Why I follow this Why I follow this passion…andpassion…andYourYour Role in Role in National SecurityNational Security

Theresa Payton, Chief Advisor and CEO, Fortalice Theresa Payton, Chief Advisor and CEO, Fortalice LLCLLC

TP@FortaliceSolutions.com Twitter: @FortaliceLLCTwitter: @FortaliceLLC

Facebook: Fortalice LLC Facebook: Fortalice LLC Blog: Blog: http://fortalicesolutions.blogspot.com/http://fortalicesolutions.blogspot.com/

TV: WBTV.com “On Your Side”, “Protecting Your Cyberturf”TV: WBTV.com “On Your Side”, “Protecting Your Cyberturf”

Why You Should Be A Cyber Warrior

We will preserve for our children this, We will preserve for our children this, the last best the last best hope of man on earth, or we will hope of man on earth, or we will sentence them to take the first sentence them to take the first step into a thousand years of darkness. into a thousand years of darkness.

President Ronald ReaganPresident Ronald Reagan

You and I have a rendezvous with destiny.

If we fail, at least let our children and our children’s children say of us we justified our brief moment here. We did all that could be done.

Three Questions:Three Questions:

Feel Free to Twitter Questions via DM Feel Free to Twitter Questions via DM @FortaliceLLC using #WhyCare before @FortaliceLLC using #WhyCare before your questionyour question

1.1. What do you want to hear about today What do you want to hear about today that would make this time high value that would make this time high value add for you?add for you?

2.2. Burning issues or questions?Burning issues or questions?

3.3. What scares you the most in What scares you the most in cyberspace?cyberspace?

““Sorry, Mr. President. Sorry, Mr. President. Please surrender your Please surrender your

BlackBerry” BlackBerry”

What?What?Why?Why?Finding Finding common groundcommon ground

The Global ViewThe Global View

15% of Global GDP E-15% of Global GDP E-CommerceCommerce

These Are Desperate These Are Desperate Times GloballyTimes Globally

This will be the worst global recession in decades as the This will be the worst global recession in decades as the fallout of the most severe financial crisis since the Great fallout of the most severe financial crisis since the Great Depression took a toll first on the U.S. and then--via a Depression took a toll first on the U.S. and then--via a variety of channels--on the rest of the global economy.variety of channels--on the rest of the global economy.

-- Nouriel Roubini, January 2009-- Nouriel Roubini, January 2009

Highlights from the Highlights from the Global PictureGlobal Picture

Global recession. Anti-state demonstrations in Europe and Global recession. Anti-state demonstrations in Europe and the former Soviet Union.the former Soviet Union.

Iran’s pursuit of satellite, missile, and nuclear program.Iran’s pursuit of satellite, missile, and nuclear program.

China’s counterspace, nuclear, cyber, and military program.China’s counterspace, nuclear, cyber, and military program.

North Korea’s people continue to face food and energy North Korea’s people continue to face food and energy shortages.shortages.

Moscow actively engages in military ventures with China Moscow actively engages in military ventures with China and Venezuela. and Venezuela.

Oil imports in the US were 24% in 1970 and roughly 70% Oil imports in the US were 24% in 1970 and roughly 70% now. Could total $700B leaving the US economy – 4X the now. Could total $700B leaving the US economy – 4X the cost of the Iraq war. cost of the Iraq war.

Sources: Fox News, Reuters, Wall Street Journal, T. Boone Pickens, and testimony from Dennis C. Blair , Director of National Intelligence

Highlights from the Highlights from the Global Threat PictureGlobal Threat Picture

Russia and China have the technical ability Russia and China have the technical ability to target and collect information or disrupt to target and collect information or disrupt the US information infrastructurethe US information infrastructure

Nation states and criminals target private Nation states and criminals target private sector for commercial advantagesector for commercial advantage

Terrorist groups desire to use cyber warfare Terrorist groups desire to use cyber warfare to target the USto target the US

Cyber crime has gone commercial in a Cyber crime has gone commercial in a mature online servicing economymature online servicing economy

Source: Annual Threat Assessment of the Intelligence Community for the Senate Select Committee on Intelligence , Dennis C. Blair , Director of National Intelligence . Provided 12 February 2009

The World’s Economic The World’s Economic and Financial Orderand Financial Order

The IMF and World Bank are The IMF and World Bank are described on the IMF's described on the IMF's website as the "twin website as the "twin intergovernmental pillars intergovernmental pillars supporting the structure of supporting the structure of the world's economic and the world's economic and financial order."financial order."

