Real-World Marauders Infest Online Games

Now that Kaspersky Lab has exposed the Winnti group's skulduggery, what can developers of online video games do to protect their intellectual property, and what can gamers do to keep their virtual bank accounts from being raided? Beyond those concerns, what can Winnti's ultimate targets do to protect against invasion via stolen certificates? "The defense against theft is to further harden the systems," noted tech analyst Rob Enderle.


A scenario involving cybercriminals using techniques developed by state-sponsored cyberespionage groups sounds like a plot point in a video game, but the Winnti crew aren't the villains in some new release. These Chinese hackers are very real, and online games are their target.

The group has been conducting a long-running cybercrime campaign targeting online gaming companies worldwide, Kaspersky Lab reported this week.

Winnti has been stealing digital certificates signed by legitimate software vendors, along with intellectual property including source code, Kaspersky said.

Kaspersky discovered in 2011 that many gamers were infected with the same malicious Trojan, but it wasn't the gamers or their respective information that Winnti was apparently after -- it was the game developers' code. The group targeted more than 30 companies across the world and, among other things, may have stolen in-game currency to sell for real money.

Countries Where Gaming Companies Have Been Affected

"The Winnti operators are actively harvesting legitimate digital certificates that are used by these victim companies to sign broadly installed software, which is of high value to attackers," said Kurt Baumgartner, senior security researcher for Kaspersky Lab.

"These certificates further enable future Winnti attacks and other threat actors in their further attacks around the globe," he added.

"Secondly, the Winnti group potentially is monetizing their own access to intellectual property and game servers, but we cannot verify these strong possibilities," Baumgartner told TechNewsWorld. "It seems reasonable that a coordinated multiyear effort like this one would need financial support of some sort."

Virtual Money Worth Big Dollars

While it might sound like a lot of effort would be involved to steal currency that can be used only for virtual items in a game, the fact is that many online games have thriving economies.

"There could well be (US)$1 billion in virtual currency stored in gamers' accounts worldwide," said Lewis Ward, IDC's research manager for gaming.

Some players will pay good real-world money to acquire something that is virtual; hence this has become a new opportunity that might simply be too good for thieves to pass by.

"It is a huge market, and it is still growing," said Scott Schober, CEO of Berkeley Varitronics Systems. "If the thieves can get access to the source code, they can slip in some stuff that can scarf up the information, and this could include skimming some virtual currency so that gamers don't even notice."

Still, online currency can be just as difficult to fence as real currency, diamonds or other stolen loot.

"Perhaps the idea was to fly under the radar and amass this currency and then quietly sell it to gamers in a virtual black market at a discount," Ward told TechNewsWorld. "In any event, this breach is yet more evidence that all game companies need to remain vigilant from a security perspective, because MMOGs in particular are becoming significant repositories of digital cash."

Stopping the Thieves

One of the reasons this continues to be a problem is that gamers don't often consider these threats.

"When you're buying something with your credit card, you associate it to your money and wallet, and in games you aren't thinking of the risks of getting hacked," Schober added. "It is a newer threat, as it has only been done on a smaller scale, but there will likely be copycats that will try to outdo this larger hack."

What's crucial is how the software developers react. This is important, because the developers and game publishers must protect their respective investments -- not only to protect users' data, but to ensure that criminals don't destroy a game's economy.

"Some gaming developers' awareness and practices have been improved since the start of the events, and we hope that will spread to other potential victims," said Kaspersky's Baumgartner. "The security community is also more aware and continues to investigate malware signed with Winnti-stolen certificates to better defend their customers as well."

Virtual Economies

The fact that these economies are now so large is only going to ensure that this problem continues, and thieves will look at new opportunities to steal the virtual cash. However, this could just be a precursor to threats against virtual currency used outside of gaming.

"The defense against theft is to further harden the systems that control this economy," said Rob Enderle, principal analyst at the Enderle Group. "The bigger concern is that the systems governing the electronic transfer of real cash are often not that much more advanced, and artificial cash like Bitcoin has been trending up."

