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How the NSA Is Harming America's Economy

anagama writes "According to an article at Medium, 'Cisco has seen a huge drop-off in demand for its hardware in emerging markets, which the company blames on fears about the NSA using American hardware to spy on the rest of the world. ... Cisco saw orders in Brazil drop 25% and Russia drop 30%. ... Analysts had expected Cisco's business in emerging markets to increase 6%, but instead it dropped 12%, sending shares of Cisco plunging 10% in after-hours trading.' This is in addition to the harm caused to remote services that may cost $35 billion over the next three years. Then, of course, there are the ways the NSA has made ID theft easier. ID theft cost Americans $1.52 billion in 2011, to say nothing of the time wasted in solving ID theft issues — some of that figure is certainly attributable to holes the NSA helped build. The NSA, its policies, and the politicians who support the same are directly responsible for massive losses of money and jobs."

210 of 330 comments (clear)

  1. tough love by TheGratefulNet · · Score: 5, Interesting

    #include "grumpycat"
    printf("good!\n");

    seriously, I would not trust US hardware and software, either.

    but then again, those routers are already at every choke-point on the internet. the US owns the internet (public one, anyway) in all practical ways.

    but for private networks when you can pick which routers and switches you want to deploy, picking a US based vendor would not be wise. I would not do it if I was in charge of a private network.

    maybe its time we consider going back to software (oss) based networking gear. it will be much slower than hardware based ones but we can't verify hardware designs like we can software ones.

    there is also no way to put this genie back into the bottle. once your cred is gone, its gone. and the US has lost ALL cred when it comes to safeguarding your privacy.

    sad but true. as a US citizen, I am sorry for how badly we have botched the world's trust.

    --

    --
    "It is now safe to switch off your computer."
    1. Re:tough love by Kjella · · Score: 4, Informative

      maybe its time we consider going back to software (oss) based networking gear. it will be much slower than hardware based ones but we can't verify hardware designs like we can software ones.

      That software has to run on hardware and if you can't trust the hardware you are screwed anyway, it's like trusting your software (oss) encryption when there's a hardware keylogger installed. Send the right magic numbers and the hardware could start doing anything it wants like mirroring traffic, dumping memory, whatever the attacker needs to completely compromise the box. The only advantage would be that it could run on more generic hardware that you hopefully could buy from a more trusted supplier.

      --
      Live today, because you never know what tomorrow brings
    2. Re:tough love by fustakrakich · · Score: 5, Insightful

      In today's multi/transnational corporate world the USA does not exist. The famous Authur Jensen speech from 1976 comes to mind. There is nobody that's going to protect us from this anywhere in the world. Anybody who tries will be 'liberated'. And the biggest part of the problem is that people keep on blaming policy and politicians for this, and nobody will look in the mirror and admit that they voted for it, To them I say, *you asked for it, thankyouverymuch.* The ball is in our court.

      --
      “He’s not deformed, he’s just drunk!”
    3. Re:tough love by cyberjock1980 · · Score: 3, Insightful

      Just goes to show what I asked a few weeks ago. Back in Oct I posted a comment that this may lead to a IT revolution of sorts because of all of this.

      No surprise that when I commented about it before I was labeled 1:Redundant.

      Think ahead people. If I were a competitor from outside the USA I'd be asking Snowden to release more details. Heck, I if I were a CEO of one of them I might be writing him a "thank you" check. The worse the NSA spying appears to be(or even that looks plausible to do with financial resources) the more people will want to avoid US companies that might be in bed with the government.

      At this point, it doesn't really matter "how much" worse it gets. Everyone's already figured they can source hardware from outside the USA. What would be an interesting twist is if decades later we find out that all these people started buying from China or some other country and those do actually have backdoors while the US companies actually didn't.

    4. Re:tough love by Nemyst · · Score: 3, Insightful

      I wouldn't trust US hardware, Chinese hardware, Russian hardware, European hardware, Australian/NZ hardware.... Where does that leave us really?

    5. Re:tough love by Anonymous Coward · · Score: 4, Insightful

      It's not a about 'cred'... dude.

      When your government puts its own institutional interests above those the people from which it derives its democratic legitimacy, it's no longer acting democratically. So, technically, once the US began operating imperially, back in the 19th century, the slow withering rot of oligarchy began to emerge as the driving farce behind the facade of electoral chaos.

      Take the case of Teddy Roosevelt who believed that the US naval superiority should be used offensively to increase domestic political power by use of force or the ease by which Truman chose to drop not one but two weapons of mass destruction on the Japanese. These actions were neither expressions of democracy of altruism. They were imperial. Not that we should overlook the covert actions of the Dulles brothers when they used the Dept of State and CIA to prosecute the interest of US corporate business around world in the 50s.

      The players have changed but the song remains the same, and now that the world is largely developed and includes 7 billion people who tend to get in the way, either legally or by their mere presence, there's nothing left to do but degrade the wealth of those who share the same nationality. So get ready for the 21st Century. It's going to be a bumpy ride if you still believe in the fairy tale of Democracy for all or self determination for anyone.

    6. Re:tough love by LifesABeach · · Score: 1

      And so one thinks that these back doors only exist in U.S. products? Maybe Cisco, et.al. would be more "open" to their protocols? Maybe more profit could be made by approaching solutions were simplicity is illuminated?

    7. Re:tough love by marcello_dl · · Score: 2, Insightful

      > sad but true. as a US citizen, I am sorry for how badly we have botched the world's trust.

      Don't worry, you never have been trusted as a nation. Individual Americans, sure, I am likely to trust them more than my countrymen, but collectively all political entities behave the same. Our interests first.

      --
      ---- MISSING MISCELLANEOUS DATA SEGMENT --- [sigdash] trolololol
    8. Re:tough love by mythosaz · · Score: 4, Insightful

      What trustworthy country do you want to buy them from? China? Russia? One of the major US allies?

      sigh

      Just give me the Cisco one. :(

    9. Re:tough love by datavirtue · · Score: 1

      You CAN build your own routers....it may not be 1U but it will be secure.

      --
      I object to power without constructive purpose. --Spock
    10. Re:tough love by SternisheFan · · Score: 4, Insightful

      or the ease by which Truman chose to drop not one but two weapons of mass destruction on the Japanese.

      Truman was trying to end the war between Japan and the U.S. before it could become a long, drawn out ground war costing millions more lives. AFAIK, the U.S. only had enough material for the 2 bombs (after testing), which of course was not made public. Japan did not immediately surrender after the first A-Bomb attack, and that's when the 2nd bomb was used, and only then did Japan surrender. Thank God that Japan did not know that Truman was bluffing his poker hand, or the war could have gone on far longer.

    11. Re:tough love by AmiMoJo · · Score: 2

      Fortunately most secure internet protocols are designed on the assumption that you can only trust the end points, not anything in-between them. As such replacing the end-point routers with non-US hardware/software will improve security.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    12. Re:tough love by 0123456 · · Score: 2, Informative

      AFAIK, the U.S. only had enough material for the 2 bombs (after testing), which of course was not made public.

      Uh, not true. They were pumping out new bombs on a production line, and the third bomb would have been ready to go soon after the second was dropped; Truman vetoed any further use. If I remember correctly, they were up to about one bomb a month by that point, and accelerating.

    13. Re:tough love by fustakrakich · · Score: 1

      You should know better tan to vote for anyone who wants the job. The position is always doomed to be compromised under such circumstances. We would be much better off with a lottery system. If your name gets drawn out of the hat, *tag*, you're it.

      --
      “He’s not deformed, he’s just drunk!”
    14. Re:tough love by Anonymous Coward · · Score: 1

      And they sure were generous with the times between bombings right?

      Hiroshima - August 6, 1945
      Nagasaki - August 9, 1945

      Not sure of "gods" involvement in one nation killing a lot of innocent civilians in another.

    15. Re:tough love by xevioso · · Score: 1

      Nope.

    16. Re:tough love by NatasRevol · · Score: 1

      started buying from China or some other country and those do actually have backdoors while the US companies actually didn't.

      You do know they've already been found, right? It's how the NSA hacked google.

      --
      There are two types of people in the world: Those who crave closure
    17. Re:tough love by Charliemopps · · Score: 1

      That "Trust" should be no-where in your security plan.

    18. Re:tough love by SternisheFan · · Score: 2

      AFAIK, the U.S. only had enough material for the 2 bombs (after testing), which of course was not made public.

      Uh, not true. They were pumping out new bombs on a production line, and the third bomb would have been ready to go soon after the second was dropped; Truman vetoed any further use. If I remember correctly, they were up to about one bomb a month by that point, and accelerating.

      Correct, but the U.S. had used up it's inventory...

      " Charles Sweeney published his memoirs as War's End: An Eyewitness Account of America's Last Atomic Mission (Avon, 1997). During the party following the successful Hiroshima drop, he recalled that Paul Tibbets took him aside and told him that he was to command the second atomic mission, with Kokura as the primary and Nagasaki as the secondary target. Timing was important, Tibbets said: "It was vital that [the Japanese] believed we had an unlimited supply of atomic bombs and that we would continue to use them. Of course, the truth was that we only had one more bomb on Tinian. Delivery of the third bomb was several weeks away.""

      http://www.warbirdforum.com/third.htm

      http://csis.org/blog/understanding-decision-drop-bomb-hiroshima-and-nagasaki

    19. Re:tough love by Anonymous+Brave+Guy · · Score: 1

      Where does that leave us really?

      Not relying on any one brand, presumably.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    20. Re:tough love by houghi · · Score: 1

      African Hardware. [Insert 419 joke here]

      --
      Don't fight for your country, if your country does not fight for you.
    21. Re:tough love by odigity · · Score: 4, Insightful

      Truman was trying to end the war between Japan and the U.S. before it could become a long, drawn out ground war costing millions more lives. AFAIK, the U.S. only had enough material for the 2 bombs (after testing), which of course was not made public. Japan did not immediately surrender after the first A-Bomb attack, and that's when the 2nd bomb was used, and only then did Japan surrender. Thank God that Japan did not know that Truman was bluffing his poker hand, or the war could have gone on far longer.

      Oh yes, please continue to to repeat that mass-murder-justifying state propaganda. It does wonders for our society's ability to think clearly about moral issues.

    22. Re:tough love by Anonymous Coward · · Score: 2, Interesting
      The notion that the United States had but two atomic bombs to use against Japan at the end of WWII is false. By August 1945, both the plutonium bomb complex at Handford, Washington and the uranium bomb works at Oak Ridge, Tennessee were in full production mode. According to Captain Don Albury, who flew in both atomic missions, a third atomic bomb was already in the pipeline---I believe at Wendover, Utah---soon after Nagasaki. He told me personally in July 2002 that Kokura was the target of the third atomic mission. Kokura had actually been the primary target of the Nagasaki mission; not many casual readers of history know that the B-29 carrying Fat Man actually made several attempts at finding Kokura through cloud cover and what may have been manmade fog coming up from power plants located on the rivers near the city. It was only after failing at this that the decision was made to bomb the secondary target: Nagasaki. You can read more details about the rate of US atomic bomb production in the excellent book Working on the Bomb. http://forum.axishistory.com/viewtopic.php?f=33&t=17428

      A final note: the annual production capacity of the Oak Ridge uranium bomb works was between 2 and 4 U-235 bombs. Thus, another Little Boy would not have been ready until November or December of 1945, assuming sufficient stocks of uranium were available from which U-235---highly enriched, bomb grade uranium---could be manufactured. (I have seen some authors dispute exactly how much uranium the US actually had at war's end; it may be that this is the source of the oft-repeated and totally mistaken idea that there were only 2 US bombs in all.) However, the Hanford plutonium works was capable of much greater production. According to a memo written by Leslie Groves and Robert Oppenheimer to General George Marshall, by the time Operation OLYMPIC, the US invasion of Japan, was due to commence in November, 1945, there would have been as many as twelve (12) P-239 Fat Man bombs available for use. Marshall wanted to use 9 of them as tactical nukes against the landing areas of Kyushu, the southernmost Japanese Home Island which was the target of the US invasion.

