We can contribute to childhood e-safety

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We can use identity and authentication (ie “recognition”) technologies to improve Internet safety, if we use them correctly.

It is good to wander out of the comfort zone from time to time and expose your ideas to more acid tests. Hence I went along to the seminar on “Childhood and the Internet – Safety, Education and Regulation” in London in January. I was there for three main reasons:

  1. I am interested in the evolution of identification and authentication in an online environment, and protecting children is one of the cases that brings the mass market practicalities into sharp relief.
  2. We have clients who are developing recognition services, and it seems to me that if these services can contribute to a safer environment for children then we may have something of a win-win for encouraging adoption.
  3. Protecting children is an emotional topic, and as responsible member of society it concerns me that emotional responses may not be society’s best responses. This is a difficult subject. If, as technologists, we make any comment about initiatives to protect children being pointless or even counterproductive we may be accused of being sympathetic to criminals and perverts hence we need to learn to engage effectively. I’m not interest in childhood e-safety theatre, but childhood e-safety.

The seminar was kicked-off by Simon Milner, the Policy Director (UK and Ireland) for Facebook. He started off by noting that Facebook has a “real” names policy. Given my fascination with the topic, I found his comments were quite interesting as they were made on the same day that the head of Facebook, Mark Zuckerberg, was interviewed in Business Week saying that the “real” names policy was being amended.

One thing about some of the new apps that will come as a shock to anyone familiar with Facebook: Users will be able to log in anonymously.

[From Facebook Turns 10: The Mark Zuckerberg Interview – Businessweek]

Simon went on to say that the “real” names policy, setting to one side whether it means anything or not, is a good thing (he didn’t really explain why and I didn’t get a chance to ask) and then talked about how children who are being bullied on Facebook can report the problem and so on. I know nothing about this topic, other than as a parent, so I can’t comment on how effective or otherwise these measures might be. To be honest, there were several talks that I’m not qualified to comment on so I won’t, other than to say I found some of the talks by the subject matter experts extremely thought-provoking and I’m glad I heard them.

The main discussion that I was interested in was led by Helen Goodman MP (the Shadow Minister for Culture, Media and Sport) and Claire Perry MP, who is the Prime Minister’s special advisor on preventing the sexualisation and commercialisation of childhood. The ex-McKinsey Ms. Perry attracted a certain amount of fame in web circles last year (just search on “#PornoPerry”) when she made some public statements that seemed to indicate that she didn’t completely understand how the internet worked, despite being behind the government’s “porn filter”. (I am not picking on her. I should explain for foreign readers that most MPs are lawyers, management consultants, property developers, PR flacks and such like and they don’t really understand how anything actually works, least of all the interweb tubes. Only one out of the 635 MPs in the British Parliament is scientist.)

Now, let me be completely honest and point out that I have previously criticised not only the “real” names movement in general but Ms. Goodman’s views on anonymity in particular. I think she is wrong to demand “real” names. However, as I said a couple of years ago,

I’m not for one moment suggesting that Ms. Goodman’s concerns are not wholly real and heart felt. I’m sure they are.

[From The battle of the internet security experts – Tomorrow’s Transactions]

This does not make her right about what to do though. Forcing people to interact online using their mundane identity is a bad idea on so many levels.

But that was the same month that the Communist party struck its first major blow against Weibo, requiring users to register their real names with the service. From that point, those wishing to criticise the Party had to do so without the comforting blanket of anonymity and users started to rein themselves in.

[From China kills off discussion on Weibo after internet crackdown – Telegraph]

I’m not suggesting that Ms. Perry represents a government intent on creating a totalitarian corporatist state that reduces us wage-slaves to the level of serfs to be monitored at all times. I’m sure her good intentions are to block only those communications that challenge basic human decency and serve to undermine the foundations of our society, such as MTV, but the end of public online space seems a drastic step. What has been the result of the Chinese campaign to end anonymity? What is the practical impact of a real names policy?

Once an incalculably important public space for news and opinion – a fast-flowing river of information that censors struggled to contain – it has arguably now been reduced to a wasteland of celebrity endorsements, government propaganda and corporate jingles.

