Between Innovation and Indictment: The Legal Future of Conversational AI

Executive Summary:

A new threat being uncovered in today’s threat landscape is that while threat actors took an average of one hour and seven minutes to leverage Proof-of-Concept(PoC) exploits after they went public, now the time is at a record low of 22 minutes. This incredibly fast exploitation means that there is very limited time for organizations’ IT departments to address these issues and close the leaks before they are exploited. Cloudflare released the Application Security report which shows that the attack percentage is more often higher than the rate at which individuals invent and develop security countermeasures like the WAF rules and software patches. In one case, Cloudflare noted an attacker using a PoC-based attack within a mere 22 minutes from the moment it was released, leaving almost no time for a remediation window. 

Despite the constant growth of vulnerabilities in various applications and systems, the share of exploited vulnerabilities, which are accompanied by some level of public exploit or PoC code, has remained relatively stable over the past several years and fluctuates around 50%. These vulnerabilities with publicly known exploit code, 41% was initially attacked in the zero-day mode while of those with no known code, 84% was first attacked in the same mode. 

Modus Operandi:

The modus operandi of the attack involving the rapid weaponization of proof-of-concept (PoC) exploits is characterized by the following steps:

• Vulnerability Identification: Threat actors bring together the exploitation of a system vulnerability that may be in the software or hardware of the system; this may be a code error, design failure, or a configuration error. This is normally achieved using vulnerability scanners and test procedures that have to be performed manually. 

• Vulnerability Analysis: After the vulnerability is identified, the attackers study how it operates to determine when and how it can be triggered and what consequences that action will have. This means that one needs to analyze the details of the PoC code or system to find out the connection sequence that leads to vulnerability exploitation. 

• Exploit Code Development: Being aware of the weakness, the attackers develop a small program or script denoted as the PoC that addresses exclusively the identified vulnerability and manipulates it in a moderated manner. This particular code is meant to be utilized in showing a particular penalty, which could be unauthorized access or alteration of data. 

• Public Disclosure and Weaponization: The PoC exploit is released which is frequently done shortly after the vulnerability has been announced to the public. This makes it easier for the attackers to exploit it while waiting for the software developer to release the patch. To illustrate, Cloudflare has spotted an attacker using the PoC-based exploit 22 minutes after the publication only. 

• Attack Execution: The attackers then use the weaponized PoC exploit to attack systems which are known to be vulnerable to it. Some of the actions that are tried in this context are attempts at running remote code, unauthorized access and so on. The pace at which it happens is often much faster than the pace at which humans put in place proper security defense mechanisms, such as the WAF rules or software application fixes. 

• Targeted Operations: Sometimes, they act as if it’s a planned operation, where the attackers are selective in the system or organization to attack. For example, exploitation of CVE-2022-47966 in ManageEngine software was used during the espionage subprocess, where to perform such activity, the attackers used the mentioned vulnerability to install tools and malware connected with espionage. 

Precautions: Mitigation

Following are the mitigating measures against the PoC Exploits: 

1. Fast Patching and New Vulnerability Handling 

• Introduce proper patching procedures to address quickly the security released updates and disclosed vulnerabilities. 

• Focus should be made on the patching of those vulnerabilities that are observed to be having available PoC exploits, which often risks being exploited almost immediately.

• It is necessary to frequently check for the new vulnerability disclosures and PoC releases and have a prepared incident response plan for this purpose. 

2. Leverage AI-Powered Security Tools 

•  Employ intelligent security applications which can easily generate desirable protection rules and signatures as attackers ramp up the weaponization of PoC exploits. 

• Step up use of artificial intelligence (AI) - fueled endpoint detection and response (EDR) applications to quickly detect and mitigate the attempts. 

• Integrate Artificial Intelligence based SIEM tools to Detect & analyze Indicators of compromise to form faster reaction. 

 3. Network Segmentation and Hardening 

• Use strong networking segregation to prevent the attacker’s movement across the network and also restrict the effects of successful attacks. 

• Secure any that are accessible from the internet, and service or protocols such as RDP, CIFS, or Active directory. 

• Limit the usage of native scripting applications as much as possible because cyber attackers may exploit them. 

4. Vulnerability Disclosure and PoC Management 

• Inform the vendors of the bugs and PoC exploits and make sure there is a common understanding of when they are reported, to ensure fast response and mitigation. 

• It is suggested to incorporate mechanisms like digital signing and encryption for managing and distributing PoC exploits to prevent them from being accessed by unauthorized persons. 