With gaming devices increasingly requiring always-on connections, thieves will be finding new opportunities to exploit holes and penetrate systems.

"The always on exposure comes down to how the client systems are secured and monitored," explained Enderle.

"This isn't just game systems -- the entire security structure is based on catching a thief after they break in, which is increasingly too late," he pointed out.

"They can make as many attempts as it takes to break into a system, largely unnoticed," Enderle said. "An always-on system that isn't monitored for this activity -- and most game and client systems aren't -- almost ensures a hacker will eventually find a way to the cash, virtual or otherwise." 

EcoMotors signs $200 million deal to produce engine in China

EcoMotors International, the suburban Detroit company developing an opposed piston-opposed cylinder engine, has signed a $200 million deal to build the engines in China.

EcoMotors' partner, Zhongding Power, will build a plant in China's Anhui province and will sell the turbodiesel engines to its customers. The plant will have capacity to build 150,000 engines per year, with high-volume production scheduled to begin in 2014.

EcoMotors CEO Don Runkle, 67, a former General Motors and Delphi executive, said a portion of the capacity will be reserved for EcoMotors to sell to its own customers. The two companies signed a letter of intent to work together in 2010.

"We've been working under contract with them to help develop the engine over the past year and a half," Runkle said. "So this was the next logical step."

Because of its lightweight design and other advantages over conventional engines, opposed piston technology could produce 30 percent fuel economy gains, its backers say. EcoMotors, Pinnacle Engines and Achates Power Inc. are trying to market the engine technology.

Zhongding plans to sell engines to makers of electrical generators and off-road and commercial vehicles. Runkle said that initial EcoMotors sales likely will be to generator manufacturers as well. The company has a letter of intent with Generac Power Systems, a Waukesha, Wis., generator company.

Runkle said that EcoMotors also has letters of intent with three Chinese manufacturers. He said he expects the engines to begin appearing in vehicles in 2015 or 2016. Chinese automakers are aggressively exploring new powertrains, making China an attractive market, he said.

"From our standpoint, it's a big target because of its size and its growth rate," Runkle said.

Advocates of opposed piston engines say the engines can produce sharply increased efficiency and lower costs. The technology, which dates to the early 1900s, operates two pistons in a single cylinder. Because of that, opposed piston engines don't use all the parts that today's engines use. There is no valvetrain or cylinder head, for instance. That cuts costs and reduces heat loss, friction and weight, giving the engines an advantage in power-to-weight ratio.

Automakers have passed on the technology because of high emissions. But Runkle says the EcoMotors engine will meet government regulations on emissions

Ford 1.5 -litre EcoBoost engine to debut on 2014 Fusion

DETROIT -- When the 2014 Ford Fusion debuts this fall it will be offered with a new 1.5-liter, four-cylinder EcoBoost engine, the fifth member of Ford's EcoBoost family, Ford said Thursday.

The engine will be quieter and more fuel efficient than the 1.6-liter EcoBoost offered on the current Fusion, while providing about the same horsepower and torque, said Joe Bakaj, Ford vice president of powertrain engineering.

The 1.5-liter EcoBoost will include some of the advanced technologies Ford introduced on its 1.0-liter, three-cylinder EcoBoost engine, which debuted in 2012, including an exhaust manifold integrated into the cylinder head.

The integrated exhaust manifold "allows us to recover the heat that's normally wasted going through the exhaust pipe and warm up the engine more quickly," Bakaj said. That enables the to reach optimum running temperatures faster, with the added benefit that the system warms the cabin more quickly.

Phasing out the 1.6-liter

Because the manifold is integrated and not bolted on, the engine is lighter and simpler to manufacture, Bakaj said.

The engine will be launched simultaneously in China on the 2014 Ford Mondeo, which is virtually identical to the Fusion.

During the initial phase of the 2014 Fusion launch, Ford will offer both the 1.5- and 1.6-liter EcoBoost engines, along with a 2.0-liter EcoBoost. Then the 1.6-liter engine will gradually be phased out in the Fusion.

Ford expects the new 1.5-liter to be the volume engine.

Having both engines will help Ford ease capacity constraints that have slowed sales of the hot-selling Fusion.

