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Morgan Brennan

on 12 December 2013

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Transcript of HACKED:

Drivers and Constraints of Change
All White Everything
Alternative Scenarios
What is the future of cyber security as it relates to the escalating competition between the U.S. private sector and hackers?
Definition of Cyber Security
The Struggle Over Cyber Security
and Innovation in the U.S. Private

Programs, systems, and individuals that actively protect both mobile and immobile technology systems from external threats
Evolved as the cyber landscape began to change in the late 80s and early 90s
Why Does Cyber Security Matter?
Cyber attacks are increasing dramatically, a threat to both our safety and economic stability
Cyber crime costs U.S. companies, on average, nearly $9 million a year

Transformation: All White Everything
Decline: PCSD - Post-Computer Stress Disorder

Collapse: All Hell Breaks Loose
System Mapping
of Relevant Stakeholders
Independent Variables, Dependent Variable, and Baseline Forecast
Preferred Scenario
Changes in the Cyber Security Industry
Capital Investments
Technological Innovation
Education and Workforce
Federal Initiatives
Interconnectedness of Devices
Independent Variables
Dependent Variable
Baseline Forecast
Expected Scenario
Steady as She Grows
Source: University of California's Institute on Global Conflict and Cooperation
Source: IbisWorld
The Hacker Economy
Mobile Phone Technology Growth
The Public Sector
Public privacy concern caused by current events - Snowden
Global cyber security spending in critical infrastructure will rise to $46 billion in 2013
By 2018, U.S. federal cyber security will cost $65.5 million
Sources: Rubenfeld, theguardian
Education and Employment in the Cyberspace
STEM education
National Initiative for Cyber Education - AFA
High school cyber defense competitions
Sources: IbisWorld, Air Force Association
Initial high cost and growth, stabilize at 3-5% annual growth
Rapid initial expenditures
Independent variables expected to grow at similar rates
High expenditures because of white hat hacker costs (salary)
Annual growth stabilizes at 10%
Innovative environment
U.S. economy is exclusively mobile
Corporations initially do not realize the security risks of mobile devices
After experiencing losses, expenditures increase to 10% annual growth to increase security
Global cyber warfare shifts the focus of security from corporate to national.
Contracted cyber-soldier become prevalent.
Annual growth stabilizes at 10%
U.S. Corporations
Operating Environment
Big Data
Macro Environment
U.S. Federal
Education System
U.S. Federal
U.S. Citizens
Cost of Cyber Security
Business losses from external hacking attacks are increasing and becoming more severe

-Ebb and flow between hackers and enterprise security systems
-Population as a whole places more emphasis on cyber security
*Education increases (both formal and informal)
*At the same time, proliferation of mobile devices generates more targets for hackers
Competitive nature of the market

Ability to adapt to threats
Significantly increasing corporate investment

Mergers and acquisitions

Initial public offerings
High level of competition

Speed of adaptation

Hacker's technological developments

Numerous cyber-focused bills
Cyber Intelligence and Sharing Bill

Advantages vs. Disadvantage of mobility

Mobile devices

Cloud computing


• Rising corporate security funding

• Increase in corporate white hat hacking

• Social acceptability of ethical hacking

• Increase in cyber security education

• Major decrease in successful hacking attacks

Operation Get Rich or Die Tryin'
Albert Gonzalez
"America's economic prosperity in the 21st century will depend on cyber security"
-President Obama
The Hacker Economy
Source: http://www.afterschoolalliance.org/
Source: http://rt.com/
Source: USA Today
Source: http://taxdollars.blog.ocregister.com/
Source: http://dailycaller.com/
Source: FortuneWatch
Source: sileo.com
Source: 7-Eleven
Source: Office Max
Source: Barnes and Noble
Source: payment-times.com
Source: businessinsider.com
Source: http://us.gmocloud.com/
Source: foxbusiness.com
Source: labnium.org/
Source: foxbusiness.com
Source: "Call of Duty: Parental Responsibilities and Violent Video Games"
Source: theurbandaily.com
Source: telco.com

By David Abadin, Morgan Brennan, Patrick Dever, Ally Kirst, & Anne Wooding
Industry is composed of 200 security providers, including McAfee and Symantic
Largest revenue stream from enterprise security systems
U.S. Economy
Full transcript