      And for more clarification if any is needed, the oil refinery attack bombing of the Nippon Oil Refinery at Tsuchizaki near Akita, 300 miles north of Tokyo, six days after the bombing of Nagasaki, was part of a maximum conventional bombing effort that was ordered when Japan still did not surrender in the days immediately following the second atomic mission. While the parts for a third atomic bomb were already being assembled and were in fact in the pipeline for delivery on target, a third atomic mission never took place. The last aerial bombardments of the war were conventional, not nuclear, attacks.

    23. Re:tough love by cold+fjord+NSA+shill · · Score: 1

      Botched the world's trust? The world is our enemy. They are all spying on us, so the NSA has to spy harder. On us. For our safety.

    24. Re:tough love by Mprx · · Score: 4, Interesting

      There's a strong argument that the real reason for Japan's surrender was the Soviet invasion of Manchuria, which happened at the same time. You'll note that the Allies did a lot of damage to Japanese cities with conventional weapons without forcing surrender. The firebombing of Tokyo caused similar damage to the bombs. The bombs however were a convenient excuse to avoid losing face, because unlike the Manchuria campaign they couldn't be blamed on Japanese military incompetance.

    25. Re:tough love by SternisheFan · · Score: 1

      ... These nation are still innocent when it come to weapon of mass destruction.

      And I pray that they stay innocent that way. War is to be avoided if at all possible. Nucleur weaponry should be the option of last resort.

    26. Re:tough love by schlachter · · Score: 1

      without trust. :(

      --
      My God can beat up your God. Just kidding...don't take offense. I know there's no God.
    27. Re:tough love by khallow · · Score: 1

      In today's multi/transnational corporate world the USA does not exist.

      A statement which is obviously wrong by noting that multinational corporations and the US coexist.

      The famous Authur Jensen speech from 1976 comes to mind.

      You mean the famous Ned Betty soliloquy scene in the movie, "Network"? Where among other things, he claims that large businesses are the nations even though they obviously aren't (they don't have monopoly on force, taxation power, or any sort of sovereignty). You are basing your reasoning on fiction, cheap speeches in a fake world.

      Anybody who tries will be 'liberated'. And the biggest part of the problem is that people keep on blaming policy and politicians for this, and nobody will look in the mirror and admit that they voted for it, To them I say, *you asked for it, thankyouverymuch.*

      I think here the disease just may end up being the cure. I can't say for sure, since people have this remarkable ability to blame others for their own failings.

    28. Re:tough love by cyberjock1980 · · Score: 1

      Got a link? I haven't read that. I read that a backdoor may have been the cause, but it wasn't proven conclusively.

    29. Re:tough love by fustakrakich · · Score: 1

      (they don't have monopoly on force, taxation power, or any sort of sovereignty)

      Yes, they do. They own the governments they put into place. The are the government, using puppets that sold their souls for a piece of the pie. You're wagging the dog.

      --
      “He’s not deformed, he’s just drunk!”
    30. Re:tough love by Tokolosh · · Score: 1

      The country that cannot drone strike my ass on a whim.

      --
      Prove anything by multiplying Huge Number times Tiny Number
    31. Re:tough love by fustakrakich · · Score: 1

      And something else. The film is not entirely false by any means. It is a slightly exaggerated and a bit overly dramatic caricature of how things really do work in this world. Feel free to shed your naivete.

      --
      “He’s not deformed, he’s just drunk!”
    32. Re:tough love by Jane+Q.+Public · · Score: 1

      That software has to run on hardware and if you can't trust the hardware you are screwed anyway, it's like trusting your software (oss) encryption when there's a hardware keylogger installed. Send the right magic numbers and the hardware could start doing anything it wants like mirroring traffic, dumping memory, whatever the attacker needs to completely compromise the box.

      Yes, but... if that's the case, Cisco has already screwed itself. It doesn't need government help.

      They did it when they "front-doored" their Linksys routers: not only did you have to go to their website to configure them, they claimed the right to monitor any traffic through them!

      Hell, I haven't trusted Cisco since then, either.

    33. Re:tough love by SternisheFan · · Score: 1

      Perhaps you should look up the word "propaganda"?

      http://en.wikipedia.org/wiki/Propaganda

      Propaganda is a form of communication aimed towards influencing the attitude of the community toward some cause or position by presenting only one side of an argument. Propaganda statements may be partly false and partly true. Propaganda is usually repeated and dispersed over a wide variety of media in order to create the chosen result in audience attitudes.

      You stated you were "clearifying why things went down" but did you consider any other side but the US version of events? So yeah, its spreading propaganda.....

      Being born and having lived my life in the U.S., I carry a U.S. bias. I haven't been convinced by your postings. And until any better 'proof' comes along, we'll have to "agree to disagree", as it is said.

      Also, the word is "clarify", there is no such English word as "clearify". Am I correct, or am I promoting my own 'propaganda'? Use your own brain and decide for yourself.

    34. Re:tough love by cold+fjord · · Score: 1

      The "asses" that get drone strikes are those that have taken up arms against the US as part of al Qaida. Does that include you?

      Russia has had a considerably lower standard for killing people. If you are worrying about the US you are probably worrying about the wrong thing.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    35. Re:tough love by Austerity+Empowers · · Score: 1

      seriously, I would not trust US hardware and software, either.

      Nor I, it's all manufactured in China, completely with secret firmware updates.

    36. Re:tough love by crimson+tsunami · · Score: 1

      Are you sure?
      How many have Russia killed recently compared to the US?
      Its better for Russia to poison a defector or 2 than the US to drone strike a wedding and "collaterally kill" 50+ innocents just to maybe get 1 "bad guy".

    37. Re:tough love by bware · · Score: 3, Insightful

      Snowden is a giant monkey wrench in that; He's done more to harm America than pretty much anyone since the turn of the century save perhaps Osama Bin Laden, if we want to count out dollars on it. I hope they find him and make him suffer for a long time, slowly. He claims to be a patriot, but he's done most damage than our biggest enemies.

      Maybe was the spying that did the damage.

    38. Re:tough love by TheGratefulNet · · Score: 3, Insightful

      Snowden is a giant monkey wrench in that; He's done more to harm America than pretty much anyone since the turn of the century

      way to blame the messenger, there!

      everything you wrote is junk since you blame the guy who was the whistleblower instead of the actual criminals (ie, the nsa).

      fuck you! snowden was one of the best things to happen to the US! a breath of fresh honesty.

      --

      --
      "It is now safe to switch off your computer."
    39. Re:tough love by cold+fjord · · Score: 1

      Although I do complement China on a number of fronts, such as their recent announcement to move away from labor camps, you should look more closely at them. They have some very large weaknesses that are in danger of bubbling to the surface and could result in economic collapse, or at least severe retrenchment. The new national leadership is also posing a danger of returning to the old ways, which could be even worse. That is before you get to their growing aggression against their neighbors and their lands.

      The Obamacare fiasco could in fact be what the country needs to create conditions for a rebound. I wouldn't count the US out yet.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    40. Re:tough love by ahabswhale · · Score: 1

      Canada is part of the ECHELON alliance so they're just as complicit.

      --
      Are agnostics skeptical of unicorns too?
    41. Re:tough love by c0lo · · Score: 2

      What trustworthy country do you want to buy them from? China? Russia? One of the major US allies?

      sigh

      Just give me the Cisco one. :(

      Tell you what: get a RasberryPi and a USB-to-Ethernet adapter (USB2.0 - max rate - 480Mbps - I thing it's enough for a home user).
      There, for under $70, you have the base for your very own router, under you control. VPN capable, no less.

      --
      Questions raise, answers kill. Raise questions to stay alive.
    42. Re:tough love by DNS-and-BIND · · Score: 1

      The atomic bombings and the Soviet declaration of war were referred to as "the twin shocks" and were equally influential to Japan's decision to surrender.

      The Manchuria campaign wasn't lost because of incompetence, it was because all of the good troops had been stripped away and sent to die in the Pacific. Besides it only lasted a short time.

      --
      Shutting down free speech with violence isn't fighting fascism. It IS fascism!
    43. Re:tough love by antdude · · Score: 1

      None. Don't use anyone's. Make your own. ;)

      --
      Ant(Dude) @ Quality Foraged Links (AQFL.net) & The Ant Farm (antfarm.ma.cx / antfarm.home.dhs.org).
    44. Re:tough love by RespekMyAthorati · · Score: 1

      So when did "moral issues" have anything to do with warfare?

    45. Re:tough love by Tokolosh · · Score: 1

      You did not read down to my sig.

      Russia will not assassinate me, even if I do join al Qaida and take up arms against the US. So therefore I am more comfortable doing business with a Russian company, than an American one.

      --
      Prove anything by multiplying Huge Number times Tiny Number
    46. Re:tough love by cold+fjord · · Score: 1

      Your sig has very little to do with it in multiple respects, not the least of which is that Russia was formerly considered part of the 2nd world, and is still a major world power today.

      Russia is fighting al Qaida as well as the US, and the US and Russia often trade intelligence on them. If you join al Qaida the Russians are as likely to capture or kill you if they can as the US is. And the Russians are expanding their use of drones. In fact they have a very large, long range missile firing drone in development that they hope to deploy in 2-3 years. I doubt "your ass" is any better off with them.

      If your criteria for doing business with a company is whether their country defends themselves against terrorists you better keep looking for a new company. I'll give you a crib: you can cross off sources in the US, UK, France, China, Russia, Israel, and plenty of others. I doubt you'll find much comfort in being killed by a missile launched from a helicopter or plane as opposed to a drone.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    47. Re:tough love by cold+fjord · · Score: 1

      Perhaps should look into Russia's wars in Chechnya, Afghanistan, and Georgia?

      And who are these people that you think the US killed on "a whim?" If you believe that there is a major gap in your knowledge.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    48. Re:tough love by cold+fjord · · Score: 1

      It seems that you are the one that either believes nonsense or is confused about the facts. Do you have any proof of that the NSA is giving business secrets to US companies? I don't recall that there has been any proof of that, only wild speculation. But maybe you are confusing these revelations with this? You probably have things backwards in more than one way.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    49. Re:tough love by strikethree · · Score: 1

      Oh yes, please continue to to repeat that mass-murder-justifying state propaganda. It does wonders for our society's ability to think clearly about moral issues.

      So you would rather that those cities were firebombed like Dresden? Or would you have preferred that America surrender to the Japanese? There were not many other options considering the path that Japan was on.

      Kind regards,
      strike

      --
      "Someone needs to talk to the tree of liberty about its ghoulish drinking problem." by ohnocitizen
    50. Re:tough love by cold+fjord · · Score: 1

      It certainly has, but not on a whim. The insurgency in Chechnya continues, and Russia still has a terrorism problem.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    51. Re:tough love by cold+fjord · · Score: 1

      The vast majority of them were killed by fellow Iraqis, or other Arabs or Muslims in various incidents of terrorist or insurgent violence. Only a small percentage were killed by the coalition forces.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    52. Re:tough love by balbus000 · · Score: 1

      Snowden is a giant monkey wrench in that; He's done more to harm America than pretty much anyone since the turn of the century save perhaps Osama Bin Laden, if we want to count out dollars on it. I hope they find him and make him suffer for a long time, slowly. He claims to be a patriot, but he's done most damage than our biggest enemies.

      I usually agree with you on most topics, but this just seems completely backwards. Do you actually believe this, or are you playing devil's advocate?

  2. You mean Massive Increase in jobs and spending by BitZtream · · Score: 1

    As those companies who are avoiding Cisco are still going to buy someone else's stuff, and they'll be a whole new crew of people that have to either migrate off the cisco gear, or figure out if it really is bugged or not.

    Either way, more jobs will be created than lost, they just might not be created in America.

    --
    Persistent Volume manager for Kubernetes - https://github.com/dwimsey/openshift-pvmanager
    1. Re:You mean Massive Increase in jobs and spending by larry+bagina · · Score: 5, Interesting

      Look beyond hardware -- think data centers, cloud services, etc. Europeans are dropping American-based offerings for European-based ones or moving it back inhouse.

      --
      Do you even lift?

      These aren't the 'roids you're looking for.

    2. Re:You mean Massive Increase in jobs and spending by Anonymous Coward · · Score: 1

      Oh look, it's the broken window fallacy!