"There's so much demand for the Fusion, but we will want to transition to the 1.5-liter because of better efficiency," said Bakaj.

Ford will release horsepower, torque and fuel-economy estimates when the 1.5-liter engine debuts this year.

The 1.6-liter EcoBoost is listed at 178 hp and 184 lb. ft. of torque. The mpg rating is 23 city, 36 highway and 28 combined.

Built in Romania

The 1.5-liter EcoBoost was designed at Ford's engineering center in Dunton, United Kingdom. Manufacture has already begun at Ford's engine plant in Crajova, Romania.

Depending on demand, Ford could eventually make the engine elsewhere, Bakaj said.

Ford had cooling problems with the 1.6-liter EcoBoost engine that led to recalls of the 2013 Fusion and Escape crossover. Bakaj said Ford fixed those problems in the 1.5-liter powerplant.

"This engine has utilized all the knowledge from the 1.6 recall," Bakaj said.

The EcoBoost has rapidly become the centerpiece of Ford's North American powertrain strategy. This year Ford has been averaging sales of 50,000 EcoBoost equipped vehicles per month and 70,000 globally.

Ford has sold 600,000 EcoBoost engines since the 3.5-liter EcoBoost V-6 was introduced on the F-150 pickup in 2009. Ford added the 2.0-liter EcoBoost in 2010, the 1.6-liter in 2011 and the 1.0-liter in 2012.

By the end of 2013, Ford says, 80 percent of its global nameplates will be offered with EcoBoost engines.

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Taller, now faster -- Dubai Police get Lamborghinis

DUBAI (Reuters) -- The city that boasts the world's tallest building is equipping its police with $400,000 Lamborghini sports cars that Dubai's deputy police chief says are in keeping with the Gulf capital's image.

They also go fast, since according to the website of Lamborghini, an affiliate of the Volkswagen Group, all the Italian company's cars reach 100 kph (60 mph) in well under six seconds.

Major General Khamis Mattar Al Mazeina said that a fleet of Lamborghinis, each estimated to cost around $400,000, had been obtained by the Dubai police for use at main tourist sites.

"The aim is to reflect the reputation of the emirate and the high stature it achieved," Mazeina said.

"It will also help promote tourism and showcase the security role the Dubai police plays in safeguarding the city," he added.

The vehicles will be deployed at the downtown area near the world's tallest building, the Burj Khalifa tower, the Mohammed bin Rashid Boulevard as well as the cafe- and restaurant-lined walk of the Jumeirah Beach Residence, one of the most popular waterfront developments in Dubai.

Photos of the vehicles published in local media in the United Arab Emirates showed a green-and-white vehicle decorated with the Dubai police insignia on the front hood.

Dubai, one of seven emirates in the UAE federation, is staging a recovery from the financial crisis it suffered during the global financial crisis in 2009. The emirate recently has announced several major projects, including a huge tourism and retail development with the largest shopping mall in the world.

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Margaret Thatcher, ' Iron Lady' who led conservative resurgence in Britain, dies at 87

Former British Prime Minister Margaret Thatcher, the “Iron Lady” who led a conservative resurgence in her home country and forged a legendary partnership with President Ronald Reagan, died Monday following a stroke. She was 87.

Thatcher led Britain from 1979 to 1990, the first and only woman to hold the job and longest-serving prime minister of the postwar era. 

“Margaret Thatcher didn’t just lead our country — she saved our country,” Prime Minister David Cameron said. “Margaret Thatcher took a country that was on its knees and made Britain stand tall again.”

Queen Elizabeth II planned to send a private message of sympathy to the family, said a statement from Buckingham Palace, where the Union Jack was lowered to half-staff. Cameron called Parliament back for a special session Wednesday to pay tribute.

President Barack Obama hailed Thatcher as an exemplar of British strength and resolve and a role model for young women. Invoking Thatcher’s friendship with Reagan, Obama said that she reminded the world “that we are not simply carried along by the currents of history — we can shape them with moral conviction, unyielding courage and iron will.”

