Schneier on Security: IoT Devices in Password-Spraying Botnet

Source URL: https://www.schneier.com/blog/archives/2024/11/iot-devices-in-password-spraying-botnet.html
Source: Schneier on Security
Title: IoT Devices in Password-Spraying Botnet

Feedly Summary: Microsoft is warning Azure cloud users that a Chinese controlled botnet is engaging in “highly evasive” password spraying. Not sure about the “highly evasive” part; the techniques seem basically what you get in a distributed password-guessing attack:
“Any threat actor using the CovertNetwork-1658 infrastructure could conduct password spraying campaigns at a larger scale and greatly increase the likelihood of successful credential compromise and initial access to multiple organizations in a short amount of time,” Microsoft officials wrote. “This scale, combined with quick operational turnover of compromised credentials between CovertNetwork-1658 and Chinese threat actors, allows for the potential of account compromises across multiple sectors and geographic regions.”…

AI Summary and Description: Yes

Summary: Microsoft has issued a warning about a Chinese-controlled botnet, CovertNetwork-1658, that is executing sophisticated password spraying attacks on Azure cloud users. This situation highlights significant security risks as attackers can operate with a higher success rate due to advanced evasion techniques, which could compromise credentials across various organizations and sectors.

Detailed Description: The reported activity by Microsoft concerning the CovertNetwork-1658 botnet is crucial for security professionals, particularly those focusing on cloud computing and infrastructure security. The implications of this threat extend to numerous sectors, beneath the umbrella of both password security and broader cybersecurity measures.

– **Nature of the Threat**: The CovertNetwork-1658 botnet, associated with Chinese threat actors, is engaging in password spraying—an attack vector that attempts to access multiple accounts using a common password across different users, reducing the chances of detection.

– **Evasion Techniques**:
– **Compromised SOHO IP Addresses**: The attackers utilize small office/home office (SOHO) IPs, which are often overlooked in network monitoring protocols.
– **Rotating IP Addresses**: They leverage a vast pool of rotating IP addresses (thousands), which complicates detection efforts further since each attack can appear to originate from numerous distinct locations.
– **Low-Volume Strategy**: By minimizing the number of attempts per account, they remain under the typical detection thresholds designed to flag suspicious activities—making traditional security measures less effective.

– **Operational Lifespan**: The botnet’s nodes are reported to have an average operational lifecycle of around 90 days, which allows them to evade continued detection before renewing their infrastructure, presenting a continual challenge for security efforts.

– **Potential Impact**: If successful, these attacks can lead to credential compromises across multiple sectors and geographic regions, making it essential for organizations, particularly those utilizing Azure services, to bolster their security protocols against such advanced threats.

In conclusion, Microsoft’s warning serves as a pivotal reminder for security professionals in cloud computing to remain vigilant, update their detection frameworks, and consider implementing more dynamic security measures to guard against such sophisticated attack strategies.