wiredmikey writes: The United States imposed financial sanctions Friday on North Korea and several senior government officials in retaliation for a cyber attack on Sony Pictures. President Obama said he ordered the sanctions because of "the provocative, destabilizing, and repressive actions and policies (PDF) of the Government of North Korea, including its destructive, coercive cyber-related actions during November and December 2014." The activities "constitute a continuing threat to the national security, foreign policy, and economy of the United States," he added, in a letter to inform congressional leaders of his executive order. The new measures allow the Treasury Department "to apply sanctions against officials of the Government of North Korea and the Workers' Party of Korea, and persons determined to be owned or controlled by, or acting for or on behalf of" these bodies.

An anonymous reader writes Coming on the heels of the UK arrest of Vinnie Omari, Yle reports that Finnish police have interviewed "Ryan", the Finland-based hacker reportedly responsible for hacking the PlayStation and Xbox networks on Christmas day, but have not arrested him — contrary to reports in the international media (such as Washington Post). Lizard Squad had tweeted that the Finland-based hacker had been detained. Chief Inspector Tero Muurman of Keskusrikospoliisi (Finnish National Bureau of Investigation) confirmed Yle that reports of "Ryan" having been detained were wide of the mark. He had been interviewed at the start of the week, but then released. Finnish police are continuing their probe and co-operating closely with the FBI.

An anonymous reader writes Neowin.net is reporting the arrest of one Vincent Omari, a UK citizen [see also this Daily Mail story from a few days ago mentioning Omari], in the Christmas Day DDoS attacks on Sony's PSN and Microsoft's XBL systems: "In documents sent to Neowin, Vinnie Omari has been accused of 'hacking of the Playstation Network and Xbox Live systems over the Christmas Period'... While this is the first arrest related to the recent service disruptions, it may not be the last... In further conversations with those who are familiar with the investigation and the arrest, Omari believes that the police will not find anything of substance on his computers. His alleged crime is that he helped coordinate the DDOS attack on the service."

Dangerous_Minds writes Last week, Sony threatened legal action against users spreading information obtained through the e-mails that were leaked as a result of the Sony hack. Sony has begun carrying through with those threats. Twitter, after resisting demands that a user account be suspended for publishing leaked e-mails, has received a DMCA notice saying that the e-mails are, weirdly enough, copyrighted.

Siddharth Srinivas writes Park Sang Hak, a North Korean democracy activist, said he will start dropping 100,000 DVDs and USBs with Sony's The Interview by balloon in North Korea as early as late January. He's partnering with the U.S.-based non-profit Human Rights Foundation, which is financing the making of the DVDs and USB memory sticks of the movie with Korean subtitles.

blottsie writes The devastating Christmas Day attacks against the gaming networks of Sony and Microsoft were a marketing scheme for a commercial cyberattack service, according to the hackers claiming responsibility for the attacks. Known as Lizard Squad, the hacker collective says it shut down the PlayStation Network (PSN) and Xbox Live network on Dec. 25 using a distributed denial-of-service (DDoS) attack, a common technique that overloads servers with data requests. The powerful attacks rendered the networks unusable for days, infuriating gamers around the world and causing yet-untold losses of revenue. Now, members of Lizard Squad say the group is selling the DDoS service they used against Sony and Microsoft to anyone willing to pay.

blottsie writes The FBI is actively investigating a member of the hacker collective that claimed responsibility for recent high-profile cyberattacks on Microsoft and Sony properties, according to multiple sources with knowledge of the investigation and the attacks. A member of the Lizard Squad hacking group, who goes by the alias "ryanc" or Ryan, allegedly garnered the attention of a special agent with the Federal Bureau of Investigation after speaking with the media about Lizard Squad's Christmas-day attacks on Xbox Live and the PlayStation Network.

chicksdaddy writes Alternative theories of who is responsible for the hack of Sony Pictures Entertainment have come fast and furious in recent weeks -- especially since the FBI pointed a finger at the government of North Korea last week. But Norse Security is taking the debate up a notch: saying that they have conclusive evidence pointing to group of disgruntled former employees as the source of the attack and data theft. The Security Ledger quotes Norse Vice President Kurt Stammberger saying that Norse has identified a group of six individuals — in the U.S., Canada, Singapore and Thailand — that it believes carried out the attack, including at least one 10-year employee of SPE who worked in a technical capacity before being laid off in May. Rather than starting from the premise that the Sony hack was a state sponsored attack, Norse researchers worked their investigation like any other criminal matter: starting by looking for individuals with the "means and motive" to do the attack.

