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Welcome to the KuppingerCole Analysts Chat. I'm Matthias, I'm your host. And today, don't

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go away, we're diving into one of the most critical challenges that CISOs face in 2025

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and beyond, detecting deception. With me is Jonathan Care, our leading expert on security

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leadership and threat detection and telling CISOs what to do. Jonathan, the sophistication

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of deceptive attacks has exploded recently. And what's behind that? What's driving that

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change?

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Hi, well, thanks for having me, Matthias. And you're absolutely right. What we're seeing

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is a perfect storm of AI capabilities, social

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media intelligence, and psychological manipulation

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techniques. And what we're seeing is that threat actors are no longer just sending generic

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phishing emails. We all know how to figure

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those out now. They're crafting highly personalized

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attacks using AI to analyze social media

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profiles in depth and en masse. This allows them to

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generate convincing deepfake videos, emails,

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and even voice synthesis for phone-based attacks.

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So frankly, the traditional security awareness training that we all relied on two years,

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five years ago, is obsolete.

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Well that's sobering reality check, but maybe that can keep me from having to do our next

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awareness training, which is still on my list to do. But before we dive deeper, you're the

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analyst. You're a very structured person. Can

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you give the listeners a kind of a framework,

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a taxonomy for thinking about deception? What's included? What's in there about deception

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and cybersecurity?

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So, absolutely. And I think we can think about

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deception access across four main categories.

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Firstly, there's social engineering and human manipulation. And that's the classic, but

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of course now enhanced by AI approach that we all have plenty of experience with.

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Secondly, we're seeing digital identity

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deception. And this is where our attackers are using

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deepfakes and synthetic personas.

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Thirdly, we're seeing vendor and supply chain impersonation, which means they're attacking

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through our trusted partners. And fourthly,

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of course, technical deception, where attackers

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fool security systems controls using

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adversarial AI. And each of these requires a different

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detection strategies.

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Right. And as I'm taking notes and I understood your four dimensions of how to categorize

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a deception, let's start with the first one that you've mentioned. So, social engineering.

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Let's start with that. And this is the part where most organizations already have some

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existing defense. I just mentioned the awareness

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training that we do. That's mainly about social

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engineering. But how has AI changed the game then?

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Well, I think the change is dramatic.

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Traditional social engineering that we all know and love

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and that you and I did in our younger days

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relied on generic scripts and broad psychological

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triggers. So, we weren't looking to profile

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people. We didn't have the capability, frankly,

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as social engineering testers. Now, of course, attackers are more sophisticated. They can

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and do analyze our LinkedIn posts, Twitter interactions, and other public data that we

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create to make incredibly convincing personas.

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And I've seen cases where attackers generated

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personal emails referencing specific projects, names of colleagues and family and friends,

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and even writing styles that match the supposed sender perfectly.

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This makes detection, especially for the

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layman, even impossible. So, decision makers, CISOs,

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what can they do about that?

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As with so many things nowadays, it comes back to identity. The key is moving beyond

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relying on people to spot deception. And we need to build verification systems instead.

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For example, mandatory callback procedures for any sensitive transaction or system change

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request to bring it out of the IT domain into a business process. If someone claims

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to be your CFO and is asking for an urgent wire transfer, you call back on a known number.

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This sounds simple, but it is incredibly

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effective at stopping attackers. There are other things

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you can do, of course, as well. You can do a micro deposit into your supplier's bank

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account. But we'll talk more about that later on.

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Right. But this requires that people just actually change their behavior, their processes,

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though they have to learn that. It has to be mandatory. Can technology support before

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we make them change their behavior? Are there tools that can help?

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Well, no, it doesn't have to be mandatory. You can live with the increased rate of fraud.

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Sure.

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Fraud is always a matter of business risk. And if you can live with it, then that's up

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to you as an organization. But if you are deciding to do things about it, of course,

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there are technical tools that can help. And one of the things that I think is crucial

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is behavioral analytics. So knowing how your users normally behave, what time they log

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in, what system they access, and how they navigate applications is crucial at detecting

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deception. When someone's account is

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compromised, the behavior patterns change because that

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person has either either the account is being

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operated by a different person or that person

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could be operating under some sort of coercion. And modern behavioral analytics solutions

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can catch those anomalies.

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Of course, we all have already been the victim

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of such attacks, not really victims, but have

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been attacked like this. And I have received messages that claim to be by Berthold, our

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CEO, and they really did not sound like him. And so are there conversation analysis tools

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that can make this step for me already?

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I think so. And we're already seeing tools that can analyze language patterns. As you

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said, you said that didn't sound like Berthold,

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our CEO. But we can analyze the language patterns

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in emails and messages using technology

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tools. We don't have to rely on the human firewall,

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as it's called. We can identify social

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engineering indicators and some obvious triggers. Again,

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I'm still in the realm of general

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psychological triggers here. Artificial urgency, authority

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claims, or emotional manipulation. And as I say, these are still generic psychological

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triggers, and they're obviously ones that are specific to us as individuals, specific

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to you, specific to me. This isn't perfect, but if we can flag an email saying this email

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is suspicious, treat it with care, that helps our humans, our colleagues, to be able to

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say, okay, let me really take a suspicious look at this.

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Right. And in the title of this episode,

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also, we have this notion of advice to leadership.

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So before we close down this first section

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about social engineering, what could be practical

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advice for CISOs who want to start improving towards what you just described immediately

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before buying a tool? What can they do?