    3. Re:You mean Massive Increase in jobs and spending by fustakrakich · · Score: 1

      Certainly a good way to protect themselves from American whistleblowers that expose their complicity. Let's not try to fool anybody into believing Europe is somehow innocent or more enlightened than anybody else. Nationalism/racism is on the rise, ready to start another world war. Even the Dutch with their semi-legal weed is mired neck deep in bigotry.

      --
      “He’s not deformed, he’s just drunk!”
    4. Re:You mean Massive Increase in jobs and spending by strikethree · · Score: 1

      Europeans are dropping American-based offerings for European-based ones or moving it back inhouse.

      LOL. Like European data centers are any more secure from their governments... and they get the additional "benefit" of being directly under the regulatory powers of the country they reside in. Wheeee.

      No, if I were in Europe, I would choose Indian data centers. Even though the folks from India would be snooping my data, they could not do much against me or my company. All they could do is steal my secrets. Oh yeah. Gotta love putting your data in external hands. Duh.

      --
      "Someone needs to talk to the tree of liberty about its ghoulish drinking problem." by ohnocitizen
  3. Re:Certainly attributable? by TheGratefulNet · · Score: 1, Troll

    lol! show me the proof?

    are you serious?

    you can't be serious. you just can't be.

    how exactly do you expose exploits in routers when no one will ever admit they exist, but we all are pretty damned sure they DO exist?

    besides, if you do find an exploit, you can expect a NSL that will stop you from telling people about it.

    --

    --
    "It is now safe to switch off your computer."
  4. Buy Chinese... by Anonymous Coward · · Score: 3, Funny

    Let Brasil and Russia buy Chinese then. They deserve only the best.

    1. Re:Buy Chinese... by elloGov · · Score: 4, Insightful

      Had you any business acumen, you'd realize that your short-sighted vision will bite you in the bum long-term. "Yes, we suck, but the other guys suck worse" Eventually, someone will come along/transform to provide a better solution and eat your lunch.

    2. Re:Buy Chinese... by Lisias · · Score: 2

      Yeah, right.

      And exactly from where do you think all that "good and cheap" goodies you buy around you there in America comes from? Or do you think that Cisco have any manufacturing on EUA?

      Speaking frankly, buying stuff directly from China will just cut off the man-in-the-middle money sucker on the manufacturing chain, also known as U.S.A.

      *OF COURSE* that most of these devices are *INVENTED* by americans on America, and on the long run these same goodies will be deprecated without a proper (modern) replacement - but, as I had said, this will happens on the long run. On the short term, however, America will be screwed up relentlessly (but don't worry, the rest of us will follow short, unless we manage to really learn how to spend money on innovations - being this the real problem on Russia and Brazil).

      --
      Lisias@Earth.SolarSystem.OrionArm.MilkyWay.Local.Virgo.Universe.org
    3. Re:Buy Chinese... by Anonymous Coward · · Score: 1

      Had you any business acumen, you'd realize that your short-sighted vision will bite you in the bum long-term. "Yes, we suck, but the other guys suck worse" Eventually, someone will come along/transform to provide a better solution and eat your lunch.

      Young Doc: No wonder this circuit failed. It says "Made in Japan".

      Marty McFly: What do you mean, Doc? All the best stuff is made in Japan.

      Young Doc: Unbelievable.

      Back to the Future Part III

    4. Re:Buy Chinese... by Lisias · · Score: 1

      What doesn't change anything (see the Microsoft agreements with NSA) =]

      --
      Lisias@Earth.SolarSystem.OrionArm.MilkyWay.Local.Virgo.Universe.org
  5. NSA? by larry+bagina · · Score: 1

    Is it good or is it whack?

    --
    Do you even lift?

    These aren't the 'roids you're looking for.

  6. Re:And everyone on Slashdot cares about Cisco by Z00L00K · · Score: 4, Interesting

    From one perspective some of us do care - they do make stuff that works reasonably well.

    But my suspicion is that there's more to this than just abandoning Cisco. In many cases it's a lot cheaper to set up a router based on a PC and Linux, which probably is what happens in "emerging markets".

    As for the NSA - they could probably do a lot better for the economy if they did put their effort into tracking down and nuking scammers, spammers and other internet pests - and their karma would be better. And they better use the CIA and others to really "take care" of those problems.

    --
    If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
  7. The long term damage will be enormous by Sean · · Score: 4, Insightful

    As soon as software catches up and makes it practical, the rest of the world is going to dump the US cloud forever.

    1. Re:The long term damage will be enormous by ahabswhale · · Score: 1

      It won't change anything. You will still be spied on at will. Maybe not by the NSA but you will be spied on.

      --
      Are agnostics skeptical of unicorns too?
  8. I'm the only one smelling BS here? by Krneki · · Score: 3, Insightful

    How much taxes is Cisco paying to the US government? Because if they pay like every other corporation (1%), then the fact that they now sell less won't have any repercussion on the tax income.

    I still hate NSA, but this looks like two ass-holes pointing fingers at each other.

    --
    Love many, trust a few, do harm to none.
    1. Re:I'm the only one smelling BS here? by fredrated · · Score: 1

      Employees pay taxes, if they sell less gear they will employ fewer people that will collectively pay less in taxes.

    2. Re:I'm the only one smelling BS here? by Anonymous Coward · · Score: 4, Informative

      "Cisco’s techniques cut the effective tax rate on its reported international income to about 5 percent since 2008 by moving profits from roughly $20 billion in annual global sales through the Netherlands, Switzerland and Bermuda"

      cite

    3. Re:I'm the only one smelling BS here? by compro01 · · Score: 2

      Cisco sales go in the toilet -> Employees laid off -> no income/FICA tax from them.

      --
      upon the advice of my lawyer, i have no sig at this time
    4. Re:I'm the only one smelling BS here? by PPH · · Score: 2

      Stop measuring the economic contribution of an event solely in terms of tax revenue. Cisco pays salaries, purchases goods and services from subcontractors, pays dividends, etc. All contributions to the economy before the gov't takes its cut.

      --
      Have gnu, will travel.
    5. Re:I'm the only one smelling BS here? by intermodal · · Score: 1

      The corporate entity known as Cisco isn't the one who pays the taxes. Uncle Sam gets his cut when they pay their employees, shareholders (if they get payouts, of course), and in other regulatory fees.

      Accounting is a strange world, my friend, but you'll find that in the big picture, Cisco is making a lot of money for the government even if they aren't paying it directly.

      --
      In SOVIET RUSSIA... erm...NSA AMERICA, the Internet logs onto YOU!
    6. Re:I'm the only one smelling BS here? by Anonymous Coward · · Score: 1

      Cisco isn't a Coop and doesn't pays its employees 100% of its profit. So you are looking at a smaller percentage of the salaries as tax.
      The corporation part SHOULD also pay its part of taxes like every small companies that doesn't have the size/resources to do an international loop hole.

    7. Re:I'm the only one smelling BS here? by intermodal · · Score: 1

      I disagree with your assertion of "should". If "should" were a valid argument, we'd have a very, very different world.

      --
      In SOVIET RUSSIA... erm...NSA AMERICA, the Internet logs onto YOU!
    8. Re:I'm the only one smelling BS here? by HeckRuler · · Score: 3, Insightful

      "Tax-to-profit"?

      So if a corporation actually loses money in a year, they shouldn't pay any tax?

      Why not tax-to-revenue?

      I have to have a place to live, stuff to eat, transportation, and all sorts of other little stuff. Cost of living. Yet I'm taxed on my income. All of it.

      Corporations have buildings, employee wages, recurring costs. It's all just cost of doing business. And as a business expense, they aren't taxed on it.

      If a corporation has a major breakthrough and makes a billion bucks, they can finally sell off some of that crap investment stock (which was really a sweetheart deal to a friend) and report zero profit. Meanwhile, if I work hard and get a bonus, or a second job, or win the lotto, it's taxed at the top rate, and if I make extra payments on the house, or credit card debt, or pay off some medical bills, that's all out of my wallet.

      It's not that these are tax cheats, it's that the game has all of it's rules written for, and by, the big corporations. And since they're international, they avoid as much of the game as possible by moving profits overseas.

    9. Re:I'm the only one smelling BS here? by datavirtue · · Score: 1

      Yeah...and 1% is way too much.

      --
      I object to power without constructive purpose. --Spock
    10. Re:I'm the only one smelling BS here? by HiThere · · Score: 1

      That's a silly way to think of it, when money is only a promise made by the state.

      If someone breaks a promise to you, that doesn't make him a thief. It makes him an untrustworthy bastard that you should try to avoid dealing with again.

      Taxes are the protection money paid to the extortion racket called the state. If it's leaning harder on you than on someone else, because you are weaker, it's because either it like picking on an easy target, or because the other guy bribed them to let them alone.

      But *do* notice that the state's protection racket is the only thing that gives money any value. They promise to "protect" you if you pay them off in ... promises that they have made.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    11. Re:I'm the only one smelling BS here? by dbIII · · Score: 1

      Taxes are the protection money paid to the extortion racket called the state

      Ah yes, the rugged individualist in his own mind who is as much of a leech on society as anyone else. Rand has a lot to answer for when people see such opinions as the one quoted above as valid comments by adults and not childish and selfish rants.

    12. Re:I'm the only one smelling BS here? by TheGratefulNet · · Score: 1

      cisco SHOULD topple. they are way too large and powerful.

      (I used to work for them more than 2 decades ago, back when they had 3 buildings in menlo park. it was a fine place to be, back then. now, I could not imagine working for the 'machine' called cisco.)

      I am a firm believer that no company should ever get that large and powerful. I'd like to see cisco fall (and google, too, but we aren't talking about google right now).

      --

      --
      "It is now safe to switch off your computer."
    13. Re:I'm the only one smelling BS here? by HiThere · · Score: 1

      You are misunderstanding. The state, like the smarter criminal organizations, tries to arrange things so that it is the best available option to adhere to it's guidance. Sometimes this is the carrot, sometimes it's the stick, but money is the accounting system of the protection racket side.

      Do I have any better option? No. But don't pretend things are better than they are. My basic feeling is that humans in groups tend to be selfish and exclusive towards outsiders, however defined. I believe this is true for every satisfactorially documented human group in history without exception. Political dogma is only a false front over this reality. And this isn't saying that humans in small groups cannot be extremely caring for each other. Christianity was an attempt to overcome this, which only escalted the violence. (There are arguments that the actual escalation was because of technological improvements, and that Christianity was just window dressing, and that may be true in most instances, but it also accelerated the development of large organizations which could be violent towards outsiders that one would otherwise never even have heard of. E.g., Albigensians, Monophysites, etc. And that's not even mentioning it's offshoots such as Muslims. For some reason the Buddhists haven't had this same effect, nor have the Taoists. The Confuscists get right in there, but seem to mainly be acting as the voice of the conservative political party of whatever time, so I'm going to consider them as window dressing justifiying the power-mad, who woud be doing the same thing anyway.)

      But I'm definitely not a rugged individualist. I know that a world without large governments would cause over a 90% dieoff in humans, and quite possibly more.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    14. Re:I'm the only one smelling BS here? by dbIII · · Score: 1

      Your very bad analogy of the state as a criminal organization is extremely childish and tells us far more about yourself for pushing it than anything else. Selfishness is not a virtue.

    15. Re:I'm the only one smelling BS here? by HiThere · · Score: 1

      Did I even SUGGEST that I considered selfishness a virtue? I don't. But it's a predictable feature. Even the most moral of people turn selfish if they aren't watching themselves.

      The reason that a criminal organization is used as a simple model of a state is because it's another organization that claims the right to use force to achieve it's ends. Are there any other groups in this category? Mobs don't qualify as a good analogy, because they are too disorganized (even though the instigators are often quite organized...so I suppose you could include political groups in rebellion...though I tend to consder them, to the extent that they are effective, as a cross between a criminal organization and a state).

