the web, which would be difficult or impossible without the header. Verizon describes this as a key benefit of using their system. But Verizon bypasses the 'Limit Ad Tracking' settings in iOS and Android that are specifically intended to limit abuse of unique identifiers by mobile apps.

Because the header is injected at the network level, Verizon can add it to anyone using their towers, even those who aren't Verizon customers.

Director of National Intelligence James Clapper this morning released a report detailing new rules aimed at reforming the way signals intelligence is collected and stored by certain members of the United States Intelligence Community (IC). The long-awaited changes follow up on an order announced by President Obama one year ago that laid out the White House’s principles governing the collection of signals intelligence. That order, commonly known as PPD-28, purports to place limits on the use of data collected in bulk and to increase privacy protections related to the data collected, regardless of nationality. Accordingly, most of the changes presented as “new” by Clapper’s office  (ODNI) stem directly from the guidance provided in PPD-28, and so aren’t truly new. And of the biggest changes outlined in the report, there are still large exceptions that appear to allow the government to escape the restrictions with relative ease. Here’s a quick rundown.

Retention policy for non-U.S. persons. The new rules say that the IC must now delete information about “non-U.S. persons” that’s been gathered via signals intelligence after five-years. However, there is a loophole that will let spies hold onto that information indefinitely whenever the Director of National Intelligence determines (after considering the views of the ODNI’s Civil Liberties Protection Officer) that retaining information is in the interest of national security. The new rules don’t say whether the exceptions will be directed at entire groups of people or individual surveillance targets.  Section 215 metadata. Updates to the rules concerning the use of data collected under Section 215 of the Patriot Act includes the requirement that the Foreign Intelligence Surveillance Court (rather than authorized NSA officials) must determine spies have “reasonable, articulable suspicion” prior to query Section 215 data, outside of emergency circumstances. What qualifies as an emergency for these purposes? We don’t know. Additionally, the IC is now limited to two “hops” in querying the database. This means that spies can only play two degrees of Kevin Bacon, instead of the previously allowed three degrees, with the contacts of anyone targeted under Section 215. The report doesn’t explain what would prevent the NSA (or other agency using the 215 databases) from getting around this limit by redesignating a phone number found in the first or second hop as a new “target,” thereby allowing the agency to continue the contact chain.

National security letters (NSLs). The report also states that the FBI’s gag orders related to NSLs expire three years after the opening of a full-blown investigation or three years after an investigation’s close, whichever is earlier. However, these expiration dates can be easily overridden by by an FBI Special Agent in Charge or a Deputy Assistant FBI Director who finds that the statutory standards for secrecy about the NSL continue to be satisfied (which at least one court has said isn’t a very high bar). This exception also doesn’t address concerns that NSL gag orders lack adequate due process protections, lack basic judicial oversight, and may violate the First Amendment.

1. Executive Summary Ahmed Mansoor is an internationally recognized human rights defender, based in the United Arab Emirates (UAE), and recipient of the Martin Ennals Award (sometimes referred to as a “Nobel Prize for human rights”).  On August 10 and 11, 2016, Mansoor received SMS text messages on his iPhone promising “new secrets” about detainees tortured in UAE jails if he clicked on an included link. Instead of clicking, Mansoor sent the messages to Citizen Lab researchers.  We recognized the links as belonging to an exploit infrastructure connected to NSO Group, an Israel-based “cyber war” company that sells Pegasus, a government-exclusive “lawful intercept” spyware product.  NSO Group is reportedly owned by an American venture capital firm, Francisco Partners Management. The ensuing investigation, a collaboration between researchers from Citizen Lab and from Lookout Security, determined that the links led to a chain of zero-day exploits (“zero-days”) that would have remotely jailbroken Mansoor’s stock iPhone 6 and installed sophisticated spyware.  We are calling this exploit chain Trident.  Once infected, Mansoor’s phone would have become a digital spy in his pocket, capable of employing his iPhone’s camera and microphone to snoop on activity in the vicinity of the device, recording his WhatsApp and Viber calls, logging messages sent in mobile chat apps, and tracking his movements.   We are not aware of any previous instance of an iPhone remote jailbreak used in the wild as part of a targeted attack campaign, making this a rare find.

The Trident Exploit Chain: CVE-2016-4657: Visiting a maliciously crafted website may lead to arbitrary code execution CVE-2016-4655: An application may be able to disclose kernel memory CVE-2016-4656: An application may be able to execute arbitrary code with kernel privileges Once we confirmed the presence of what appeared to be iOS zero-days, Citizen Lab and Lookout quickly initiated a responsible disclosure process by notifying Apple and sharing our findings. Apple responded promptly, and notified us that they would be addressing the vulnerabilities. We are releasing this report to coincide with the availability of the iOS 9.3.5 patch, which blocks the Trident exploit chain by closing the vulnerabilities that NSO Group appears to have exploited and sold to remotely compromise iPhones. Recent Citizen Lab research has shown that many state-sponsored spyware campaigns against civil society groups and human rights defenders use “just enough” technical sophistication, coupled with carefully planned deception. This case demonstrates that not all threats follow this pattern.  The iPhone has a well-deserved reputation for security.  As the iPhone platform is tightly controlled by Apple, technically sophisticated exploits are often required to enable the remote installation and operation of iPhone monitoring tools. These exploits are rare and expensive. Firms that specialize in acquiring zero-days often pay handsomely for iPhone exploits.  One such firm, Zerodium, acquired an exploit chain similar to the Trident for one million dollars in November 2015. The high cost of iPhone zero-days, the apparent use of NSO Group’s government-exclusive Pegasus product, and prior known targeting of Mansoor by the UAE government provide indicators that point to the UAE government as the likely operator behind the targeting. Remarkably, this case marks the third commercial “lawful intercept” spyware suite employed in attempts to compromise Mansoor.  In 2011, he was targeted with FinFisher’s FinSpy spyware, and in 2012 he was targeted with Hacking Team’s Remote Control System.  Both Hacking Team and FinFisher have been the object of several years of revelations highlighting the misuse of spyware to compromise civil society groups, journalists, and human rights workers.

If one of the world’s leading smartphone makers, Huawei, turns away from Google’s Android operating system (OS), the US tech giant risks losing a huge number of users, Huawei’s CEO has warned. “[Huawei] will always be on the same line of interest, and if we don’t load Google’s system, Google will lose 700-800 million users in the future,” Ren Zhengfei said in an interview to CNBC.The Chinese telecommunications major was blacklisted last month by the Trump administration after Washington accused the company of spying for Beijing. Google, whose Android OS is used in many of Huawei’s phones, was among the American tech companies prohibited from dealing with Huawei.

Huawei said earlier that it is working on its own mobile operating system called Hongmeng and has already filed a trademark. In his interview, the CEO stressed that Hongmeng will allow the company to protect its growth if it is forced to replace Android, which Huawei does not want to do.