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All right. Well, three things you can do this

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week. First, CISOs, implement callback verification

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for any requests involving money, data access,

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or system changes. Those are the three things

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that criminals like and go for. Second,

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establish challenge questions, information that only

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legitimate contacts would know. I'm not a fan of shared secrets as a ongoing verification

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method, but as a firefighting mechanism, until we put more sophisticated tools in,

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they are adequate. Thirdly, create safe

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reporting mechanisms. You have to allow the culture

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to say, hey, I'm reporting this suspicious

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communication, without fear of blame or reprisal.

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Because if people don't feel safe to report suspicious communications, they will not do

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so, and thus the problem continues.

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Yeah, better safe than sorry. That is, I

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think, really also an important part at that point

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to say, okay, maybe one more test rather than one too little. I think that's an issue.

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Okay, that's the first part of the taxonomy that you mentioned. Second, of course, we

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are an identity company, most importantly. So digital identity and deepfake threats.

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I think that's the digital identity deception

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part. And deepfakes are in the news everywhere.

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Everybody's talking about it. We are doing it ourselves. But how real is the threat for

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organizations today? Is this really around the corner or already there?

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It's very real, and it's happening now. We've got many documented cases of attackers using

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AI-generated voices to impersonate executives on phone calls. And again, requesting phone

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transfers, requesting sensitive information. Video deepfakes are still more challenging

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to create in real time, but they're being used in recorded messages and even some video

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calls. And let me give you an example now, which is much in the news, in fact, in the

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UK. The UK government is debating the right to die or assisted dying bill. And as you

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can imagine, things are high on both sides. But of course, this process is exacerbated

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and maybe more challenging if you throw in

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the thought of what happens if you have deepfake

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coming into that scenario, which is already challenging and emotive right now.

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Right. So this is a controversial topic, and

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that can be difficult. But again, from a protection

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perspective, how can organizations detect these synthetic media attacks? How can they

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deal with that?

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Well, there are several layers of defense. And the good news is that technical detection

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tools are improving rapidly. There are now solutions that can analyze video and audio

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in real time to identify synthetic content.

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They look for subtle artifacts that AI generation

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creates, things like inconsistent lighting,

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unnatural eye movements, or audio-visual synchronization

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issues.

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Right. But I think this is just a game of cat and mouse. This technology arms race means

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that these tools will not detect everything. Sometimes the attacker is faster, sometimes

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the technology is faster. What to do when this does not work?

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Well, I've got a very eminent colleague, John Talbot, our eminent colleague John Talbot,

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was recently talking about threat fraud

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detection processes and fraud response and interception.

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And what John and I talked about here is that

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process-based defenses are crucial. Technology

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tools only underpin a robust process. So for

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high-stakes communications, establish out-of-band

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verification. If the CEO suddenly joins a video call asking for something tentative,

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it's okay to send them a text or call their assistant to confirm. This is okay because

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it breaks the attack chain. Even if the

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deepfake is perfect, you're asking for a verification

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that the attacker cannot provide.

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Right. We've talked about the overall tool

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category market segments of identity verification

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in this podcast, together with Annie,

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together with other colleagues. Can that help in that

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case as well? How do you verify on the fly, as you've mentioned, someone just joining

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the call, that they are who they claim to be in our digital world where things take

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just half a second to join a call?

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I'm a fan of what the various vendors have done with digital presence and genuine, what

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do they call it, genuine persona verification. But what we actually need now is to move to

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multi-modal biometrics. Instead of just relying on a password or a face, we need to verify

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everything we can. Typing patterns, voice characteristics, and behavioral traits. And

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the idea is, of course, that attackers might fool one factor. If we ask them to fool a

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number of factors, all working in combination, it's going to be much harder to replicate

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someone's digital behavior. Much harder to fake that complete signature.

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I think most people cannot already imagine

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how that really works. What are the technologies

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that CISOs should be watching to understand? Yes, this is a thing. They understand how

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Matthias moves, how Matthias uses his hands, how he's typing, how he uses his touchpad.

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This is really important, because it can help in identifying what are technologies

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out there.

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Well, you've hit on it. And behavioral

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biometrics is huge and is the key here. Because my belief

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is that these systems, well, my research

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tells me, these systems that learn how we interact

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with our devices are incredibly valuable

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sources of identity information. Your typing rhythm

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is unique to you. You and I type on our

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keyboards in different ways. The way you move your mouse

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is unique to you, as is the way I move my mouse is unique to me. And even how you hold

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your phone, how you brush the glass is all unique.

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And all of this, of course, in the words of

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zero trust, these are continuous authentication

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mechanisms that are very hard to fake. So once you've established an identity at time

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of assertion, at login, then the continuous authentication says the behavior has not

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changed. It is still the same human agent that asserted the identity. And of course,

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the converse of that, if you see a swerve in behavior, say a sudden change, that's an

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indication of some kind of takeover, some kind of coercion. So it's very hard to fake.

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The other thing to look at, and blockchain, for all its faults, is surprisingly useful

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at providing continuous verification or

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providing verification for critical communications.

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We are seeing financial organizations, even some governments, are using blockchains to

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make publicly validatable assertions for

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critical communications. Because, of course, the one

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thing we do know about the blockchain is it does create an immutable proof of the,

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in this case, communication authenticity.

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That would be the thing you compare with. So that would be the normal, the actual, yeah,

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what you compare with. But again, like we did it before, what are practical first steps

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to give guidance to CISOs, to organizations who are worried about deepfakes?

