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<TITLE>CDNE Chapter 4 - Underground Hackers</TITLE>
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  <p><font size=2 face="Times New Roman"><a href="ch3web.htm"><img src="arrowleft.gif" width="45" height="54" align="absmiddle" name="ch1web.htm" border="0"></a><font face="Arial, Helvetica, sans-serif" size="+1" color="#999999"> 
    <a href="mainindex.htm">INDEX</a> </font><a href="ch5web.htm"><img src="arrowright.gif" width="45" height="54" align="absmiddle" border="0"></a></font></p>
  <p><font size=+2 face="Times New Roman"><b>Chapter 4<br>
    </b></font><font size=+2 face="Times New Roman"><b>UNDERGROUND HACKERS</b></font><br>
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    <td> 
      <p align=left><font size=3 face="Times New Roman"><b>As a product</b> of 
        the home computing trend and the futuristic spirit that followed the space 
        race (which culminated in the moon landing in 1969), several technology-oriented 
        subcultures formed. Some were perfectly normal associations of science-fiction 
        enthusiasts and amateur radio hobbyists. Others were... </font> <font size=3 face="Times New Roman"><i>peculiar.</i></font> 
        <font size=3 face="Times New Roman"> It was these organizations that drew 
        a stigma on hacker culture, and are responsible for the fact that hackers 
        are frequently thought of as criminals. How many of you - raise your right 
        hand - have ever pondered what it would be like to have control of technology? 
        To have the power to decide what radio and television programs will be 
        broadcast? Imagine having these enormous electronic systems under your 
        control. Imagine being able to fill all TV screens with white noise when 
        that guy you hate shows up, or knock out all the telephones in the nation 
        when you know that your beloved is chatting sweetly with his/her ex-lover. 
        Imagine being the </font> <font size=3 face="Times New Roman"><i>master 
        </i></font> <font size=3 face="Times New Roman">of the information systems 
        of society...<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><b>Phreakers</b></font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">A collection of electronics 
        fanatics in the 60's and 70's, called </font> <font size=3 face="Times New Roman"><b>Phone 
        Phreaks</b></font> <font size=3 face="Times New Roman">, were among the 
        first to study the emerging computer technologies. These &quot;phreakers&quot; 
        specialized in fooling the phone companies' switches into connecting free 
        calls all over the continent, through a technique called </font> <font size=3 face="Times New Roman"><i>Blue 
        Boxing</i></font> <font size=3 face="Times New Roman"> (which refers to 
        a small blue box containing electronic components that produced the tones 
        which manipulated the switches).</font></p>
      <p><font size=3 face="Times New Roman">Some of the phreakers were university 
        students. As the hackers had been mesmerized by computer technology, others 
        had found it fascinating to try different number sequences on the school's 
        telephones to see how far you could get connected. Some succeeded in connecting 
        to the public telephone networks and call for free, since the school's 
        local telephone network was a complimentary service.</font></p>
      <p><font size=3 face="Times New Roman">A young man by the name of </font> 
        <font size=3 face="Times New Roman"><b>Mark Bernay </b></font> <font size=3 face="Times New Roman">(a. 
        k. a. </font> <font size=3 face="Times New Roman"><b>The Midnight Skulker</b></font> 
        <font size=3 face="Times New Roman">) had in-depth knowledge of the phone 
        system. He went up and down the American West Coast and put up notices 
        in phone booths with party-line numbers that he had established, and in 
        this manner created a small network of technology-oriented youths. However, 
        these youngsters did not turn phreaking into the considerable criminal 
        operation it is today.</font></p>
      <p><font size=3 face="Times New Roman">Instead, a man called </font> <font size=3 face="Times New Roman"><b>Joe 
        Engressia</b></font> <font size=3 face="Times New Roman"> created (without 
        knowing it) the underground movement of telephone manipulators at the 
        end of the 60's. Even though the telephone company (then called Bell) 
        had traced and prosecuted the first phreakers back in 1961, few of them 
        had been members of an organized movement: most were businessmen, some 
        were general laborers or students, and one was even a millionaire. The 
        reason for this wave of phreaking was that Bell had made publicly available 
        the information that anyone needed to build a blue box.</font></p>
      <p><font size=3 face="Times New Roman"> </font> <font size=3 face="Times New Roman">Joe 
        Engressia was blind, but he had been compensated by the fascinating gift 
        of perfect pitch. He could recall a note he had heard, and perfectly reproduce 
        it by whistling. At age eight, he had already discovered that he could 
        manipulate the system of telephone switches by whistling certain tones. 
        These systems were called </font> <font size=3 face="Times New Roman"><i>multi-frequency 
        systems </i></font> <font size=3 face="Times New Roman">(MF), and it was 
        information about these systems that Bell made the mistake of publishing 
        in 1960. Joe was arrested after connecting free calls for some friends 
        by simply whistling into the receiver. Thanks to the publicity surrounding 
        the incident, Joe and other telephone enthusiasts formed a rapidly growing 
        underground network mainly consisting of blind people. A few knew how 
        to whistle the tones, while others employed early keyboards and synthesizers 
        to produce the necessary sounds. Through Joe, phreaking grew into a major 
        youth movement. He was arrested again in 1971, and was given a suspended 
        sentence in exchange for promising never to manipulate telephones again. 
        Later, he was hired by a small Tennessee company as a telephone repairman.</font></p>
      <p><font size=3 face="Times New Roman">Allow me to make an observation at 
        this point. Frequently, I hear of people that claim to know someone who 
        can &quot;whistle&quot; their way through the telephone system and call 
        for free. The person telling the story is never the one that knows how 
        to do this, and upon closer inspection it turns out that it was really 
        a friend of a friend... etc. Stories about &quot;whistlers&quot; should 
        be treated as common myths, just like many other stories about phreakers 
        and hackers. Please note that &quot;whistling&quot; </font> <font size=3 face="Times New Roman"><i>requires</i></font> 
        <font size=3 face="Times New Roman"> perfect pitch, which is a talent 
        that few people possess. It is also necessary to know (and have listened 
        to) the tones that are required. Therefore, there is a diminishing number 
        of people who would be able to do the trick - perhaps only a handful in 
        any given country. Finally, this technique is useless against modern telephone 
        systems such as the AXE-system (</font> <font size=3 face="Times New Roman"><i>translator's 
        note</i></font> <font size=3 face="Times New Roman">: AXE is an acronym 
        for Automatic Cross-Connection Equipment).</font></p>
      <p><font size=3 face="Times New Roman">Joe and his buddies used keyboards 
        to make calls. Other methods to produce the necessary tones were even 
        more common. </font> <font size=3 face="Times New Roman"><b>John T. Draper</b></font> 
        <font size=3 face="Times New Roman">, a. k. a. </font> <font size=3 face="Times New Roman"><b>Cap'n 
        Crunch</b></font> <font size=3 face="Times New Roman">, used a toy whistle 
        from boxes of the cereal brand with the same name. By covering one of 
        the holes and blowing through the whistle, he produced a tone with the 
        frequency of exactly 2600 Hz (which roughly corresponds to an E in the 
        five-times-accented octave - not a very pleasant tone). This happened 
        to be the exact note that AT&amp;T and other long-distance companies used 
        to indicate that long-distance lines were available. If either party to 
        a call emitted this tone, the switch performing the call would be fooled 
        into thinking that the call had ended (because that was how the switches 
        signaled that the line was free), and therefore all billing for the call 
        stopped. The whistle enabled people to call for free.</font></p>
      <p><font size=3 face="Times New Roman">Draper was a very active phreaker. 
        He initiated big party-line calls where he came into contact with many 
        of the blind people, and disseminated his knowledge among other phreakers. 
        He kept a list of contacts and directed the exchange of ideas between 
        phreakers. Like some of them, he was an electronics fanatic, and himself 
        built the tone generators that allowed total control of the entire telephone 
        system. These generators were called MF-boxes (or, as mentioned earlier, 
        Blue Boxes), and gave their owners complete access to national and international 
        telephone traffic - totally free. It wasn't very difficult to construct 
        these boxes, since all information concerning the MF-system had been made 
        public. As it is not exactly cheap to replace an entire telephone system, 
        there are still countries whose systems can be manipulated by blue boxes.</font></p>
      <p><font size=3 face="Times New Roman">Many were (like Drapner) completely 
        spellbound by the blue boxes' power to hook up calls across the world 
        through cables and satellites; they inspired a feeling of unlimited power 
        over the telephone system. One of Draper's more known tricks was to connect 
        back to himself around the globe through seven countries, simply for the 
        incredible satisfaction of hearing his own voice with a 20-second delay.<br>
        </font> </p>
      <p><font size=3 face="Times New Roman">In 1971, the media caught wind of 
        the phreaking phenomenon. One journalist, </font> <font size=3 face="Times New Roman"><b>John 
        Rosenbaum</b></font> <font size=3 face="Times New Roman">, wrote an article 
        about the movement, and Draper was arrested and imprisoned shortly after 
        its publication. He was approached by the Mafia (who wanted to exploit 
        his skills), and severely beaten after he refused. Upon his release, an 
        old friend (Steve Wozniak, who developed the Apple II computer) came to 
        his aid and made him quit phreaking in favor of programming. After a few 
        modem-related incidents on the Apple II (the modems in question were rather 
        computerized blue boxes), he wrote the word processing program </font> 
        <font size=3 face="Times New Roman"><i>Easy Writer</i></font> <font size=3 face="Times New Roman">, 
        which was sold by IBM with their PCs. He made more than a million dollars 
        off the project.</font></p>
      <p><font size=3 face="Times New Roman">In the same year (1971), the hippies 
        discovered the possibility of making free calls. A militant faction of 
        the hippie movement, known as </font> <font size=3 face="Times New Roman"><i>yippies</i></font> 
        <font size=3 face="Times New Roman">, started a magazine called </font> 
        <font size=3 face="Times New Roman"><i>Youth International Party Line</i></font> 
        <font size=3 face="Times New Roman"> (the name both referred to the political 
        nature of the movement and to its obvious telephonic emphasis). The paper's 
        mission was to teach methods of telephone fraud. </font><font size=3 face="Times New Roman">Yippies 
        are a kind of tough hippies that do not hesitate to use violence and terrorism 
        to obliterate (as far as possible) American society. They also advocate 
        the use of hallucinogens. Yippies consist of people that have become so 
        sick of American society and its system that they only see one solution 
        to the problem - total destruction. As opposed to classical anarchists, 
        they were not opposed to technology; rather, they exploited all knowledge 
        and resources available to them. One of the most frightening aspects of 
        the yippie movement was that many of its members were quite </font> <font size=3 face="Times New Roman"><i>intelligent</i></font> 
        <font size=3 face="Times New Roman">. The yippies represented fundamentally 
        different values and norms, which rocked the foundation of American culture. 
        This political force would later sow the seeds of the ideology that is 
        today known as </font> <font size=3 face="Times New Roman"><i>cyberpunk</i></font> 
        <font size=3 face="Times New Roman">, to which I will return in a separate 
        chapter. Prominent yippie leaders include </font> <font size=3 face="Times New Roman"><b>Abbie 
        Hoffman </b></font> <font size=3 face="Times New Roman">and </font> <font size=3 face="Times New Roman"><b>Jerry 
        Rubin.</b></font> </p>
      <p><font size=3 face="Times New Roman">In 1973, a faction of technology 
        fanatics broke away from the yippie movement and formed an expressly anti-social 
        and anarchistic organization around the paper (now known as </font> <font size=3 face="Times New Roman"><i>TAP</i></font> 
        <font size=3 face="Times New Roman">, or </font> <font size=3 face="Times New Roman"><i>Technical 
        Assistance Program</i></font> <font size=3 face="Times New Roman">)</font> 
        <font size=3 face="Times New Roman"><i>. </i></font> <font size=3 face="Times New Roman">In 
        this new version, the magazine provided instruction in subjects far beyond 
        simple telephone scams: it contained formulas for explosives, blueprints 
        for electronic sabotage, information on credit card fraud, etc. Much of 
        this content was naturally &quot;exciting&quot; for teenagers and slightly 
        immature young men, and the periodical was widely copied and transmitted 
        across the globe. Within a short period of time, there was a global network 
        of phreakers. The basic philosophy of the paper is still the same as that 
        of the yippie party (Youth International Party).</font></p>
      <p><font size=3 face="Times New Roman">In TAP, peculiar forms of writing 
        were introduced, such as substituting &quot;z&quot; for &quot;s&quot;, 
        0 (zero) for o, and spelling the word freak &quot;phreak&quot;. These 
        trends have remained. In the early 90's, a character named </font> <font size=3 face="Times New Roman"><b>B1FF 
        </b></font> <font size=3 face="Times New Roman">showed up on the Usenet 
        computer network and took this abuse of the written word to the limits 
        of the absurd, writing words the way they were pronounced rather than 
        the way they were spelled. B1FF combined this practice with an artificial 
        habit of typing 1 for I, 4 for A, + for T, 3 (a reversed E) for E, etc. 