      Come up with another decent analogy and I'll consider it.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    16. Re:I'm the only one smelling BS here? by HeckRuler · · Score: 1

      1) Americans living overseas should be taxed only if they receive benefits from america. ie, if they're still US citizens, can still vote, can still run to the US embasy, and are still under that nebulous cloud of US protection while abroad. Because we will come with the guns and the dogs and the guns that shoot dogs if there's an international incident with our citizens. So to that extent, yes Americans abroad should be, and are, taxed. Federally.

      2) Corporations ARE NOT PEOPLE. They consist of people, and people can group together and do whatever the fuck they feel like. But if a corporation decides to kill a man, THE PEOPLE WITHIN the corporation are responsible. There is no concept of where a corporation is born. It's a meaningless detail on a scrap of paper. And they can get a new scrap of paper with a new detail at the drop of a hat.

      3) Large international corporations have enough power, cash, and political weight to be considered opponents to the nation. They have risen above the "low justice" that the serfs are held to, and now face "high justice" that the nobles, wealthy, and internationally sovereign players face. Ideally, any business they do abroad is simply none of our business, and any business they do within our borders should taxed. But treating them as what amounts to an agressive foreign power, we should definitely bring out the hammer and play hardball with anyone who tries to dodge out of US taxes.

      But all in all, YES, Corporations should pay income tax. And yes, it'd be nice if corporations paid income tax on profit made abroad. In effect, they pay taxes on profit realized abroad and then brought home somehow, but there are a lot of ways around that and accountants earn their wages in corporations.

      But no, your idea is shit because it runs with bad assumptions, naieve and arbitrary values, and has a weird fairness clause that doesn't really make sense. Corporations currently don't pay income tax, even when they're all local That's kind of the basis of my original post.

  9. "A hungry man is an angry man" by elloGov · · Score: 2

    Quoting Bob Marley, economy is the bloodline of any society. It's where the buck stops. I hope that our "patriotic"(nationalist) Orwellian ways can play a second fiddle to our economy. If not, we are paving our path to our own demise.

    1. Re:"A hungry man is an angry man" by Kjella · · Score: 2

      Quoting Bob Marley, economy is the bloodline of any society. It's where the buck stops. I hope that our "patriotic"(nationalist) Orwellian ways can play a second fiddle to our economy. If not, we are paving our path to our own demise.

      As long as it doesn't backfire in the public opinion, a lot of Americans might be sympathetic to exposing the extensive spying on others but when it starts hurting their own wallet is that anger going to be directed at Snowden or the NSA? I mean in the whole "Snowden - hero or traitor?" debate tanking the US economy is probably not a plus. Personally I think you'll get a lot of first-order reaction and the second-order reaction "But should we really have been spying in the first place?" will be much weaker, the reason the saying is "don't kill the messenger" is that people do have a tendency to want to kill the messenger. Doesn't matter how dirty the laundry you're airing is or how many skeletons were in your closest, it's the one who brings it out in the open who has to pay the price.

      --
      Live today, because you never know what tomorrow brings
  10. Re:Certainly attributable? by Anonymous Coward · · Score: 1

    "Proof" is classified. Move along citizen.

  11. Collateral damage by jodido · · Score: 2

    These are the people who invented the phrase "destroy the village in order to save it"--do you think they give a shit about Cisco stock?

    1. Re:Collateral damage by Anonymous Coward · · Score: 1

      And every time some idiot says "individuals must be restricted for the benefit of society", theyre just paraphrasing "destroy the village in order to save it"

  12. Re:massive losses of money and jobs by elloGov · · Score: 1

    Exactly, that's the part these self-professed "patriots" don't get. Ideology and nationalism doesn't put food on the table.

  13. Misleading Title by thoth · · Score: 4, Funny

    Harming America's economy? This is more about affecting Cisco's profits. And color me unsympathetic, as they are an "American" corporation (in scare quotes since it shifts as it suits them) when it comes time to complain about something, but they are apparently Swiss http://www.bloomberg.com/news/2011-06-28/biggest-tax-avoiders-win-most-gaming-1-trillion-u-s-tax-break.html when its time to pay taxes.

    1. Re:Misleading Title by 0123456 · · Score: 4, Interesting

      This isn't just Cisco. No-one can trust US technology any more; they've got from the most trusted on the planet to, at best, no better than the Chinese, in the space of a few months.

    2. Re:Misleading Title by larry+bagina · · Score: 4, Funny

      And they're Greek when it comes to sex, if you know what I'm saying.

      Edit: for those that don't know what I'm saying, Cisco likes to fuck you in the ass.

      --
      Do you even lift?

      These aren't the 'roids you're looking for.

    3. Re:Misleading Title by hypergreatthing · · Score: 1

      That's to be expected. Security of data is critically important to all businesses, even the American ones who are also affected by the NSA scandals. I would expect politicians to be in an uproar and call for the dismantling of the NSA and for all their secret projects to be disclosed and security holes patched up so America can once again be trusted.

      Lol, who am i kidding. I expect people to be silenced, jailed, tortured and publicly humiliated if they dare speak the truth again, and for the NSA's budget to be quadrupled and even more data to be fed directly to them under the guise of stopping the leaks.

    4. Re:Misleading Title by Guppy06 · · Score: 1

      Then these fine, upstanding corporate-person citizens should stand up and perform the only political action that matters in this country: lobby the fuck out of Congress until they get the laws they want.

  14. No shit ... by Anonymous Coward · · Score: 5, Insightful

    If the American security infrastructure is going to turn American corporations into de-facto arms of the intelligence process, then nobody has any choice but to not trust them.

    Anything involved in the security of the internet that's been tainted by being complicit with the NSA et al can't be trusted. So Cisco is going to feel the pinch.

    Anything in 'the cloud' ran by a US company is subject to PATRIOT Act demands. So Oracle, Microsoft, Amazon ... they're all going to feel the pinch. And Google's hosted solutions for email is also something you can't trust.

    When the NSA undermines security for their own ends, then anything they've had a hand in can't be trusted.

    So the end result is most governments and companies in other countries more or less have to look at any US player as not trustworthy, or actively hostile to your goals.

    As long as you keep acting like your security trumps the sovereignty of everyone else ... well, the only answer is to say "OK, fuck you" and cut you out of the picture entirely.

    All of your big corporations are more or less presumed to be lying (because they can't admit to participating in this), complicit with collecting data to send back to Big Brother, and violating local privacy and data access laws.

    And since 'Murica has been railing about how the Chinese are infiltrating their stuff (while doing the same thing), and complaining about countries which restrict a free internet ... they've lost a position of having the moral high ground. The US is doing everything they accuse other countries of doing, only they're apparently doing it on a massive scale.

    So, yes, this should have an impact on the US economy. And you can choose to stay the course and see it keep happening, or you can fix the problem. And so far, we've seen no evidence whatsoever there's any contrition or accepting that what they did was going to piss off everyone else.

    But when all of those orders start getting cancelled, and new ones stop coming, don't stand around wailing about how unfair it is that people have decided they can't trust you and don't want your stuff.

    But in a country which is actively ignoring its own Constitution and freedoms, I'm not expecting any meaningful introspection on behalf of the US. I'm expecting more bluster, claims about how everyone else is doing it, and continuing with the status quo.

    1. Re:No shit ... by sesshomaru · · Score: 4, Insightful

      " And so far, we've seen no evidence whatsoever there's any contrition or accepting that what they did was going to piss off everyone else."

      Stratfor hacker Jeremy Hammond sentenced to ten years in jail

      I'd say sneering contempt rather than contrition.

      --
      "MIT betrayed all of its basic principles."
    2. Re:No shit ... by cold+fjord · · Score: 1

      And technology people wonder why business people and others in society think they can be clueless. "It was only hacking! C'mon!"

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
  15. Poor Cisco by frovingslosh · · Score: 5, Funny

    I feel really bad for Cisco. They went out of their way to build all those back doors into all of their equipment for the NSA, and now people don't want to buy their products. Does that seem fair?

    --
    I'm an American. I love this country and the freedoms that we used to have.
    1. Re:Poor Cisco by TheGratefulNet · · Score: 2

      every vendor who rises above a certain level of market share is going to be 'asked' to install backdoors in their networking and infrastructure gear.

      I can't say how I know this, but I know this. I'm pretty sure I know this... ;)

      its not just cisco. its all networking gear that the US gov would want to buy and operate.

      --

      --
      "It is now safe to switch off your computer."
    2. Re:Poor Cisco by Nerdfest · · Score: 1

      A decent company would have outed the requests (if allowed, or ideally even if not). The problem is, I would guess that they're promised government contracts, etc, in exchange for their 'patriotism'. Global companies should think globally and not let local greed endanger their business.

    3. Re:Poor Cisco by Kjella · · Score: 3, Insightful

      Well, nobody knows how much of a choice they have in the matter. If the NSA come rolling in with a National Security Letter, comply and keep quiet it's rather hard to refuse. It's not like they'd just make a corporate fine for leaking it, they'd be going after individuals to put them in prison. Are you ready to do a Snowden and screw your whole life for the sake of not complying with a government order of questionable constitutionality? If the government wants to put you over a barrel, they can.

      --
      Live today, because you never know what tomorrow brings
    4. Re:Poor Cisco by thsths · · Score: 2

      Good question. Obviously a NSL can require them to hand over *customer* data, and to keep quiet about it.

      But how about secret keys? It seems that the NSA is trying to get those, too. So all hardware made in the US is compromised.

      And can they demand a company to lie to customers? To manipulate computer systems? To install back doors? I am not usually one for primary virtues, but this seems to be crossing a line.

    5. Re:Poor Cisco by NatasRevol · · Score: 1

      LOL at 'if allowed'.

      --
      There are two types of people in the world: Those who crave closure
    6. Re:Poor Cisco by erikkemperman · · Score: 2

      every vendor who rises above a certain level of market share is going to be 'asked' to install backdoors in their networking and infrastructure gear.

      I can't say how I know this, but I know this. I'm pretty sure I know this... ;)

      its not just cisco. its all networking gear that the US gov would want to buy and operate.

      Well, supposing I don't just take your word for that... I'll still be basically convinced by now that your statement is true. I don't think your assertion surprises many at this point. The question is, will these economic bottom-line implications succeed where public outrage so far failed to materialize, and curb this outrageous level of policing the nation/world?

      That would be so bitter sweet. And an entirely typical way for America to do the right thing for the wrong reasons...

      --
      Gosh, thanks. That must be why the other ships call me Meatfucker -- GCU Grey Area (Eccentric)
    7. Re:Poor Cisco by davester666 · · Score: 1

      Yes, NSL's are specifically for getting customer data. And yes, they normally also compel the company to lie to their customers and not disclose that they received any NSL's.

      IANAL, but I don't believe NSL's can compel the other things, like installing backdoors or alter their systems to be more warrrant/NSL friendly.

      --
      Sleep your way to a whiter smile...date a dentist!
    8. Re:Poor Cisco by ahabswhale · · Score: 1

      Yeah, I'll trust some random guy on the internet with absolutely zero sources to back him up.

      For all I know, you work for HUAWEI.

      --
      Are agnostics skeptical of unicorns too?
  16. I'm out! by snarfies · · Score: 3, Interesting

    When SOPA was a looming thing, I was in the market to move from shared hosting to a VPS, and so I made it a point to chose a VPS that was in another country.

    Sadly, I chose the Netherlands, who are NSA collaborators. I'm just waiting for a specific piece of software to be released, and I'm out of there and on to a new server in a new country - I'm thinking Switzerland right now. Iceland is too expensive.

  17. go to bed with the pigs.... by roc97007 · · Score: 1

    ...and wake up muddy. Or something like that.

    --
    Oliver's law of assumed responsibility: If you're seen fixing it, you will be blamed for breaking it.
  18. SHOW ME THE PROOF by frovingslosh · · Score: 5, Insightful

    SHOW ME THE PROOF

    I would, but look what happened to the last brave American who tried that. I don't want to have to seek asylum in Russia and ask some crime ridden South American country to take me in, nor watch my back every minute for the U.S. agents trying to kidnap or kill me. The President talked big about protecting whistle blowers before this happened, but then all of that was quietly removed from his website Everyone of us that actually has the proof knows better than show it to you.