[From China kills off discussion on Weibo after internet crackdown – Telegraph]

None of us, I’m sure, would like to see pillars of our society such as the Daily Mail reduced to the level of “celebrity endorsements, government propaganda and corporate jingles”. Perhaps there is now less crime in China too, but I have yet to discover any statistics that would prove that. I don’t want this to happen to Twitter, Facebook and The Telegraph web site (where it is my right as Englishman to post abuse about the Chancellor of the Exchequer should I so choose). So here is a practical and positive suggestion. At the seminar Helen said the “The gap between real-world identity and online identity is at the root of [the problem of cyberbullying]”. So let’s close that gap. Not by requiring (and policing) “real” names, but by implementing pseudonymity correctly. I wrote an extended piece on this for Total Payments magazine recently.

Now imagine that I get a death threat from an authenticated account. I report the abuse. Twitter can (automatically) tell the police who authenticated the transaction (i.e., Barclays). The police can then obtain a warrant and ask Barclays who I am. Barclays will tell them my name and address and where I last used my debit card. If it was, say, Vodafone who had authenticated me rather than Barclays, then Vodafone could even tell the police where I am (or at least, where my phone is).

[From Dave Birch’s Guest Post: Anonymity – privilege or right? – Total Payments : Total Payments]

As I said, I don’t just want to talk about doing something about cyberbullying and the like, I actually want to do something about it. “Real” names are a soundbite, not a solution. What we need is a working identity infrastructure that allows for strongly-authenticated pseudonyms so that bullies can be blocked and revealed but public space can remain open for discussion and debate. Then you can default Facebook and Twitter and whatever to block unauthenticated pseudonyms without insisting the kid looking for help on coming out, the woman looking at double-glazing options or the dreary middle-aged businessman railing against suicidal economic policies from revealing their identities unless they want to

What will the new UK Payments Regulator change?

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You may think payments regulation is a rather dull subject, but it isn’t. Angus McFayden from Pinsent Masons spoke about the changes to the regulation of the UK payment sector at the Westminster e-Forum on “Digital Payments in the UK” [PDF] that I spoke at last November. As I remember him pointing out, with characteristic accuracy, these changes are not going to drive down costs (there is nothing in the UK National Payment “Plan” about this anyway), which I would have thought to have been a reasonable goal. So what are they going to do? Well, they are supposed to improve competition while simultaneously ensuring stability and so forth.

How? You may remember that HMT (Her Majesty’s Treasury, the UK’s Ministry of Finance, essentially) had a public consultation on the options for UK regulation a while back, and…

So given it was what the government said they wanted, want the respondents said they wanted and, most importantly, what I said that I wanted… the government has decided to choose an alternative path and it now says it will create a new payment regulator

[From You searched for response to consultation – Tomorrow’s Transactions]

So we are going to have a new payments regulator, and this will improve competition and ensure stability. Angus explained that this regulator, expected to be operational in April 2015, will have a number of powers and that one of them will be to mandate access to payment systems. This means for schemes, rather than direct access to accounts, and is laudable. If more organisations have access, there will be more competition and therefore, hopefully, reduced costs. So far, so not particularly interesting.

However, under proposed reforms to PSD2 things might move a little further and, somewhere downstream, there may be changes following on from the European Commission’s consultation on third-party access to the bank account, known as “XS2A”. In this scenario, I would be able to grant a licensed third party (a Payments Institution or bank, essentially) access to my bank account so that they could get the balance, look at transactions and perhaps even trigger FPS payments. Now this is really interesting. The potential for new services here is obvious and by removing an intermediary layer there should be a reductions in costs. But, and this is a big but as far as I am concerned, without the right identity infrastructure, the right security and the right compliance regime, this could be another Chernobyl.

I imagine that this is the sort of thing that will be discussed in London in February at the forthcoming “Payments Intensive”, where you can listen to Consult Hyperion’s Anthony Pickup and Adrian Kamellard, the Chief Executive of the Payments Council, amongst others, talking about payments regulation in more detail.

Payments Intensive 2014: Future Development and Regulation, will bring together key figures from business, legal and regulatory backgrounds, to discuss the most pressing issues in the payments sector today.

[From Payments Intensive 2014: Future Development and Regulation | Cecile Park Conferences]

The magnificent group of gentlepersons and scholars at Cecile Park have very kindly given Tomorrow’s Transactions a complementary delegate place at this event to dispose of as we please, so we’re having one of our blog competitions. If you are going to be in London on 6th February and would like to attend the Payments Intensive, then all you have to do is be the first person to comment on this post with the name of the British record label that has just released a version of Bach’s Wurttemberg Sonatas performed by the Iranian-American harpsichordist, Mahan Esfahani, and you will be given entirely free a place at the event (worth an astonishing THREE HUNDRED AND FORTY FIVE of your English pounds).

As always, the judge’s decision is arbitrary and capricious.

