Re: [SC-L] Insecure Software Costs US $180B per Year - Application and Perimeter Security News Analysis - Dark Reading

2007-11-29 Thread Leichter, Jerry
| FYI, there's a provocative article over on Dark Reading today.
| http://www.darkreading.com/document.asp?doc_id=140184
|
| 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.
|
| 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.
The answer to this is right in the article:

Just as a traditional manufacturer would pay less
tax by becoming greener, the software manufacturer
would pay less tax for producing cleaner code, he
says. Those software manufacturers would pay less
tax pass on less expense to the consumer, just as a
regular manufacturing company would pass on less
carbon tax to their customers, he says.

He does go on to say:  

It's not clear how the software quality would be
measured ... but the idea would be for a software
maker to get tax breaks for writing code with fewer
security vulnerabilities.

And the consumer ideally would pay less for more
secure software because tax penalties wouldn't get
passed on, he says.

Rice says this taxation model is just one of many
possible solutions, and would likely work in concert
with torte law or tighter governmental regulations

So he's not completely naive, though the history of security metrics and
standards - which tend to produce code that satisfies the standards
without being any more secure - should certainly give on pause.

One could, I suppose, give rebates based on actual field experience:
Look at the number of security problems reported per year over a two-
year period and give rebates to sellers who have low rates.  There are
many problems with this, of course - not the least that it puts new
developers in a tough position, since they effectively have to lend
the money for the tax for a couple of years in the hopes that they'll
get rebates later when their code is proven to be good.

-- Jerry
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Re: [SC-L] Insecure Software Costs US $180B per Year - Application and Perimeter Security News Analysis - Dark Reading

2007-11-29 Thread Andy Steingruebl
On Nov 29, 2007 2:47 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 like contractual approaches to this problem myself.  People buying
large quantities of software (large enterprises, governments) should
get contracts with vendors that specify money-back for each patch they
have to apply where the root cause is of a given type.  For example, I
get money back every time the vendor has a vulnerability and patch
related to a buffer overflow.

I wrote a small piece about this:
http://securityretentive.blogspot.com/2007/09/buffer-overflows-are-like-hospital.html

Turns out that the federal government isn't paying for avoidable
outcomes anymore.  Certain things fall into the rough category of
negligence and so aren't covered.  We ought to just do this for
software via a contracts mechanism.  I'm not sure we want to start out
with a big-bang public-policy approach on this issue.  We'd want to
know a lot more about how the economics work out on a small scale
before applying it to all software.

-- 
Andy Steingruebl
[EMAIL PROTECTED]
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Re: [SC-L] Insecure Software Costs US $180B per Year - Application and

2007-11-29 Thread robert
I think many companies are working on making their code more secure however 
without some sort of 
penality to the business the others aren't going to invest in security. This in 
particular is why
I like what PCI has done (as an example) enforcing 'some' bare 
requirements/penalties for not doing
While it isn't perfect it's something.

I've spoken with a few organizations debating penalizing a developer 
financially if 
they have vulnerabilities in their code. It is actually pretty difficult to 
enforce
without the proper training/policies/procedures in place. I think if a tax 
existed 
this would force companies to develop these sorts of programs since it will 
most likely
be less expensive than paying the fine. 

My $1.50

Regards,
 - Robert Auger
http://www.webappsec.org/
http://www.cgisecurity.com/


 
 
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 FYI, there's a provocative article over on Dark Reading today.
 
 http://www.darkreading.com/document.asp?doc_id=140184
 
 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.
 
 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.
 
 Cheers,
 
 Ken
 
 -
 Kenneth R. van Wyk
 SC-L Moderator
 KRvW Associates, LLC
 http://www.KRvW.com
 
 
 
 
 
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Re: [SC-L] Insecure Software Costs US $180B per Year - Application and Perimeter Security News Analysis - Dark Reading

2007-11-29 Thread der Mouse
   Just as a traditional manufacturer would pay less tax by
   becoming greener, the software manufacturer would pay less
   tax for producing cleaner code, [...]

 One could, I suppose, give rebates based on actual field experience:
 Look at the number of security problems reported per year over a
 two-year period and give rebates to sellers who have low rates.

And all of this completely ignores the $0 software market.  (I'm
carefully not saying free, since that has too many other meanings,
some of which have been perverted in recent years to mean just about
the opposite of what they should.)  Who gets hit with tax when a bug is
found in, say, the Linux kernel?  Why?

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Re: [SC-L] Insecure Software Costs US $180B per Year - Application and Perimeter Security News Analysis - Dark Reading

2007-11-29 Thread Andy Steingruebl
On Nov 29, 2007 6:07 PM, Blue Boar [EMAIL PROTECTED] wrote:
 Andy Steingruebl wrote:
  I like contractual approaches to this problem myself.  People buying
  large quantities of software (large enterprises, governments) should
  get contracts with vendors that specify money-back for each patch they
  have to apply where the root cause is of a given type.  For example, I
  get money back every time the vendor has a vulnerability and patch
  related to a buffer overflow.

 That changes the incentive to hide security bugs and not patch them or
 to slipstream them.

Any regulatory regime that deals with security issues is subject to
the same thing.  Whether its PCI and eluding Auditors or SOX-404 and
documenting controls, you'll always have people that want to try to
game the system.

I'm not suggesting that this is the only solution, but from an
economics and motivation perspective SLAs related to software and
security features are more likely to work and incur lower overhead
than a regulatory regime that is centrally administered.

Sure, there are going to be pieces of software that this scheme won't
work for or where there aren't very many bulk purchasers, only 1-off
purchasers.  Things like video games for example where there aren't
large institutional purchases.

That said, I think contracts between large consumers and software
producers would be a good start to the problem.

-- 
Andy Steingruebl
[EMAIL PROTECTED]
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