    --
    I'm an American. I love this country and the freedoms that we used to have.
  19. So they are countering... by Overzeetop · · Score: 1

    So they are countering this bad press by open sourcing the system and inviting everyone to verify that their hardware is ait-tight secure, right? Right?

    *crickets*

    --
    Is it just my observation, or are there way too many stupid people in the world?
  20. Re:And everyone on Slashdot cares about Cisco by geogob · · Score: 3, Informative

    I don't know who is interested in cisco, but you missed the big picture.

  21. It's already too late by Rigel47 · · Score: 1

    As much as I love my country and as much as I despise the rise of the MIC and the borderline treasonous activities of the NSA I don't think anything is going to change. The very nature of Government now is different. I'm not going to wax romantic about an imaginary time gone by when the Government was all humble and citizen-serving but it now has something of a life and intent of its own. The public is a captive source of funding and their desires mostly just aggravation when they run counter to the collective aims of the incestuous clique of government agencies and their contractors.

    Throw in that accountability is mostly gone and there's absolutely no reason to believe anything with the NSA will change. They have nothing to fear. There will be a Congressional hearing or two, concerns will be expressed, they will emphasize "strict controls" and whatever other language seems appropriate. A committee will be formed that in six months to a year will produce a voluminous report nobody will read. Then the closed-door meetings will resume and the quasi-legal FISA courts will continue the rubber stamping. The only real hope is a true third party but the red/blue conglomerate will due whatever it takes to stop that from happening.

  22. NSA Controlling Markets, Skimming Profits? by Anonymous Coward · · Score: 1

    The NSA is financially omniscient. NSA monitors all electronic communications. NSA internal groups study economies, governments, and companies and especially financial firms.

    Might not profits be made by using this deep insider information? Might not profits be used by the NSA to fund more secret projects, even projects unknown to their Executive Branch leadership? Might not employees of the NSA financially benefit even without the awareness of the NSA?

    Could the reason economies are flat be that the NSA and it's employees are performing social and financial arbitrage, capturing all profits by using their intelligence to benefit from the otherwise-secret plans of corporations, governments and individuals before they are completed?

  23. Re:massive losses of money and jobs by sabri · · Score: 1

    Exactly, that's the part these self-professed "patriots" don't get. Ideology and nationalism doesn't put food on the table.

    Actually, it would.

    If everyone in the US would stop buying foreign goods or sending money oversees, the US can sustain itself. There is more than enough farmland, more than enough industrial capacity to produce everything needed and the world's most innovative area (silicon valley) is in the US.

    So while I'm not at all one of those "the US is the best" folks, it is certainly true that the US will survive should the world decide to hate it.

    --
    I'm not a complete idiot... Some parts are missing.
  24. Re:massive losses of money and jobs by Anonymous Coward · · Score: 3, Insightful

    >> The NSA, its policies, and the politicians who support the same are directly responsible for massive losses of money and jobs.

    Melodramatic.

    Not really. Having demonstrated that American firms can't be trusted (because due to the PATRIOT Act they can't), American firms will see declines in sales from outside of America.

    If American firms see declines in sales, they lay off people. So you get the double whammy of companies making less money, and having fewer people on the payroll.

    All those consultants who might be engaged to do something, well, now they're persona-non-grata because they too can't be trusted since they could be compelled to hand over your business information.

    All of those cloud based services and the like, well, people can't trust them either.

    For a country which has staked its future in IP and a knowledge economy ... making your vendors into someone that can't be trusted means that all of a sudden those things which were supposed to save the economy are now floundering.

    And America keeps acting like it's their right to violate local laws and generally act like douchebags. All while acting like if someone else did this it would be an act of war.

    So, it's not melodramatic. It's real, and entirely deserved, and a product of your own creation.

  25. Re:Certainly attributable? by ObsessiveMathsFreak · · Score: 1

    If the NSA-created holes really are "certainly" attributable to identity theft cases, then SHOW ME THE PROOF.

    Well since the NSA started its movement the free Internet we knew and loved has changed utterly, so I'd say some kind of identity theft has taken place.

    --
    May the Maths Be with you!
  26. perspective by Black+Parrot · · Score: 1

    its policies, and the politicians who support the same are directly responsible for massive losses of money and jobs

    How does that compare to, say, the policies that have made offshoring lucrative, or the changes to depression-era rules that allowed the 2008 global economic meltdown?

    --
    Sheesh, evil *and* a jerk. -- Jade
  27. Cisco Lawful Enforcement - read it by Anonymous Coward · · Score: 1

    For those curious how some of it is done, google "Cisco Lawful Enforcement"..

    it's on Cisco's own site and public, but basically it shows they've pretty much incorporated backdoors for govt. They even have nifty pdfs describing how great and easy it is to comply with CALEA with it.

  28. Re:Certainly attributable? by Anonymous Coward · · Score: 1

    There have been absolutely no cases of identity theft which are even remotely attributable to the alleged (probable? proven?) weaknesses the NSA inserted into encryption algorithms. No one yet knows how to exploit these weaknesses, and if an intentional weakness does exist in the elliptic curve random number generation algorithm then it is a keyed weakness such that you need the secret values that only the NSA has in order to exploit it.

    So the particular statement referring to the NSA making identity theft easier is flat out BULLSHIT. Only a moron or someone with no technical understanding of the issue would make such a claim.

    Seriously, rag on the NSA for stuff that they have actually done, not this extrapolated crap since it just makes us look stupid.

  29. Re:Certainly attributable? by gl4ss · · Score: 1

    dunno about that, but I don't get why bother with nsa created holes when the legislation allows the holder of information needed for such id theft to sell it and some have been selling them(credit check companies).

    and about cert authorities with usa operations being coerced to co-operate? fucking no shit sherlock! that's not even news, that's just a direct consequence of the powers the agencies have.

    --
    world was created 5 seconds before this post as it is.
  30. Re:Certainly attributable? by Em+Adespoton · · Score: 1

    "Proof" is classified. Move along citizen.

    Only classified in the US and with cooperation of complicit nations. Of course, China's not about to publicly point out the holes in cisco routers, as they probably leverage them themselves. Likewise, Russia won't do it, as they've got crime syndicates taking advantage. It's up to countries like Brazil and India to speak out about these things... and do so in a way that they don't get silenced.

  31. Re:And everyone on Slashdot cares about Cisco by rolfwind · · Score: 1

    Yeah, as if it's just limited to Cisco, and certainly won't have an effect on the rest of the tech industry (like Cloud Computing) going all the way down to programmers... dumbass.

  32. True at least partially by Dega704 · · Score: 3, Funny

    You could make the argument that this is overblown, but you cannot deny that it is true at least to some significant degree. The ironic part is how the U.S. government has been warning us about the coming cyber-apocalypse, and it turns out that they have done more to stoke those flames than anybody else.

    1. Re:True at least partially by HiThere · · Score: 1

      Believe him if you want to. He might be telling the truth.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
  33. Re:And everyone on Slashdot cares about Cisco by mythosaz · · Score: 2

    "Emerging markets" (and god knows what the scare quotes are for) likely need enterprise class equipment too.

    Emerging markets can use hand-me-down SOHO equipment in their houses, classrooms and hotels, but those machines connect to something bigger, and throwing Vyatta on a used PC doesn't compare to a 6500 for your campus or 9000 for your new ISP.

    http://en.wikipedia.org/wiki/Vyatta

  34. Re:And everyone on Slashdot cares about Cisco by gmuslera · · Score: 4, Insightful

    Router based on PCs were there since last century, it wouldn't change projections beause they were always there. But putting an equipment that you can't trust in the critical point of your network where you must have the maximum trust (either because Cisco want to cooperate, or is forced to, secret laws are nukes in the trust domain) is not a great idea.

  35. This is The Cost of Freedom by l0ungeb0y · · Score: 1

    If these other Countries don't want to buy All-American products with Freedom® and Democracy® built-in, then they stand against us in our Global War of Terror

  36. Re:And everyone on Slashdot cares about Cisco by gmuslera · · Score: 1

    Exactly, The big issue would far bigger even than Cisco, Microsoft, Google, Amazon and Apple all go bankrupt at once because of this.

  37. Encrypt everything by jones_supa · · Score: 4, Insightful

    We have found that we cannot trust the networks of ISPs anymore: there can be an NSA tap anywhere. A good and practical move would be to start using more and more robust end-to-end encryption. Things like SSL are possibly out of question as NSA has corrupted the root certs.

    1. Re:Encrypt everything by Jawnn · · Score: 1

      Things like SSL are possibly out of question as NSA has corrupted the root certs.

      [citation needed]

    2. Re:Encrypt everything by mrchaotica · · Score: 1

      No.

      You need to provide a citation that proves it hasn't.

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

    3. Re:Encrypt everything by HiThere · · Score: 1

      More to the point, a citation wouldn't suffice. Lots of people will say one thing while they are doing another. You need something verifiable.

      OTOH, most of the things I heard asserted don't actually require that the root certs be compromised. (Yeah, I've heard they have been compromised before in several different places. In no case do I know that the person making the assertion had actual knowledge, or was telling the truth. So, until I see something that requires cert compromise, I'm going to call that "plausible", but not proven.)

      The thing is, if one is concerned about security, if something is only plausibly compromised, do you trust it? I'll trust it with my scrabble score. I'll trust it with information of trivial value. But beyond that? You make a tradeoff. You decide: Who is likely to intercept this information? Could they decode it? If they did, what would the result be?

      FWIW, I don't bank over the internet. This doesn't make me feel really secure, because I think my bank does. And I know that credit card purchases at stores are transmitted over the internet. Consider this when you decide whether to use a credit card or pay cash.

      P.S.: The NSA isn't the only player snooping on those channels. This is one of the benefits of weak encryption and sloppy standards for implementation. And it doesn't only affect US transactions.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    4. Re:Encrypt everything by akozakie · · Score: 1

      Why out of question? SSL and PKI are not the same thing. You can run SSL even with self-signed certificates. The real question is whether the protocols, algorithms and implementations are free form NSA backdoors and strong enough. Of course, not being able to trust the chain of trust restricts the possible uses, but for many applications it's not a problem.

    5. Re:Encrypt everything by strikethree · · Score: 1

      Things like SSL are possibly out of question as NSA has corrupted the root certs.

      I suspect that you have not thought this through. SSL is only out of the question if the NSA (or any other entity) has a method of bypassing the protocols or encryption. Since this is not proven, it is safe to trust SSL.

      What I think you are missing is that while SSL has been promoted as a system involving public Certificate Authorities, this does not have to be the case. While having public CAs is generally seen as a convenience, it is terribly insecure and always has been regardless of NSA involvement.

      Run your own Certificate Authority but do not complain that you have to get your users to install your Root Certificate.

      --
      "Someone needs to talk to the tree of liberty about its ghoulish drinking problem." by ohnocitizen
  38. Not going to happen. by Anonymous Coward · · Score: 1

    "we find out that all these people started buying from China or some other country and those do actually have backdoors while the US companies actually didn't."

    Never going to happen.

    Not because china or some other country (e.g. USA?) isn't putting backdoors in, but that we won't find that US companies didn't, because actually, they did.

  39. Re:And everyone on Slashdot cares about Cisco by sjames · · Score: 4, Informative

    But even if you pop the champagne and throw a party when Cisco is hurt, I wouldn't be surprised if all other U.S. companies suffer similar harm, and that's no cause for a party.

  40. You're all going to jail! by cardpuncher · · Score: 2
    Listen up. Any news that casts an unfavourable light on the economy is a risk to your economic security. It must therefore be kept strictly secret. Anyone found spreading this unpatriotic propaganda is going to find themselves in a re-education camp.

    Yours sincerely,

    The government of North Korea^W^Wthe USA.

  41. Cisco can sue by EngineeringStudent · · Score: 1

    I wonder if Cisco can sue for damage to business. I know that if a government blunder cost me $35 billion, I would be pretty unhappy. Seriously that is nearly 12 US presidential elections bought worth of lost revenue.

  42. Re:And everyone on Slashdot cares about Cisco by Jawnn · · Score: 1

    Uhm..., no? Yes? Maybe? What is your point?
    Personally, I despise Cisco for their heavy handed business practices. They lost my business a long time ago, but from the "what's good for the U.S. economy, they do still count. So it sucks, hard, to see our government's misguided policies affect them, not to mention just about every other U.S. tech company with an international market.