        B1FF's typographical antics drove some people totally nuts, but the hackers 
        thought the practice was super-cool and started writing like B1FF, to 
        annoy generally anal-retentive people and to put an anarchistic stamp 
        on the otherwise disciplined Usenet. They have even gone so far as to 
        randomly mix lower- and upercase letters, resulting in text that is almost 
        </font> <font size=3 face="Times New Roman"><i>painful</i></font> <font size=3 face="Times New Roman"> 
        to read.</font></p>
      <p><font size=3 face="Times New Roman">In Sweden, a sister publication to 
        TAP surfaced. It was called </font> <font size=3 face="Times New Roman"><i>Rolig 
        Teknik</i></font> <font size=3 face="Times New Roman"> (&quot;Fun With 
        Technology&quot;), and aroused some attention in the dailies. Rolig Teknik 
        was started by </font> <font size=3 face="Times New Roman"><b>Nils Johan 
        Als&#228;tra, </b></font> <font size=3 face="Times New Roman">a legendary 
        figure in Swedish underground culture. He was inspired by TAP, and published 
        several articles between 1984 and 1993, all based on the same social philosophy 
        as that of its American counterpart. The publication described how to 
        make fake hundred-crown notes to fool gas station machines (</font> <font size=3 face="Times New Roman"><i>translator's 
        note</i></font> <font size=3 face="Times New Roman">: In Sweden, the </font> 
        <font size=3 face="Times New Roman"><i>crown</i></font> <font size=3 face="Times New Roman"> 
        is the official unit of currency, and most gas stations have automatic 
        gasoline dispensers that are used outside the station's business hours), 
        how to fool electric meters, and (naturally) different methods for making 
        free calls. Nils started the magazine after being fined for building and 
        selling </font> <font size=3 face="Times New Roman"><i>Black Boxes </i></font> 
        <font size=3 face="Times New Roman">(or, as he himself termed them, </font> 
        <font size=3 face="Times New Roman"><i>unit-eaters</i></font> <font size=3 face="Times New Roman">), 
        which enabled owners to make free calls after connecting the boxes to 
        their telephone jacks. Before he started selling them, he gave the phone 
        company the opportunity to purchase the device for three million crowns 
        (about $450,000). The phone company never replied.</font></p>
      <p><font size=3 face="Times New Roman">Rolig Teknik expired after a raid 
        in Gothenburg, Sweden, in 1993. The raid was precipitated by the event 
        that Als&#228;tra had begun to publish anonymous classifieds where the 
        advertisers could offer goods, using the paper as a middle-man, without 
        having to display their name and address. For every transaction where 
        the payment was handled by the publication, Rolig Teknik received SEK 
        10 (SEK=Swedish crowns, SEK 10 = about $1.50). Since the content of many 
        of these ads was rather questionable, this practice was considered equivalent 
        to fencing and arms dealing. After the police obtained permission from 
        the executive branch of the government (for the first time in Swedish 
        history), they raided the editorial offices of the paper. Since then, 
        not a peep has been heard about the paper or Als&#228;tra himself. The 
        possibility of using the &quot;unit-eaters&quot; that Als&#228;tra invented 
        disappeared with the modern AXE telephone system, but many of the other 
        tricks remain effective to this day.</font></p>
      <p><font size=3 face="Times New Roman">For the modern hacker, magazines 
        such as </font> <font size=3 face="Times New Roman"><i>Phrack</i></font> 
        <font size=3 face="Times New Roman"> or </font> <font size=3 face="Times New Roman"><i>Phun</i></font> 
        <font size=3 face="Times New Roman"> are the hottest items. In Sweden, 
        there is also a newfangled print magazine (in the spirit of Rolig Teknik) 
        called </font> <font size=3 face="Times New Roman"><i>Alias</i></font> 
        <font size=3 face="Times New Roman"><sup><a href="#foot1">1</a></sup></font> 
        <font size=3 face="Times New Roman">. Phrack is probably the most popular, 
        since it has received a great deal of publicity. It is free to individuals, 
        while organizations and governmental institutions have to pay $100 per 
        year for a subscription. In this way, the authorities actually help finance 
        the publication of the magazine, since they have to keep up with underground 
        trends</font> <font size=3 face="Times New Roman"><sup> </sup></font> 
        <font size=3 face="Times New Roman">and developments</font> <font size=3 face="Times New Roman"><sup> 
        <a href="#foot2">2</a></sup></font> <font size=3 face="Times New Roman">. 
        As the telephone companies have started to fix the glitches in their systems, 
        phreakers have learned to use exceptionally sophisticated methods to make 
        free calls. One technique involves actually reprogramming phone company 
        switches. Another consists of using stolen or artificial credit card numbers 
        to bill the call to some other (sometimes non-existent) person or company. 
        Ideally, the bill should be sent to international conglomerates such as 
        Coca-Cola, McDonald's, or the phone companies themselves.</font></p>
      <p>T<font size=3 face="Times New Roman">he point of using credit cards is 
        that by calling through a specific 800 number, you should be able to bill 
        the call to the card in question, no matter which private or public phone 
        you are calling from. Since you can't show the card to an operator (human 
        or computerized), you enter the card number and PIN (</font> <font size=3 face="Times New Roman"><i>Private 
        Identification Number</i></font> <font size=3 face="Times New Roman">, 
        a personal code associated with the card number) that are necessary for 
        credit purchases over the phone.</font></p>
      <p><font size=3 face="Times New Roman">Another free-call method is to use 
        a </font> <font size=3 face="Times New Roman"><b>PBX</b></font> <font size=3 face="Times New Roman"> 
        (</font> <font size=3 face="Times New Roman"><i>Private Branch eXchange)</i></font> 
        <font size=3 face="Times New Roman">, which is usually a corporation's 
        internal switchboard. Using a PBX frequently involves dialing an 800 number 
        associated with an automated switchboard, entering a code, and then dialing 
        the number of the desired target. The call will be billed to the company 
        that owns (or employs) the switchboard. The procedure is a simplified 
        and automated version of the debit/credit card payment system, which means 
        that a human operator is not required to verify and record numbers and 
        codes. In the beginning, PIN codes were not even used; it was simply a 
        matter of calling the correct toll-free number and then dialing the desired 
        phone number. It was believed that keeping the toll-free number secret 
        would offer enough protection. Since phreakers are known to systematically 
        dial extensive series of 800 numbers, they soon discovered that it was 
        possible to dial other locations from some of these numbers, and before 
        long the phone companies introduced PINs. For reasons which I will soon 
        explain, PBX codes are constantly circulating outside the spheres of their 
        proper owners.</font></p>
      <p><font size=3 face="Times New Roman">The phreakers, then, more or less 
        randomly dial toll-free numbers in their search for PBXs, computers, phone 
        company switches, and other interesting telecommunications devices, a 
        practice commonly referred to as </font> <font size=3 face="Times New Roman"><i>war-dialling</i></font> 
        <font size=3 face="Times New Roman"> (from the movie </font> <font size=3 face="Times New Roman"><i>War 
        Games</i></font> <font size=3 face="Times New Roman">) or simply </font> 
        <font size=3 face="Times New Roman"><i>scanning</i></font> <font size=3 face="Times New Roman"> 
        (this practice is by no means illegal; the point of having a telephone 
        is to be able to call the numbers you want, and as many as you want). 
        During these treks across the phone networks, phreakers often run into 
        all kinds of intriguing things, such as the phone companies' private service 
        lines and </font> <font size=3 face="Times New Roman"><i>voice mail boxes</i></font> 
        <font size=3 face="Times New Roman"> (VMBs). Through voice mail boxes, 
        you can send messages to each other if nothing else works (read: in case 
        the phone company has blocked all other means of communicating for free). 
        Voice mail is usually employed by large corporations with many employees 
        on the go, such as consulting or sales and marketing companies, as a more 
        efficient alternative to written communication. Voice mail boxes use private 
        codes just like an ATM machine, and the codes are just as easy to crack 
        (simple codes like 1234, 0001, or the same number as that of the box itself 
        are common). Some voice mail boxes also allow for further connections, 
        which means that it's possible to call long-distance from such a box.</font></p>
      <p><font size=3 face="Times New Roman">Most phreakers learn of technical 
        methods and stolen or faked codes from other phreakers. Information of 
        this kind is often disseminated by private BBSs and confidential relationships. 
        Most people involved with phreaking know nothing about actually getting 
        these codes or what the technical instructions they receive actually mean. 
        They simply follow the instructions and advice they receive from others, 
        punch in a few numbers and Presto! - they're hooked up with the other 
        side of the world!</font></p>
      <p><font size=3 face="Times New Roman">However, there are also people like 
        John Draper, who really know what they're doing. The most zealous ones 
        are often youngsters less than 20 years old, who nevertheless possess 
        enough knowledge to match a degree in electrical engineering, or </font> 
        <font size=3 face="Times New Roman"><i>beyond</i></font> <font size=3 face="Times New Roman">. 
        Naturally, this is considered a very dangerous situation in a society 
        where </font> <font size=3 face="Times New Roman"><i>knowledge is power. 
        </i></font><font size=3 face="Times New Roman">Of course, the phone companies' 
        systems are idiot-proof. Not even all the idiots in the world would be 
        able to re-program a telephone switch to give them free calls. The problem 
        is the smart criminals.</font></p>
      <p><font size=3 face="Times New Roman">Bright, inquisitive youths, who want 
        to know how the phone networks function, usually begin by reading standard, 
        college-level telecommunications literature. Many of the more accomplished 
        ones could easily pass professional exams with a flourish. They master 
        the jargon of communications technicians, and are able to recite obvious 
        acronyms such as DCE, OSI, V.24, MUX, NCC, or PAD in their sleep. They 
        seem to have a sort of fetish for the telephone network.<br>
        </font> </p>
      <p><font size=3 face="Times New Roman">Not all (but a great majority) of 
        the technical information regarding the telephone systems is public. The 
        missing details are usually discovered through a method called &quot;trashing&quot;, 
        which entails going to the dumpsters outside a major telecommunications 
        company and digging through the trash for useful documentation (that should 
        have been run through a paper shredder, since it is not at all appropriate 
        literature for teenage technology geniuses). In this manner, phreakers 
        find out about functions, system commands, and secret phone numbers that 
        are meant for internal use. Sometimes it's worse - the hackers actually 
        have access to a person on the inside, who intentionally reveal company 
        secrets to them. Today, these security leaks have been virtually eradicated, 
        despite the fact that the number of people that must have access to this 
        information is great. Trashing is also performed to retrieve obsolete 
        or discarded equipment, which is not really a criminal practice. It is 
        also not very common, especially in Sweden.</font></p>
      <p><font size=3 face="Times New Roman">The art of &quot;social engineering&quot; 
        is more widespread (and often more effective). The technique is based 
        on attacking the weakest link in the entire phone and banking system: 
        the human being. The expression comes from the telemarketing field, where 
        it is part of the telemarketer's job to dissimulate him- or herself and 
        focus on the customer's weaknesses, to build trust while still remaining 
        concise and effective. </font><font size=3 face="Times New Roman">The 
        following is an example of social engineering by a phreaker, loosely based 
        on a case published in a highly improper hacker periodical (WARNING: use 
        this example to protect yourself and others from becoming victims of this 
        type of crime, not to commit the same type of crime yourself. If you abuse 
        this information, I will be sorely disappointed!).<br>
        </font> <font size=3 face="Times New Roman">&nbsp;&nbsp;<br>
        </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman"> 
        = Phreaker<br>
        </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">= 
        Innocent victim<br>
        </font> <font size=3 face="Times New Roman"><b>T</b></font> <font size=3 face="Times New Roman">= 
        The victim's telephone</font> </p>
      <blockquote> 
        <p><font size=3 face="Times New Roman"><br>
          </font> <font size=3 face="Times New Roman"><b>T</b></font> <font size=3 face="Times New Roman">: 
          Ring!<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Hello!<br>
          </font> <font size=3 face="Times New Roman"><b>P: </b></font> <font size=3 face="Times New Roman">Hello, 
          is this Mr. X?<br>
          </font> <font size=3 face="Times New Roman"><b>V: </b></font> <font size=3 face="Times New Roman">Yes... 