Special Feature: Electronic voting, electronic identity and electronic entitlement

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There is a good way to fix the problems with voting, and it’s not with photocopies of gas bills or Railcards. Time for a National Entitlement Scheme.

Something must be done.

At Consult Hyperion, we are interested in electronic voting for three main reasons:

  • We are thought leaders in the digital identity space and electronic voting is a key “stress” application for digital identity;
  • We advise public sector clients on national identity and identity-related schemes (eg, the Irish Government’s Public Services Entitlement Card);
  • While people think about electronic voting in national and other political elections, there are a great many other applications of interest to our clients. A good example is the use of electronic voting for corporate purposes to replace postal voting at shareholder meetings, where the techniques developed for political elections could be used to reduce costs.

The practical deployment of, and experiences learned from the use of, new electronic voting systems are invaluable input into the wider question of identity infrastructure for a modern society, which is why we were delighted to be able to sponsor the 4th International Conference on e-Voting and Identity at the University of Surrey last year. This turned out to be an excellent event and we learned a lot about the different approaches to the problem, constraints, potential solutions and so on. As it happens, there are a great many practical problems around voting, and the solutions are complicated. But there are real social needs that must be addressed, and one of them has just reappeared in the British media.

Voters should be required to show photo ID at polling stations in Great Britain to lessen the risk of fraud, the Electoral Commission has said.

[From BBC News – Voters ‘should be required to show photo ID at elections’, says watchdog]

Personally, I’m in favour of voter IQ laws as well as voter ID laws, but there you go. While electoral fraud is not rampant in the UK, it is certainly not non-existent. The Electoral Commission in fact identified 16 out of the 400 local authority areas in the UK as being at risk, one of these being my own dear Woking, where we have a long and proud traditional of electoral fraud and only last year one of the candidates in local elections was found guilty of electoral fraud. The Electoral Commission highlighted the major problems that have been identified around postal voting (which I do not think should be allowed, but that’s another issue). Foreign readers might be surprised to learn that when you go to vote in the UK you simply give your name and it is crossed off of a list of eligible voters, much as it was when the first Viscount Watkinson was returned as Woking’s MP in 1950 when the constituency was created, or for that matter when Sir Talbot Buxomley was first elected MP for Dunny-on-the-Wold in the reign of George III. This arrangement is no longer immune from the suspicion of personation, so the Commission has recommended the use of photographic ID.

The research revealed that some people were concerned that a requirement for photographic identification would discriminate against certain groups of electors, who would not necessarily have any form of photographic documentation, such as a passport or driving licence.

[From Security Document World]

Similar issues are to the fore across the pond where the US voter ID situation is in a bit of a mess. If I understand the current situation properly, one of the problems with the just-introduced Voting Rights Amendment Act 2014, which is a response to the Supreme Court striking down part of the Voting Rights Act last year, is that there is potential for discrimination against people who are not able to obtain a “Voter ID” card. You can see their point. In other countries, this isn’t a problem, because everyone has some form of ID card. But in the US which, like the UK, has no identity infrastructure, then “systems” developed for other purposes will have to be sub-optimally commandeered. This is the sort of thing that is going to be proposed in, to pick a random example, Nevada.

The new voting system also would link with Department of Motorized Vehicle’s license database, allowing poll workers to visually verify the identity of the person attempting to vote.

[From Nevada secretary of state gets mixed reaction to voter verification proposal – Las Vegas Sun News]

Since the British government recently announced that it was going to put driving licence details online anyway, then I imagine there would be some pressure to use this database, despite its being known to be notoriously inaccurate. But what else do British subjects have to hand with a photograph on it, if not a passport or driving licence? My son could use his student ID card, I suppose (although I am rather against allowing students to vote, on principle) although I’ve no idea how it might be verified on the day. Perhaps they could ask us to sign to vote?

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On a recent expedition to New York I was asked for photo ID as condition of entrance to a well-known landmark. I produced the (expired) building pass for our Madison Avenue office as was waved through. Which illustrates what is to me a central problem: if I am required to produce a photo ID at a polling station, it will do nothing to prevent fraud. The polling stations are manned by local volunteers doing their civic duty, not by expertly-trained anti-fraud personnel who are skilled in the inspection and detection of counterfeit identity documents. If I show up to vote and present a driving licence, a Portugese fishing licence or an England football club supporter’s card, the polling station staff will have no means to verify it. As it happens, some UK pressure groups are against photo ID in principle anyway, because it discriminates against people who don’t have a photo ID. Consequently,

the idea of voters being requested to provide a non-photographic form of identification at the polling station was welcomed in principle by both the public and electoral administrators.

