Video Surveillance Manufacturers Risk Lawsuits For Botnet Attacks

Author: John Honovich, Published on Oct 24, 2016

The unprecedented scale of internet outages on October 21st from botnet attacks risk triggering lawsuits against video surveillance manufacturers, an event that might spur greater responsibility within the industry.

Large Loss For Companies Impacted

The October 21st attacks hit major Internet sites including brand names like Amazon, PayPal, the NY Times, Netflix, Ebay, etc. These companies generate significant revenue from their websites. Given their size, an outage even for part of a day could have cost them collectively tens or hundreds of millions of dollars in revenue.

More Severe Costs Than Typical Consumer Attacks

This is different from individual consumers who have had their cameras or recorders hacked. In those cases, typically the damage, in direct dollar terms, are minimal or hard to determine, e.g. IP camera trolling. Because of that, lawsuits are uncommon.

Seeking Damages From Those Responsible

With these large companies, many of who are publicly traded, and some having multi-billion dollar valuations, they have both the legal infrastructure and sufficient scale of damages to pursue legal action.

Damages From Hackers Unlikely

Those who ran these hacks / botnet attacks have not been identified. But even if or when they are, it may be hard to win damages since if it is individual hackers, their resources may be minimal and if it is a government, the ability to win damages would be quite hard.

Damages From Video Surveillance Manufacturers

While the video surveillance manufacturers named by the media, including Dahua and Xiongmai, certainly did not conduct the attacks themselves, their equipment was used in the attacks and they could be targeted. The issue, then becomes, whether or not they have liability / sufficient negligence to be found at fault.

We are not lawyers so we cannot tell what the outcome would be or what is right here. However, we do see a real risk of lawsuits being filed given the significant damages suffered and the role of video surveillance devices to conduct these attacks.

Vote

Comments (26) : PRO Members only. Login. or Join.

Related Reports

Spring 2019 IP Networking Course on Jan 10, 2019
You can register for the Spring 2019 IP Networking course here. This is the only networking course designed specifically for video surveillance...
Bosch VDOO 2018 Vulnerability on Dec 20, 2018
Security research firm VDOO has discovered a critical vulnerability in Bosch IP cameras. Inside, we cover the available details of this new...
Genetec UL Cybersecurity Certificate (2900-2-3) Examined on Dec 19, 2018
Proving a company is cybersecure has become a major concern for security companies. But how trustworthy are these certificates? Earlier in 2018, a...
No GDPR Penalties For UK Swann 'Spying Hack' on Nov 20, 2018
The UK’s data protection agency has closed its investigation into Infinova-owned Swann Security UK, the ICO confirmed to IPVM, deciding to take “no...
HID: Stop Selling Cracked 125 kHz Credentials on Nov 05, 2018
HID should stop selling cracked 125 kHz access control credentials, that have been long cracked and can easily be copied by cheap cloners sold on...
"New Zealand Govt Uses Chinese Cameras Banned In US", Considers Security Audit on Oct 12, 2018
Newsroom NZ has issued a report: "NZ Govt uses Chinese cameras banned in US": This comes after the US federal government banned purchases of...
Mysterious Patent Troll 'Secure Cam' Targets Industry, Sues Hanwha, Hikvison, JCI, Panasonic, More on Oct 11, 2018
A company named "Secure Cam," who is actively hiding their ownership, has acquired a slew of video patents and is systematically suing video...
China Hacks Video Servers Causing Uproar on Oct 05, 2018
An incident causing an international uproar is hitting home in the video surveillance industry as a Bloomberg report, "The Big Hack: How China...
Genetec Takes Aim At 'Untrustworthy' 'Foreign Government-Owned Vendors' on Sep 24, 2018
Genetec is taking aim at 'untrustworthy' 'foreign government-owned vendors'. This is not a new theme for Genetec as nearly 2 years ago, Genetec...
Hikvision FIPS 140-2 Cybersecurity Certification Examined on Aug 27, 2018
A week after the US government passed a law banning Hikvision, Hikvision announced it had obtained a FIPS 140-2 certification from the US...

Most Recent Industry Reports

From The Basement To Buried Behind Chinatown: ISC West Emerging Technology Zone on Feb 22, 2019
What does ISC West think about 'Emerging Technology'? Well, last year, they put those companies in the basement. This year, they moved them up to...
Private School IT Manager Surveillance Interview on Feb 22, 2019
This IT manager describes himself as the "oft-maligned IT person" whose "opinions may not always be appreciated by the integrator crowd." But he is...
Outdoor Camera Mounting Hardware Guide on Feb 21, 2019
Mounting cameras outdoors can be challenging, requiring understanding different types of equipment and methods. In this guide, we teach this...
HID Favorability Results 2019 on Feb 21, 2019
HID favorability results were strong, in the 2019 IPVM integrator study of 200+ integrators, with a net +62% and low negativity as the table below...
First US State, Vermont, Bans Dahua and Hikvision on Feb 21, 2019
The first US state, Vermont, has issued a ban on a number of Chinese and Russian manufacturers including the world's 2 largest video surveillance...
ADI 'SAVE BIG' On FLIR And Hikvision Examined on Feb 20, 2019
One is a major US defense supplier. The other is owned by the Chinese government. But you can "SAVE BIG" on both at ADI. In this note, we...
BluB0x Company Profile on Feb 20, 2019
BluB0x has doubled in revenue every year since its founding in 2013, according to CEO Patrick Barry. We originally reported on them in 2015. At the...
Massive Leak Of Chinese VMS Provider Exposes Xinjiang Surveillance on Feb 20, 2019
A subsidiary of China’s claimed largest VMS provider is tracking the precise location and ethnicity of millions in China’s Xinjiang region,...
Security Installation Tools Guide - 22 Tools Listed on Feb 19, 2019
In this guide, we cover 22 tools that security installers frequently use. This is one part of our upcoming Video Surveillance...
Sales Cuts At Rasilient on Feb 19, 2019
Over the past 2 years, video surveillance storage specialist Rasilient has expanded its workforce significantly, aiming to build its own branded...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact