New York's Senior U.S. Senator is raising concern about threats to upstate power grids, bank databases and telecommunications network systems.
In 2014, one-third of New York residents were affected by a data breach of some sort. "Hackers from all over the world are hacking our networks. Some are governments trying to punish us. Some are individuals or groups of individuals trying to gain financial advantage by stealing personal information. Some are even blackmailers, disrupting critical infrastructure in our banks and our power grids. So, think of the recent high-profile attacks. We have Target, J.P. Morgan, we have SONY. Seems almost no one is immune..."
Senator Chuck Schumer sounded the alarm about a proposal coming out of the Commerce Department that he says could curtail the ability of upstate hospitals, utility companies and financial institutions to fight back against cyberattacks.
Schumer said that Commerce Department officials recently promulgated a new rule that would inhibit the development of new security software and restrict a company’s ability to use software that helps it test its firewall strength and find network vulnerabilities. "You see, the Bureau of Industry and Security within the Commerce Department wrote down a proposal intended to clamp down on the sale and distribution of software that allows its users to intrude on online networks. That's a laudable goal. We should do our best to keep this kind of software out of the hands of rogue foreign governments like North Korea or hackers in Russia or in China. But - they failed to consider one important point. Many U.S. companies and institutions use this type of software to test their own networks."
Schumer, echoing objections by Google and Facebook as well as scores of complaints to the Department of Commerce during a comment period that ended July 20th, asked officials to "go back to the drawing board" on the proposal and find ways to keep critical software from falling into the wrong hands while giving companies the leeway they need to protect themselves and the information of millions of New Yorkers.
About four hours after Schumer brought his concerns before the press, the Commerce Department backed off, saying it will take another look at and re-work its proposal.
Deputy Secretary of Commerce Bruce Andrew addressed the issue during a Cyberlaw podcast interview: "I think you will see a very strong effort to be responsive to those comments and to try to figure out, ‘What is the next iteration of this?’ and frankly give people another opportunity to comment."
Calls to the Commerce Department were not returned in time for broadcast, but The Hill dot com reported it had received an emailed statement from a spokesperson - quoting here - “In light of the high volume of comments received, it is likely we will publish a second proposed rule... We have no timetable for that action."