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Well, unusually, because we normally say start with low risk. Actually here, I think you

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should start with your highest risk scenarios,

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the ones that really keep the exec management

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group and the board awake at night. Identify the communications that could cause the most

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damage if compromised, usually involving

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executives, financial transactions, or sensitive data

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access, and then establish verification protocols specifically for those scenarios.

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It's not necessary to verify every email. I don't need to verify an email and say, hey,

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I'm going to be in Wiesbaden. Do you want to come out for lunch? But every request that

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has a significant potential adverse business

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impact that could cost millions should be verified.

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Understood and fully agree. Let's move over to your third category. And if I remember

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correctly, that was vendor and supply chain

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deception. And that is something which I always

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mentioned that in that context is also in the focus of NIST 2, of DORA. So supply chain

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security is important, and obviously for a good reason. This seems like it would be

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harder for attackers to pull off, but

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potentially more damaging. How can that look like? How

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do I pretend to be a supplier or a vendor that I'm not?

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Well, there are simple ways, of course. And we are seeing that in a supply chain, there

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are perhaps some small organizations that are important components of a supply chain,

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which have nevertheless poor security. And so you find that their Office 365 tenant has

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been compromised, something similar. However,

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if we're looking at pure deception, then it's

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true, the barrier to entry is higher.

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Attackers need to do more research and more setup, but

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the payoff is enormous. And I've seen single incident losses of 1.8 million euros is one

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that comes to mind. Threat actors can create entirely fraudulent companies, complete with

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websites, complete with LinkedIn profiles, and even fake references, just to allow them

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to win contracts, gain access into some kind of network. And we need to be on our guard

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against these sophisticated, organized threat actors.

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And the amount of money that you just

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mentioned justifies quite some level of sophistication

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of these attacks. So how sophisticated are these fake vendor operations?

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I think, I admit to a certain grudging

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respect, they are incredibly sophisticated. Attackers

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register a similar domain to a legitimate vendor. Sometimes they use Unicode lookalikes.

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They'll create professional looking websites.

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And even we've had fake employees with detailed

00:18:23.800 --> 00:18:31.300
social media histories. I've seen cases where banks, and the case in mind is a bank in the

00:18:31.300 --> 00:18:34.333
Middle East. So yes, for example, their

00:18:34.333 --> 00:18:38.300
domain name was bankofthemiddleeast.com. And that's

00:18:38.300 --> 00:18:42.500
not the correct domain name, obviously, but it was a very similar one. And when I was

00:18:42.500 --> 00:18:50.000
doing a penetration test, I inadvertently looked at middleeastbank.com, which was an

00:18:50.000 --> 00:18:57.500
incredibly plausible facsimile of the correct website, but actually was a fake. So again,

00:18:57.500 --> 00:19:04.000
these serious and organized organizations will spend months building credibility, will

00:19:04.000 --> 00:19:10.200
spend months creating a fake paper trail. And then of course, they'll make their move.

00:19:10.200 --> 00:19:15.800
But that's mainly for onboarding a new partner, a new vendor, a new member of the supply

00:19:15.800 --> 00:19:21.000
chain. But what you say is the traditional vendor due diligence isn't enough anymore.

00:19:21.000 --> 00:19:22.300
So there needs to be more.

00:19:22.300 --> 00:19:28.000
I think so. And I think you're absolutely spot on. Standard due diligence is just the

00:19:28.000 --> 00:19:33.400
starting point. And I suspect in the same way that we've been talking for years about

00:19:33.400 --> 00:19:39.100
Know Your Customer, KYC, we actually now need Know Your Business Supplier and Know Your

00:19:39.100 --> 00:19:45.300
Business as well. We need enhanced verification protocols, which means verifying business

00:19:45.300 --> 00:19:51.700
registrations and with government databases, checking financial records through multiple

00:19:51.700 --> 00:19:58.400
sources, and most importantly, establishing secure communication channels. And again,

00:19:58.400 --> 00:20:02.200
controlled and protected by strong cryptography.

00:20:02.200 --> 00:20:06.900
And that brings me back to one episode that I just did with our colleague, John Tolbert,

00:20:07.100 --> 00:20:13.600
where I talked about what I think is really essential. Also adding organizational identity

00:20:13.600 --> 00:20:16.439
to our identity management and to understand

00:20:16.439 --> 00:20:19.600
that there's a verifiable organizational identity

00:20:19.600 --> 00:20:24.700
and verifiable means, as you said, through cryptography with certificates that prove

00:20:24.700 --> 00:20:30.800
with a good trust anchor that this organization is the organization that it claims to be.

00:20:30.800 --> 00:20:35.700
How about existing vendor relationships? I already have a contract. How do you protect

00:20:35.700 --> 00:20:40.600
against impersonation there? You won't do the due diligence for every interaction with

00:20:40.600 --> 00:20:41.600
them.

00:20:41.600 --> 00:20:47.100
Well, first of all, monitoring for domain spoofing and lookalike communications, that

00:20:47.100 --> 00:20:51.192
should be part of your vendor supplier monitoring

00:20:51.192 --> 00:20:55.200
process. It is automatable, so we're not putting

00:20:55.200 --> 00:21:00.200
an extra load on our procurement colleagues, but there are tools that they can and should

00:21:00.200 --> 00:21:03.686
deploy to do that. As I said, attackers register

00:21:03.686 --> 00:21:07.100
domains that are one letter off from legitimate

00:21:07.100 --> 00:21:15.000
vendors. They register domains with Unicode. They register domains with all the things

00:21:15.000 --> 00:21:20.700
that we have seen. And of course, they hope that recipients don't notice. Any good email

00:21:20.700 --> 00:21:23.804
solution nowadays will detect these domain

00:21:23.804 --> 00:21:27.500
similarities and then flag them all automatically.