          who's calling?<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          Good morning, this is Noam Chomsky at the Accounts Security Division 
          of the Chase Manhattan Bank. How are you doing this morning?<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Er... just fine. What's the problem?<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          We have a situation here right now involving our databases. Your Chase 
          Visa card is currently unusable due to the loss of a large portion of 
          our customer files. If you would give me your card number and PIN, we 
          can restore your account immediately.<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Just a minute, who did you say you were?<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          My name is Noam Chomsky, and I'm with the Accounts Security Division 
          of Chase Manhattan Bank. There's a situation here... (repeats what he 
          just said)<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          (Suspicious) I wasn't aware of this. Is there a number I can call you 
          back on?<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          Sure, no problem. I appreciate your carefulness. Give me a call back 
          at 800-555-5555, (fake number that connects to a phone booth or that 
          has been programmed into the phone company switches by P himself, which 
          he can remove at will without trace. Naturally, it's not his home phone 
          number).<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Thanks! Talk to you in a moment.<br>
          </font> <font size=3 face="Times New Roman"><b>T</b></font> <font size=3 face="Times New Roman">: 
          Click. Silence. Buzz...<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          Chase Manhattan Bank, Accounts Security Division, Noam Chomsky speaking. 
          How can I help you?<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Great! This is Mr. X. I was afraid you were a scammer. OK, my Visa card 
          number is XXXX... and my PIN is XXXX.<br>
          </font> <font size=3 face="Times New Roman"><b>P</b></font> <font size=3 face="Times New Roman">: 
          (Pauses, writing). Thank you. We will restore your account as soon as 
          possible. Please refrain from using your card during the next 24 hours. 
          Goodbye, and thank you for your cooperation.<br>
          </font> <font size=3 face="Times New Roman"><b>V</b></font> <font size=3 face="Times New Roman">: 
          Goodbye.<br>
          </font> <font size=3 face="Times New Roman"><b>T</b></font> <font size=3 face="Times New Roman">: 
          Click</font><font size=3 face="Times New Roman">.</font></p>
      </blockquote>
      <p><font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">If you fall for this type 
        of con, the consequences could be devastating. Normally, the credit card 
        companies will absorb the loss if you can prove that it wasn't you that 
        used the card, but if you can't... ouch! It is not only consumer credit 
        accounts that are victimized; company accounts are also relentlessly exploited 
        in this manner. Other methods of obtaining card numbers include trashing 
        (see above) or simply searching through mail boxes for letters from banks 
        that might contain cards or PINs.</font></p>
      <p><font size=3 face="Times New Roman">Credit card numbers are also used 
        by phreakers to purchase merchandise, such as computers and peripherals, 
        synthesizers, stereo equipment, and other capital goods. The criminal 
        orders the merchandise for general delivery or gives the address of an 
        abandoned building, which makes it impossible to trace the perpetrator. 
        This method is known as &quot;carding&quot; among phreakers and hackers. 
        A fair number of Swedes have been arrested and sentenced for these crimes. 
        A </font> <font size=3 face="Times New Roman"><i>considerably</i></font> 
        <font size=3 face="Times New Roman"> greater number have (as usual) gotten 
        away with it.</font></p>
      <p><font size=3 face="Times New Roman">Phreakers are social people, who 
        love to use their skills to talk for </font> <font size=3 face="Times New Roman"><i>hours</i></font> 
        <font size=3 face="Times New Roman"> about basically nothing and everything. 
        Naturally, conversation tends to focus on methods, codes, and other things 
        that are essential to phreaking. Sometimes international party conferences 
        lasting up to eight hours are created. Some talk, others simply listen, 
        someone hangs up and someone else dials in. The conversation lasts as 
        long as the moderator can maintain it, or until the phone company catches 
        on and disconnects it. A very famous conference was the </font> <font size=3 face="Times New Roman"><b>2111-conference</b></font> 
        <font size=3 face="Times New Roman">, which took place on the 2111 number 
        in Vancouver (a test number for telex transmissions). Phreakers as well 
        as sympathizing operators (!) used to call this number to chat away a 
        few hours.</font></p>
      <p><font size=3 face="Times New Roman">Clearly, these practices are illegal 
        and terribly immoral, etc. However, I am sure that some readers would 
        agree that it is rather amusing to see a few bright teenagers using the 
        conferencing systems of multi-national corporations to set up global party 
        lines, simply in order to </font> <font size=3 face="Times New Roman"><i>shoot 
        the bull</i></font> <font size=3 face="Times New Roman"> for a while!</font><font size=3 face="Times New Roman">&nbsp;The 
        phreakers consider this gross exploitation to be harmless, at least in 
        those cases where they just snatch bandwidth by using technical tricks. 
        They are of the opinion that since the cables are already there, why not 
        use them? Where's the harm in that? Does it damage the phone network? 
        Hardly, unless you don't know what you're doing. Does it hurt any individuals? 
        Not as long as you stay away from hospital and military lines. Do the 
        phone companies lose money? Not at all, since none of the phreakers would 
        have made these calls if they had to pay for them. Does it overload the 
        phone network, forcing the companies to expand? No it doesn't, since international 
        connections have a fairly high ceiling.</font></p>
      <p><font size=3 face="Times New Roman">The real crime committed by phreakers 
        is that of interfering with the social order. What if everyone started 
        doing this? Everything would go straight to hell! International lines 
        would break down, and chaos and anarchy would ensue. It's not a question 
        of theft; more appropriately, it is a question of </font> <font size=3 face="Times New Roman"><i>order</i></font> 
        <font size=3 face="Times New Roman">. Stealing credit card numbers and 
        using them, on the other hand, is fraud.</font><font size=3 face="Times New Roman">&nbsp;These 
        arguments are completely irrelevant to a true yippie, since he/she is 
        only out to destroy society. In contrast, many phreakers are fairly average 
        and law-abiding members of the middle and working classes. However, they 
        have taken </font> <font size=3 face="Times New Roman"><b>Nietzsche</b></font> 
        <font size=3 face="Times New Roman"> to heart and consider themselves 
        a type of elite (or even superhuman) with the natural right to take advantage 
        of the system. They would never suggest that </font> <font size=3 face="Times New Roman"><i>everyone</i></font> 
        <font size=3 face="Times New Roman"> should exploit these systems in this 
        manner, and claim that they also want to help the phone companies discover 
        their security gaps by pointing out existing flaws. Therefore, they contend 
        that actions can not be defined as good or evil solely on a legal basis, 
        just like Zarathustra through Nietzsche had to reject the concepts of 
        </font> <font size=3 face="Times New Roman"><i>right </i></font> <font size=3 face="Times New Roman">and 
        </font> <font size=3 face="Times New Roman"><i>wrong</i></font> <font size=3 face="Times New Roman">. 
        This has nothing to do with fascism; it's a theory of the improvement 
        of systems through individual transcendence.</font></p>
      <p><font size=3 face="Times New Roman">&nbsp;The phreaker magazine TAP has 
        been followed by other publications such as </font> <font size=3 face="Times New Roman"><i>2600: 
        The Hacker Quarterly </i></font> <font size=3 face="Times New Roman">(the 
        name is derived from the 2600-Hz tone that was discussed earlier), </font> 
        <font size=3 face="Times New Roman"><i>Iron Feather Journal</i></font><font size=3 face="Times New Roman">, 
        and a cornucopia of electronic magazines that are too numerous to list.</font></p>
      <p> <font size=3 face="Times New Roman"><b>Telia</b></font> <font size=3 face="Times New Roman"> 
        (</font> <font size=3 face="Times New Roman"><i>translator's note:</i></font> 
        <font size=3 face="Times New Roman"> Telia is the largest telephone company 
        in Sweden, and is a governmentally supported corporation. Before deregulation 
        a few years ago, it was a state agency that had a monopoly on telecommunications 
        traffic in Sweden) is reluctant to acknowledge that phreakers exist, and 
        it would be safe to assume that a number of phreaking cases are kept in 
        the dark (most likely to avoid consumer complaints such as: &quot;Why 
        do </font> <font size=3 face="Times New Roman"><i>they</i></font> <font size=3 face="Times New Roman"> 
        get to call for free when </font> <font size=3 face="Times New Roman"><i>I</i></font> 
        <font size=3 face="Times New Roman"> have to pay?&quot;, &quot;Why doesn't 
        somebody </font> <font size=3 face="Times New Roman"><i>do</i></font> 
        <font size=3 face="Times New Roman"> something about this?&quot;, &quot;</font> 
        <font size=3 face="Times New Roman"><i>I'm</i></font> <font size=3 face="Times New Roman"> 
        by God an honest taxpayer, and I </font> <font size=3 face="Times New Roman"><i>demand</i></font> 
        <font size=3 face="Times New Roman">...&quot;, etc. etc.).</font></p>
      <p><font size=3 face="Times New Roman">In Sweden, phreakers have actually 
        succeeded in manufacturing fake phone cards, re-programming mobile phones 
        to bill to someone else's number, using Telia's own access codes, using 
        blue boxes to fool Telia's switches, and (most frequently) using foreign 
        credit card numbers to make international calls</font> <font size=3 face="Times New Roman"><sup>3</sup></font> 
        <font size=3 face="Times New Roman">. Additionally, the oldest form of 
        phreaking (known as </font> <font size=3 face="Times New Roman"><i>gray-boxing</i></font> 
        <font size=3 face="Times New Roman">) still plays a part. Gray boxes (predecessors 
        to the blue ones) are the boxes found attached to telephone poles or beside 
        the electric company's fuse boxes. By hooking into a gray box, you can 
        physically connect yourself to someone else's phone line and make calls 
        in their name.</font></p>
      <p><font size=3 face="Times New Roman">There are no reports on the extent 
        of these crimes, and Telia would rather have it that way. To put the spotlight 
        on security breaches would be fatal in the current market, where Telia 
        competes with private telephone companies and has to be concerned with 
        its image. Therefore, incidents of fraud are frequently covered up.</font></p>
      <p><font size=3 face="Times New Roman">The situation is even worse in the 
        United States, where many phreakers have studied corporate public relations 
        in depth in order to use social engineering to set up fake credit cards 
        or telephone service. They exploit the corporations' strong emphasis on 
        customer service to pit the telephone companies against each other. For 
        example, if a phreaker encounters problems in setting up a fake 800 number, 
        he or she will say something like &quot;well, if that's the way it's going 
        to be, I might as well call X or Y or Z (competitors)&quot;. This serves 
        to discourage phone company sales reps from asking too many questions 
        or asking for too many details.</font></p>
      <p><font size=3 face="Times New Roman">These problems point to shortcomings 
        in a society where social interaction between businesses and people has 
        become neglected, due to the extreme </font> <font size=3 face="Times New Roman"><i>size</i></font> 
        <font size=3 face="Times New Roman"> of modern corporations. The social 
        aspect of a business has been separated from its sphere of productivity 
        in the struggle toward increased efficiency, which has created an anonymous 
        society. According to conversations I have had with phreakers, the large 
        companies are the easiest to deceive: they can't tell who's fake and who's 
        for real since they've never encountered either one in person. The only 
        available means of separating the wheat from the chaff is by observing 
        what the individual </font> <font size=3 face="Times New Roman"><i>sounds 
        like</i></font> <font size=3 face="Times New Roman"> and the quality of 
        his/her vocabulary and verbal communication. The phone companies have 
        turned into anonymous logotypes toward their customers, and as long as 
        the business world works this way, phreakers will find ways to call for 
        free.<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><b>Network hackers<br>
        </b></font> <font size=3 face="Times New Roman">Let us now leave the telephone 
        networks and take a look at computer networks. As technology fanatics, 
        the phreakers soon discovered computer technology. There were plenty of 
        phreakers similar to Cap'n Crunch, who initially engaged in phreaking 
        because they didn't have access to computers. Together with renegade college 
        students and other less savory characters, they created small hacker groups 
        that engaged in downright intrusive activities. In addition to being experts 
        at tweaking telco switches, many of these hackers attained great proficiency 
        in manipulating the large computer systems (VAX, IBM etc.) that governed 
        the nodes of the Internet, which had become virtually global by the late 
        80's. These systems were usually </font> <font size=3 face="Times New Roman"><b>UNIX 
        systems</b></font> <font size=3 face="Times New Roman"> (synonyms include 
        </font> <font size=3 face="Times New Roman"><i>machine</i></font> <font size=3 face="Times New Roman">, 
        </font> <font size=3 face="Times New Roman"><i>site</i></font> <font size=3 face="Times New Roman">, 
        </font> <font size=3 face="Times New Roman"><i>host</i></font> <font size=3 face="Times New Roman">, 
        </font> <font size=3 face="Times New Roman"><i>mainframe</i></font> <font size=3 face="Times New Roman">, 
        etc.). Others specialized in VAX systems, which used the VMS operating 
        system instead of UNIX. VMS became somewhat more popular among hackers, 
        since it was easier to penetrate than UNIX.</font></p>
      <p><font size=3 face="Times New Roman">The first hackers to become publicly 
        known were </font> <font size=3 face="Times New Roman"><b>Ronald Mark 
        Austin</b></font> <font size=3 face="Times New Roman"> and the members 
        of his hacking group </font> <font size=3 face="Times New Roman"><b>414-gang</b></font> 
        <font size=3 face="Times New Roman">, based in Milwaukee. 414-gang started 
        &quot;hacking&quot; remote computers as early as 1980, and it was the 
        1983 discovery (just after the opening of the movie </font> <font size=3 face="Times New Roman"><i>War 
        Games</i></font> <font size=3 face="Times New Roman">) of these hackers 
        that sparked the entire debate of hackers and computer security. The 414-gang 
        had entered the computer system of a cancer hospital in New York. While 
        the group was removing the traces of the intrusion (after an interview 
        in the New York Times, which included a demonstration of possible entry 
        methods), they accidentally erased the contents of a certain file in an 
        incorrect manner, with resulting in the destruction of the entire file. 