World’s Money Supply World’s Money Supply At RiskAt Risk

"Electronic safety in the "Electronic safety in the financial sector is in dire financial sector is in dire jeopardy,” jeopardy,”

Tom Kellermann, a former Tom Kellermann, a former senior computer security senior computer security official at the World Bank official at the World Bank Treasury Unit.Treasury Unit.

World’s Money Supply World’s Money Supply At RiskAt Risk

September 2008September 2008

• ““The World Bank Group's computer network — The World Bank Group's computer network — one of the largest repositories of sensitive data one of the largest repositories of sensitive data about the economies of every nation — has been about the economies of every nation — has been raided repeatedly by outsiders for more than a raided repeatedly by outsiders for more than a year” year”

November 2008November 2008

““Another major international financial institution Another major international financial institution has had its computer system attacked by has had its computer system attacked by unknown cyber-hackers” unknown cyber-hackers”

Source: Fox News

Annual Threat Annual Threat AssessmentAssessment

A successful cyber attack against a major A successful cyber attack against a major financial financial service providerservice provider could severely impact the national could severely impact the national economy, while cyber attacks against physical economy, while cyber attacks against physical infrastructure computer systems such as those infrastructure computer systems such as those that control that control power grids or oil refineriespower grids or oil refineries have the have the potential to disrupt services for hours to weeks.potential to disrupt services for hours to weeks.

Annual Threat Assessment of the Intelligence Annual Threat Assessment of the Intelligence Community, Director of National Intelligence, Community, Director of National Intelligence, Dennis C. Blair, February 2009, Statement for the Dennis C. Blair, February 2009, Statement for the Record.Record.

RealityReality

Smorgasboard of HitsSmorgasboard of Hits

““Largest ever” – Heartland Payment SystemsLargest ever” – Heartland Payment Systems

Foreign spies in the U.S. power gridForeign spies in the U.S. power grid

DoD Bans USB after Trojan on thumb driveDoD Bans USB after Trojan on thumb drive

24,.7% rise in security incidents and educational institutions24,.7% rise in security incidents and educational institutions

Conficker…not just annoying, hits medical machineryConficker…not just annoying, hits medical machinery

Worms hit Twitter, Facebook, LinkedIn, MySpaceWorms hit Twitter, Facebook, LinkedIn, MySpace

““Chinese attackers” steal jet fighter secretsChinese attackers” steal jet fighter secrets

ZeusZeus

DNS attacks…and moreDNS attacks…and more

Some StrategiesSome Strategies

The spending is estimated to The spending is estimated to span $15-30 billion over the span $15-30 billion over the

next five years.next five years.

Focus on Defense Is Focus on Defense Is CriticalCritical

Distractions Impact Planning & ExecutionDistractions Impact Planning & Execution

Global Economic CrisisGlobal Economic Crisis

Industry failures and bailoutsIndustry failures and bailouts

New President / Upcoming elections New President / Upcoming elections

Shortage of Key Technology Resources to Shortage of Key Technology Resources to Protect and DefendProtect and Defend

Significant layoffs in several industriesSignificant layoffs in several industries

Daily Reality – Executive Daily Reality – Executive EngagementEngagement

No organization is safe. There is no No organization is safe. There is no fool-proof solution.fool-proof solution.