• Exploits used in PoC should be simple and independent with clear and meaningful variable and function names that help reduce time spent on triage and remediation. 

5. Risk Assessment and Response to Incidents 

• Maintain constant supervision of the environment with an intention of identifying signs of a compromise, as well as, attempts of exploitation. 

• Support a frequent detection, analysis and fighting of threats, which use PoC exploits into the system and its components. 

• Regularly communicate with security researchers and vendors to understand the existing threats and how to prevent them.

Conclusion:

The rapid process of monetization of Proof of Concept (POC) exploits is one of the most innovative and constantly expanding global threats to cybersecurity at the present moment. Cyber security experts must react quickly while applying a patch, incorporate AI to their security tools, efficiently subdivide their networks and always heed their vulnerability announcements. Stronger incident response plan would aid in handling these kinds of menaces. Hence, applying measures mentioned above, the organizations will be able to prevent the acceleration of turning PoC exploits into weapons and the probability of neutral affecting cyber attacks. 

Reference:

https://www.mayrhofer.eu.org/post/vulnerability-disclosure-is-positive/

https://www.uptycs.com/blog/new-poc-exploit-backdoor-malware

https://www.balbix.com/insights/attack-vectors-and-breach-methods/

https://blog.cloudflare.com/application-security-report-2024-update

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Introduction

In 2019 India got its bill on Data protection in the form of the Personal Data Protection Bill 2019. This bill focused on digital rights and duties pertaining to data privacy. However, the bill was scrapped by the Govt in mid-2022, and a new bill was drafted, Successor bill was introduced as the Digital Personal Data Protection Bill, 2022 on 18th November 2022, which was made open for public comments and consultations and now the bill is expected to be tabled at the parliament in the Monsoon session.

What is DPDP, 2022?

Digital Personal Data Protection Bill, is the lasted draft regulation for data privacy in India. The bill has been essentially focused towards data protection by companies and the keep aspect of Puttaswamy judgement of data privacy as a fundamental right has been upheld under the scope of the bill. The bill comes after nearly 150 recommendations which the parliamentary committee made when the PDP, 2019 was scrapped.

The bill highlights the following keen aspects-

• Data Fiduciary- The entity (an individual, company, firm, state, etc.) which decides the purpose and means of processing an individual’s personal data.
• Data Principle- The individual to whom personal data is related.
• Processing- The entire cycle of operations that can be carried out concerning personal data.
• Gender Neutrality- For the first time in India’s legislative history, “her” and “she” have been used to refer to individuals irrespective of gender.
• Right to Erase Data- Data principals will have the right to demand the erasure and correction of data collected by the data fiduciary.
• Cross-border data transfer- The bill allows cross-border data after an assessment of relevant factors by the Central Government.
• Children’s Rights- The bill guarantees the right to digital privacy under the protection of parents/guardians.
• Heavy Penalties- The bill enforces heavy penalties for non-compliance with the provisions, not exceeding Rs 500 crore.

Data Protection Board

The bill lays down provisions for setting up a Data Protection Board. This board will be an independent body acting solely on the factors of data privacy and protection of the data principles and maintaining compliance by data fiduciaries. The board will be headed by a chairperson of essential and relevant qualifications, and members and various other officials shall assist him/her under the board. The board will serve grievance redressal to the data principles and can conduct investigation, inquiry, proceeding, and pass orders equivalent to a Civil court. The proceeding will be undertaken on the principle of natural justice, and the aggrieved can file an appeal to the High Court of appropriate jurisdiction.

Global Comparison

Many countries have data protection laws that regulate the processing of personal data. Some of the notable examples include:

• European Union: The EU’s General Data Protection Regulation (GDPR) is one of the world’s most comprehensive data protection laws. It regulates public and private entities’ processing of personal data and gives individuals a wide range of rights over their personal data.
• United States: The US has several data protection laws that apply to specific sectors or types of data, such as health data (HIPAA) or financial data (Gramm-Leach-Bliley Act). However, there is no comprehensive federal data protection law in the US.
• Japan: Japan’s Personal Information Protection Act (PIPA) regulates the handling of personal data by private entities and gives individuals certain rights over their personal data.
• Australia: Australia’s Privacy Act 1988 regulates the handling of personal data by public and private entities and gives individuals certain rights over their personal data.
• Brazil: Brazil’s General Data Protection Law (LGPD) regulates the processing of personal data by public and private entities and gives individuals certain rights over their personal data. It also imposes heavy fines and penalties on entities that violate the provisions of the law.