[From Security Document World]

This seems utterly stupid to me but it is certainly in the great British tradition of pointless activity! It follows the tried and tested political theory of “something must be done, this is something, therefore it must be done”. So the Mother of Parliaments will rest on a franchise that is protected by photocopies of gas bills, since as we all know, electoral terrorists dedicated to subverting democracy will be unable to forge those. Not that I can produce one anyway, because my gas bill is electronic.

Compared to this, the TSA’s decision to accept Facebook profiles as valid identity for boarding flights in the US seems sound. On balance, I judge it to be far harder to forge a plausible Facebook profile than a plausible gas bill, so if I turn up at the polling station and log in to the Facebook profile for David Birch (if there is a Facebook profile for a David Birch, incidentally, I can assure you it isn’t me) then they may as well let me vote.

The USA’s Transport Security Administration is accepting sight of a traveller’s Facebook profile as a form of ID, it has emerged.

[From Facebook profile accepted as ID at airport security | The Drum]

One can imagine that this approach might itself still be further secured by the addition of photo ID. There’s an app for that…

An upcoming app for Android, iOS, and Google Glass called NameTag will allow you to photograph strangers and find out who they are — complete with social networking and online dating profiles.

[From Facial recognition app matches strangers to online profiles | Crave – CNET]

So all we need to do is equip the polling clerks with Google Glass and job done? I don’t think so. I think we should think about what infrastructure is needed here and then work out the best to way implement it. There are a great many circumstances in which I would certainly imagine a Facebook profile to be a much better form of identification than a photocopy of my gas bill, but voting isn’t one of them, especially if there are already concerns about fraud.

But Electoral Commission chairwoman Jenny Watson said most voters could use passports, driving licences or even public transport photocards to prove who they are at polling stations. Those without any of these documents could request a free elections ID card, she added.

[From BBC News – Voters ‘should be required to show photo ID at elections’, says watchdog]

I am not making this up. Gas bills, Facebook profiles and railcards. That is where our democracy is in 2014. What a joke.

This is something.

The real solution is, of course, not using Railcards or football supporter’s cards, or indeed special-purpose election ID cards, but a general-purpose National Entitlement Scheme (NES). Few readers will remember this, but some time before the UK government’s last attempts to introduce a national identity card, there were consultations around a much better idea, which was a national entitlement card. As my colleague Neil McEvoy and I pointed out in Consult Hyperion’s response to this consultation, the “card” is only one mechanism for storing and transporting entitlements and in the modern age there might be better ones, such as mobile phones for example, that can not only present credentials but also validate them.

It is time to revisit that proposal to try and get the British government out of its muddle about identity infrastructure. A future administration will certainly have to introduce something, not only because of the issue of voting fraud but due to continuing concerns about illegal immigration, health tourism, benefit fraud and so forth. Suppose that the vision for national identity (based on the concepts of social graph, mobile authentication, pseudonyms and so on) focused on the entitlement rather than on the transport mechanism or biographical details? Then, as a user of the scheme, I might have an entitlement (ie, a public key certificate) on my purpose-built national entitlement card (so that’s some of the population taken care of), I might have a entitlement certificates on my bank card (so that’s the overwhelming majority of the population taken care of) and I might have certificates in my mobile phone (so that’s 99.9% of the population taken care of). Remember, these certificates would attest to my ability to do something: they would prove that I am entitled to do something (access the NHS, open my office door, buy things in Waitrose), not who I am. They are about entitlement, not identity as a proxy for entitlement. The government could give out free smart card readers (as they do in Spain) or leave it to the banks to distribute them.

In practice, I think the example set by a modern countries such as Turkey and Estonia are most attractive: I log in to the whatever with some pseudonym, the service provider sends a message to my mobile phone (over-the-air or via NFC or BLE in the future), the PKI in my SIM decodes the challenge and signs the response, and I’m connected. Securely and simply. And if other service providers want me to log on in the same way, they can issue their own certificates as well. There’s a similar approach to this in Norway except there the IDs are issued by the banks and used by the government and other private sector organisations. Imagine a national entitlement scheme that used this technology: it would be efficient and cost-effective, since it would use the phones that people already have to deliver services that they definitely want.