00:21:27.600 --> 00:21:35.300
So there are a host of domain security solutions from Poofpoint, Agari, ValueMail, to name

00:21:35.300 --> 00:21:40.900
but three that will of course sit in front of your email server or indeed your cloud

00:21:40.900 --> 00:21:44.600
email tenant and provide that protection.

00:21:44.600 --> 00:21:49.000
You've mentioned that briefly, but I think we should not let the human element or the

00:21:49.000 --> 00:21:53.700
vendor relationship procurement off the hook. There is a training part for that as well,

00:21:53.700 --> 00:21:54.700
right?

00:21:54.800 --> 00:22:00.500
So, I know how overworked procurement and vendor management teams are, and I'm trying

00:22:00.500 --> 00:22:06.800
not to make their jobs more difficult, but they must, must, must verify changes to payment

00:22:06.800 --> 00:22:09.870
details, contracts or processes through

00:22:09.870 --> 00:22:14.200
independent channels. On the other side, I do tell that

00:22:14.200 --> 00:22:20.200
suppliers, you need to put in big red letters. We will not send you an email saying, hey,

00:22:20.200 --> 00:22:24.700
your payment details have changed. We will contact you. It will be from a person you

00:22:24.700 --> 00:22:29.000
know and recognize in order for a change of that name. It should be on every, something

00:22:29.000 --> 00:22:34.300
like that should be on every invoice. Because if you suddenly get a communication out of

00:22:34.300 --> 00:22:39.100
the blue, hey, it's Bob, I'm your friendly account manager, or hey, I'm the new account

00:22:39.100 --> 00:22:41.642
manager I've taken over from Sue. And I just

00:22:41.642 --> 00:22:44.300
needed to, we need to change the bank details.

00:22:44.400 --> 00:22:46.938
And that needs to trigger a verification

00:22:46.938 --> 00:22:50.300
protocol. And please, not just an email confirmation.

00:22:50.300 --> 00:22:53.035
I saw a case where a large garment

00:22:53.035 --> 00:22:57.700
manufacturer has a supply chain, obviously to supply their

00:22:57.700 --> 00:23:04.600
garments that they make. And they had an email saying, hey, our bank details have changed.

00:23:04.600 --> 00:23:10.100
And they sent an email back saying, are you sure? Are you sure you're not just hacking

00:23:10.100 --> 00:23:15.000
the suppliers? Ha, ha, ha. Came back the email. No, it's okay. Ha, ha, ha. From the

00:23:15.000 --> 00:23:20.200
email address that they were expecting. And of course, what had happened is the attackers

00:23:20.200 --> 00:23:28.000
had compromised in that case, Office 365 email tenant of the supplier. So they were able

00:23:28.000 --> 00:23:35.600
to extract 500,000, I think it was, which in itself was not significant given the size

00:23:35.600 --> 00:23:40.000
of this particular garment manufacturer. However, it did make it onto their financial

00:23:40.000 --> 00:23:45.200
reports because the auditors are saying there was nothing stopping this from being a loss

00:23:45.200 --> 00:23:46.200
in the millions.

00:23:46.200 --> 00:23:48.517
So, but until now, we mainly talked about

00:23:48.517 --> 00:23:51.400
communication, about interacting with an onboarding

00:23:51.400 --> 00:23:54.171
vendor, a partner. How about the technology

00:23:54.171 --> 00:23:57.200
that's already in your organization? Our supply

00:23:57.200 --> 00:23:59.343
chains are much more complex. There are

00:23:59.343 --> 00:24:02.200
systems that we are using provided by others. So how

00:24:02.200 --> 00:24:07.200
about supply chain integrity monitoring? How about understanding what's going on in

00:24:07.200 --> 00:24:08.200
these systems?

00:24:08.200 --> 00:24:13.000
Well, absolutely. Yeah, we are, you know, Matthias, you and I, we are technologists.

00:24:13.000 --> 00:24:15.480
And so this is where our job comes into play.

00:24:15.480 --> 00:24:18.400
This is where technology and our job as technologists

00:24:18.400 --> 00:24:24.600
becomes crucial. We need to deploy tools that monitor for unexpected changes in software

00:24:24.600 --> 00:24:31.200
packages. If part of your software supply chain suddenly updates itself and looks very

00:24:31.200 --> 00:24:38.100
different, then that's a red flag that needs to be investigated. If all of a sudden your

00:24:38.100 --> 00:24:45.200
API gateway is seeing unusual messages from part of your software infrastructure, if your

00:24:45.200 --> 00:24:50.900
microservice starts going macro, let's put it that way, then that's a big red flag that

00:24:50.900 --> 00:24:54.307
needs to be investigated. If your vendor provided

00:24:54.307 --> 00:24:58.200
system suddenly exhibits unusual network communications,

00:24:58.200 --> 00:25:03.500
if it's no longer phoning home, but it's phoning somewhere else on the Internet, that's

00:25:03.500 --> 00:25:10.300
a red flag that should be investigated. Any anomaly in our supply chain, in our software

00:25:10.300 --> 00:25:14.595
supply chain logistics needs to be investigated.

