SAN FRANCISCO – The world's biggest maker of data storage computers on
Thursday said that its security division has been hacked, and that the
intruders compromised a widely used technology for preventing computer
break-ins.

The breach is an embarrassment for EMC Corp., also a premier security
vendor, and potentially threatens highly sensitive computer systems.

The incident is a rare public acknowledgement by a security company
that its internal anti-hacking technologies have been hacked. It is
especially troubling because the technology sold by EMC's security
division, RSA, plays an important role in making sure unauthorized
people aren't allowed to log into heavily guarded networks.

The scope of the attack wasn't immediately known, but the potential
fallout could be widespread. RSA's customers include the military,
governments, various banks and medical facilities and health insurance
outfits. EMC, which is based Hopkinton, Mass., itself is an RSA
customer.

EMC said in a filing with the Securities and Exchange Commission that
RSA was the victim of what is known as an "advanced persistent
threat," industry jargon for a sophisticated computer attack. The term
is often associated with corporate espionage, nation-state attacks, or
high-level cybercriminal gangs.

EMC didn't offer clues about the suspected origin of the attack. It
said it recently discovered an "extremely sophisticated" attack in
progress against its networks and discovered that the infiltrators had
made off with confidential data on RSA's SecurID products. The
technology underpins the ubiquitous RSA-branded keychain "dongles" and
other products that blanket important computer networks with an
additional layer of protection.

The products make it harder for someone to break into a computer even
if a password is stolen, for example. The RSA device, working in
concert with back-end software, generates an additional password that
only the holder of the device would know. But if a criminal can figure
out how those additional passwords are generated, the system is at
risk.

RSA is one of the best-known names for this type of "two-factor
authentication" technology.

RSA declined to comment on what type, or how much, information was stolen.

Richard Stiennon, a security analyst with the IT-Harvest firm, said
there would be "tremendous repercussions" if the criminals were able
to silently tap into critical systems using the stolen information.

"You'd never have a sign that you've been breached," he said.

In its SEC filing, RSA said that it is "confident that the information
extracted does not enable a successful direct attack on any of our RSA
SecurID customers." However, it warned that "this information could
potentially be used to reduce the effectiveness of a current
two-factor authentication implementation as part of a broader attack."

"We have no evidence that customer security related to other RSA
products has been similarly impacted," said the company's executive
chairman, Art Coviello. "We are also confident that no other EMC
products were impacted by this attack. It is important to note that we
do not believe that either customer or employee personally
identifiable information was compromised as a result of this
incident."

The company said it is providing "immediate remediation steps" for
customers. It didn't specify what those are. It outlined some generic
security tips that offer clues about how its customers might be
targeted with the information stolen from RSA, such as closely
monitoring the use of social networking websites by people with access
to critical networks and the need to educate employees on the danger
of clicking on links or attachments in suspicious e-mails.

EMC said it doesn't expect the breach to have a meaningful impact on
its financial results.

@YAHOO

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