Overall, while there are some similarities in data protection laws across countries, there are also significant differences in scope, applicability, and enforcement. It is important for organisations to understand the data protection laws that apply to their operations and take appropriate steps to comply with these laws.

Parliamentary Asscent

The case of violation of the privacy policy by WhatsApp at the Hon’ble Supreme Court resulted in a significant advocacy for Data privacy as a fundamental right, and it was held that, as suggested otherwise in the privacy policy, Whatsapp was sharing its user’s data with Meta. This massive breach of trust could have led to data mismanagement affecting thousands of Indian users. The Hon’ble Supreme Court has taken due consideration of data privacy and its challenges in India and asked the Govt to table the bill in Parliament. The bill will be tabled for discussion in the monsoon session. The Supreme Court has set up a constitutional bench to check the bill’s scope, extent and applications and provide its judicial oversight.  The constitution bench of Justices KM Joseph, Ajay Rastogi, Aniruddha Bose, Hrishikesh Roy and CT Ravikumar has fixed the matter for hearing in August in order to enforce the potential changes and amendments in the act post the parliamentary discussion.

Conclusion

India is the world’s largest democracy, so the crucial aspects of passing laws and amendments have always been followed by the government and kept under check by the judiciary. The discussion over bills is a crucial part of the democratic process, and bills as important as Digital Personal Data Protection need to be discussed and analysed thoroughly in both houses of Parliament to ensure the govt passes a sustainable and efficient law.

The Equitable Growth Approach of AI and Digital Twins

Digital Twins can be simply described as virtual replicas of physical assets or systems, powered by real-time data and advanced simulations. When this technology is combined with AI, the impact it has on enabling real-time monitoring, predictive maintenance, optimised operations, and improved design processes through the creation of virtual replicas of physical assets becomes even greater.  The greatest value of AI is its ability to make data actionable. And when combined with digital twins, these data can be collated, analysed, inefficiencies removed, and better decisions can be taken to improve efficiency and quality. 

This intersection between AI and Digital Twins holds immense potential for addressing key challenges, particularly in countries like India, which is rapidly embracing digital adoption to achieve its economic ambitions and sustainability goals. According to Salesforce’s most recent survey on generative AI use among the general population within the U.S., UK, Australia and India, 75% of generative AI users are looking to automate repetitive tasks and use generative AI for work communications. India is particularly looking towards a rapid digital adoption, economic ambitions, and sustainable developments to be achieved through AI adoption. This blog discuss the intersection of equitable growth, sustainability, and AI-driven policies in India.

Sustainability and the Path Ahead: Digital Twin and AI-Driven Solutions 

India faces sustainability challenges which are mainly associated with issues such as urban congestion, the rising demand for energy along with climate change and environmental degradation. AI and Digital Twins provide solutions for real-time simulations and predictive analysis. Some of the examples are its applications in sustainable urban planning such as smart cities like the Indore Smart City Initiative and traffic optimisation, energy efficiency/optimisation through AI-driven renewable energy projects and power grid optimisation and even water resource management through leak detection, equitable distribution and conservation.

The need is to balance innovation with regulation, particularly, underscoring the importance of ethical and sustainable deployment of AI and digital twins and addressing data privacy with AI ethics with recent developments such as the India’s evolving AI policy landscape, including the National Strategy for Artificial Intelligence and its focus on AI for All, regulatory frameworks such as  DPDP Act and the manner in which they address AI ethics, data privacy, and digital governance.

The need is to initiate targeted policies that promote research and development in AI and digital twin technologies, skill development and partnerships with the private sector, think tanks, nonprofits and others. Also, collaborations at the global level would include aligning our domestic policies with global AI and sustainability initiatives and leveraging the international frameworks for climate tech and smart infrastructure. 

Cyberpeace Outlook

As part of specific actions, policymakers need to engage in proactive governance to ensure the responsible use and development of AI. This includes enacting incentive schemes for sustainable AI projects and strengthening the enforcement of data privacy laws. Industry leaders must support equitable access to AI and digital twin technologies and develop tailored AI tools for resource-constrained settings, particularly in India. Finally, researchers need to drive innovation in alignment with sustainability goals, such as those related to agriculture and groundwater management.

References

• https://economictimes.indiatimes.com/tech/artificial-intelligence/technologies-like-ai-and-digital-twins-can-tackle-challenges-like-equitable-growth-to-sustainability-wef/articleshow/117121897.cms 
• https://www.salesforce.com/news/stories/generative-ai-statistics/
• https://www.mdpi.com/2673-2688/4/3/38 ‍
• https://www.ibm.com/think/topics/generative-ai-for-digital-twin-energy-utilities