And, best of all, my phone would be able to check the entitlement presented by your phone, so none of us would need special equipment. I show up with my phone and claim that I am entitled to vote: my phone presents a meaningless but unique number, this is entered manually or automatically into the polling clerk’s phone which flashes up my picture if I am entitled to vote or a red cross if I am not. I show up with my entitlement card and the polling clerk reads it using their NFC interface, and so on. Instead of postal votes, the polling clerk can go to the old folk’s home and let them vote individually, certain that they are not being threatened or cajoled.

Should people be allowed to go one step further and simply log in to vote from home? For political elections, I think not. Voting must be in public in order to dispel any suspicion of coercion. Maybe it won’t have to be a polling booth any more (you could have general elections that last a week during which people can vote at Post Offices or bank branches or whatever), but it has to be somewhere public.

Therefore it must be done.

It seems to me that a national plan to finally do something useful about identity might obtain “parasitic vitality” (to use one of my favourite ID phrases) from the specific issue of voter ID. In the UK and in the US, this might be a way to both improve security around the act of voting as well as vector for deployment. Maybe electronic voting can be a focus to get the Cabinet Office’s Identity Assurance (IDA) scheme a flagship and get the public and private sector working together to deliver an infrastructure that will be of benefit to all.  I should mention in passing that we have been working with the Cabinet Office on one of their “Alpha Projects” in the North of England which, as it happened, included photo ID for authentication as one of the use cases.

I’ll be talking about the idea of National Entitlement Scheme (NES) in my keynote at the 17th annual Consult Hyperion Tomorrow’s Transactions Forum in London on 19th and 20th March 2014. Unfortunately, mine will only be the second most interesting keynote at the event, because the kick-off keynote will be by Felix Martin, the author of “Money: The Unauthorised Biography”. As always the Forum — thanks to the fantastic support from our platinum sponsors Visa Europe & VocaLink, and our sponsors Fiserv & Olswang — is limited to 100 places. Oh, and did I mention that all delegates will be getting a complementary copy of Felix Martin’s excellent book, by the way?

See you at the America Square conference centre on 19th March at 9.30!

The real wallet wars are about to begin, and they’re not about payments

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The most important thing in digital wallets will be identity, not money. If you’re sick of listening to me about this, listen to @Jack.

Threats, risk and attacker motivation: a real life example

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Margaret FordTravelling home from a meeting at the Payments Council on Monday afternoon, I was enjoying the peace and quiet of the train gradually emptying as it drew further out of town. At Sunningdale, a station normally notable only for the most prosperous passengers, a group of excitable teenagers joined the train obviously looking for trouble. Brandishing camera phones, they seemed more of an irritant than a threat.

Avidly reading advice on strategies to avoid arrest by over-zealous US police officers, quoted in an article from the latest edition of Cryptogram, I felt comfortably detached from my surroundings. The luxury of a half-empty train on the Reading line is a rare treat.

The author of the article advised that unlawful activity is best indulged in from the comfort of your own home. If you must commit crimes in public, avoid drawing attention to yourself. In particular, even if you become aware of an officer while performing an illegal act, it is better to continue rather than raise suspicion through a sudden change in behaviour.

At this point I became aware that I had unwittingly become the focus of the gang, who had moved on from threatening to punch random strangers to wielding newspapers and cigarette lighters while daring each other to take my phone. Suddenly alert to the situation, I put my phone away, muttered ‘excuse me’ and wandered gently up the carriage. They left the train at the next station.

I’d made the mistake of forgetting that my brand new phone which I regarded as a standard device for accessing content and keeping in touch, could also be seen as a status symbol with significant market value. On reflection, it gave me a tangible example of one of the key risk concepts being investigated by the TREsPASS project: attacker motivation. This had moved from the general to the specific, as an opportunity was spotted and the incident unfolded. It was clearly unpremeditated and yet in many ways predictable.

As my brother commented the next morning, teenage gangs in our area just aren’t what they were in our youth, when they would steam the length of trains in groups of twenty or more. He also gave me a great tip for protecting my phone in future, which in his experience deters all potential muggers.  Waterproof, costing only a few pence, with the option of additional cotton wool for extra authenticity: an attractive little black plastic bag with yellow drawstring, as commonly carried by dog walkers.

Fraud – milking the system

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DGWB_Square_LIFT_small.jpgI almost fell off of my seat on the train when I read what I think may well be the official Tomorrow’s Transactions Burgundy Ribbon favourite newspaper story of the year. Yes, the head of a bank being a #crystalmethodist was good and #Higella’s revelations about Charlie and cash were good, but I think that it is very hard for anyone in the world of digital identity and digital money to top the story of the Romanians who claimed over half a million dollars in agricultural subsidies for their cows… in Farmville.