HR files leaked in the hack provided the motive part: a massive restructuring in Spring, 2014, in which many longtime SPE employees were laid off. After researching the online footprint of a list of all the individuals who were fired and had the means to be able to access sensitive data on Sony's network, Norse said it identified a handful who expressed anger in social media posts following their firing. They included one former employee — a 10-year SPE veteran who he described as having a "very technical background." Researchers from the company followed that individual online, noting participation in IRC (Internet Relay Chat) forums where they observed communications with other individuals affiliated with underground hacking and hacktivist groups in Europe and Asia. According to Stammberger, the Norse investigation was eventually able to connect an individual directly involved in conversations with the Sony employee with a server on which the earliest known version of the malware used in the attack was compiled, in July, 2014.

An anonymous reader writes with this excerpt from Tech Dirt: For years, we've pointed out that the giant 'settlements' that the MPAA likes to announce with companies it declares illegal are little more than Hollywood-style fabrications. Cases are closed with big press releases throwing around huge settlement numbers, knowing full well that the sites in question don't have anywhere near that kind of money available. At the end of 2013, it got two of these, with IsoHunt agreeing to 'pay' $110 million and Hotfile agreeing to 'pay' $80 million. In both cases, we noted that there was no chance that those sums would ever get paid. And now, thanks to the Sony hack, we at least know the details of the Hotfile settlement. TorrentFreak has been combing through the emails and found that the Hotfile settlement was really just for $4 million, and the $80 million was just a bogus number agreed to for the sake of a press release that the MPAA could use to intimidate others.

jfruh (300774) writes Sony's PlayStation Network, brought down in a Christmas Day hacking attack, now seems to be back online. Of course, Sony also said the same thing on Saturday, but outages and problems lingered. From the article: At around 1 a.m. U.S. Eastern Time on Sunday, Sony declared its online gaming platform fixed and, as it had done the day before, blamed the problems on a distributed denial of service (DDoS) attack. ... The company jumped the gun early Saturday when it trumpeted that the PlayStation Network was gradually getting back to normal, announcing the good news at around 4 a.m. via its Ask PlayStation Twitter account and triumphantly changing the PlayStation Network status to “online” in the support website a few hours later.

An anonymous reader writes Security researcher Mikko Hyppönen from F-Secure told the newspaper Helsingin Sanomat and Finland's MTV news that rumours have been circulating for several months about the Lizard Squad group of hackers who say they disrupted the two computer games console networks on Christmas Day. He confirmed that at least one of them is a Finn. One of the hackers, in a Skype interview from Finland by Britain's Sky News, said that the attack was carried out for amusement and to expose security flaws in the networks. Hyppönen told Helsingin Sanomat and MTV that his company has been aware of the hacker group for several months. 'According to our information, the group has members in the United States, Canada, England and at least one member in Finland,' he told MTV. The nationalities of other members that participated in the Christmas attack have not been confirmed. Hyppönen noted that these kinds of groups come and go, and that their members are usually young.

the simurgh writes As the controversy surrounding Sony's handling of its hack, the movie The Interview and its aftermath continues, a singer is claiming that after failing to reach terms with Sony, the company put her music in the movie anyway. Yoon Mi-rae (real name Natasha Shanta Reid) is a U.S.-born hip hop and R&B singer who currently releases music on the Feel Ghood Music label. Sshe and her label claim that her track we learned that the track 'Pay Day' has been used without permission, legal procedure, or contracts.

Reuters reports that North Korea's government has publicly blamed the U.S. for the widespread internet outages that the country has recently experienced (including today), and taken the opportunity to lambaste President Obama, as well. From the article: The National Defence Commission, the North's ruling body, chaired by state leader Kim Jong Un, said Obama was responsible for Sony's belated decision to release the action comedy "The Interview", which depicts a plot to assassinate Kim. "Obama always goes reckless in words and deeds like a monkey in a tropical forest," an unnamed spokesman for the commission said in a statement carried by the official KCNA news agency, using a term seemingly designed to cause racial offence that North Korea has used before.

Rambo Tribble writes: Many of the 300+ theaters showing The Interview on Christmas were rewarded with sell-out crowds. While reviews of the comedy have been mixed, many movie-goers expressed solidarity with the sentiment of professor Carlos Royal: "I wanted to support the U.S." Despite sellout crowds, the movie's limited release meant it only brought in about $1 million on opening day (compared to $10M+ for the highest-grossing films). Curiosity about the film seems high, since hundreds of thousands rushed to torrent the film, and others figured out an extremely easy way to bypass Sony's DRM.