  43. If its made in the USA - I don't trust it by openthomas · · Score: 5, Interesting

    These leaks have cost America the trust of an entire generation. In the last few months I deleted my gmail, linkedin, facebook, twitter, ebay and amazon accounts, and when my cellphone dies I won't buy another. If US companies deny their customers the basic human right that is dignity through privacy then it will be to their extreme financial loss. Personally I want no part of what these services have to offer because they do not respect me as a individual. I don't trust the hardware, the software, the services, the network, the companies or the government. And google can stick glass up their ass.

    1. Re:If its made in the USA - I don't trust it by beefoot · · Score: 1

      You haven't deleted your slashdot account yet.

    2. Re:If its made in the USA - I don't trust it by SirGarlon · · Score: 1

      If US companies deny their customers the basic human right that is dignity through privacy then it will be to their extreme financial loss.

      Unfortunately, current trends suggest there are not enough people who give a damn about their privacy to make a dent in the bottom line.

      It's corporations who buy Cisco's routers, and they do care, because they have trade secrets and business plans to protect. But regular consumers? They *want* to be spied on by Google and Facebook.

      --
      [Sir Garlon] is the marvellest knight that is now living, for he destroyeth many good knights, for he goeth invisible.
  44. Re:Certainly attributable? by sjames · · Score: 3, Informative

    A bit hard to prove a case of it but not too hard to show the possability. Google around for the documented cases in Greece and (IIRC Italy) where organized crime used U.S. mandated back doors into telephone switches to spy on their government.

  45. How do we know that Cisco, etc, has back-doors? by volvox_voxel · · Score: 1

    It's not unreasonable that the NSA would have their own gear -- some kind of box connected in the middle. What evidence is there that cisco equipment has some kind of backdoor to the NSA, and this is not all FUD.. ?

  46. Re:Certainly attributable? by thsths · · Score: 4, Informative

    > So the particular statement referring to the NSA making identity theft easier is flat out BULLSHIT.

    How so? I thought it is pretty much fact. They introduced some weak encryption, and most of all they introduced weak random number generators, which means any key generated using it should be considered compromised. If the NSA can break it, the hackers will learn how to break it, too, especially if there is money behind it.

  47. Re:Certainly attributable? by datavirtue · · Score: 1

    The only acceptable opinion of government is suspicion and loathing. When people like government it becomes this icky thing where the figurehead turns into a god and that figurehead's actions are revered by those who aren't getting killed or robbed by him/her.

    --
    I object to power without constructive purpose. --Spock
  48. Taste of their own medicine by The123king · · Score: 2

    Isn't this the same US government who's been slagging off Huawei hardware because the chinese might be sneaking backdoors into Huawei hardware...?

    What goes around, comes around...

    --
    If you gave me a choice between a printer and a giraffe with explosive diarrhoea, i'll get my ladder and my raincoat
  49. Re:And everyone on Slashdot cares about Cisco by lightknight · · Score: 1

    Dude, it's agreed that slashvertizements are in bad taste...like asking a girl for sex when you go to pick her up for a date (i.e. it's super rude), but having said as much (seriously editors, do something about this), everything this blurb is talking about was predicted. NSA goes on privacy knifing binge, other Powers decide not to trust the US with their secrets, the businesses of the US cry out. Predicted, known, and they still didn't care. And now they want our trust, again, so they can betray it, again. The NSA's nickname might as well be Judas Iscariot or Jesus Christ, depending on whether you're on the receiving end, or the giving end. In either case, people are pissed.

    So make a bad choice: pure honesty, with our super bad laws (God help you with that, as you're screwed inside and outside the US...victim of our foreign policy, or victim of our domestic policy)...or pure honesty, we're human, you're going to fail at some laws, and you might / might not receive some help when you do. Frankly, I see suffering, which, while not being a Buddhist, I am not a fan of...mine or others. Frankly, I'd prefer laws that everyone could follow flawlessly.

    --
    I am John Hurt.
  50. SDN is coming with or without Cisco's blessing by Anonymous+Brave+Guy · · Score: 4, Insightful

    Emerging markets ... likely need enterprise class equipment too.

    Well, yes and no, but reportedly 98.9% no in the case of at least one huge deal that fell through.

    SDN is coming, and the likes of Cisco are terrified of it. So would you be if your own executives thought it was going to cut your company's value in half and there was little you could do about it.

    The main thing they've got left to compete with is the trust in their brand, the idea that they're a safe bet and no-one ever got fired for buying Cisco. They're in trouble even without all the NSA publicity, but if their own government is damaging their established brand, it doesn't exactly help their situation.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    1. Re:SDN is coming with or without Cisco's blessing by niftymitch · · Score: 1

      Emerging markets ... likely need enterprise class equipment too.

      ....snip....

      SDN is coming, and the likes of Cisco are terrified of it. So would you be if your own executives thought it was going to cut your company's value in half .....shop....

      Hmmm..... SDN... I cannot comment on the "cut value in half" but they
      seem to have a toe in the waters. Of interest big Cisco hardware has
      few if any honest competition. One of the keys issues is provisions for
      "legal" wiretaps. Legal taps in contrast to the NSA vacuum it all up problematic
      processes.

      http://www.networkworld.com/community/blog/cisco-sdn-splash-coming

      The high end seems secure(ish} but the machine room is under attack.
      Note the interesting project that Facebook has undertaken where a router
      at the top of the rack seems to be the keystone for machine room nework
      redesign. The performance and bandwidth of modern computation hardware
      and modern disk (SSD) bandwidth is moving some key performance metrics
      down to the rack one, two, three router hops and an equal number of bandwidth
      edges closer onto the rack.

      --
      Truth is stranger than fiction, but it is because Fiction is obliged to stick to possibilities; Truth isn't. Mark Twain.
    2. Re:SDN is coming with or without Cisco's blessing by Anonymous+Brave+Guy · · Score: 1

      I'm not sure what you're describing is really anything new, though. High-end network monitoring and performance management tools have been commonplace in enterprise server rooms and data centres for some time. People get all hot and bothered about recent publicity for the NSA and such, but network taps themselves are simple, ubiquitous, and have many useful purposes aside from anything some might regard as shady. It's like the way span ports have been used, but more systematic and with greater capacity and flexibility.

      Cisco themselves aren't a particularly big player in these kinds of markets, though. They often provide the heavy network switching and routing infrastructure, but usually it's other vendors who provide management and monitoring tools for various purposes. There's also a small but growing industry that exists just to bridge the gap from the live network to the tools, because you want to run a lot of those tools out-of-band and connect them into your network on demand.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    3. Re:SDN is coming with or without Cisco's blessing by Lennie · · Score: 1

      You forgot to mention Network Function Virtualization as well.

      --
      New things are always on the horizon
  51. TSA also hurting US economy by Emetophobe · · Score: 3, Interesting

    Not just the NSA, but the TSA aswell. Myself and many other Canadians that I know refuse to vacation in the States anymore because of the invasive border checks.

    1. Re:TSA also hurting US economy by WillAffleckUW · · Score: 1

      Not just the NSA, but the TSA aswell. Myself and many other Canadians that I know refuse to vacation in the States anymore because of the invasive border checks.

      Actually, they even do that to families of American citizens who visit Canada, as they recently did when one family drove to a wedding in Canada from Detroit.

      Welcome to the Police State of East Germany! Oh, wait, America ... same thing.

      --
      -- Tigger warning: This post may contain tiggers! --
  52. Which begs the bigger question by ThatsNotPudding · · Score: 1

    When it comes to hardware in terms of company and/or country, who can *anyone* trust?

    And evoking Reagan 's speech writer, how the hell would you verify anyway?

    1. Re:Which begs the bigger question by cold+fjord · · Score: 1

      I expect most companies to continue to trust the lowest bidder, perhaps with a modification for quality, or fit with existing infrastructure.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    2. Re:Which begs the bigger question by cold+fjord · · Score: 1

      If you read those carefully it is mainly speculation and future projections, not a certainty. The Snowden revelations have been going on for some time and the last report that I saw indicated no real change for the overall market. I think I even submitted a story on it. Maybe it was what Cisco said it was, and maybe not. As to your last point, if they can't trust anybody, then why change? Just to go with another untrusted vendor with inferior technology or less reliable equipment? That could very possibly create a long term US advantage even if in the near term it means some lost sales from part of the economy.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    3. Re:Which begs the bigger question by cold+fjord · · Score: 1

      At least in the case of Cisco there doesn't appear to actually be a problem since they don't use the RNG for which people speculate, that is wildly guess, there might be a problem. Saying otherwise is inseparable from FUD without proof. If you want to go that route you end up just as bad or worse with other brands. So, go ahead and build the competition on brand X hardware. You might very well get both worse hardware and the spies from the country from brand X. In the case of China that would also mean your IP will probably be stolen and put to use to compete against you. Pick your poison.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
    4. Re:Which begs the bigger question by cold+fjord · · Score: 1

      Here you are starting to lose the plot.

      Well chosen words, since it seems to me you are well into conspiracy fiction there. It starts with wild speculation which is unproven, moves to invented statistics, uses that as "proof," and then asserts that as a cause for action while ignoring or assuming away other problems. I think the best part is suggesting that knock off hardware which would no doubt run copied software would somehow leave you better off since it overlooks the question of support. Other solutions may not be much better since you still end up with national intelligence agencies possibly involved, and they may either have an alliances or weaknesses that invalidate your assumptions.

      Feel free to act on that yourself, I certainly wouldn't. It almost seems to be heading into troll land.

      --
      much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
  53. Re:massive losses of money and jobs by fustakrakich · · Score: 1

    Certain measures must be taken to assure the voters they are not to blame.

    --
    “He’s not deformed, he’s just drunk!”
  54. Re:And everyone on Slashdot cares about Cisco by jafiwam · · Score: 2, Insightful

    From one perspective some of us do care - they do make stuff that works reasonably well.

    But my suspicion is that there's more to this than just abandoning Cisco. In many cases it's a lot cheaper to set up a router based on a PC and Linux, which probably is what happens in "emerging markets".

    As for the NSA - they could probably do a lot better for the economy if they did put their effort into tracking down and nuking scammers, spammers and other internet pests - and their karma would be better. And they better use the CIA and others to really "take care" of those problems.

    Yup. NSA knows where all the child porn distributors are, what they are using to do it, and who the people are.

    But do nothing about it.

  55. It will take time, not happen all at once by Anonymous+Brave+Guy · · Score: 5, Interesting

    Microsoft, Google, Amazon and Apple all go bankrupt at once because of this.

    That is extremely unlikely. What is more plausible, however, is:

    1. They continue to lose the confidence of international customers.

    2. Those customers seek alternative arrangements that they consider more trustworthy, possibly ad-hoc ones at first.

    3. Over time, a new generation of more structured alternatives begins to develop to supply the new market demand, offering similar services and products to the big name US brands.

    Some of these may be direct commercial competitors, but that's not really the concern for the current market leaders, because the barrier to entry for anyone trying to compete head-on is huge. Probably the greater risk is collaborative movements, whether Open Source tools or simply a degree of standardisation and compatibility between smaller vendors that means you can build (for example) a heterogenous network using a pool of specialist vendors and have a good chance of it working.

    This is potentially toxic to broad US vendors such as Cisco in the networking space or the big cloud services companies who ideally want you to outsource almost your entire IT infrastructure to them alone. Which brings us on to...

    4. Even in the US, long-time and lucrative customers start second-guessing whether they still need US IT Brand X, and those brands start losing serious money to both the foreign movements and, over time, also to new competitors in the US who are riding the open/collaboration wave to get a disruptive foothold in the market.

    And at that point, the big US vendors are really in trouble.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
    1. Re:It will take time, not happen all at once by gmuslera · · Score: 1

      Didn't explained it well. I meant that the real issue is not just bigger than Cisco shares dropping value, it is bigger than something as big as all those companies going bankrupt, but not saying that it will happen. Anyway, companies based on countries wich governments orders them to spy and report on their users and not reveal that it is happening will could have a hard time with foreing users in the future, no matter what encryption new encryption protocol comes in the future (i.e. the proposed http 2.0)

    2. Re:It will take time, not happen all at once by fustakrakich · · Score: 1

      And at that point, the big US vendors are really in trouble.