The internet of things needs some thinking through

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[Dave Birch] There was a story in the British newspapers recently about an Italian criminal family (literally, a father and son) who were arrested for selling fake Romanée-Conti wine (a Burgundy that is one of the most expensive in the world at £14,000 a bottle). The police say that the fake labels applied to the bottles of plonk were “near perfect”. Aha. My eyes pricked up at this. A genuine problem, for which there may be a technological solution that some of our clients could benefit from supplying.

The NFC tags are located behind the label on the winery's Vintage 2010 range, with bottles selling at €2,000 to €2,500 each.

[From French winery picks NFC tags for authentication • NFC World]

Setting aside the interesting technical question of whether these tags are actually NFC or not, I have to report that this is not a new use case for contactless. I wrote up the use of RFID in the drinks business in Korea three years ago when we were looking at some identity-related business cases for one of our telecoms clients.

When the whiskey is bottled, the caps have an RFID tag added to them. This is coded with a URL and an identifier. When a customer, or a shopkeeper, or a policeman, or in fact anyone else wants to check whether the whiskey is real or not, they touch the cap with their phone and the URL launches a web site that knows the provenance of the identifier and can tell you when and where it was bottled as well as some other information. When the customer opens the bottle, the tag is broken and can no longer be read.

[From Digital Identity: There's whiskey in the jar-o]

I happened to find myself sitting next to Erik Harvey from iProof, one of the leading companies in this field, at the WIMA NFC event in San Francisco this week, and he made the very sound point to me that to work for all the stakeholders, systems such as these must involve the consumers. If consumers don’t tap on or scan the labels then there’s no data flowing around the system. We need consumers to be an active part of the anti-counterfeiting activity or it won’t work: they have to want to take part. I think, with the appropriate messaging, that they would. After all, who wants to be embarrassed serving a fake wine at dinner and, aside from that, who doesn’t want to learn more about a wine that they try and like? I’ve often seen people use their mobile phones to take the picture of the label on a bottle at a restaurant, presumably because they find the wine delicious and may want to order it again in the future.

This problem of epicurean counterfeiting is not confined the exclusive French vineyards. It’s a problem the world over, although it takes different forms in different cultures.

The bird's nests can be sealed in a box with an RFID tag that contains a microchip embedded with details about the harvest. A handheld scanner emits a radio frequency to unlock that information.

[From BBC News – RFID technology thwarts bird's nest counterfeiters]

Now, as have pointed out more than once in this context, the tag by itself isn't very useful (especially since absolutely no-one bothers implementing the security layer of NFC). The people who steal authentic labels from designer goods factories will steal authentic RFID tags as well. What is critical is the ability to determine provenance and this mean mutual authentication as well as a managed infrastructure.

Without an infrastructure that includes end-to-end digital signatures there's no way round this. The phone needs to know the chip is authentic. The database needs to know who is asking, and the consumer needs to know who is answering.

[From Digital Identity: There's whiskey in the jar-o]

The security of stuff in the internet of things (IoT) is a really, really interesting subject. It has implications that go way beyond protecting connoisseurs from embarrassment.

Rob Wainwright, director of the EU’s crime-fighting agency, said Europe’s black market in counterfeit foodstuffs, pharmaceuticals and machine parts doubled to a value of about €2bn in the early years of the recession.

[From Crime gangs look to clean up as Europe’s black market balloons – FT.com]

The odd couple of billion here or there doesn’t seem like a big deal to me, especially when the same article notes that VAT fraud is at least fifty times bigger, but taking counterfeit medicine or flying in a plane with a counterfeit part does seem like a big deal to me and I’d rather it didn’t happen. I hate  to say it, but perhaps some form of European co-operation might be needed…

One more thing. I don’t see that the security and privacy issues that come along with the IoT have been thought through at all. I tried to make this point a few years ago, using my pants as the target object, when I was looking at the use of RFID in high-value consumer goods. We need to develop an additional layer that delivers both enhanced security and enhanced privacy. It’s one thing for dinner guests to scan my wine bottle to see that it is a real Romanée-Conti and another for them to scan my Rolex to check that it is indeed a first-class far-eastern knock-off, but it’s quite another for them to be able scan my underpants and determine that they date from 1983. How do we turn tags on and off? How do we grant and revoke privileges? How do we allow or deny requests for product or provenance? These are difficult questions.

These are personal opinions and should not be misunderstood as representing the opinions of 
Consult Hyperion or any of its clients or suppliers

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