        The mere </font> <font size=3 face="Times New Roman"><i>notion</i></font> 
        <font size=3 face="Times New Roman"> of the possibility of this file containing 
        important research results, or a patient journal, was terrifying. Prior 
        to 1983, few people knew what hackers were. Now, everyone talked about 
        them. It was probably this early debate that imbued the word with its 
        negative connotations.</font></p>
      <p><font size=3 face="Times New Roman">Personally, I use the term </font> 
        <font size=3 face="Times New Roman"><i>network hacker</i></font> <font size=3 face="Times New Roman"> 
        (they are also known as </font> <font size=3 face="Times New Roman"><i>crackers</i></font> 
        <font size=3 face="Times New Roman"> or </font> <font size=3 face="Times New Roman"><i>netrunners</i></font> 
        <font size=3 face="Times New Roman">) to define this type of hacker. Most 
        of the first-generation network hackers used Apple II computers, for which 
        there were several phreaker magazines such as </font> <font size=3 face="Times New Roman"><i>Bootlegger</i></font> 
        <font size=3 face="Times New Roman">. These magazines would become the 
        predecessors of the future multitude of hacking and phreaking publications. 
        When network hackers came to Europe, they primarily used C64 computers, 
        and had no papers or magazines since such a tradition hadn't emerged among 
        European hackers. This lack of forums greatly limited European hackers' 
        activities. As they didn't have access to American Apple II's, they couldn't 
        read the American hacking publications to learn to hack better. Network 
        hacking has </font> <font size=3 face="Times New Roman"><i>never</i></font> 
        <font size=3 face="Times New Roman"> been as extensive on this (the European) 
        side of the Atlantic.</font></p>
      <p><font size=3 face="Times New Roman">A funny detail is that after the 
        414-gang became famous, most hacker groups developed a penchant for putting 
        equally incomprehensible numbers before or after their proper names. 414-gang 
        derived its number from the Milwaukee area code.<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">It can be difficult to immediately 
        understand what it means to &quot;gain entry&quot; to a computer system. 
        To &quot;crack&quot; or &quot;break into&quot; a system simply entails 
        convincing a remote computer to do things it isn't supposed to do (for 
        you, at least). It could be referred to as instigation or fraud in more 
        common terms. Let me illustrate it through the following dialogue:<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;Hello&quot;,</i></font> 
        <font size=3 face="Times New Roman"> the computer says.<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;Hi,&quot;</i></font> 
        <font size=3 face="Times New Roman"> says the hacker, </font> <font size=3 face="Times New Roman"><i>&quot;I 
        would like some information.&quot;<br>
        </i></font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;Hold 
        on a minute&quot;,</i></font> <font size=3 face="Times New Roman"> the 
        computer responds. </font> <font size=3 face="Times New Roman"><i>&quot;Who 
        do you think you are?&quot;<br>
        </i></font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;I'm 
        the system administrator&quot;,</i></font> <font size=3 face="Times New Roman"> 
        the hacker says (or something like that).<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;Oh 
        well, then it's OK&quot;,</i></font> <font size=3 face="Times New Roman"> 
        says the computer and gives the hacker the desired&nbsp;information.<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">Naturally, it doesn't look 
        like this in real life, but the principle is the same. Hacking into a 
        system involves a form of social engineering applied to electronic individuals. 
        Since computers aren't that smart to begin with, one can't call them stupid 
        for not being able to tell the difference between a system administrator 
        or a hacker. Therefore, many think that the hacker is not playing fair 
        by tricking the computer in this way (similar to stealing candy from a 
        baby). To enable the computer to distinguish between a hacker and the 
        system administrator, it has been given special identifying strings that 
        the user must repeat, together with his or her username, when access is 
        needed. These are called </font> <font size=3 face="Times New Roman"><i>passwords</i></font> 
        <font size=3 face="Times New Roman">, and the idea is that hackers shouldn't 
        know about them. Sometimes, hackers find out what the password(s) is/are 
        anyway, or in some other manner convince the computer to think that they 
        are the system administrator or someone else who has the right to access 
        the computer. An functioning username-password pair is called a </font> 
        <font size=3 face="Times New Roman"><i>NUI </i></font> <font size=3 face="Times New Roman">(Network 
        User Identification, or user identity). A hacker sometimes refers to security 
        systems as </font> <font size=3 face="Times New Roman"><i>ICE</i></font> 
        <font size=3 face="Times New Roman"> (Intrusion Countermeasure Electronics). 
        The on-screen exchange between a hacker and a computer can look something 
        like this:<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><b>&nbsp;&nbsp;*** WELCOME 
        TO LEKSAND KOMMUNDATA ICE ***<br>
        </b></font> <font size=3 face="Times New Roman"><b><br>
        </b></font> <font size=3 face="Times New Roman"><b>&nbsp;&nbsp;UserID:</b></font> 
        <font size=3 face="Times New Roman"> QSECOFR (the hacker enters a name)<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><b>Password</b></font> 
        <font size=3 face="Times New Roman">: ******* (the hacker enters a password, 
        which is normally not echoed to the screen)<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><b>SECURITY 
        OFFICER LOGGED IN AT 19.07</b></font> <font size=3 face="Times New Roman">. 
        (The userID and password together constitute a valid user identity named 
        &quot;Security Officer&quot;).<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><b>ENTER 
        COMMAND&gt;</b></font> <font size=3 face="Times New Roman"> GO MAIN (the 
        hacker has &quot;gained access&quot; to the system).</font> <font size=3 face="Times New Roman"><sup><a href="#foot4">4</a></sup></font> 
        <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">The usual methods for finding 
        passwords are not that spectacular. The simplest is to glance over an 
        authorized user's shoulder, or actually recording the log-in keystrokes 
        on video (since they rarely appear on the screen). Other &quot;tricks&quot; 
        include searching for notes under desktop pads, or guessing different 
        combinations of initials, birthdates, or other words and numbers that 
        relate to the person whose user identity the hacker wants to take over. 
        It is especially common for users to use their spouse's maiden name as 
        a password. If the target identity is that of a system officer, the hacker 
        tries different computing terms. All of this falls under the definition 
        of social engineering, which I mentioned in relation to phreaking. A surprisingly 
        effective method is simply calling the system operator and saying that 
        you are an employee who's forgotten his/her password. &quot;Trashing&quot; 
        and collecting loose pieces of paper at computing conventions are other 
        common techniques.</font></p>
      <p><font size=3 face="Times New Roman">The most sophisticated methods bypass 
        the entire security system by exploiting gaps in the </font> <font size=3 face="Times New Roman"><i>system 
        programs</i></font> <font size=3 face="Times New Roman"> (</font> <font size=3 face="Times New Roman"><i>operating 
        systems</i></font> <font size=3 face="Times New Roman">, </font> <font size=3 face="Times New Roman"><i>drivers</i></font> 
        <font size=3 face="Times New Roman">, or </font> <font size=3 face="Times New Roman"><i>communications 
        protocols</i></font> <font size=3 face="Times New Roman">) running the 
        computer in question. To be usable, a computer must have system software 
        running on it. Since VAX/VMS systems are fairly rare, it is mostly UNIX 
        systems that are attacked using this approach. It is especially common 
        to use glitches in the commands and protocols that bear mysterious names 
        such as FTP, finger, NIS, sendmail, TFTP, or UUCP.</font></p>
      <p><font size=3 face="Times New Roman">Methods such as the above are becoming 
        less and less viable, since the security gaps are usually closed as soon 
        as they are discovered. The &quot;filling&quot; of the gaps is accomplished 
        as the system administrator receives (or in a worst-case scenario, </font> 
        <font size=3 face="Times New Roman"><i>should have received</i></font> 
        <font size=3 face="Times New Roman">) disks containing updated system 
        software, which is then installed on the system. The programs are usually 
        called </font> <font size=3 face="Times New Roman"><i>fixes, patches, 
        </i></font> <font size=3 face="Times New Roman">or</font> <font size=3 face="Times New Roman"><i> 
        updates. </i></font> <font size=3 face="Times New Roman">However, many 
        systems officers fail to completely update the system programs, with the 
        result that many of the security gaps remain for quite some time. Others 
        neglect parts of the security system because it creates a hassle for authorized 
        users. For example, many system administrators remove the function which 
        requires users to change their password frequently, or which prevents 
        the usage of passwords that are too common. Some computers (in 1995) still 
        have security holes that were cautioned against in 1987. Swedish computers 
        are no exception.</font></p>
      <p><font size=3 face="Times New Roman">When a hacker has gained entry to 
        a system, he or she can (often) easily obtain more passwords and usernames 
        through manipulating system software. Sometimes, they read through electronic 
        mail stored on the computer, in search of passwords. Imagine one such 
        message: </font> <font size=3 face="Times New Roman"><i>&quot;Bob, I won't 
        be at work on Friday, but if you need access to my numbers, the password 
        is 'platypus'.&quot;</i></font></p>
      <p><font size=3 face="Times New Roman"> </font> <font size=3 face="Times New Roman">Most 
        of these hackers never caused (and still don't cause) any damage to computer 
        systems. Mainly, the intruders are driven by curiosity and a desire to 
        see &quot;if they can do it&quot;. It's about the same type of thrill 
        that comes from wandering subway tunnels, or crawling through underground 
        sewers, i.e. an exciting form of &quot;forbidden&quot; exploration. In 
        fact, hackers in general follow an unwritten rule which states that one 
        should </font> <font size=3 face="Times New Roman"><b>never</b></font> 
        <font size=3 face="Times New Roman"> steal and </font> <font size=3 face="Times New Roman"><b>never</b></font> 
        <font size=3 face="Times New Roman"> destroy anything on purpose. Those 
        who break this rule are called </font> <font size=3 face="Times New Roman"><i>dark 
        side hackers</i></font> <font size=3 face="Times New Roman"> (from the 
        movie </font> <font size=3 face="Times New Roman"><i>Star Wars</i></font> 
        <font size=3 face="Times New Roman">). In </font> <font size=3 face="Times New Roman"><b>Clifford 
        Stoll's</b></font> <font size=3 face="Times New Roman"> book </font> <font size=3 face="Times New Roman"><i>The 
        Cuckoo's Egg: Tracking a Spy Through the Maze of Computer Espionage</i></font> 
        <font size=3 face="Times New Roman">, one can follow the chase of such 
        a hacker.</font></p>
      <p><font size=3 face="Times New Roman">The hacker that Stoll had problems 
        with obviously belonged to the dark side: he tried to systematically retrieve 
        classified military information, and had ties to the KGB (the events took 
        place during the height of the Cold War). He had the assistance of one 
        of the most feared hacker groups: </font> <font size=3 face="Times New Roman"><b>Chaos 
        Computer Club</b></font> <font size=3 face="Times New Roman">, an organization 
        with a political agenda, founded in 1984 by </font> <font size=3 face="Times New Roman"><b>Hewart 
        Holland-Moritz</b></font> <font size=3 face="Times New Roman">. They purported 
        to fight for individual rights in the information society, and were known 
        for killing the project for a German information system called </font> 
        <font size=3 face="Times New Roman"><i>Bildschirmtext</i></font> <font size=3 face="Times New Roman">, 
        by exposing its lack of security and reliability at a press conference.</font></p>
      <p><font size=3 face="Times New Roman">In 1989, the case of the spying hacker 
        made worldwide headlines, and Stoll wrote his book shortly thereafter. 
