On Nov 29, 2007 3:47 PM, Kenneth Van Wyk <[EMAIL PROTECTED]> wrote:
> The article quotes David Rice, who has a book out called
> "Geekconomics: The Real Cost of Insecure Software".  In it, he tried
> to quantify how much insecure software costs the public and, more
> controversially, proposes a "vulnerability tax" on software
> developers.  He believes such a tax would result in more secure
> software.

I read Geekonomics a few weeks ago, when it became available on
SafariBooksOnline.  I have mixed feelings about the author, the book,
and the subject matter.  His discussions in the book are great -
especially in the first four chapters.  However, I find the solutions
and conclusions that he comes to in the last chapter (including all
this "tax" business) to leave a lot to be desired.

My primary reasons for disliking this "vulnerability tax" are that it
doesn't take into account both web applications and
Software-as-a-Service.  Not surprisingly, the book fails to cover both
of these topics.  I'm not sure if David Rice does this on purpose,
because he does touch on open-source software issues (dedicating an
entire chapter to it, and sprinkling the topic through the book).

BTW - I think David Rice brought in the idea of a "vulnerability tax"
because it was the first analogy that popped into his head from the
research and discussion brought about in his book.  On page 157
(Chapter 4), he discusses the incentives put forward by the ISAlliance
in the form of Cyber Insurance Discounts -
http://www.isalliance.org/content/view/29/71/

Quote, "AIG, the world's largest provider of cyber insurance, agreed
to provide premium credits of up to 15% for companies that join the
ISAlliance and subscribe to these best practices. For many companies,
the cash value of this discount may be worth more than the entire cost
of ISAlliance membership".  More details in the Market Incentives
Legislative whitepaper here -
http://www.isalliance.org/content/view/92/229/

In the last chapter of Geekonomics, David Rice talks to many solutions
and incentives besides the "vulnerability tax", but none are quite as
coherent (or controversial).  I suggest reading the entire book
regardless of what you think about what amounts to a very small
section/topic.

> IMHO, if all developers paid the tax, then I can't see it resulting in
> anything other than more expensive software...  Perhaps I'm just
> missing something, though.

David Rice does propose the tax for both software vendors (not sure if
this includes SaaS) and consumers, which is stated more clearly in the
book.  The way he proposes all this doesn't seem like a solution - as
many vendors will turn this around on governments and force the
consumers to, again, eat the cost of any type of effort.

Does anyone expect that software vendors or open-source software
makers are really going to be able to produce more secure software
because of a "vulnerability tax"?  Personally, I don't think this gets
very close to the root-cause of software vulnerabilities.

Cheers,
Andre
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