‘True force of nature’: World reacts to Thatcher's death

A grocer’s daughter with a sharp tongue and a no-nonsense style, Thatcher was elected to Parliament at age 34 and climbed the Conservative Party ladder. She became its leader at age 50 and swept into 10 Downing St. four years later.

The year she took office as prime minister, Thatcher took note of her place in history: “Any woman who understands the problems of running a home will be nearer to understanding the problems of running a country.”

Ten years earlier, she had predicted that no woman in her time would hold the job of prime minister. She held it for 11 years, longer than Winston Churchill or any other British leader of her century.

Thatcher transformed the British economy and took on its welfare state and powerful unions. Her government cut, closed or privatized state-owned industries, notably struggling steel plants and coal mines, and radically cut taxes and public spending — strong medicine, she conceded, but precisely what was needed to restart a stagnant nation.

“The problem with socialism,” she once said, “is that eventually you run out of other people’s money.”

In 1980, when fellow conservatives were fretting that her tough, anti-inflation economic policy was driving up unemployment, she addressed the prospect of whether she would make a political U-turn: “You turn if you want to. The lady’s not for turning.”

Under her leadership, Britain fought and won a war with Argentina for the Falkland Islands in the South Atlantic Ocean — determined to preserve one of the last outposts of the British empire.

Thatcher’s military worries became focused on a speck of land halfway around the world in 1982 when Argentina invaded the Falklands, a British archipelago. After American mediation attempts failed, Thatcher decided to retake the islands, a feat accomplished in a few weeks. The war was a huge boost to Thatcher’s popularity.

An estimated 650 Argentinians and 255 Britons were killed in the war. Argentina still asserts a claim to the islands, but the people there overwhelmingly voted last month to remain under British control. One islander told Reuters on Monday that Thatcher was “our Winston Churchill.”

Thatcher survived an assassination attempt when an Irish Republican Army bomb exploded at a Conservative Party conference in the British city of Brighton in 1984, killing five people and injuring a cabinet minister, among others. Thatcher gave the keynote speech hours later and said: “This attack has failed. All attempts to destroy democracy by terrorism will fail.”

She took on the British coal industry, nationalized and seen as politically untouchable. The coal union had brought down the government of another conservative, Edward Heath, with a strike a decade earlier, and coal workers walked off the job again in 1984 after the Thatcher government announced job cuts.

During the strike, she told the House of Commons: “We had to fight the enemy without in the Falklands. We always have to be aware of the enemy within, which is much more difficult to fight and more dangerous to liberty.”

Thatcher, anticipating the confrontation, had stockpiled coal to keep the country’s energy supply humming. The strike collapsed in March 1985.

Former London Mayor Ken Livingstone, of the Labour Party, told Sky News on Monday that Thatcher’s economic regime was to blame for many of the problems that Britain still faces.

“She created today’s housing crisis. She created the banking crisis. And she created the benefits crisis,” he said. “In actual fact, every real problem we face today is the legacy of the fact that she was fundamentally wrong.”

Thatcher had a well-known friendship with Reagan during his two terms as president in the 1980s. They shared an allegiance to free-market principles and opposition to the Soviet Union.

Thatcher recalled in her memoir, “The Downing Street Years,” that she met Reagan in 1975, when she led the political opposition in Britain and Reagan was the ascendant governor of California. She said that she was won over by his “warmth, charm and complete lack of affectation — qualities which never altered in the years of leadership which lay ahead.”

When Reagan died, in 2004, Thatcher delivered a recorded eulogy and said: “We have lost a great president, a great American and a great man. And I have lost a dear friend.”

Nancy Reagan on Monday said the world had lost “a true champion of freedom and democracy.” She said that Thatcher and her late husband had a strong personal friendship.

Thatcher was forced out of office by her own party in 1990, unhappy with some of her policies. Her reduction of British social spending also earned her the scorn of some pop culture figures and helped spawn the British punk movement. Billy Bragg and Sinead O’Connor lashed out in song, and Morrissey recorded a track called “Margaret on the Guillotine.”