00:25:14.595 --> 00:25:18.800
And SolarWinds taught us that. And Log4j taught

00:25:18.800 --> 00:25:25.400
us that. We need continuous monitoring of everything that enters our environment.

00:25:25.600 --> 00:25:28.831
I loved your approach, what should happen in the

00:25:28.831 --> 00:25:32.600
next two weeks? What should happen in the next two weeks

00:25:32.600 --> 00:25:35.000
for improving vendor deception detection?

00:25:36.100 --> 00:25:38.615
Again, so we can establish secure vendor

00:25:38.615 --> 00:25:42.200
communication channels. We can use mutual authentication.

00:25:42.500 --> 00:25:46.018
We don't need to rely solely upon email for

00:25:46.018 --> 00:25:50.600
sensitive, high impact vendor communications. We can use

00:25:50.600 --> 00:25:53.948
platforms that provide cryptographic verification

00:25:53.948 --> 00:25:57.500
or sender identity and message integrity. Of course,

00:25:57.500 --> 00:26:02.500
this is an investment, but it does pay off when you avoid a major supply chain compromise.

00:26:02.600 --> 00:26:06.250
Really good, good advice. Final category, technical

00:26:06.250 --> 00:26:09.900
deception, where attackers try to fool our security

00:26:09.900 --> 00:26:13.300
systems themselves. Sounds a bit like, yeah, future

00:26:13.300 --> 00:26:16.700
science fiction, but also this is as well happening

00:26:16.700 --> 00:26:17.600
right now, right?

00:26:18.300 --> 00:26:21.009
It's very real. And yes, it does sound like

00:26:21.009 --> 00:26:24.600
something out of a William Gibson novel. I'm a big fan of

00:26:24.600 --> 00:26:28.881
Neuromancer and that whole cyberpunk genre. But

00:26:28.881 --> 00:26:33.800
yeah, this is the world we're living in, folks. We are

00:26:33.800 --> 00:26:37.076
seeing attackers using adversarial machine

00:26:37.076 --> 00:26:41.600
learning to create inputs designed to fool security tools.

00:26:41.700 --> 00:26:45.264
They're crafting emails that bypass fan filters.

00:26:45.264 --> 00:26:49.200
They're creating network traffic that flies under the

00:26:49.200 --> 00:26:53.465
radar and evades intrusion detection or generating

00:26:53.465 --> 00:26:57.900
malware that fools AI-based endpoint protection. And

00:26:57.900 --> 00:27:01.020
in all these cases, it's working out what the normal

00:27:01.020 --> 00:27:04.200
is and working out how you make yourself look normal.

00:27:04.200 --> 00:27:07.684
Right. So when you say it's flying under the radar,

00:27:07.684 --> 00:27:11.100
how can security teams defend against that, adjust

00:27:11.100 --> 00:27:14.026
their radar so that they identify these attacks

00:27:14.026 --> 00:27:17.200
that are actually designed to fool their own tools?

00:27:18.000 --> 00:27:20.501
Just as I talked about multimodal

00:27:20.501 --> 00:27:25.200
identification, here the same key applies. It's ensemble-based

00:27:25.200 --> 00:27:28.468
detection. So instead of a single AI model or a

00:27:28.468 --> 00:27:32.500
single detection method, we need to use multiple different

00:27:32.500 --> 00:27:35.954
approaches. So an adversarial input might fool a

00:27:35.954 --> 00:27:40.200
network-based system, but it's much harder to fool one that

00:27:40.200 --> 00:27:46.900
looks at data repository access or application access or

00:27:46.900 --> 00:27:53.600
looks at the authentication process access. It's hard to

00:27:53.600 --> 00:27:57.959
fool different detection methods simultaneously.

00:27:57.959 --> 00:28:02.500
And again, an aberrance in behavior is a red flag.

00:28:02.600 --> 00:28:06.614
Maybe one additional thought. Before these adversaries

00:28:06.614 --> 00:28:11.000
attack our critical systems or our rescue systems, could we

00:28:11.000 --> 00:28:14.450
not just make them attack something that we just put

00:28:14.450 --> 00:28:18.100
in there for them to attack them? And so honey, tokens,

00:28:18.100 --> 00:28:24.800
deception technology, is this something where we can keep them at arm length away?

00:28:25.700 --> 00:28:29.284
I've always liked deception technology. I think it's a

00:28:29.284 --> 00:28:33.400
very clever idea. It's turning the tables on the attackers. We

00:28:33.400 --> 00:28:36.742
plant fake credentials, decoy files that nobody would

00:28:36.742 --> 00:28:40.400
have any reason to access, and in fact, just dummy systems

00:28:40.400 --> 00:28:43.676
throughout the environment. When someone attacks with

00:28:43.676 --> 00:28:47.200
those, you know, it is by definition unauthorized access,

00:28:47.200 --> 00:28:51.238
whether it's an internal source or an external source.