““People are going to get inPeople are going to get in. We need to . We need to start designing a different strategy that start designing a different strategy that accepts the network is permeable and accepts the network is permeable and designs around instead what’s on the designs around instead what’s on the network. The network isn’t valuable, it’s network. The network isn’t valuable, it’s the data on the network, that at rest the data on the network, that at rest and being used.”and being used.” —Richard Clarke, —Richard Clarke, Chairman of Chairman of Good Harbor Consulting and Former Chief counter-terrorism adviser on Good Harbor Consulting and Former Chief counter-terrorism adviser on the U.S. National Security Councilthe U.S. National Security Council

Black SwanBlack Swan

Your mission: Convincing Your mission: Convincing others to prepare to invest in others to prepare to invest in an event that will “never” an event that will “never” happenhappen

““Zero Risk” does not exist – Zero Risk” does not exist – Make sure “Managed Risk” Make sure “Managed Risk” doesdoes

Daily Reality – Executive Daily Reality – Executive EngagementEngagement

"If someone has the ability to enter "If someone has the ability to enter information in systems, they can destroy information in systems, they can destroy data. And the destroyed data could be data. And the destroyed data could be something like money supply, electric-something like money supply, electric-power distribution, transportation power distribution, transportation sequencing, and that sort of thing…The sequencing, and that sort of thing…The federal government is not well-protected federal government is not well-protected and the private sector is not well-and the private sector is not well-protected." protected."

Michael McConnel, Former National Intelligence Director, February Michael McConnel, Former National Intelligence Director, February 27, 2008, Testimony before the U.S. Senate Armed Services 27, 2008, Testimony before the U.S. Senate Armed Services CommitteeCommittee

Lessons LearnedLessons LearnedExecutive Engagement, Awareness, and Executive Engagement, Awareness, and

Innovation ExamplesInnovation Examples

Lessons LearnedLessons LearnedExecutive Engagement, Awareness, Executive Engagement, Awareness,

InnovationInnovation Share your nightmaresShare your nightmares

Think outside the normsThink outside the norms

Segregate the people you can Segregate the people you can least afford to – innovate, least afford to – innovate, innovate, innovateinnovate, innovate

Business caseBusiness case

Pay attention to line of sight Pay attention to line of sight and creating safety netsand creating safety nets

Your organization does not Your organization does not need to be experts, just aware need to be experts, just aware enough to call youenough to call you

““Do or do not. There is Do or do not. There is no try.”no try.”

We are nevertheless in a strong We are nevertheless in a strong position to shape a world reflecting position to shape a world reflecting

universal aspirations and values that universal aspirations and values that have motivated Americans since 1776:have motivated Americans since 1776:

human rights; the rule of law; liberal market human rights; the rule of law; liberal market economics and social justice. Whether we can economics and social justice. Whether we can succeed will depend on actions we take here at succeed will depend on actions we take here at home…It will also depend on our actions abroad…home…It will also depend on our actions abroad…in developing new multilateral systems… in developing new multilateral systems… effective international cooperation in trade and effective international cooperation in trade and finance, in neutralizing extremist groups using finance, in neutralizing extremist groups using terrorism, in controlling the proliferation of WMD, terrorism, in controlling the proliferation of WMD,

developing codes of conduct for developing codes of conduct for cyberspace cyberspace and space, and in mitigating and and space, and in mitigating and slowing global climate change. slowing global climate change.

Source: Annual Threat Assessment of the Intelligence Community for the Senate Select Committee on Intelligence , Dennis C. Blair , Director of National Intelligence . Provided 12 February 2009

Q&AQ&ATheresa M. Payton, Former CIO at Theresa M. Payton, Former CIO at

thethe

Executive Office of the President, Executive Office of the President, White HouseWhite HouseTheresa Payton, Chief Advisor and CEO, Fortalice Theresa Payton, Chief Advisor and CEO, Fortalice

LLCLLC

TP@FortaliceSolutions.com Twitter: Twitter: @FortaliceLLC@FortaliceLLC

Facebook: Facebook: Fortalice LLC Fortalice LLC Blog: Blog: http://fortalicesolutions.blogspot.com/http://fortalicesolutions.blogspot.com/

TV: TV: WBTV.com WBTV.com “On Your Side”, “Protecting Your “On Your Side”, “Protecting Your Cyberturf”Cyberturf”