      Not really. They just shift their stock portfolios over to other things like household products and diapers. They all trade with each other enough to stay in business. All that Wall Street money continues to flow right over our heads.

      --
      “He’s not deformed, he’s just drunk!”
    3. Re:It will take time, not happen all at once by Anonymous+Brave+Guy · · Score: 1

      There would still be patents, copyrights and other IP claims from the big US guys to survive competition.

      Not necessarily.

      The US grants patents for several relevant fields that wouldn't be recognised or enforceable in many other places. Those patents have little if any value against competition based in one of those other places other than possibly preventing them from selling in the US (which in turn only harms other types of business there who can't benefit from the same competition-driven advantages that everyone else can).

      Copyright only protects a specific expression of an idea. It doesn't stop anyone else reimplementing the same idea another way, and it certainly doesn't stop someone implementing a better idea for solving the same underlying problem. This is true even in the US.

      And finally, even where IP rights would be practically enforceable abroad, that tends to be so because the US pushes hard in international negotiations to strengthen the protections that favour its home-grown economy. Other governments aren't going to remain as co-operative in those negotiations if their home-grown businesses are starting to compete and so their own economies stand to lose out.

      Being seen as pro-US is becoming politically toxic to politicians in a lot of places already, so visibly sticking it to the United States' big business and/or government in these sorts of negotiations has basically no political downside and would more likely boost popularity with the local electorate. I suppose this is just another kind of long term fall-out from the generally offensive/dismissive attitude the US government has shown towards foreigners in recent months, and as with the more direct security concerns, it's not going to do their business world any favours.

      --
      If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
  56. Re:And everyone on Slashdot cares about Cisco by Anonymous+Brave+Guy · · Score: 1

    I wouldn't be surprised if all other U.S. companies suffer similar harm, and that's no cause for a party.

    For a lot of people and a lot of different reasons, it would be cause for celebration if these markets opened up and weren't dominated by a few giants any more. That's the heart of the problem for the giants.

    The related problem for the US government is that new entrants in the markets won't necessary be based in, or even operate in, the United States. Aside from any potential security concerns that might give them, it's going to hit the US tax man right in the spreadsheet.

    --
    If you disagree, post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like.
  57. Re:Certainly attributable? by cold+fjord · · Score: 1

    Likewise, Russia won't do it, as they've got crime syndicates taking advantage. It's up to countries like Brazil and India to speak out about these things..

    Because Brazil is crime free and doesn't spy? I expect that India is similarly virtuous.

    --
    much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
  58. Re:Certainly attributable? by Charliemopps · · Score: 5, Insightful

    SHOW ME THE PROOF

    Ok...
    http://www.theguardian.com/world/2013/sep/05/nsa-gchq-encryption-codes-security
    http://www.techdirt.com/articles/20130909/11430124454/john-gilmore-how-nsa-sabotaged-key-security-standard.shtml
    http://www.nytimes.com/2013/09/06/us/nsa-foils-much-internet-encryption.html?hp&_r=0

    I think you're just failing to understand the scope of what they've done. The NSA planted people in standards bodies to deliberately weaken those standards. Not only do we have eye whiteness's from those standards committees that have complained about this for years, but we've got leaked documents from the NSA bragging about doing it. One of their primary goals seems to have been to dissuade broadening the use of encryption in general. By making the standards complicated, hard to understand, a lot of people just gave up and didn't implement them. In other cases they tried to block standards from using encryption by default. All of this leads to a less secure network. Without a doubt those actions of made crime and identity theft much easier. Can we find some guy and say that his identity was stolen because of the NSA? No... but what we can say is that without the NSA's interference, there would be more, and better encryption... and more and better encryption would have definitely reduced the numbers of identity thefts in the world.

  59. Re:And everyone on Slashdot cares about Cisco by hairyfeet · · Score: 4, Interesting

    The problem with using "a PC and Linux" as a router is even if you are picky about the hardware its still gonna suck several times the amount of power a piece of dedicated hardware would and in most emerging markets power is anything but cheap. Now sure if the router is gonna be doing other jobs, such as the AMD Bobcat I set up that was a combo router/media server? it might make sense but you go with the traditional "just use this no longer useful P4 PC" route you'll be blowing through the juice.

    As for the NSA...who cares about the hardware? Any company that gives 2 shits about privacy is gonna avoid the USA like an STD and the NSA also put the brakes on the whole "just use the cloud!" bullshit as we now know anything you put into a USA based cloud becomes the NSA's to snoop as they like. I'm sure the amount of money all this business avoiding the USA is just insane but sadly getting an exact dollar figure would be next to impossible.

    --
    ACs don't waste your time replying, your posts are never seen by me.
  60. Irrational Fear, Fear, FEAR!!!! by jellomizer · · Score: 1

    We don't like what the US does. So we boycott this company because they may be working with the NSA...
    However... the NSA can work with many "foreign" companies as well, As in today global economy the difference between a foreign company and a US company, is the location of the CEO's most used office.
    Plant an operative, in the manufacturing area, when he installs the code of the firmware to flash, he puts in a slightly different version.

    --
    If something is so important that you feel the need to post it on the internet... It probably isn't that important.
  61. Re:massive losses of money and jobs by sabri · · Score: 2

    Idiot. Without export there will be no import. Who is going to sell you petrol

    The US produces more oil than Iran

    Or iPad

    Can easily be manufactured in the US. It will just be a bit more expensive

    Or precious metals?

    Discovery channel has at least 5 different series of "Gold Rush Alaska" etc...

    Or steel?

    You're kidding, right?

    Or lithium for you convertible's batteries?

    http://www.mining.com/web/new-wyoming-lithium-deposit-could-meet-all-u-s-demand/

    --
    I'm not a complete idiot... Some parts are missing.
  62. "HAHAHAHAHAHA by GameboyRMH · · Score: 3, Insightful

    HAHAHAHAHA Yes this is so perfect! It just keeps getting better and better!" - Bin Laden's ghost

    --
    "When information is power, privacy is freedom" - Jah-Wren Ryel
  63. It's not Fear if it's True by WillAffleckUW · · Score: 1

    And that is a basic consumer response to an inferior crippled service.

    It's why most people are going to go for the less-intrusive less-pervy PS4 instead of the always-recording always-secret-police-enabled 1984 version of the xBox One.

    Markets are made up of consumers.

    not sheep.

    --
    -- Tigger warning: This post may contain tiggers! --
  64. Funny by oshkrozz · · Score: 1

    This is exactly the reason given when trying to sell hardware from companies not based in the USA to the US government ...

  65. Re:Certainly attributable? by umghhh · · Score: 1

    these were not US Mandated as the equipment vendors implement such techniques because operators are obliged by local law to only use eq. that have such features. So if at all it was US inspired law that made such actions easy.

  66. Re:And everyone on Slashdot cares about Cisco by spire3661 · · Score: 1

    The true costs of trustable networking are starting to become much clearer. In the past we relied on the trust that the government wasn't actively fucking everyone. Its the exact opposite of a party, it's quite sobering the reality of what we must do to interfere with the spying machine and hold trust in our networks.

    --
    Good-bye
  67. A very short-sighted conclusion by govett · · Score: 1

    Rather than hurting the American economy, it has helped, by keeping tabs on the technologies and business plans of foreign competitors. What do you think industrial spying is? And don't you think that the Federal Government is involved in such espionage. In fact, every major government in the world conducts industrial espionage. Groweth up.

  68. Re:And everyone on Slashdot cares about Cisco by Z00L00K · · Score: 2

    Oh - they do something about it - it ends up in their fap stash.

    --
    If builders built buildings the way programmers wrote programs, then the first woodpecker would destroy civilization.
  69. all not true by schlachter · · Score: 2, Informative

    I've personally seen the declassified war documents written by the leaders of the DoD at the time.

    Japan was on the verge of surrender before we bombed them. The USA knew this. It was a conditional surrender to USSR. The USA demanded an unconditional surrender to the USA, for strategic and practical reasons. The cold war was already ramping up. The USA President and War Secretary decided to drop the bombs to force this surrender.

    You can read about all of the above in these docs. Copies of them are located at the Peace Museum in Hiroshima, Japan. There are copies in the USA as well.

    The story we get feed by our teachers growing up in the USA is widely recognized as BS.

    --
    My God can beat up your God. Just kidding...don't take offense. I know there's no God.
  70. Re:And everyone on Slashdot cares about Cisco by aergern · · Score: 1, Flamebait

    Brazil and Russia are not "emerging markets". Pay attention to the ramifications of this post. Seriously, this is not just about Cisco .. pull your head out of your ass.

    --
    Tell me what you believe...I'll tell you what you should see.
  71. Re:And everyone on Slashdot cares about Cisco by Mister+Liberty · · Score: 1

    I don't care about Cisco.
    Mod points for everyone in the world except Cisco and its allies.

  72. Re:Certainly attributable? by HiThere · · Score: 1

    While it is appropriate for US citizens to focus on US wrongdoing, you should not, therefore, conclude that other countries are innocent.

    OTOH, it may well be reasonable to conclude that they are less dangerous *to you*.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  73. Re:Certainly attributable? by HiThere · · Score: 1

    It is certainly appropriate for you to assert that you will not believe in the Easter Bunny without additional evidence. This, however, does no impose any obligation on the person making the claim to provide you with the evidence, unless his goal is to convince you.

    Were I to consider the claim that the NSA had been a contributory factor to identity theft to be dubious, then I might doubt an assertion as to it's truth. This, however, would not impose any obligation on the asserting party to provide the proof, unless his goal was to convince me. If, instead, his goal was to convince those other folk over there who found his assertions convincing, then he would have scant reason to provide me with evidence.

    So I find your claims invalid. You are assuming a motive that has not been demonstrated.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  74. Re:massive losses of money and jobs by HiThere · · Score: 1

    Well, your signature is accurate.

    The US uses a lot more oil than does Iran. The last I checked it was a net importer.
    Gold is only one of many precious metals. Platinum is actually more important, even though gold is quite valuable of coating fine electrodes, etc.
    Lithium isn't something that we're going to stop needing. Yes, someone claims that some particular desposit could meet all the US demand. For how long? What about Tungsten? Indium? Titanium? Etc.

    FWIW, as a US citizen I'm in favor of having a high tax on local resources, so that they will be saved for later, when they will probably be more valuable. This means trading to import them from elsewhere (and manufacturing fancy things from them that others will buy at a premium). We haven't been being good stewards of the land for at least the last several decades. To the extent that I can trust the history I was taught, the poor stewardship extends much farther back than that.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  75. Re:Certainly attributable? by Em+Adespoton · · Score: 1

    Likewise, Russia won't do it, as they've got crime syndicates taking advantage. It's up to countries like Brazil and India to speak out about these things..

    Because Brazil is crime free and doesn't spy? I expect that India is similarly virtuous.

    No, because Brazil and India have more to gain than they do to lose. And we already had that debate regarding Brazil, cold fjord... If I peek over the cubicle wall to see what my co-worker is up to, that's not the same type of spying as comprehensive meta-surveillance. Likewise, the oranges from Brazil aren't the same as the rotten apples from the US. First clue: Brazil announced what they were doing publicly, NSA lied to congress about what they were up to and have had a steady program of misleading information and character assassination ever since. If Brazil was able to openly admit to what they were doing, I'd trust them to speak out about what other countries are doing too.

  76. They're the people that cooperated with the NSA by gelfling · · Score: 1

    In the first place. So screw them if you feel that way about it.

  77. Source? by Anonymous Coward · · Score: 1

    Got a reputable online source? Because the front page of results is all... a little tinfoily.

    1. Re:Source? by schlachter · · Score: 1

      http://www.pcf.city.hiroshima.jp/top_e.html

      Can't find online copies. Don't recall the name of the docs to search for. Copies of them are at the above museum. Definitely worth going if you're in Japan.