00:28:51.238 --> 00:28:55.800
There are no false positives. If someone accesses a file or a

00:28:55.800 --> 00:28:59.473
system or user credentials that they have no right to use,

00:28:59.473 --> 00:29:03.400
it's a red flag and you should investigate it. And normally, I

00:29:03.400 --> 00:29:06.779
am cautious about insider risk management tools, because

00:29:06.779 --> 00:29:10.400
of course, we run the risk of damaging corporate culture and

00:29:10.400 --> 00:29:14.043
all the rest of it. And the traditional threat eradication

00:29:14.043 --> 00:29:18.000
procedure, where you corner it and squash it, doesn't work when

00:29:18.000 --> 00:29:21.613
you're talking about fellow employees. It leaves a mess on

00:29:21.613 --> 00:29:25.600
the carpet. So when we're thinking about this kind of thing, the

00:29:25.600 --> 00:29:29.400
fact that we can then use digital methods to identify and

00:29:29.400 --> 00:29:33.400
indeed flag up behavior that is aberrant by definition, it's

00:29:33.400 --> 00:29:34.300
highly valuable.

00:29:34.500 --> 00:29:37.478
Good to hear that. When there's something that I learned as an

00:29:37.478 --> 00:29:40.600
analyst, then it's that technology is not everything, but without

00:29:40.600 --> 00:29:44.184
technology, everything is not enough. Are there specific

00:29:44.184 --> 00:29:48.600
technologies that you would recommend for detecting these adversarial

00:29:48.600 --> 00:29:49.200
attacks?

00:29:49.200 --> 00:29:53.784
Well, absolutely. Monitor for inputs that seem designed to

00:29:53.784 --> 00:29:59.000
test the security boundary. So for example, if Jonathan Kerr sends

00:29:59.000 --> 00:30:03.603
Matthias slightly modified versions of the same file, or

00:30:03.603 --> 00:30:08.700
Jonathan Kerr makes requests of an application with very small

00:30:08.700 --> 00:30:12.569
variations, there might be probing for weaknesses. And this

00:30:12.569 --> 00:30:16.700
can be at the protocol level or at the application and business

00:30:16.700 --> 00:30:20.550
logic level. And so when we see that, again, that's something

00:30:20.550 --> 00:30:24.400
that indicates a cause for investigation. The second thing is

00:30:24.400 --> 00:30:28.727
we need to establish baseline behavior models for critical

00:30:28.727 --> 00:30:33.800
systems. What is normal access for the payroll system? What's normal

00:30:33.800 --> 00:30:37.386
access for the treasury? What's normal access for supplier

00:30:37.386 --> 00:30:41.900
management? What's normal access for production operations? And so on and

00:30:41.900 --> 00:30:44.621
so forth. Whatever the critical system may be for your

00:30:44.621 --> 00:30:48.400
organization. If we establish these baseline behavior models, it means that

00:30:48.400 --> 00:30:52.572
when we see a deviation, we can alert on it. And of course, as I

00:30:52.572 --> 00:30:57.200
said previously, the goal of many sophisticated attackers now is to try

00:30:57.200 --> 00:31:01.423
and fly under the radar. So this is not a panacea, but we are

00:31:01.423 --> 00:31:06.200
raising the bar of the attacker. We're making it harder to attack the

00:31:06.200 --> 00:31:07.000
organization.

00:31:07.100 --> 00:31:10.920
You've mentioned that throughout our discussion, one key factor

00:31:10.920 --> 00:31:14.800
behind that, behind the changes that we're just observing is the

00:31:14.800 --> 00:31:18.472
leveraging of AI for the attacker. On the other hand, you just

00:31:18.472 --> 00:31:22.500
mentioned there is a pattern. I have a normal, I have to identify an

00:31:22.500 --> 00:31:26.950
unexpected behavior. But that, again, is AI on our side. So we have

00:31:26.950 --> 00:31:31.400
AI on the attacker side. We have AI on the cybersecurity protection

00:31:31.400 --> 00:31:35.064
defender side. The broader challenge behind that is that these

00:31:35.064 --> 00:31:39.200
systems are communicating with each other. And on both sides, it's AI.

00:31:39.200 --> 00:31:44.681
Well, like so many defense technologies, it's an arms race. Attackers

00:31:44.681 --> 00:31:50.400
are using AI to generate attacks. Defenders are using AI to detect them,

00:31:50.400 --> 00:31:54.744
respond, and detain them as quickly as possible. And oftentimes, the

00:31:54.744 --> 00:31:59.600
winner is the one that has the better data, more diverse model training, and

00:31:59.600 --> 00:32:04.565
faster adaptation cycles, which is why — come on to another topic here

00:32:04.565 --> 00:32:09.600
— threat intelligence sharing and collaborative defense are becoming so

00:32:09.600 --> 00:32:15.008
important. And I heard one former CEO, someone I respect very much,

00:32:15.008 --> 00:32:20.900
talking about the art of modern defense. We're no longer isolated. And in

00:32:20.900 --> 00:32:24.596
fact, let me give you an example. In my former career, I used to use

00:32:24.596 --> 00:32:28.400
the joke about two people lost in the woods, and they hear a bear roar

00:32:28.400 --> 00:32:31.726
behind them. And one of them starts running, and the other one gets

00:32:31.726 --> 00:32:35.200
their training shoes on. And they say, why did they do that? Well, you

00:32:35.200 --> 00:32:40.490
can't run a bear, no, but I can outrun you. I was so wrong. So, so

00:32:40.490 --> 00:32:45.700
wrong. We only win when we protect ourselves collaboratively, our

00:32:45.700 --> 00:32:50.527
organizations, our supply chains, for that matter, our competitive

00:32:50.527 --> 00:32:55.500
partners. We need to stand together. And this is in fact what modern

00:32:55.500 --> 00:32:59.483
cyber defense is moving towards. Collaborative defense,

00:32:59.483 --> 00:33:03.900
threat intelligence sharing are critical against ETH attacks.