        The case has spurred its own mythology: one of the players, who called 
        himself </font> <font size=3 face="Times New Roman"><b>Hagbard</b></font> 
        <font size=3 face="Times New Roman">, was found burned to death in a forest, 
        and many speculated that the death was KGB's doing. This is probably not 
        true; the hacker in question was named </font> <font size=3 face="Times New Roman"><b>Karl 
        Koch</b></font> <font size=3 face="Times New Roman">, and had severe psychological 
        and drug problems even before he started hacking, and it was most likely 
        (as the police suspected) a matter of suicide. Among other things, Koch 
        believed that the world was ultimately controlled by the </font> <font size=3 face="Times New Roman"><i>Illuminati</i></font> 
        <font size=3 face="Times New Roman">, a fictional Islamic mafia that has 
        supposedly infiltrated governments and organizations since the 13th century, 
        an idea he had gotten from the books by the same name. He was also fond 
        of psychedelic drugs, which didn't help much. Upon closer examination, 
        it is easy to reach the conclusion that Koch was a raging paranoid, but 
        the headline </font> <font size=3 face="Times New Roman"><i>&quot;Hacker 
        Assassinated by the KGB?&quot;</i></font> <font size=3 face="Times New Roman"> 
        obviously sells more papers than </font> <font size=3 face="Times New Roman"><i>&quot;Hacker 
        Committed Suicide?&quot;.</i></font> </p>
      <p><font size=3 face="Times New Roman">Koch, together with </font> <font size=3 face="Times New Roman"><b>Pengo 
        </b></font> <font size=3 face="Times New Roman">(Hans H&#252;bner) and 
        </font> <font size=3 face="Times New Roman"><b>Markus Hess</b></font> 
        <font size=3 face="Times New Roman">, were members f the hacker group 
        </font> <font size=3 face="Times New Roman"><b>Leitstelle 511</b></font> 
        <font size=3 face="Times New Roman">, which had a clear political profile 
        and a taste for long nights of hacking and drug orgies. They had obtained 
        classified information and software through the Internet, with Markus 
        as a UNIX expert and Pengo masterminding the intrusions. The project, 
        which consisted of systematically exploring American defense installations, 
        was code named </font> <font size=3 face="Times New Roman"><i>Project 
        Equalizer</i></font> <font size=3 face="Times New Roman">. The name was 
        derived from the hackers' slightly naive idea that their espionage would 
        even the odds between East and West in the Cold War. This was more properly 
        an excuse to spy for their own gain than an expression of real political 
        intentions. Markus and Pengo, as the two most talented hackers of the 
        group, mostly hacked for their own pleasure, and did not receive any considerable 
        financial gains. All of the involved, after being caught, were sentenced 
        to between one and two years imprisonment, but the sentences were suspended. 
        Pengo was not charged, since he had fully cooperated with the police.</font></p>
      <p><font size=3 face="Times New Roman">This is one of the few known cases 
        of network hackers making money off their &quot;hobby&quot;. Generally, 
        people engage in this type of hacking for the intellectual challenge, 
        or for the social aspects of data communications.</font> <font size=3 face="Times New Roman"><b>Kevin 
        Mitnick</b></font> <font size=3 face="Times New Roman"> is another hacker 
        to become more or less legendary. Originally, he was a phreaker who developed 
        a hitherto unsurpassed skill in manipulating people as well as computers 
        and telephone switches. Mitnick is the archetypal dark side hacker: He 
        stole the source code (</font> <font size=3 face="Times New Roman"><i>source 
        code</i></font> <font size=3 face="Times New Roman"> is the version of 
        a computer program that can be read, written, and modified by humans. 
        After a process known as </font> <font size=3 face="Times New Roman"><i>compilation</i></font> 
        <font size=3 face="Times New Roman">, the program is readable only to 
        computers - and hackers) for </font> <font size=3 face="Times New Roman"><b>Digital</b></font> 
        <font size=3 face="Times New Roman">'s operating system </font> <font size=3 face="Times New Roman"><i>VMS 
        5.0</i></font> <font size=3 face="Times New Roman"> by breaking into their 
        software development division through phone and computer networks. He 
        was very vindictive, and punished police and companies that crossed him 
        by giving them outrageous telephone bills or spreading lies about them 
        through phones and fax machines. When police tried to trace his calls, 
        he was instantly alerted and could abort the call, since he had hacked 
        into the phone company </font> <font size=3 face="Times New Roman"><b>Pacific 
        Bell</b></font> <font size=3 face="Times New Roman">'s surveillance systems. 
        When he was arrested, he was just about to steal the source code for the 
        not entirely unknown computer game </font> <font size=3 face="Times New Roman"><i>Doom</i></font><font size=3 face="Times New Roman">.</font></p>
      <p><font size=3 face="Times New Roman">After his arrest in December 1988, 
        he was sentenced to one year's imprisonment and six months of rehabilitation. 
        He was treated together with alcoholics and drug addicts for his almost 
        pathological obsession with hacking. Recently, he was again apprehended 
        after being pursued by a security expert by the name of </font> <font size=3 face="Times New Roman"><b>Tsutomu 
        Shimomura</b></font> <font size=3 face="Times New Roman">, and a journalist 
        named </font> <font size=3 face="Times New Roman"><b>John Markoff</b></font> 
        <font size=3 face="Times New Roman"> (who had earlier written a book about 
        Mitnick).</font></p>
      <p><font size=3 face="Times New Roman">Much of the publicity surrounding 
        Mitnick was hyped to the point of witch hunting. Many were of the opinion 
        that he wasn't as dangerous as Markoff portrayed him to be. Nevertheless, 
        Kevin has become a symbol for the &quot;dangerous&quot; hacker: cold, 
        anti-social, vindictive, and extraordinarily proficient in manipulating 
        people and phone switches. On the other hand, he was never a master of 
        computer hacking - a field in which he has many superiors. It is worth 
        noting that Kevin never sold the information he captured to any third 
        parties. He only wanted the VMS operating system to be able to improve 
        his hacking skills, and he never cooperated with organized criminals.</font></p>
      <p><font size=3 face="Times New Roman">This type of illegal break-in has 
        been glorified in films such as </font> <font size=3 face="Times New Roman"><i>War 
        Games, Sneakers </i></font> <font size=3 face="Times New Roman">(1992),</font> 
        <font size=3 face="Times New Roman"><i> </i></font> <font size=3 face="Times New Roman">and 
        the TV series </font> <font size=3 face="Times New Roman"><i>Whiz Kids</i></font> 
        <font size=3 face="Times New Roman">, and as a result, many (completely 
        erroneously) think that hackers in general primarily engage in this criminal 
        form of hacking. Even in the Swedish film </font> <font size=3 face="Times New Roman"><i>Dr&#246;mmen 
        om Rita</i></font> <font size=3 face="Times New Roman"> (</font> <font size=3 face="Times New Roman"><i>Dreaming 
        of Rita</i></font> <font size=3 face="Times New Roman">, 1992), a romanticized 
        hacker has one of the cameo roles. He is a symbol for the young, the new, 
        the wild; a modern Jack Kerouac who drifts through the streets with his 
        computer. The hacker is portrayed as a modern-day beatnik. An interesting 
        detail is that the hacker in this movie goes by the name </font> <font size=3 face="Times New Roman"><b>Erik 
        XIV</b></font> <font size=3 face="Times New Roman">, which is the same 
        pseudonym used by a real hacker in a few interviews with </font> <font size=3 face="Times New Roman"><i>Aktuellt</i></font> 
        <font size=3 face="Times New Roman"> (a Swedish news program) and </font> 
        <font size=3 face="Times New Roman"><i>Z-Magazine</i></font> <font size=3 face="Times New Roman"> 
        in 1989, where he explained how to trick credit card companies into paying 
        for international calls and merchandise ordered from abroad (crimes for 
        which he was later convicted and sentenced).</font></p>
      <p><font size=3 face="Times New Roman">Actually, very few youths interested 
        in computers take to criminal activities. Nevertheless, computer crime 
        is frequent, but the real problem is that computer systems do not have 
        adequate protection; no hacker would be able to force a sufficiently protected 
        system, even if theoretically possible. No one can fool a computer that 
        is smart enough. Most security breaches are probably kept in the dark 
        for PR reasons. As far as I know, no bank has </font> <font size=3 face="Times New Roman"><i>officially</i></font> 
        <font size=3 face="Times New Roman"> lost money because of dark side hackers; 
        on the other hand, if I were a bank and some hacker transferred a few 
        million dollars to his or her own account, would I want to prosecute the 
        hacker so that all of my customers would realize how insecure my computer 
        system was? Swedes may remember the publicity surrounding the software 
        bug in Sparbanken's (a large Swedish bank) computer system in 1994...</font></p>
      <p><font size=3 face="Times New Roman">Companies with poor security would 
        probably find it embarrassing if the public found out that teenage hackers 
        could read their secrets or transfer money from their accounts. In those 
        cases, it's PR-correct to put a lid on the incident, which is exactly 
        what has happened in many instances.<br>
        </font> </p>
      <p><font size=3 face="Times New Roman">The distinction between network hackers 
        and phreakers is blurred. It is customary to say that a </font> <font size=3 face="Times New Roman"><i>phreaker</i></font> 
        <font size=3 face="Times New Roman"> explores computer systems for social 
        reasons, primarily to be able to call their friends long-distance for 
        free, while an intrusion-prone </font> <font size=3 face="Times New Roman"><i>hacker</i></font> 
        <font size=3 face="Times New Roman"> explores the systems for their own 
        sake and for the thrill of outwitting technology. The anarchistic yippie 
        attitude and the urge to break down systems stem from the phreakers.</font></p>
      <p><font size=3 face="Times New Roman">Many have rightfully questioned society's 
        negative view of hacking, i.e. &quot;hobby intrusions&quot;. Hackers have 
        been compared to cave explorers, searching for new realms out of curiosity 
        and a desire for challenge rather than greed. Since the networks are so 
        complex that there is no comprehensive map, hackers are of the opinion 
        that cyberspace is the uncharted territory where electronic discussions 
        take place, a universe which they curiously explore. To compare hacking 
        to burglary is insipid. During a burglary, there is physical damage to 
        doors and locks, and real objects are stolen. A typical hacker never damages 
        anything during an intrusion (very few hackers are vandals<sup><a href="#foot5">5</a></sup></font> 
        <font size=3 face="Times New Roman">), and to the extent that he/she &quot;steals&quot; 
        information, it is only copied, not removed. Essentially, the only &quot;theft&quot; 
        that takes place is a few cent's worth of electricity and some minimal 
        wear on the machine being used, but considering the high rate of depreciation 
        of computer equipment, this can hardly be considered a loss. Furthermore, 
        any computer connected to the Internet </font> <font size=3 face="Times New Roman"><i>allows</i></font> 
        <font size=3 face="Times New Roman"> outsiders to use it to search for 
        and distribute information.</font></p>
      <p><font size=3 face="Times New Roman">I suspect that the main reason that 
        the establishment fears hackers is that hackers assume the role of someone 
        else - that they present themselves as system operators or other authorized 
        users, and enjoy the privileges associated with their assumed status. 
