Thursday, April 28, 2011

PlayStation credit cards were encrypted

Sony has revealed that credit card details held on its PlayStation Network were stored in securely encrypted files.

The news offers some hope to users worried about their personal data after the online system was hacked.

Sony had previously warned that card numbers and expiry dates may have been among the stolen data.

However, other information, including dates of birth and home addresses, did not have the same level of protection.

The full extent of the security breach was revealed on Monday, following a week-long investigation by Sony.

The company said that up to 77 million PlayStation Network members may have had their personal information taken during an "external intrusion".

The FBI confirmed to BBC News that it was now involved and had been in contact with Sony in the United States.

One of the main concerns for users has been the issue of card security.

In a question and answer blog, posted on the PlayStation website, the company said: "The entire credit card table was encrypted and we have no evidence that credit card data was taken.

"The personal data table, which is a separate data set, was not encrypted, but was, of course, behind a very sophisticated security system that was breached in a malicious attack."

The company has not revealed the type or strength of protection given to credit card information, and Graham Cluley from security firm Sophos warned that "encryption" could mean almost anything.

"Some are as weak as tissue paper, and others can take millions of years to crack," he told BBC News.

"For instance, you could have an encryption that made every 'A' a 'D', every 'B' an 'E' etc, but that would be trivial to crack."

Unusual transactions

Sony suggested that users should keep a close eye on their financial statements and alert their card issuer about any unusual transactions.

That advice was echoed by Visa Europe, the company behind the Visa payment system. It explained that if card data was found to have been stolen and used to make unauthorised payments, users would not have to pick up the bill.

"Cardholders who are innocent victims of fraud will get their money back, subject to the terms and conditions of their bank," it said in a statement.

PlayStation Network members were urged not to cancel their cards at this stage.

A spokesman for Barclaycard said that such action was unnecessary until it was known if card numbers had fallen into the wrong hands.

If that proved to be the case, Sony would need to hand over the information to the UK Payments Administration - the umbrella body that oversees financial transactions including bank transfers and card payments.

The card numbers would then be identified and passed to relevant banks who could block them from use or elevate the level of monitoring for unusual activity.



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YouTube founders buy up Delicious

The founders of video-sharing site YouTube have bought bookmarking service Delicious from Yahoo.

Chad Hurley and Steve Chen will use Delicious as a key part of their next net venture called Avos.

The startup is thought to be based around tools that help people get to grips with the vast amount of information generated by web sites and services.

How much the pair paid to acquire Delicious has not been revealed.

Data deluge

Delicious describes itself as a social bookmarking system in which members flag and tag sites, articles and media they find interesting. These can then be shared with other Delicious users.

Its name derives from its desire to find the "tastiest" bookmarks on the web.

Delicious was acquired in 2005 by Yahoo and in late 2010 the web giant decided to sell it off or close it down if no buyer came forward.

Now Mr Hurley and Mr Chen have acquired Delicious to form part of the technology underpinning their new firm Avos.

Details about Avos and what it will do are scant. A statement from Chad Hurley following the Delicious acquisition said the company will aim to help people manage the information gushing from the web services they use.

"We see a tremendous opportunity to simplify the way users save and share content they discover anywhere on the web," Mr Hurley said.

The pair sold YouTube to Google in 2006 for $1.76bn (�1.06bn). Steve Chen left YouTube in 2008 and Mr Hurley quit working for Google in late 2010.

Delicious will continue in its current form until July 2011. Users are being asked to login to the service and agree to let Yahoo move their account to the new owners.



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