00:33:03.900 --> 00:33:07.331
I fully get that. And I think that is really an important aspect,

00:33:07.331 --> 00:33:11.500
because this is a different thing. I don't think that I should ask the next two

00:33:11.500 --> 00:33:15.533
weeks question at the end of that segment. But nevertheless, what

00:33:15.533 --> 00:33:20.000
should CISOs at least prioritize when they try to build defenses against

00:33:20.100 --> 00:33:21.200
technical deception?

00:33:21.200 --> 00:33:26.212
Yeah, we can't do everything all at once. So where do we start?

00:33:26.212 --> 00:33:32.100
CISOs, start with diversity in your security stack. Don't trust any single

00:33:32.100 --> 00:33:37.057
vendor or single detection method. You need to implement multiple

00:33:37.057 --> 00:33:42.700
layers with different detection approaches, and invest in skilled security

00:33:42.700 --> 00:33:47.687
analysts who can investigate the anomalies that these systems flag.

00:33:47.687 --> 00:33:52.600
Human insight is still crucial to understand sophisticated attacks

00:33:52.600 --> 00:33:57.009
augmented by sophisticated knowledge management, sophisticated

00:33:57.009 --> 00:34:02.200
automated defense and indeed prescriptive action systems, but still human

00:34:02.200 --> 00:34:03.100
insight is crucial.

00:34:03.200 --> 00:34:07.718
So now we went through these four categories, these four dimensions of

00:34:07.718 --> 00:34:12.300
this framework taxonomy that we looked at in the beginning. And that is

00:34:12.300 --> 00:34:17.277
really quite something to chew on. So this is really something where

00:34:17.277 --> 00:34:22.400
people have to think about, me myself as well. So if you combine this,

00:34:22.400 --> 00:34:26.750
usually when you do presentation, there's this final slide with three

00:34:26.750 --> 00:34:31.100
main recommendations as the takeaway. What would be your takeaway for

00:34:31.100 --> 00:34:35.600
CISO's three immediate actions for improving deception detection?

00:34:36.200 --> 00:34:41.078
First, and I stressed it during this web book podcast, implement

00:34:41.078 --> 00:34:47.100
verification protocols for high risk transactions communications. Don't rely on

00:34:47.100 --> 00:34:51.261
people to spot deception. There's considerable evidence now that it is

00:34:51.261 --> 00:34:55.600
impossible for humans to maintain that state of constant vigilance. So we

00:34:55.600 --> 00:35:01.442
need to build systems that require verification. Secondly, behavioral

00:35:01.442 --> 00:35:07.200
analytics will allow you to establish baselines for normal user, and

00:35:07.200 --> 00:35:12.834
for that matter, NHI, non human actors will also give you a behavior

00:35:12.834 --> 00:35:18.800
pattern. Thirdly, you need to create a culture where it's okay to report

00:35:18.800 --> 00:35:24.025
suspicious activity. It's encouraged, it's protected, and it's not

00:35:24.025 --> 00:35:30.200
blank. Hey, oh, why are you flagging this again? You're wrong three times last

00:35:30.200 --> 00:35:32.100
week. Yeah, but they might be right this time.

00:35:32.200 --> 00:35:36.045
Yeah, not very popular topic, but technology investments, where should

00:35:36.045 --> 00:35:40.000
organizations focus their initial budgets when they're starting on their

00:35:40.000 --> 00:35:40.600
journey here?

00:35:41.100 --> 00:35:46.035
Well, not a very popular topic, as you say, because everyone wants to

00:35:46.035 --> 00:35:51.400
invest in the latest and the shiniest. But look at your communication flows

00:35:51.400 --> 00:35:55.489
and your business pathways. Prioritize the technologies that

00:35:55.489 --> 00:36:00.600
integrate well with those existing systems. So advanced email security with

00:36:00.600 --> 00:36:05.197
impersonation detection. Most organizations I know do a lot of high

00:36:05.197 --> 00:36:10.000
value business. They send contracts, they send payments back and forth

00:36:10.300 --> 00:36:15.072
via email. So impersonation detection, behavioral analytics

00:36:15.072 --> 00:36:21.300
platforms that can analyze user behavior across multiple systems. You need to

00:36:21.300 --> 00:36:26.723
have a person centric view of behavior or need a non human actor

00:36:26.723 --> 00:36:32.400
centric personality behavior profile. And then detection protection

00:36:32.400 --> 00:36:37.029
technology. Fairly underutilized, but it does allow you to detect

00:36:37.029 --> 00:36:42.300
unauthorized access. It's possible to solve everything at once. But if you

00:36:42.300 --> 00:36:46.137
can focus on your highest risk scenarios, that's where you'll

00:36:46.137 --> 00:36:50.100
get the biggest wins and therefore the mandate to move forward.

00:36:50.200 --> 00:36:53.370
We've mentioned that before we've mentioned William Gibson, it

00:36:53.370 --> 00:36:57.000
sounds like science fiction already. There's deep fake videos. And if I

00:36:57.000 --> 00:37:01.200
imagine I have 250 episodes of this podcast out there, I think there's

00:37:01.200 --> 00:37:06.000
enough material to train an AI to impersonate me. I think that should be doable.

00:37:06.100 --> 00:37:12.000
But what do you expect coming our way? How do you see the deception landscape evolving?

