The Case For a Global, Compulsory Bug Bounty
tsu doh nimh writes "Security experts have long opined that one way to make software more secure is to hold software makers liable for vulnerabilities in their products. This idea is often dismissed as unrealistic and one that would stifle innovation in an industry that has been a major driver of commercial growth and productivity over the years. But a new study released this week presents perhaps the clearest economic case yet for compelling companies to pay for information about security vulnerabilities in their products. Stefan Frei, director of research at NSS Labs, suggests compelling companies to purchase all available vulnerabilities at above black-market prices, arguing that even if vendors were required to pay $150,000 per bug, it would still come to less than two-tenths of one percent of these companies' annual revenue (PDF). To ensure that submitted bugs get addressed and not hijacked by regional interests, Frei also proposes building multi-tiered, multi-region vulnerability submission centers that would validate bugs and work with the vendor and researchers. The questions is, would this result in a reduction in cybercrime overall, or would it simply hamper innovation? As one person quoted in the article points out, a majority of data breaches that cost companies tens of millions of dollars have far more to do with other factors unrelated to software flaws, such as social engineering, weak and stolen credentials, and sloppy server configurations."
Good luck getting many of the software corporations to sign up for this...
This is silly. Allit would do it force black markey prices up and push smaller companies out of business. It would probably also raise insurance rates for software companies and the cost of software in general. Of course, it would laso probably push up the rates for competent software developers.
That is an absurd argument. Yes some companies can and should offer bug bounties but if the only method you can rely on is out bidding the black market, then you've already lost.
Not to mention, there are a lot of small companies, small foundations, and open source projects which could never afford such prices.
I work for a startup. Not one of those few heavily-funded startups, but a regular startup with barely enough funding to scrape by in the first few years. Like most startups.
$150,000 is just ever so slightly more than two-tenths of one percent of my startup's annual revenue.
Asking an average startup to pay $150,000 for a security bug is like asking security researchers to work for $0.10 an hour.
Slashdot social media options: AIM, ICQ, Yahoo, Jabber and Mobile Text. Why no MySpace?
This idea is so ridiculous, I can't imagine it's not simply clickbait. And thanks to Slashdot editors, it worked.
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Regulations often benefit the entrenched regulated against the newcomer competitor.
This guy wants to force all companies to buy something this guy's company would indubitably directly financially benefit from.
From their website:
"Our unique team of world-class security analysts have led the IT research and testing communities in providing the right information IT decision-makers need to be secure. Let us help your business make better, informed security decisions."
Way to create a market for yourself ! You go ! If you can't drum up business through providing value, head to Congress and force people to give you money. It's the American way.
I recall an old story I heard in my early days of programming. A company offered a monthly bonus to its testers for each bug found in its code. Guess what happened? The testers made deals with the programmers for a cut of the action so the programmers created bugs and let the testers know where/what they were. Now, I guess we just have to scale this out a bit more and viola...here is the story on Slashdot! THANKS!
The real problem is the assumption that all security glitches are equally bad.
Sure at Hack-a-thons we see impressive I can break into this computer in under 5 minutes, however this is often in a controlled environment. Where they can pick and choose what services that they want on, assume that a lot of people hook their PC's up to Raw internet. And a bunch of businesses do this too.
Now if there is a flaw on the World facing features such as a Web Browser or SSH client, yes that is serious. But if it is a flaw that says allow for local vulnerabilities, that is much different.
To try to make market for these, means companies will have to pay for and fix things in the wrong priority.
If something is so important that you feel the need to post it on the internet... It probably isn't that important.
...that kind of scale could work.
For a bounty of $150,000 to be "less than two-tenths of 1% of those companies' annual revenue" (I am assuming that is each company's annual revenue calculation, not a global pool), that suggests the model is aimed at companies with >$75M annual revenue.
Newsflash for the paper authors... there are not many software development companies in that ballpark. Granted, the smaller the company, (probably) the smaller the market for their software so the smaller the need for such a bug bounty.
But if companies are going to be "compelled" to buy bug reports, that is going to require federal legislation which is not good at such fine-tuned work, especially after 150 groups of lobbyists have crafted their specific amendments to it, at which point companies will shift development efforts offshore, causing the federal legislation to be retargeted at company head-office location or companies whose software is used within the country, and a legal dance to get around the legislation begins, assuming software dev houses do not simply say their software cannot legally be used within USA.
Allowing users to recover damages seems more suitable; a "zero day" class action suit or two would result in tremendous advances in best practices for security and qa (aspects of software development that, for some odd reason, just don't seem to get much funding today). By 'allowing' I mean changing software licensing so that verbiage like '...AS-IS WITHOUT RECOURSE TO RECOVER ANY LOSSES OR DAMAGES, DIRECT OR INDIRECT...' no longer holds.
Which is a pretty huge change, and a number of interests would lobby against that. So I expect it will take a pretty severe incident (e.g. loss of life, or maybe a loss of significant money) to shock existing legislation and treaties (it would have to be global; hello WTO) sufficiently to encourage change. By "significant" I mean larger than the multi-billion dollar loss 'estimates of global damage from cybercrime' cited in TFA. That "cost" isn't nearly enough to change behavior, especially when you average it out across the world population.
A ban on "free" or "open sourced" software that doesn't have a corporation behind it. And a legal requirement that software only be produced by licensed and bonded "software engineers".
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That suggestion makes no sense at all, considering that governments are paying to insert seurity bugs either by ordering the companies to do so or by infiltration of the developer team.
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