Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Biden orders probe of latest ransomware attack

Published 07/03/2021, 04:48 PM
Updated 07/04/2021, 02:50 AM
© Reuters. FILE PHOTO: A hooded man holds a laptop computer as cyber code is projected on him in this illustration picture taken on May 13, 2017.  REUTERS/Kacper Pempel/Illustration/File Photo

By Trevor Hunnicutt

CENTRAL LAKE, Mich. (Reuters) -President Joe Biden said on Saturday he has directed U.S. intelligence agencies to investigate who was behind a sophisticated ransomware attack that hit hundreds of American businesses and led to suspicions of Russian gang involvement.

Security firm Huntress Labs said on Friday it believed the Russia-linked REvil ransomware gang was to blame for the latest ransomware outbreak. Last month, the FBI blamed the same group for paralyzing meat packer JBS SA (OTC:JBSAY).

Biden, on a visit to Michigan to promote his vaccination program, was asked about the hack while shopping for pies at a cherry orchard market.

Biden said "we're not certain" who is behind the attack. "The initial thinking was it was not the Russian government but we're not sure yet," he said.

Biden said he had directed U.S. intelligence agencies to investigate, and the United States will respond if they determine Russia is to blame.

During a summit in Geneva on June 16, Biden urged Russian President Vladimir Putin to crack down on cyber hackers emanating from Russia, and warned of consequences if such ransomware attacks continued to proliferate.

Biden said he would receive a briefing about the latest attack on Sunday.

"If it is either with the knowledge of and/or a consequence of Russia then I told Putin we will respond," Biden said, referring to what he told Putin in Geneva.

The hackers who struck on Friday hijacked widely used technology management software from a Miami-based supplier called Kaseya. They changed a Kaseya tool called VSA, used by companies that manage technology at smaller businesses. They then encrypted the files of those providers' customers simultaneously.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Huntress said it was tracking eight managed service providers that had been used to infect some 200 clients.

Kaseya said on its own website on Friday that it was investigating a "potential attack" on VSA, which is used by IT professionals to manage servers, desktops, network devices and printers.

"This is a colossal and devastating supply chain attack," Huntress senior security researcher John Hammond said in an email, referring to an increasingly high profile hacker technique of hijacking one piece of software to compromise hundreds or thousands of users at a time.

In a statement on Friday, the U.S. Cybersecurity and Infrastructure Security Agency said it was "taking action to understand and address the recent supply-chain ransomware attack" against Kaseya's VSA product.

Supply chain attacks have crept to the top of the cybersecurity agenda after the United States accused hackers of operating at the Russian government's direction and tampering with a network monitoring tool built by Texas software firm SolarWinds.

On Thursday, U.S. and British authorities said Russian spies accused of interfering in the 2016 U.S. presidential election have spent much of the past two years abusing virtual private networks (VPNs) to target hundreds of organizations worldwide.

On Friday, Russia's embassy in Washington denied that charge.

Latest comments

does old joe even understand any of this?
"Our infrastructure is crumbling." We need infrastructure plan NOW to solve all this. Quite a lot of attack on infrastructures around the bill time. Coincidence?
nothing to do with cyber attacks. You’re confused.
Why do keep allowing people to hack our computers for ransom?
Yeah - another probe - that’ll teach em’!!
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.