        The worst part is that they seem to be able to do this with ease, thus 
        publicly embarrassing the computer experts that the corporations pay dearly 
        for. This tends to be aggravating, especially since the business world 
        in general and (to an even higher degree) the corporate world depend on 
        a system of fundamental status symbols, where every person is at the top 
        of their own little hierarchy. To act like someone or something that you 
        are not is considered a cardinal sin (remember Refaat El-Sayed's fake 
        doctoral degree!) (</font> <font size=3 face="Times New Roman"><i>translator's 
        note</i></font> <font size=3 face="Times New Roman">: In the 80's, Refaat 
        El-Sayed was the CEO of Fermenta, a large Swedish pharmaceutical company, 
        who was ousted following a scandal involving purchased credentials).</font></p>
      <p><font size=3 face="Times New Roman">The condemnation of hackers is disproportionate 
        to their criminal acts, and sentences are way too severe. This is grounded 
        in an almost paranoid fear of what the hacker accomplishes, and the code 
        of ethics that he or she subscribes to. The hacker is (like most people) 
        </font> <font size=3 face="Times New Roman"><i>definitely</i></font> <font size=3 face="Times New Roman"> 
        not evil by nature, nor a hardened criminal, but an individual that listens 
        to his/her own heart. The hacker is not a psychopath, nor interested in 
        hurting or stealing from other people in a traditional sense. Possibly, 
        the hacker wants to steal secrets, which frightens many. Later, we will 
        go deeper into hacker ethics and ideology.</font></p>
      <p><font size=3 face="Times New Roman">Swedish network hackers appeared 
        at a later stage than the ones in the U.S., partially because of Televerket's 
        (</font> <font size=3 face="Times New Roman"><i>translator's note</i></font> 
        <font size=3 face="Times New Roman">: Televerket was the government authority 
        that later became Telia - the name literally translates into &quot;The 
        Telephone Service&quot;) monopoly on the modems that are needed to connect 
        to a computer across the phone networks. The first case that I know of 
        happened in 1980, when a student at Chalmers School of Technology (at 
        Gothenburg University) was fined for manipulating the billing system at 
        Gothenburg's computer center in order to use the system for free. The 
        first case to attract media attention occurred when a journalist from 
        </font> <font size=3 face="Times New Roman"><i>Aftonbladet</i></font> 
        <font size=3 face="Times New Roman"> (a major Swedish daily), </font> 
        <font size=3 face="Times New Roman"><b>Lars Ohlson</b></font> <font size=3 face="Times New Roman">, 
        hired a couple of 17-year-olds, a few modems, and a few computers, and 
        tried to break into Stockholm's </font> <font size=3 face="Times New Roman"><b>QZ</b></font> 
        <font size=3 face="Times New Roman"> computer center (after seeing the 
        movie </font> <font size=3 face="Times New Roman"><i>War Games) </i></font> 
        <font size=3 face="Times New Roman">. The QZ operators noticed what they 
        were doing, which led to Ohlson's arrest and subsequent fining, under 
        loud protests from (among others) </font> <font size=3 face="Times New Roman"><i>Dagens 
        Nyheter</i></font> <font size=3 face="Times New Roman"> (one of Sweden's 
        largest, oldest, and most respected newspapers). The three never succeeded 
        in breaking into QZ, and the original purpose had been to test its security, 
        which turned out to be very good... in 1983.</font></p>
      <p><font size=3 face="Times New Roman">In the first 1984 issue of the paper 
        </font> <font size=3 face="Times New Roman"><i>Allt om Hemdatorer</i></font> 
        <font size=3 face="Times New Roman"> (&quot;All About Personal Computers&quot;), 
        there was a report of a considerably more successful intrusion attempt. 
        With the help of an imported Apple II, two youths (17 and 19 years old, 
        respectively) managed to get into </font> <font size=3 face="Times New Roman"><b>DAFA-Spar</b></font> 
        <font size=3 face="Times New Roman">, the government's individual address 
        database. Even though the information contained in the database was far 
        from classified, it is easy to imagine the consequences if, for example, 
        a foreign power could retrieve information about every Swedish citizen. 
        DAFA-Spar themselves were surprised and shocked by the incident. The youths, 
        inspired by </font> <font size=3 face="Times New Roman"><i>War Games</i></font> 
        <font size=3 face="Times New Roman">, had also succeeded in entering Gothenburg's 
        Computer Center, Medicin-Data and the computers at Livsmedelsverket (the 
        Swedish equivalent to the U.S. Food and Drug Administration) The hackers 
        claimed to have performed the break-ins to point out security deficiencies.</font></p>
      <p><font size=3 face="Times New Roman">Like their American counterparts, 
        most Swedish network hackers seem to have worked alone, i.e., without 
        forming groups. Reportedly, many of the first Swedish hackers were inspired 
        by the BBS </font> <font size=3 face="Times New Roman"><i>Tungelstamonitorn</i></font> 
        <font size=3 face="Times New Roman">, which was run on an ABC806 computer 
        by </font> <font size=3 face="Times New Roman"><b>Jan-Inge Fl&#252;cht</b></font> 
        <font size=3 face="Times New Roman"> in Haninge (a Stockholm suburb) in 
        1986-87. The BBS later changed its name to </font> <font size=3 face="Times New Roman"><i>Jinges 
        TCL</i></font> <font size=3 face="Times New Roman"> and became known as 
        one of the most outspoken and insolent Swedish boards through the amateur 
        network Fidonet. </font><font size=3 face="Times New Roman">In 1987, </font> 
        <font size=3 face="Times New Roman"><b>SHA</b></font> <font size=3 face="Times New Roman"> 
        (the</font> <font size=3 face="Times New Roman"><b> </b></font> <font size=3 face="Times New Roman"><i>Swedish 
        Hackers Association</i></font> <font size=3 face="Times New Roman">) was 
        formed, which (curiously enough) is most famous for irritating freelance 
        journalist and security consultant </font> <font size=3 face="Times New Roman"><b>Mikael 
        Winterkvist</b></font> <font size=3 face="Times New Roman">, after he 
        attempted to chart the transmission of computer viruses in Sweden.</font></p>
      <p><font size=3 face="Times New Roman">The SHA itself claimed to be Sweden's 
        largest and most well-organized hackers group. Others see them as boastful 
        people from Stockholm with a strong need for self-assertion, which is 
        a rather empty sentiment considering that nearly all underground hackers 
        have an enormous need to assert themselves (</font> <font size=3 face="Times New Roman"><i>translator's 
        note:</i></font> <font size=3 face="Times New Roman"> and people from 
        Stockholm are often considered to be boastful and arrogant by other Swedes 
        </font> <font size=3 face="Times New Roman"><i>not</i></font> <font size=3 face="Times New Roman"> 
        from Stockholm). One of their most successful hacks involved an SHA member 
        gaining access to Swedish Radio's computers, and becoming so familiar 
        with the system that he could change the programming schedules at will. 
        Just for fun, he changed Pontus Enh&#246;rning's (a famous Swedish radio 
        personality) password and emailed him to tell him about it, which generated 
        some publicity.</font></p>
      <p><font size=3 face="Times New Roman">SHA succeeded, during its heydays, 
        in entering several computer systems around Sweden: among others, </font> 
        <font size=3 face="Times New Roman"><b>SICS, KTH/NADA, ASEA, Dimension 
        AB, S-E Banken, SMHI, OPIAB, DATEMA,</b></font> <font size=3 face="Times New Roman"> 
        and - last but not least - </font> <font size=3 face="Times New Roman"><b>FOA 
        </b></font> <font size=3 face="Times New Roman">(</font> <font size=3 face="Times New Roman"><i>translator's 
        note: </i></font> <font size=3 face="Times New Roman">FOA stands for F&#246;rsvarets 
        Forskningsanstalt, or Sweden's Defense Research Facility). None of the 
        victimized companies or authorities have shown any great desire to talk 
        about the intrusions. Swedish security experts shrug and sigh when SHA 
        is mentioned. The police, as well as many companies' own security teams, 
        know exactly who the SHA is, but they can't prove anything. Mostly, the 
        SHA is given free reins, since the authorities feel that they have the 
        group &quot;under control&quot;. They're not afraid of the SHA, and they 
        have no reason to be, since the group consists of relatively benign hackers 
        who are not out to destroy or corrupt anything. For the most part, all 
        that they want is some system time and open telephone lines. If you shut 
        them out, they respect it, but if you act in an arrogant and authoritarian 
        manner toward the SHA, they tend to get pissed off and threaten with horrendous 
        retaliation.</font></p>
      <p><font size=3 face="Times New Roman">Sweden has also been subject to hacker 
        attacks from abroad. Perhaps the most well-known incident occurred when 
        a couple of UK hackers, </font> <font size=3 face="Times New Roman"><b>Neil 
        Woods</b></font> <font size=3 face="Times New Roman"> and </font> <font size=3 face="Times New Roman"><b>Karl 
        Strickland</b></font> <font size=3 face="Times New Roman"> (known under 
        pseudonyms as </font> <font size=3 face="Times New Roman"><b>PAD </b></font> 
        <font size=3 face="Times New Roman">and </font> <font size=3 face="Times New Roman"><b>Gandalf</b></font> 
        <font size=3 face="Times New Roman">, collectively as </font> <font size=3 face="Times New Roman"><b>8LGM</b></font> 
        <font size=3 face="Times New Roman">, which stood for </font> <font size=3 face="Times New Roman"><i>8 
        Little Green Men </i></font> <font size=3 face="Times New Roman">or</font> 
        <font size=3 face="Times New Roman"><i> the 8-Legged Groove Machine</i></font> 
        <font size=3 face="Times New Roman">), broke into the Swedish Datapak 
        and Decnet networks during Christmas of 1990. Using a computer program, 
        they searched through 22,000 subscribers looking for computers to access, 
        and established contact in 380 cases. The two 20-year-olds were sentenced 
        to six months imprisonment on the 4th of June, 1993, for computer violations 
        in fifteen countries (they were the first to be sentenced under the new 
        UK computer security regulations). Before one passes judgment on Pad and 
        Gandalf, one should know that they were the ones that hacked into one 
        of the EU's computers and helped expose </font> <font size=3 face="Times New Roman"><b>Jacques 
        Delors</b></font> <font size=3 face="Times New Roman">' (a French EU representative) 
        exorbitant expense accounts.<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><b>Virus Hackers</b></font> 
        <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">Computer viruses are constantly 
        a hot item. This exciting area is still fertile ground for publicity in 
        magazines and periodicals. The </font> <font size=3 face="Times New Roman"><b>Michelangelo</b></font> 
        <font size=3 face="Times New Roman"> virus, discovered around March 6, 
        1992, attracted lots of attention. The virus was believed to cause great 
        damage to data and computers around the world. These fears turned out 
        to be greatly exaggerated; basically, the virus didn't do anything. This 
        was taken to indicate that media warnings had been effective, and the 
        theory, so to speak, proved itself. The question is whether the Michelangelo 
        virus ever constituted a threat.</font></p>
      <p><font size=3 face="Times New Roman">Computer viruses are small programs, 
        and like all other programs, they are created by people. Hackers who engage 
        in virus programming are made out to be the worst villains among hackers, 
        and are thought to only be interested in screwing things up for other 
        people. At the time of this writing, legislation is underway that would 
        make the manufacture as well as distribution of computer viruses a criminal 
        offense. </font><font size=3 face="Times New Roman">The first modern viruses 
        (such as the Michelangelo virus), the </font> <font size=3 face="Times New Roman"><i>link</i></font> 
        <font size=3 face="Times New Roman"> and </font> <font size=3 face="Times New Roman"><i>boot 
        viruses</i></font> <font size=3 face="Times New Roman">, surfaced in the 
        beginning of the 80's. Many of the first ones came from </font> <font size=3 face="Times New Roman"><i>Bulgaria 
        </i></font> <font size=3 face="Times New Roman">of all places, and it 
        was in this country that the first BBS dedicated only to virus exchange 
        and discussion appeared: the </font> <font size=3 face="Times New Roman"><i>Virus 
        Exchange</i></font> <font size=3 face="Times New Roman">. Supposedly, 
        the reason for Bulgaria's central position in the virus industry was that 
        the East Bloc, during some phase of the Cold War, decided to manufacture 
        viruses for electronic warfare. Bulgaria is known for its high-class computer 
        scientists, and so it was a natural choice for construction of these &quot;weapons&quot;. 