DroidJason1 writes Early Christmas morning, hacker group Lizard Squad took credit for taking down PlayStation Network and Xbox Live for hours. This affected those who had received new Xbox One or PS4 consoles, preventing them from playing online. So why did they do it? According to an exclusive interview with Lizard Squad, it had to do with convincing companies to improve their security — the hard way. "Taking down Microsoft and Sony networks shows the companies' inability to protect their consumers and instead shows their true vulnerability. Lizard Squad claims that their actions are simple, take down gaming networks for a short while, and forcing companies to upgrade their security as a result."

An anonymous reader writes Sony and Samsung are jointly launching the PlayStation Now game streaming service on select Samsung Smart TVs next year. The service will allow users to play PlayStation games without the need of a gaming console. From the article: "...Sony says some 200 PlayStation 3 games will be available to stream, and that the service runs at full functionality, specifically mentioning things like trophies, online multiplayer and cloud-saves for game-progress. Sound familiar? It should because that's how the service works on Bravia TVs and PlayStation game consoles. What's more, all you'll need is one of Sony's DualShock 4 gamepads to control the action."

mrspoonsi writes Both Xbox Live and PlayStation Network [were] down this morning, apparently due to a denial-of-service attack. The notorious hacking group Lizard Squad — which already carried out earlier attacks on Microsoft and Sony — has claimed responsibility on Twitter for these latest outages. While the group's role in all of this remains unconfirmed, it's worth noting that the group threatened last week to take down Xbox Live and PSN, according to Business Insider. And again, Lizard Squad has already proven it can successfully pull off such attacks, not to mention other malicious pranks.

Whatever the cause, the timing is obviously terrible: Plenty of people surely received one of the two consoles as Christmas presents today, while many more gamers would have happily spent the afternoon in front of the TV. In the meantime, both Sony and Microsoft have acknowledged the problem, with Sony issuing a tweet and Microsoft posting a message on its support website: "We're working to address this as quickly as we possibly can," reads its status website. "Thanks for your patience, Xbox members." In an email, a Microsoft spokesperson declined to comment further or say when the company expects to restore service. We've also asked Sony to comment and will update this post if and when it does. The Xbox Live status page says service remains "limited," and the Playstation Network is listed as offline.

An anonymous reader writes "Many security experts remain skeptical of North Korea's involvement in the recent Sony hacks. Schneier writes: "Clues in the hackers' attack code seem to point in all directions at once. The FBI points to reused code from previous attacks associated with North Korea, as well as similarities in the networks used to launch the attacks. Korean language in the code also suggests a Korean origin, though not necessarily a North Korean one, since North Koreans use a unique dialect. However you read it, this sort of evidence is circumstantial at best. It's easy to fake, and it's even easier to interpret it incorrectly. In general, it's a situation that rapidly devolves into storytelling, where analysts pick bits and pieces of the "evidence" to suit the narrative they already have worked out in their heads.""

An anonymous reader writes "The BBC reports: "Sony Pictures is to distribute its film The Interview online, after a cyber-attack and a row over its release. The film will be offered on a dedicated website — seetheinterview.com — as well as via Google and Microsoft services." Notably absent among the services to provide The Interview is Apple. The New York Times reports: "According to people briefed on the matter, Sony had in recent days asked the White House for help in lining up a single technology partner — Apple, which operates iTunes — but the tech company was not interested, at least not on a speedy time table. An Apple spokesman declined to comment. "

In 2011, a consortium formed from Microsoft, Apple, Sony, BlackBerry, and others spent $4.5 billion acquiring Nortel's patent portfolio, which contained a great deal of ammunition that could be used against Android. That threat has now been reduced. Today, 4,000 of the patents were purchased by a corporation called RPX, which has licensing agreements from Google, Cisco, and dozens more companies. [RPX is] a company that collects a bunch of patents with the goal of using those patents for member companies for defensive purposes. Even though RPX has generally been "good," the business model basically lives because of patent trolling. Its very existence is because of all the patent trolling and abuse out there. In this case, though, it's making sure that basically anyone can license these patents under FRAND (fair and reasonable, non-discriminatory) rates. The price being paid is approximately $900 million. While that article points out that this is considerably less than the $4.5 billion Microsoft and Apple paid originally, again, this is only 4,000 of the 6,000 patents, and you have to assume the 2,000 the other companies kept were the really valuable patents. In short, this is basically Google and Cisco (with some help from a few others) licensing these patents to stop the majority of the lawsuits -- while also making sure that others can pay in as well should they feel threatened. Of course, Microsoft, Apple and the others still have control over the really good patents they kept for themselves, rather than give to Rockstar. And the whole thing does nothing for innovation other than shift around some money.