Wednesday, April 8, 2009

The U.S. electrical grid is under attack from Russian and Chinese cyber spies who have inserted software that could disrupt the system,

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(CBS/ AP) The U.S. electrical grid is under attack from Russian and Chinese cyber spies who have inserted software that could disrupt the system, current and former national security officials tell the Wall Street Journal.

So far, these spies have not tried to damage the system, but the possibility remains likely should a war or national security crisis hit the United States, the officials said.

"The Chinese have attempted to map our infrastructure, such as the electrical grid," a senior intelligence official told the newspaper. "So have the Russians."

In addition to electrical systems, nuclear power plants and financial networks; water and sewage systems are also at risk, officials said.

"There are intrusions, and they are growing. There were a lot last year," a former Homeland Security official told the newspaper.

The report follows a Pentagon announcement Tuesday which showed more than $100 million was spent in the last six months responding to and repairing damage from cyber attacks and other computer network problems, military leaders said.

Air Force Gen. Kevin Chilton, who heads U.S. Strategic Command, said the military is only beginning to track the costs, which are triggered by constant daily attacks against military networks ranging from the Pentagon to bases around the country.

"The important thing is that we recognize that we are under assault from the least sophisticated - what I would say the bored teenager - all the way up to the sophisticated nation-state, with some pretty criminal elements sandwiched in-between," said Chilton, adding that the motivations include everything from vandalism to espionage. "This is indeed our big challenge, as we think about how to defend it."


(CBS/ AP) The Pentagon spent more than $100 million in the last six months responding to and repairing damage from cyber attacks and other computer network problems, military leaders said Tuesday.

Air Force Gen. Kevin Chilton, who heads U.S. Strategic Command, said the military is only beginning to track the costs, which are triggered by constant daily attacks against military networks ranging from the Pentagon to bases around the country.

"The important thing is that we recognize that we are under assault from the least sophisticated - what I would say the bored teenager - all the way up to the sophisticated nation-state, with some pretty criminal elements sandwiched in-between," said Chilton, adding that the motivations include everything from vandalism to espionage. "This is indeed our big challenge, as we think about how to defend it."

According to Army Brig. Gen. John Davis, deputy commander for network operations, the money was spent on manpower, computer technology and contractors hired to clean up after both external probes and internal mistakes. Strategic Command is responsible for protecting and monitoring the military's information grid, as well as coordinating any offensive cyber warfare on behalf of the U.S.

Officials would not say how much of the $100 million cost was due to outside attacks against the system, versus viruses and other problems triggered accidentally by Defense Department employees. And they declined to reveal any details about suspected cyber attacks against the Pentagon by other countries, such as China.

Speaking to reporters from a cyberspace conference in Omaha, Neb., the military leaders said the U.S. needs to invest more money in the military's computer capabilities, rather than pouring millions into repairs.

"You can either pay me now or you can pay me later," said Davis. "It would be nice to spend that money proactively ... rather than fixing things after the fact."

Officials said that while there has been a lot of anecdotal evidence on the spending estimate, they only began tracking it last year and are still not sure they are identifying all the costs related to taking computer networks down after a problem is noticed.

The Pentagon has acknowledged that its vast computer network is scanned or probed by outsiders millions of times each day. Last year a cyber attack forced the Defense Department to take up to 1,500 computers off line. And last fall the Defense Department banned the use of external computer flash drives because of a virus threat officials detected on the Pentagon networks.

The cost updates come as the Obama administration is completing a broad government-wide review of the nation's cybersecurity.

In February, the White House announced that it would conduct a review to "ensure that U.S. Government cyber security initiatives are appropriately integrated, resourced and coordinated with Congress and the private sector," according to a release from the White House.

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