        Thus, many Bulgarian students came into contact with government-financed 
        virus programming and later continued to develop viruses as a hobby. The 
        most prominent of these students is </font> <font size=3 face="Times New Roman"><b>Dark 
        Avenger</b></font> <font size=3 face="Times New Roman">, who has attained 
        cult status among today's virus hackers.</font></p>
      <p><font size=3 face="Times New Roman">Individual link and boot viruses 
        possess different attributes, but share the ability to </font> <font size=3 face="Times New Roman"><i>propagate</i></font> 
        <font size=3 face="Times New Roman"> efficiently. Most are written by 
        hackers, and not all viruses are destructive. Computer viruses have been 
        classified as electronic life by researchers as prominent as </font> <font size=3 face="Times New Roman"><b>Stephen 
        B. Hawking</b></font> <font size=3 face="Times New Roman">. If so, then 
        it is the first life form to be created by humans. </font><font size=3 face="Times New Roman">Some 
        virus hackers are just regular hobby hackers who have developed an interest 
        in viruses, while others are network hackers. The electronic magazine 
        </font> <font size=3 face="Times New Roman"><b>40hex</b></font> <font size=3 face="Times New Roman"> 
        (named after an MS-DOS function) is a forum for American virus builders, 
        and primarily provides code for virus programs and explores virus techniques, 
        but also reports on political and economic aspects of viruses. The magazine 
        is published by the virus hacker groups </font> <font size=3 face="Times New Roman"><i>Phalcon</i></font> 
        <font size=3 face="Times New Roman"> and </font> <font size=3 face="Times New Roman"><i>SKISM 
        </i></font> <font size=3 face="Times New Roman">(Smart Kids Into Sick 
        Methods). (Notice the pun?).</font></p>
      <p><font size=3 face="Times New Roman">It's a shame to say that virus builders 
        are only concerned with destruction. Mostly, it is just another manifestation 
        of the </font> <font size=3 face="Times New Roman"><i>graffiti phenomenon</i></font> 
        <font size=3 face="Times New Roman">, which is a desire to see one's name 
        on as many screens as possible, and to read in the papers about the effects 
        of the virus one wrote. It's a question of becoming someone. In addition, 
        constructing a virus is an intellectual challenge that requires a relatively 
        high degree of programming knowledge. The virus hackers are probably the 
        most intellectual hackers next to the university hackers. In the case 
        of destructive viruses, it is usually a manifestation of the phreakers' 
        old yippie attitudes. The virus hacker is the fascinating person produced 
        when you cross a yippie anarchist with a disciplined programmer. A related 
        fact is that viruses are exclusively written in assembly language, which 
        is the hardest and most complicated programming language to learn. No 
        virus hacker that I've heard of has ever made money from making a virus.</font></p>
      <p><font size=3 face="Times New Roman">The virus hackers have a sort of 
        love-hate relationship to </font> <font size=3 face="Times New Roman"><b>John 
        McAfee</b></font> <font size=3 face="Times New Roman"> and his company, 
        which makes the virus-removing program </font> <font size=3 face="Times New Roman"><b>VirusScan</b></font> 
        <font size=3 face="Times New Roman">. Before he started working on computer 
        viruses, he supported himself by selling membership cards for an association 
        which simply guaranteed their members to be AIDS-free, so it is fair to 
        say that he has had experience with viruses. It has been implied that 
        his company supports virus production, since it is vital to its continued 
        existence that new viruses or new versions of viruses are constantly appearing. 
        The company's main source of income comes from </font> <font size=3 face="Times New Roman"><i>program 
        updates</i></font> <font size=3 face="Times New Roman">, i.e. selling 
        new versions of the software that can neutralize and protect against the 
        newest viruses. McAfee worked under a similar system selling AIDS-certificates. 
        He was accused of bolstering the public fear of the Michelangelo virus 
        in 1992.</font></p>
      <p><font size=3 face="Times New Roman">Computer viruses can also be considered 
        an art form. A virus is a computer program just like any other, and according 
        to copyright laws, every creative computer program contains an artistic 
        element. It is obvious that the creation of a virus requires determination, 
        effort, and imagination. Imagine that while systems analysts and administrators 
        are breaking their backs to get their systems to work in an orderly and 
        coordinated fashion, there are little hoodlums out there trying to accomplish 
        the </font> <font size=3 face="Times New Roman"><i>exact opposite</i></font> 
        <font size=3 face="Times New Roman">, i.e. chaos, disorder, and ruin. 
        It doesn't take a lot of inside knowledge to see the humor in the situation. 
        The virus builders are taunting the nearly pathological fixation on order 
        within corporations and governmental agencies. It can very well be viewed 
        as a protest against a nearly </font> <font size=3 face="Times New Roman"><i>fascistic</i></font> 
        <font size=3 face="Times New Roman"> desire for control, order, and structure.<br>
        </font> <font size=3 face="Times New Roman">&nbsp;&nbsp;<br>
        </font> <font size=2 face="Times New Roman">&nbsp;&nbsp;</font> <font size=3 face="Times New Roman"><i>&quot;To 
        some, we are demons; to others, angels...<br>
        </i></font> <font size=3 face="Times New Roman"><i>&nbsp;&nbsp;... Blessed 
        is the one who expects nothing, for he will not be disappointed.&quot;</i></font> 
        <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">&nbsp;&nbsp;(Excerpt from 
        the source code of the virus </font> <font size=3 face="Times New Roman"><i>Dark 
        Avenger</i></font><font size=3 face="Times New Roman">, by the Bulgarian 
        virus hacker of the same name.<i> Translator's note: </i>one does notice 
        a mere whiff of inspiration from <i>Hellraiser</i>...).<br>
        </font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">The most notorious Swedish 
        virus hacker is known as </font> <font size=3 face="Times New Roman"><b>Tormentor</b></font> 
        <font size=3 face="Times New Roman">. In 1992, he formed a loosely connected 
        network of Swedish virus hackers by the name </font> <font size=3 face="Times New Roman"><b>Demoralized 
        Youth</b></font> <font size=3 face="Times New Roman">. Tormentor belonged 
        to the relatively small group of hackers that became interested in virus 
        building, and established contact with similarly interested Swedish youths. 
        Among others, he got to know a 13-year-old who had collected over a hundred 
        viruses, and downloaded new ones from the Bulgarian </font> <font size=3 face="Times New Roman"><i>Virus 
        Exchange</i></font> <font size=3 face="Times New Roman"> BBS. During the 
        late fall of that year, Tormentor distributed a virus of his own creation 
        to different BBS's in Gothenburg, and could observe it spreading like 
        a wave across Sweden. Intense Fidonet discussions ensued.</font></p>
      <p><font size=3 face="Times New Roman">Someone discovered an &quot;antidote&quot; 
        to Tormentor's virus, and he modified it and distributed it again, only 
        to have it trounced by another anti-virus technique. This process was 
        repeated five times before Tormentor got sick of constantly updating and 
        distributing the virus. </font><font size=3 face="Times New Roman">Afterwards, 
        Tormentor concluded that the virus contained several errors. To start 
        with, he had only tested it against McAfee's VirusScan; additionally, 
        it was afflicted by several programming errors, and - worst of all - it 
        was </font> <font size=3 face="Times New Roman"><i>not</i></font> <font size=3 face="Times New Roman"> 
        destructive! Those are the words of a true anarchist. Tormentor embodies 
        the virus hacker in a nutshell, and he is probably an eternal Swedish 
        legend in the field. He was in contact with the SHA from the beginning, 
        and is still involved in a feud with Mikael Winterkvist at the company 
        Computer Security Center/Virus Help Center.</font></p>
      <p><font size=3 face="Times New Roman">Among other well-known viruses we 
        also find the so-called </font> <font size=3 face="Times New Roman"><i>Trojan 
        Horse </i></font> <font size=3 face="Times New Roman"><b>AIDS </b></font> 
        <font size=3 face="Times New Roman">(Trojan horses are viruses that </font> 
        <font size=3 face="Times New Roman"><i>infiltrate</i></font> <font size=3 face="Times New Roman"> 
        remote computers or networks). AIDS was a program that was distributed 
        free-of-charge to companies across the world, following an international 
        AIDS conference in London, and it purports to contain information about 
        AIDS. When the program is run, it locks up the computer's hard drive and 
        the user is prompted to deposit a certain amount in a an account in Panama 
        (talk about electronic extortion). However, this virus has nothing to 
        do with hackers; it was created by a man named </font> <font size=3 face="Times New Roman"><b>Joseph 
        Papp</b></font> <font size=3 face="Times New Roman">, who was not considered 
        mentally fit to stand trial.</font></p>
      <p><font size=3 face="Times New Roman">Another famous virus is </font> <font size=3 face="Times New Roman"><i>RTM</i></font> 
        <font size=3 face="Times New Roman">, a.k.a. </font> <font size=3 face="Times New Roman"><i>The 
        Internet Worm</i></font> <font size=3 face="Times New Roman">. This was 
        a </font> <font size=3 face="Times New Roman"><i>worm virus</i></font> 
        <font size=3 face="Times New Roman">, which copied itself across computer 
        networks. The program was written by the student and hacker </font> <font size=3 face="Times New Roman"><b>Robert 
        Tappan Morris</b></font> <font size=3 face="Times New Roman"> (hence the 
        name 'RTM'), and his idea was to write a program that traversed the Internet 
        on its own, finding out how many systems it could get into. It was then 
        supposed to report back to its author with a list of its destinations. 