00:37:12.100 --> 00:37:17.154
We'll see attacks becoming more automated and scalable. We'll see AI

00:37:17.154 --> 00:37:23.100
generated attack campaigns that can adapt in real time based on our responses as

00:37:23.100 --> 00:37:29.020
defenders. Hey, is that really you? Yes, it is really me. Oh, okay. If it's really

00:37:29.020 --> 00:37:35.300
you, Matthias, what do we talk about on the last? And the answer will come back will be

00:37:35.300 --> 00:37:41.125
plausible and correct. We're going to see the volume of attacks increasing

00:37:41.125 --> 00:37:47.500
dramatically, together, unfortunately, with their sophistication. So my advice is

00:37:47.500 --> 00:37:51.800
organizations prepare now for these emerging threats.

00:37:51.800 --> 00:37:57.052
In some recent episodes, which had a very different focus, I talked with

00:37:57.052 --> 00:38:04.200
psychologists about the pressure that CISOs endure by the sheer amount of work they need to do and

00:38:04.200 --> 00:38:10.251
security teams in general. Now we are adding more complexity, more responsibility

00:38:10.251 --> 00:38:16.600
on CISOs. What is your advice for CISOs who are just overwhelmed by the scope of this

00:38:16.700 --> 00:38:18.000
additional challenge?

00:38:18.000 --> 00:38:21.371
The job of a CISO has never been harder. And it's every

00:38:21.371 --> 00:38:24.865
indication that CISO's day is going to be the easiest day

00:38:24.865 --> 00:38:29.400
you've ever had. So it's only going to get more difficult. But what can we

00:38:29.400 --> 00:38:35.711
practically intangibly do? We can start with a deception risk assessment. We can

00:38:35.711 --> 00:38:42.100
map critical business processes and identify where deception could cause the most

00:38:42.200 --> 00:38:46.299
damage. This gives us our hot points. If we build defenses

00:38:46.299 --> 00:38:50.611
around these hot points, these high value targets first, then

00:38:50.611 --> 00:38:55.700
that's where we get the most likelihood of a win. We don't need to solve

00:38:55.700 --> 00:39:00.328
everything immediately. But we do need to build organizational

00:39:00.328 --> 00:39:06.000
resilience systematically, starting with the hot points and working outward.

00:39:06.200 --> 00:39:10.442
So again, we're back to slicing the elephant, really identifying where to

00:39:10.442 --> 00:39:14.393
start and what makes most sense based on a risk assessment. And that

00:39:14.393 --> 00:39:19.100
finally is nice for me because this is my standard reply. Start with a risk-based

00:39:19.100 --> 00:39:23.238
approach and here we are. That again can help cutting down the issue, at

00:39:23.238 --> 00:39:27.490
least allowing that to put it on a timeline and not do everything at once.

00:39:27.490 --> 00:39:31.800
First of all, thank you, Jonathan, for this great insight about the overall

00:39:31.800 --> 00:39:35.505
landscape. Any final thoughts for our listeners? When you

00:39:35.505 --> 00:39:39.405
look back on our conversation on the framework that you just

00:39:39.405 --> 00:39:43.500
created, anything that you would like to add that is important?

00:39:43.700 --> 00:39:47.653
There's a couple of things. First of all, detecting deception is not just a

00:39:47.653 --> 00:39:51.448
technical problem. It's an organizational capability. You need the right

00:39:51.448 --> 00:39:55.613
combination of people, processes and technology working together. Not the first

00:39:55.613 --> 00:40:01.200
time we've given that message, I'm sure. You need to invest in training your team to think like attackers.

00:40:01.800 --> 00:40:07.179
Which is especially key when you are talking about that risk-based approach. Don't

00:40:07.179 --> 00:40:12.624
give in to the temptation of risk management being shutting your eyes and hoping it

00:40:12.624 --> 00:40:18.134
doesn't happen. I've seen that too many times. So instead, you must create processes

00:40:18.134 --> 00:40:24.300
that are resistant to manipulation and deploy technologies that detect what humans might miss.

00:40:24.300 --> 00:40:28.719
Great advice. Thank you very much, Jonathan. And we are at the end of the

00:40:28.719 --> 00:40:33.017
episode. It's a bit longer, but it was so much worth it. I hope you all

00:40:33.017 --> 00:40:37.013
stayed with us until the end because this is so important. For our

00:40:37.013 --> 00:40:41.553
listeners, you'll find more resources on deception detection on our website

00:40:41.553 --> 00:40:46.094
because this is what Jonathan does. So there will be more research on that.

00:40:46.094 --> 00:40:51.300
And I think educating yourself and preparing and actually doing something is key here.

00:40:52.100 --> 00:40:53.800
Absolutely. Thank you very much for having me.

00:40:53.800 --> 00:40:58.767
It has been a great discussion. Thank you very much for our listeners for joining in.

00:40:58.767 --> 00:41:03.558
If you have any questions, as usual, you can leave your comments at our website on

00:41:03.558 --> 00:41:08.349
LinkedIn where we announced this episode and on YouTube in the comment section. We

00:41:08.349 --> 00:41:13.258
are looking at that and we will pick up on that. And Jonathan and I will be happy to

00:41:13.258 --> 00:41:17.991
do another episode just with your questions. Just leave them here. Until that and

00:41:17.991 --> 00:41:23.600
until next time with you, Jonathan, we all have the wish that we stay secure and stay skeptical.

00:41:23.800 --> 00:41:26.199
So this is a business practice. Just do it.

00:41:26.199 --> 00:41:29.100
Thank you again, Jonathan, for being my guest today.

