Supply chain attacks pose an increasing threat to organizations of all sizes. As cybercriminals become more sophisticated, they are finding new ways to infiltrate systems by targeting less secure elements in the supply chain. Understanding this rising threat is crucial for developing effective prevention and mitigation strategies.
What Are Supply Chain Attacks?
A supply chain attack occurs when a cybercriminal gains access to an organization’s systems or data by compromising a third-party vendor or supplier that has access to those systems. This allows the attacker to bypass an organization’s cyber defenses by entering through a back door of sorts.
Some examples of supply chain attacks include:
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Compromising Software Updates – An attacker can infiltrate the development pipeline of a software vendor to insert malicious code into a software update. This infected update is then distributed to customers.
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Tampering with Hardware Components – Hardware purchased from suppliers could contain pre-installed malware or hardware-based backdoors intentionally added during the manufacturing process.
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Targeting IT Service Providers – Managed service providers that have access to client systems and data can be compromised, allowing an attacker access to those systems.
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Infecting Cloud Services – By compromising a shared cloud platform or service, an attacker can potentially access the data and systems of all customers using that service.
Why Are Supply Chain Attacks Increasing?
Supply chain attacks are on the rise for several reasons:
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Increased Reliance on Third-Parties – As outsourcing and cloud services become more common, there are more vendors and suppliers that serve as potential targets.
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Expanded Attack Surface – Supply chains contain many components that are interlinked. More elements in the chain provide more potential attack vectors.
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Less Focus on Supply Chain Security – While organizations may have strong defenses on their end, suppliers and vendors often have weaker security controls in place.
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Difficult to Detect – Warning signs of supply chain attacks can be subtle. The initial intrusion points may be far removed from the ultimate targets.
Potential Impacts of Supply Chain Attacks
Supply chain attacks can have devastating consequences, including:
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Data Breaches – Attackers can access private customer data, intellectual property, financial information and more.
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Operational Disruption – Compromising business-critical systems can lead to widespread outages that halt operations.
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Financial Loss – Breaches, outages and recovery efforts can cost millions. Stock value also often declines.
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Reputational Damage – High-profile attacks diminish consumer and stakeholder confidence even if attack is not the victim’s fault.
Preventing Supply Chain Attacks
Preventing supply chain attacks requires securing the entire ecosystem, not just the organization’s internal systems. Here are some key prevention strategies:
Vet Suppliers Thoroughly
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Conduct cybersecurity assessments of all third-party suppliers, especially high-risk vendors, as part of onboarding/procurement process.
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Require cybersecurity standards for suppliers through contractual obligations. Mandate things like encryption, access controls, audits, etc.
Monitor Supplier Security
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Continuously monitor supplier cybersecurity practices after onboarding through audits and reviews.
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Watch for cyber incidents reported at suppliers that may indicate compromised security.
Limit Supplier Access
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Only provide access to essential systems on a least privilege basis. Don’t allow unnecessary access that expands attack surface.
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Segment networks and implement access controls to limit lateral movement if a supplier is compromised.
Control Software Distribution
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Centrally manage distribution of software and patches to have visibility and control over what is deployed internally.
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Use code repositories and file integrity monitoring to detect changes to software that may indicate tampering.
Mitigating Ongoing Supply Chain Attacks
If a supply chain attack does occur, rapid detection combined with a swift but measured response is essential for mitigating damage.
Monitor for Warning Signs
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Unexpected changes in configurations or software behavior can indicate malicious activity originating from a compromised supplier.
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Heavyweight outbound network traffic or errors from unused ports might point to data exfiltration.
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Anti-virus alerts, unexpected RDP sessions, privilege escalations etc. could also be signs of an intrusion.
Contain the Intrusion
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Isolate and power down affected systems to prevent lateral movement as soon as a compromise is suspected.
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Reset supplier credentials and block access if they are suspected as the origin.
Eliminate the Threat
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Wipe and reimage systems believed to be infected. Restore data from clean backups once the threat is removed.
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Work with the supplier to identify and close the initial intrusion vector at their end.
Learn from the Incident
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Perform comprehensive forensics to understand the full scope of the attack. Look for other infiltration points.
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Review security controls and supplier policies. Establish improved prevention measures.
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Share information with industry for increased awareness of new threats.
The Way Forward
As outsourcing and vendor partnerships grow, organizations must recognize supply chain cybersecurity as a crucial element of their overall security program. Implementing robust prevention and detection controls, establishing response plans, and ensuring resilience in the face of compromise is essential for managing this steadily rising threat. With proactive efforts to secure the entire supply chain, organizations can effectively safeguard their systems, data and operations from these sophisticated multi-stage attacks.