        Unfortunately, Morris had made a programming error which caused an overload 
        of the entire Internet. For this little trick, he was sentenced to fines 
        and probation. The worm virus idea originated at the Xerox Research Center 
        in Palo Alto, California, where they were used to maximize the use of 
        machine resources (for example, by having some programs run only at night, 
        when no one else was using the computers).</font></p>
      <p><font size=3 face="Times New Roman"><b>Cable and Satellite Hackers<br>
        </b></font> <font size=3 face="Times New Roman">It is uncertain whether 
        satellite and cable hackers should be referred to as hackers, and it is 
        even more uncertain whether I have the right to call them &quot;illegal 
        hackers&quot;. First, what these hackers do is seldom illegal. Second, 
        they are closer to radio amateurs and electronics freaks than computer 
        users. On the other hand, phreakers and computer constructors are often 
        considered to be hackers, and furthermore, neither radio amateurs nor 
        electronics hobbyists want anything to do with them. Plus, they also subscribe 
        to the fundamental hacker principle that holds that information should 
        be free... so I guess they're hackers.</font></p>
      <p><font size=3 face="Times New Roman">If you flip to the last pages of 
        an evening newspaper, right after the sports pages, where you find all 
        the ads for porno movies and Rogaine, you will also find ads offering 
        cable TV decoder kits. These kits are built by this type of hacker. The 
        entire Swedish branch of this underground operation can be traced to the 
        close-knit circle of Rolig Teknik (which was mentioned earlier) readers. 
        It is hardly possible to find a decoder builder that has </font> <font size=3 face="Times New Roman"><i>not</i></font> 
        <font size=3 face="Times New Roman"> read Rolig Teknik.</font></p>
      <p><font size=3 face="Times New Roman">The absolutely most famous hack that 
        has been performed by this kind of hacker was witnessed by HBO viewers 
        on April 27, 1987. In the middle of the movie </font> <font size=3 face="Times New Roman"><i>The 
        Falcon And The Snowman</i></font> <font size=3 face="Times New Roman">, 
        the broadcast was interrupted by a blank screen on which the following 
        text appeared: </font> <font size=3 face="Times New Roman"><i>&quot;Good 
        Evening HBO from Captain Midnight. $12.95 a month? No Way! (Showtime/Movie 
        Channel, Beware!)&quot;.</i></font></p>
      <p><font size=3 face="Times New Roman">The basis for this message was HBO's 
        plans to encrypt their broadcasts so that whoever wanted to see their 
        programs would have to purchase a decoder. </font> <font size=3 face="Times New Roman"><b>Captain 
        Midnight</b></font> <font size=3 face="Times New Roman">, whose real name 
        turned out to be </font> <font size=3 face="Times New Roman"><b>John MacDougall</b></font> 
        <font size=3 face="Times New Roman">, had interrupted HBO's broadcast 
        by reprogramming the satellite that transmitted on that channel.</font></p>
      <p><font size=3 face="Times New Roman">The transmission was interesting 
        because it showed how vulnerable the technological society is. What if 
        Captain Midnight had instead decided to alter the satellite's trajectory, 
        and thus sabotaged millions of dollars worth of equipment? Perhaps worst 
        of all, the hacker penetrated every television viewers consciousness and 
        distributed the unequivocal political message which stated that TV, as 
        a form of information, shouldn't cost anything.</font></p>
      <p><font size=3 face="Times New Roman">On this subject, I would also like 
        to mention some other electronics hackers like the Uppsala-based Atari 
        enthusiast by the name of </font> <font size=3 face="Times New Roman"><b>Marvin</b></font> 
        <font size=3 face="Times New Roman"> (an assumed name), who together with 
        some friends constructed their own telephone cards - &quot;eternal&quot; 
        cards that never ran out.... After a lengthy process, these Uppsala hackers 
        were given suspended sentences and fines, while Telia never received a 
        cent in reimbursement (which was partially due to the fact that Telia 
        itself had made orders for these cards, as they were mighty curious about 
        the invention). Many engineering students across Sweden became so impressed 
        by Marvin's cards that they made copies, and soon there was a considerably 
        greater number of copies than originals. Marvin himself never manufactured 
        very many cards. Mainly he wanted to prove that it was possible, since 
        Telia had boasted of the superior security features of these cards.</font></p>
      <p><font size=3 face="Times New Roman">A similar case involved the Amiga 
        hacker </font> <font size=3 face="Times New Roman"><b>Wolf</b></font> 
        <font size=3 face="Times New Roman">, a resident of Helsingborg (located 
        in southern Sweden), who managed to acquire a card reader of the type 
        that was used for public transit (bus) cards. Wolf was an unusually crafty 
        young man, who was familiar with all types of electronic equipment, and 
        also very mechanically talented. He had a two-year gymnasium degree (</font> 
        <font size=3 face="Times New Roman"><i>translator's note: in Sweden, like 
        many other European countries, the gymnasium offers an intermediate level 
        of schooling somewhere between High School and university, and in some 
        cases offers degrees)</i></font> <font size=3 face="Times New Roman"> 
        in electronics and telecommunications, but he was more dedicated than 
        most university engineers. He had already had a run-in with the justice 
        system for moonshining. </font><font size=3 face="Times New Roman">Without 
        any major difficulty, he managed to hook up the card reader to his Amiga 
        and write a program that could control it. Initially, he probably only 
        wanted to test the system to see if he could program the cards himself, 
        but as time passed it turned into an enterprise. Eventually, it became 
        an operation in which hundreds, perhaps thousands, of cards were forged. 
        Due to a solid and secure database system, the regional transit authority 
        was able to trace and block the forged cards. During a search of Wolf's 
        residence, authorities found (among other things) Marvin's extensive description 
        of Telia's phone cards.</font></p>
      <p><font size=3 face="Times New Roman">The need for proper legislation for 
        these types of crimes is pressing. There are operations that border the 
        illegal, but that cannot be outright criminalized. It is </font> <font size=3 face="Times New Roman"><i>not</i></font> 
        <font size=3 face="Times New Roman"> illegal to own a card reader or to 
        manufacture fake cards. Electronic &quot;identity documents&quot;, such 
        as phone cards or decoders, are not considered identity documents by virtue 
        of the fact that they are electronic, and therefore it is not illegal 
        to possess them. Swedish legislation has simply not yet been adapted to 
        electronic documents. However, </font> <font size=3 face="Times New Roman"><i>using</i></font> 
        <font size=3 face="Times New Roman"> fake documents is clearly illegal. 
        Only commercial manufacture and sales of pirate decoders is illegal - 
        not private possession or distribution. Presumably, legislation has been 
        limited so as not to infringe upon the freedoms of radio amateurs, which 
        means that mail-order kits or other tools for amateur use are permitted. 
        It would be totally legal to put up ads for phone card kits, just as decoder 
        kits are being sold.</font></p>
      <p><font size=3 face="Times New Roman">The solution to this controversy 
        is, of course, not prohibition, but building systems that are so safe 
        that they cannot be penetrated even if the attacker knows </font> <font size=3 face="Times New Roman"><i>everything 
        </i></font> <font size=3 face="Times New Roman">about their inner workings, 
        which is possible through crypto-technology. The question is whether this 
        solution is really that good. In a society that is based on electronic 
        currency, this would serve to prevent </font> <font size=3 face="Times New Roman"><i>all</i></font> 
        <font size=3 face="Times New Roman"> types of fraud and forgery. I will 
        return to this subject in a later section.<br>
        </font> <font size=3 face="Times New Roman">&nbsp;&nbsp;<br>
        </font> <font size=3 face="Times New Roman"><b>Anarchists</b></font> <font size=3 face="Times New Roman"><br>
        </font> <font size=3 face="Times New Roman">The &quot;hackers&quot; that 
        call themselves anarchists are hardly hackers in the traditional sense. 
        Neither are they anarchists. More accurately, they're teenagers with a 
        general interest in bombs, poisons, weapons, and drugs. Since relevant 
        information cannot be found in most libraries, these teenagers find their 
        way to that electronic computer culture in which all information is cross-distributed 
        to other youths who do not themselves have children, and therefore do 
        not feel any sort of responsibility for the information being distributed. 
        For obvious reasons, the youths see themselves as equals, and consider 
        the whole thing a rebellion against adult values and norms. Childish? 
        Perhaps. As a protest against Big Brotherism, it can hardly be considered 
        childish. In any case, there are plenty of adult &quot;anarchists&quot;.</font></p>
      <p><font size=3 face="Times New Roman">Anarchists distinguish themselves 
        by distributing blueprints for weapons and bombs, drug recipes, and instructions 
        on how to efficiently kill another person, etc., with inexhaustible interest. 
        Some hackers become angry when they find their BBS's swamped with such 
        material (which is often totally erroneous, dangerous, and useless); others 
        let the anarchists carry on.</font><font size=3 face="Times New Roman">&nbsp;The 
        most controversial anarchist publication in Sweden is </font> <font size=3 face="Times New Roman"><i>The 
        Terrorist's Handbook</i></font> <font size=3 face="Times New Roman"><sup><a href="#foot6">6</a></sup></font> 
        <font size=3 face="Times New Roman">. Much of the information in the book 
        has to do with basic pyrotechnics, and has nothing to do with terrorism 
        (sometimes I wonder if one of my student neighbors has developed an obsession 
        with this book, as he with inexhaustible energy detonates home-built fireworks 
        every evening. Apparently, many chemistry students have learned a lot 
        about pyrotechnics by studying this type of material).</font></p>
      <p><font size=3 face="Times New Roman">Some people seem to collect similar 
        blueprints and books in the same manner that others collect rocks or stamps. 
        It is only recently that so-called </font> <font size=3 face="Times New Roman"><i>ASCII-traders</i></font> 
        <font size=3 face="Times New Roman"> (ASCII stands for American Standard 
        Code for Information Interchange, which is really a method of coding text) 
        have surfaced; these people are information collectors who dial into different 
        BBS's and look for exciting and somewhat </font> <font size=3 face="Times New Roman"><i>suspicious</i></font> 
        <font size=3 face="Times New Roman"> information. Don't ask me why they 
        do this. Collecting non-living objects is something that one engages in 
        for no reason whatsoever. The digital information collector's obsession 
        is obviously as strong as that of a collector of physical items.</font></p>
      <hr>
      <font size=3 face="Times New Roman"><br>
      </font> <font size=3 face="Times New Roman" color="#999999"><sup><a name="foot1"></a>1</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> Alias Publications 
      is one of the publishers that have offered to print this book. The editor-in-chief, 
      Mikael Borg, wanted me to write more about Alias in this book, which I can 
      understand. Alias is an excellent magazine for those who are interested 
      in this type of material, but who don't have access to BBS's and the Internet, 
      or the energy to dig out the electronic documents that describe hacking 
      techniques. Alias has a shortage of good contributing writers, but they 
      do the best they can, and the paper is interesting to read. Wicked voices 
      claim that Alias is just out to make a quick buck, but as far as I can tell, 
      this claim is not true. Most of the material seems to be thoroughly edited, 
      and the design is far above underground standards.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><b>Update</b></font> 
      <font size="3" face="Times New Roman" color="#999999">: At present, Alias 
      Publications has ceased doing business, and Mikael Borg has gone underground 
      by moving to Thailand.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><sup><a name="foot2"></a>2</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> After writing this, 
      one of my articles was accepted by Phrack (see Phrack #48, article 17): 
      a historical summary of Swedish hacking culture, based on the research I 
      did for this book.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><sup><a name="foot3"></a>3</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> The current method 
      is manufacturing your own home-made cards that the new public phones accept 
      as real credit cards.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><sup><a name="foot4"></a>4</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> An experienced hacker 
      will instantly note that I've chosen a totally boring system: the AS-400.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><sup><a name="foot5"></a>5</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> Security experts 
      constantly emphasize that there </font> <font size="3" face="Times New Roman" color="#999999"><i>are</i></font> 
      <font size="3" face="Times New Roman" color="#999999"> destructive hackers 
      out there. Remember that this threatening image provides the reason for 
      their existence.<br>
      </font> <font size="3" face="Times New Roman" color="#999999"><sup><a name="foot6"></a>6</sup></font> 
      <font size="3" face="Times New Roman" color="#999999"> Pay attention to 
      our definition of &quot;anarchist&quot; (see the first paragraph). Do not 
      confuse hacker-anarchists with political anarchists. The Terrorist's Handbook 
      was published in Sweden by a company that also published quite a bit of 
      Nazi propaganda.</font> </td>
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