Meryl Streep, who won an Oscar for her portrayal of the former prime minister in “The Iron Lady,” said that Thatcher had endured hatred and ridicule unprecedented for “a public figure who was not a mass murderer.” While praising her conviction, however, Streep suggested that Thatcher had contributed to a widening income gap.

“Her hard-nosed fiscal measures took a toll on the poor, and her hands-off approach to financial regulation led to great wealth for others,” Streep said in a statement. She said that she would leave history to settle the matter of Thatcher’s greatness.

Thatcher played polarizing role in pop culture

The mayor of London, Boris Johnson, said Monday that Thatcher’s views had been vindicated — on unions, on communism and on the movement toward European political integration, of which she was extremely skeptical and urged Britain to stay out.

“The country is deeply in her debt,” Johnson said. “Her memory will live long after the world has forgotten the grey suits of today’s politics.”

Her successor as prime minister, John Major, said that Thatcher’s economic reforms and the British victory in the Falklands War “elevated her above normal politics, and may not have been achieved under any other leader.”

Former President George W. Bush said that Thatcher guided Britain with confidence and clarity.“

Prime Minister Thatcher is a great example of strength and character, and a great ally who strengthened the special relationship between the United Kingdom and the United States,” he said in a statement.

Thatcher’s daughter said in 2008 that she had been suffering from dementia for eight years, and had to be reminded that her husband was dead.

Margaret Hilda Roberts was born Oct. 13, 1925. At the hand of her grocer father, she later said, she learned both thrift and capitalist principles.

“Before I read a line from the great liberal economists,” she wrote, “I knew from my father’s accounts that the free market was like a vast sensitive nervous system, responding to events and signals all over the world to meet the ever-changing needs of peoples in different countries, from different classes, of different religions, with a kind of benign indifference to their status.”

China warns against troublemaking on Korean Peninsula

BEIJING/SEOUL — China on Sunday warned against "troublemaking" on its doorstep, in an apparent rebuke to North Korea.

The North, led by 30-year-old Kim Jong-un, has been issuing vitriolic threats of war against the United States and U.S.-backed South Korea since the United Nations imposed sanctions in response to its third nuclear weapon test in February.

North Korean officials told diplomats late last week to consider leaving Pyongyang because of the tension, but embassies appeared to view the appeal as more rhetoric and staff have stayed put.

China, North Korea's sole financial and diplomatic backer, has shown growing irritation with Pyongyang's warnings of nuclear war.

Chinese President Xi Jinping, addressing a forum on the southern island of Hainan, did not name North Korea but said no country "should be allowed to throw a region and even the whole world into chaos for selfish gain".

Stability in Asia, he said, "faces new challenges, as hot spot issues keep emerging and both traditional and non-traditional security threats exist".

Chinese Foreign Minister Wang Yi expressed similar frustration in a statement late on Saturday, relating a telephone conversation with U.N. Secretary-General Ban Ki-moon.

"We oppose provocative words and actions from any party in the region and do not allow trouble making on China's doorstep," Wang said, according to a ministry statement on its website.

On Sunday, the ministry expressed "grave concern" at rising tension and said China had asked North Korea to "ensure the safety of Chinese diplomats in North Korea, in accordance with the Vienna Convention and international laws and norms".

China's embassy, it said, was "understood" to be operating normally in Pyongyang.

Australian Prime Minister Julia Gillard, addressing the Hainan forum, said avoiding conflict on the peninsula was vital. "There, any aggression is a threat to the interests of every country in the region," she said.

British Foreign Minister William Hague said North Korea's nuclear ambitions had to be taken seriously.

Interviewed by Sky News, he said the international response "should also be very clear, very united and calm at all times because it's important not to feed that frenetic rhetoric that we've seen over the last few weeks".

Switzerland's Foreign Ministry offered to mediate, saying it was "always willing to help find a solution, if this is the wish of the parties, such as hosting meetings between them".

Kim, the third member of his dynasty to rule North Korea, is thought to have spent several years in Switzerland being educated under a pseudonym. He took over in December 2011 after the death of his father Kim Jong-il, who confronted South Korea and the United States throughout his 17-year rule.