      --
      My God can beat up your God. Just kidding...don't take offense. I know there's no God.
  78. Nope. by sethstorm · · Score: 1

    ...since 'Murica has been railing about how the Chinese are infiltrating their stuff (while alleged to have done the same thing), and complaining about countries which restrict a free internet...

    Given that the US has yet to do things that the other countries do to their networks, no moral high ground has been lost. The US doesn't censor to the degree that the BRIC countries do(no Great Firewall for example) and doesn't monitor like the other ones do(without *any* regard for a crime). The US is still bound by the Constitution, which makes it hard for the NSA to do what Third World countries do easily(which is to monitor without a specific purpose). The only thing that you could claim is that the US does it cleaner than everyone else.

    If those other countries don't care for US equipment, then it will reflect badly on them when they receive lesser performing equipment - while being spied on by China. It's their choice - have lower performance and active espionage from a despotic country(China), or higher performance and possible monitoring from a First World country(the United States of America).

    --
    Twitter supports and protects racists - by smearing their critics with the "Hate Speech" label.
  79. Good news if it's only Cisco by dbIII · · Score: 1

    Cisco have just used their reputation to jack up the price of their equipment which is no better than competitors are selling at lower prices. A bit of reputation loss means they've either got to have equipment that can be seen to be worth that price or sell at a cheaper price.
    It's also nice to see a this happen to a company that has got up to a variety of dirty tricks against their competitors. Add in the blatant gold plating of government contracts to rip off the taxpayer and it's hard to see anyone more deserving of this sort of blowback.

  80. The disclosures help us by dbIII · · Score: 1
    Weakening security for the sake of the NSA makes it easier for criminals to get in. It's better to find this out now than finding it out when a list of customers credit card numbers or similar gets out.

    he has said nothing about Huawei

    Of course not, both issues are important enough that they can be discussed on their own instead of bundling them together every fucking time. "But the Chinese ..." is getting to be a bit of a worn out excuse by now don't you think? This isn't about China, this is about Cisco and similar that have left backdoors that apparently hundreds of thousands of private contractors know about. Don't you think that is a big enough deal? What happens when one of that huge number of people has a money problem and sees the backdoor as a solution? What happens when the NSA does a Boeing vs Airbus again and you happen to be at the place with less political connections then get hit with taxpayer funded industrial espionage? Why shouldn't we know a vector by which criminals and spooks can get trade secrets?

  81. No, the taxpayer foots the bill by dbIII · · Score: 1

    using their intelligence to benefit from the otherwise-secret plans of corporations

    There was exactly that with Boeing vs Airbus via taxpayer funded spooks but Boeing were the only ones to get financial benefit it. There's probably plenty of other stuff but that's the one that was looked at for quite a while in a courtroom and found to be real industrial espionage by taxpayer funded spooks.

  82. They were doing this before. by nczempin · · Score: 1

    Technically, the NSA have been doing what they are doing for a while. So irrespective of what you think about the NSA or Snowden, it was the information that they're doing it getting wider attention that is causing the demand to drop.

  83. Re:Cisco Market Drop by HiThere · · Score: 1

    I really doubt that there's just one thing happening. There's usually more than one.

    When you decide between two manufacturers, you consider several things. One of them is how secure you feel using the equipment, but that's only one. Sometimes it's a very important reason, sometimes it's less important. (If you're publishing GPL code, do you really care if the NSA reads it?)

    For some people this will be an important reason.
    For some people this will be trivial.
    For some people this will be the weight of a feather that tips the scales.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  84. Re:And everyone on Slashdot cares about Cisco by ATMAvatar · · Score: 2

    It's cause for celebration for another reason: when it becomes clear that US corporations are going to be seriously hurt by the NSA's activities, it provides some serious incentive to lobby against NSA surveillance.

    --
    "They that can give up essential liberty to obtain a little temporary safety deserve neither liberty nor safety."
  85. Re:Certainly attributable? by Charliemopps · · Score: 1

    But they did more than this. The backdoors are not the worst part. They manipulated the standards bodies into making the security tools hard to use, hard to manipulate and hard to maintain. There-by discouraging the adoption of encryption itself. You don't need a backdoor if the traffic isn't encrypted. They weekended the ENTIRE internet, and likely even private networks by doing this. The entire world is less secure because of their actions. Of all the things they've done, this is probably the most damaging to the modern world.

  86. Re:And everyone on Slashdot cares about Cisco by Sabriel · · Score: 2

    To paraphrase McCarthy, "I have here in my hand a list of 205—a list of names that were made known to the government as being members of child trafficking rings and who nevertheless are still working and operating in the United States."

    If you've got actual evidence to back up your claim, set the wheels in motion - but don't get trigger-happy. As much as I'm disgusted with government, we do not want or need another red scare.

  87. Re:Freedom Software From Germany by cold+fjord · · Score: 1

    Allow me to break it to you: The German Prism: Berlin Wants to Spy Too

    --
    much of left-wing thought is a kind of playing with fire by people who don't even know that fire is hot - George Orwell
  88. Re:And everyone on Slashdot cares about Cisco by Alarash · · Score: 1

    Disclaimer: I'm a network engineer in performance testing.

    It certainly isn't cheaper to run a router on a PC than on appliance. A stock Linux has pretty bad performances, and the hardware is not as tuned as an appliance. Mostly, they take up more space, use more Watt per Gbps, and don't provide as much performance. There's a reason why these pieces of software are highly tuned, and performance usually is the main goal right after features.

    The evolution of the market however is towards virtualisation. They call it NfV - Network functions Virtualization. They (the Network Equipment Manufacturers) provide virtual versions of their appliance, but not the binaries themselves because their (usually Linux) OS is so tuned, it can't be used on a generic platform if you want any kind of performance. Now this brings a lot of problems, such as, again, performance - a lot of these guys have FPGA/ASICs that do a lot of hardware acceleration (IP or TCP layers offloading, like calculating the CRCs in the headers), and removing that is a problem. Maybe paravirtualization will help but they're not there yet. The second problem is the overhead of the hypervisors. Whatever VMWare and others will tell you, it's more than 3%, and even if it's 3%, the scale of the data centers make these 3% turn into millions of dollars each year.

  89. Re:Freedom Software From Germany by akozakie · · Score: 1

    And what does this change? Spying by your own country is a different matter. Hint - representation.

    For a state owned company or agency this is not a problem. For a private company it might not matter - that doesn't leak to competitors, and that's the only thing that really matters. And for a citizen it might or might not be a problem, that depends on your views. But these agencies are under control of a democratically elected government, so if they overstep the bounds you can react, at least in theory. In the EU this also partially works over borders - I don't have any direct influence over German authorities, but the european bodies include politicians from my country, either directly elected (the parliament) or appointed by elected national bodies (the commision), so I'm not entirely powerless.

    On the other hand, I have precisely zero influence on US agencies. It's your democracy, I'm not part of it. See the difference? Whether this internal control works at all is a different question, but in this case no control is possible. Add to this the fact that the data they collect is more than likely to land in the hands of american competitors (the US loves protectionism)...

    The only way to avoid that is to stay away, and that's starting to happen. Of course this will reduce the global income of US corporations, not a surprise.

    So, the fact that others want to do the same thing doesn't change a thing. Avoiding US-based services still makes sense.

    The recent events made it clear that globalization includes some risks. Most companies knew this - would anyone from, say, EU use a chinese cloud service for company data? Now we've seen that even the globally trusted US of A is not that trustworthy, so the world is taking a step back. High time.

  90. How predictable to get modbombed in GP post but... by sethstorm · · Score: 1

    Of course not, both issues are important enough that they can be discussed on their own instead of bundling them together every fucking time. "But the Chinese ..." is getting to be a bit of a worn out excuse by now don't you think?

    Nope. The Chinese have yet to demonstrate that they are not a threat, and are thus a necessary part of the discussion.

    This isn't about China, this is about Cisco and similar that have left backdoors that apparently hundreds of thousands of private contractors know about. Don't you think that is a big enough deal? What happens when one of that huge number of people has a money problem and sees the backdoor as a solution? What happens when the NSA does a Boeing vs Airbus again and you happen to be at the place with less political connections then get hit with taxpayer funded industrial espionage?

    The Airbus deal was as bad as Dubai Ports and Huawei - all threats to national security. Thankfully all of them were rejected.

    As for the private contractor, that's a question of controls, policy, and vetting of candidates for integrity. In your hypothetical case, the contractor gets canned and receives justice through the court system.

    Thankfully, I haven't worked for a company in the United Statesthat is foreign-controlled such as Airbus, nor do I plan to do so.

    Why shouldn't we know a vector by which criminals and (foreign) spooks can get trade secrets?

    That is precisely why China deserves more attention. If Snowden had released stuff that was damning on Huawei, other PRC-linked "companies", or any Russian interests, he would be releasing redeeming information.

    --
    Twitter supports and protects racists - by smearing their critics with the "Hate Speech" label.
  91. Re:And everyone on Slashdot cares about Cisco by strikethree · · Score: 1

    As for the NSA...who cares about the hardware? Any company that gives 2 shits about privacy is gonna avoid the USA like an STD and the NSA also put the brakes on the whole "just use the cloud!" bullshit as we now know anything you put into a USA based cloud becomes the NSA's to snoop as they like.

    This is something I have never understood: If it were not the NSA doing it, it would be someone else. A commercial competitor, another government, or even another agency within the same government... or even hackers. Why would you ever trust "the cloud". WTF? Centralized computing gives control over to another entity. One break, breaks us all. I thought we moved beyond that model.

    --
    "Someone needs to talk to the tree of liberty about its ghoulish drinking problem." by ohnocitizen
  92. It's the government, not the corporations at fault by SonicSpike · · Score: 1

    The corporations are strong armed into doing this sort of thing on behalf of the government. If they dont comply or try to fight it, then they are found in violation of some law or regulation, saddled with court cases and punitive fines, or maybe even completely taken out of business. In some cases the government will get their competitor to do it. In the case of the telcos, their entire existence is at the whim of the government, so it's unlikely they would ever fight.

    The government is the bully here. They really are the mafia.

    --
    Libertas in infinitum
  93. NSA much nore efficient than thieves. by RockDoctor · · Score: 1

    This is in addition to the harm caused to remote services that may cost $35 billion over the next three years. Then, of course, there are the ways the NSA has made ID theft easier. ID theft cost Americans $1.52 billion in 2011, to say nothing of the time wasted in solving ID theft issues

    So, the NSA is responsible for about 8 times as much damage to the AMerican economy as criminal identity thieves. This is terrible! America needs to launch a programme immediately to improve the quality of it's thieving underclass.

    And, my friend, my Nigerian Internet Scamming Academy is just the place for you to improve your internet identity theft skills. With our 420 online courses, you too can reach the hallowed degree of Internet Success that Nigeria has. Simply send your name, email and bank details to "Prince Ojimbo's Academy, Lagos 90210" and we'll be back to you in minutes. At the speed of Internet!.

    (We have discontinued one course. only 419 courses available now.)

    --
    Birds are not dinosaur descendants;birds are dinosaurs, for all useful meanings of "birds", "are" and "dinosaurs"
  94. Re:Oh STFU by khallow · · Score: 1

    I have a solution to this problem. How about you stop being an idiot on the internet? I looked at the link and it's a video about the US and EU conducting trade deals showing once again I was right about a trivial fact.

  95. Cloud = Cloudy thinking. by Futurepower(R) · · Score: 1

    It seems to be called "the cloud" partly in an attempt to encourage cloudy thinking by managers who have little technical knowledge. Each "cloud" has its own API, which causes an intended lock-in.

  96. You are the only one spreading BS here by dbIII · · Score: 1

    Did I even SUGGEST that I considered selfishness a virtue

    Maybe you hate yourself then, but you were opposing the entire idea of a lot of people working together to achieve what individuals can not - ie. government. News just it - "I've got mine, fuck you brother" is selfishness.

    Come up with another decent analogy and I'll consider it.

    How about addressing the issue directly instead of using an incredibly stupid fiction?

    I really don't get why you losers think someone like Rand who fled from Soviet Russia to live on welfare in the USA has all the answers on the US government. She didn't get to see much of what commerce, industry, trade and government actually did before shrugging it all off as worthless.