Friday, May 31, 2019


A pretty good bad example. I wonder what their contract with the PoS vendor says about liability?
POS Malware Found at 102 Checkers Restaurant Locations
The popular Checkers and Rally’s drive-through restaurant chain was attacked by Point of Sale (POS) malware impacting 15 percent of its stores across the U.S.
We recently became aware of a data security issue involving malware at certain Checkers and Rally’s locations,” said Checkers on a Wednesday website advisory.
The incident impacted 102 stores Checkers across 20 states – which were all exposed at varying dates, including as early as December 2015 to as recently as April 2019 (a full list of impacted stores is on Checkers’ data breach security advisory page ).




I don’t need to spend much time gathering examples for my Computer Security class.
NY Investigates Exposure of 885 Million Mortgage Documents
New York regulators are investigating a weakness that exposed 885 million mortgage records at First American Financial Corp. as the first test of the state’s strict new cybersecurity regulation. That measure, which went into effect in March 2019 and is considered among the toughest in the nation, requires financial companies to regularly audit and report on how they protect sensitive data, and provides for fines in cases where violations were reckless or willful.
On May 24, KrebsOnSecurity broke the news that First American had just fixed a weakness in its Web site that exposed approximately 885 million documents — many of them with Social Security and bank account numbers — going back at least 16 years. No authentication was needed to access the digitized records.




I doubt they are in a hurry. Let’s see what Brazil and California do…
When Europe first implemented the gold-standard GDPR privacy law, Apple was one of the first companies to pledge to offer similar protections to its customers globally, not just to EU citizens …
However, the company went on to argue that it’s not enough to rely on companies to voluntarily do the right thing and that the US needs its own version of GDPR.
Others have since joined the call, including Microsoft, Google, and even Facebook. This is less surprising than it might seem even for companies where users are the product: it’s better for a company to know ahead of time what it can and can’t do than to make business decisions based on practices which may later be outlawed.
There seem to be three main sticking points. First, ensuring that the law doesn’t place too great a burden on small businesses, who are not as well placed as large companies to absorb compliance costs. Second, disagreement between Republicans and Democrats on the role of the FTC. Third, concern among Democrats in particular that the federal government would be overriding privacy laws already being created at the state level.




A mini-GDPR?
Zack Whittaker reports:
Good news!
Maine lawmakers have passed a bill that will prevent internet providers from selling consumers’ private internet data to advertisers.
The state’s senate unanimously passed the bill 35-0 on Thursday following an earlier vote by state representatives 96-45 in favor of the bill.
Read more on TechCrunch.




Cost? Who cares about cost? My students, for starters.
Understanding the GDPR Cost of Continuous Compliance
Before the new European General Data Protection Regulation (GDPR) went into effect in May 2018, both small- and mid-sized companies and larger enterprises found themselves scrambling to comply with a regulation they found vague and complex, with no clear path to achieving compliance. Now, one year later, we have a much better view of not just the GDPR cost to prepare for the new regulatory environment, but also how much organizations are spending on continuous compliance. A new report from DataGrail, “The Cost of Continuous Compliance,” provides valuable benchmarking data on just how much organizations are spending – both in terms of financial resources and time – in order to keep up with the demands of continuous compliance.




Interesting because it’s not how we normally look at AI. More like Milton Friedman’s pencil.
Alexa, please explain the dark side of artificial intelligence
Last year Kate Crawford, a New York University professor who runs an artificial intelligence research centre, set out to study the “black box” of processes that exist around the hugely popular Amazon Echo device.
Crawford did not do what you might expect when approaching AI – namely, study algorithms, computing systems and suchlike. Instead, she teamed up with Vladan Joler, a Serbian academic, to map the supply chains, raw materials, data and labour that underpin Alexa, the AI agent that Echo’s users talk to.
It was a daunting process – so much so that Joler and Crawford admit that their map, Anatomy of an AI System, is just a first step. The results are both chilling and challenging. For what the map shows is that contemporary western society is blind to the real price of its thirst for technology.
[Anatomy of an AI System: https://anatomyof.ai/




Seems to indicate we have a long way to go.
HOW DO YOU TEACH A MACHINE RIGHT FROM WRONG? ADDRESSING THE MORALITY WITHIN ARTIFICIAL INTELLIGENCE
In his new novel, Machines Like Me, the novelist Ian McEwan tells the story, set in an alternate history in England in 1982, of a man who buys a humanoid robot.
One of the first things Adam says when he is switched on is “I don’t feel right,” and, typically for cautionary tales about robots, it only gets worse from there.
Based on an archive of ethnographic research on various societies, known as the Human Relations Area Files, the research has revealed seven “plausible candidates for universal moral rules” that are constant among 60 societies randomly chosen around the world, from bands of hunter-gatherers to industrialized nation states. These behaviours were regarded as “uniformly positive,” without exception, in every society studied, from Ojibwa, Tlingit and Copper Inuit in North America, to Somali, Korea, Highland Scots, Serbs, and Lau Fijians internationally.
The rules are: to allocate resources to kin; be loyal to groups; be reciprocal in altruism; be brave, strong, heroic and dominant like a hawk; be humble, subservient, respectful and obedient like a dove; be fair in dividing resources; and recognize property rights.
McEwan’s novel opens with a quotation from a Rudyard Kipling poem about the terrifying promise of the industrial age: “But remember, please, the Law by which we live, / We are not built to comprehend a lie…
The line that follows in Kipling’s poem seems equally grim today, in the age of AI, now that robots threaten to live up to the all the good and evil of human behaviour: “We can neither love nor pity nor forgive. / If you make a slip in handling us you die!
[The Kipling poem:


(Related) Video. 1:31
Standards and Oversight of Artificial Intelligence
The National Institute of Standards and Technology (NIST) and The Information Technology and Innovation Foundation (ITIF) Center for Data Innovation hosted a discussion on setting standards and oversight for artificial intelligence. Among the panelists were representatives from federal agencies working on scientific standards as well as researchers and technology developers working for firms in the artificial intelligence space. They talked about the benefits to setting technological standards early for both private companies and government agencies, and ways the two could work together to expedite standards.




It’s a start. Ethics will be a large part of my Security Compliance class this summer.
SF State launches new certificate in ethical artificial intelligence
Artificial intelligence (AI) has the potential to transform our life and work, but it also raises some thorny ethical questions. That’s why a team of professors from three different colleges at San Francisco State University have created a new graduate certificate program in ethical AI for students who want to gain a broader perspective on autonomous decision-making.
The program is one of just a handful focusing on AI ethics nationally and is unique in its collaborative approach involving the College of Business, Department of Philosophy and Department of Computer Science.
Courses for the certificate will begin this fall with a philosophy class focusing on the idea of responsibility, which will also give some historical context for modern AI and discuss its impacts on labor.
In another course, students will learn about how businesses can act ethically and will consider their responsibility to ensure that technology — for instance, facial recognition — doesn’t interfere with the rights of others.



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