Deals mark close relations between Germany and China

Video: German Chancellor meets Chinese Premier, major deals signed

Germany has hammered out a series of major business deals with China, during Chancellor Angela Merke...

Investment quota for RMB program to strengthen Germany as yuan center

AT A GLANCE Deals signed during Angela Merkel’s China visit • Volkswagen aims to establish two plants in Qingdao and Tianjin with an investment of $2.7 billion. • Airbus Group will sell 123 helicopters to Chinese companies for general aviation. • Air China and Lufthansa are in talks that could lead the German and Chinese carriers to form a revenue-sharing joint venture. • The two countries are planning a joint pilot project concerning Passive House, an energy-efficient method of construction, in Qingdao. • China will take part as a partner country in the 2015 CeBIT, the world’s leading expo for information technology, in Hanover.

China and Germany will strengthen exchanges in the financial sector and upgrade longstanding cooperation in manufacturing with a slew of deals signed on Monday.

Beijing will grant Berlin an 80 billion yuan ($12.9 billion) quota under the Renminbi Qualified Foreign Institutional Investors plan to accelerate the internationalization of the Chinese currency, reinforcing Frankfurt's status as a yuan clearing center in Europe, in addition to London and Paris.

A high-level financial dialogue will also be set up to boost financial cooperation, Premier Li Keqiang said at a news conference with visiting German Chancellor Angela Merkel.

President Xi Jinping told Merkel during their meeting, "The series of agreements you have signed during your visit to China will bring new impetus to bilateral ties."

Xi suggests the two countries take bigger steps in their cooperation, with manufacturing industry as the core.

Merkel said Germany would improve its investment environment and attract more Chinese investors.

She is accompanied by a high-profile business delegation including executives from Siemens, Volkswagen, Airbus, Luft-hansa and Deutsche Bank.

Apart from the financial deal, the countries also signed deals on automobiles, aviation and telecommunications.

China approved London joining the RQFII plan in October, granting investors the right to use the yuan to buy up to 80 billion yuan worth of mainland stocks, bonds and money market instruments.

It later granted Paris the same quota in March.

Luxembourg is also lobbying Beijing for the same treatment after it signed an agreement with China's central bank for yuan clearing arrangements on June 28.

Li Jianjun, a financial analyst at Bank of China's International Finance Research Institute, said the competition for offshore yuan centers among major European cities is a healthy feature of cooperation.

"The renminbi is still at the initial stage of internationalization. We are expanding the offshore yuan pie and setting up a global network with overseas financial markets. Allowing qualified foreign institutional investors to use the yuan will benefit China and other countries," Li said.

Chinese leaders are likely to take Frankfurt as a core center for renminbi clearing services in continental Europe, while establishing secondary yuan clearing sites in Paris and Luxembourg, Li said.

"We cannot cover a wide range and a large amount of renminbi-related businesses with only one center," Li said. "With Frankfurt as a leading offshore yuan-trading city, we will create a nice layout for renminbi internationalization in Europe."

In the first five months of 2014, Germany's direct investment in China reached $810 million, or 30 percent of the $2.69 billion investment in China by all members of the EU, according to the Ministry of Commerce.

In 2013, two-way trade between the countries reached $161 billion, taking up almost one-third of total China-EU trade.

China is Germany's largest trading partner in the Asia-Pacific region.

Merkel's visit, her seventh trip to China, came only four months after the last meeting between leaders of the two nations. President Xi Jinping visited Germany in March.

Before flying to Beijing, Merkel stopped at Chengdu, capital of Sichuan province.

Merkel said she felt the dynamics and development of southwestern China in Chengdu, where urbanization is urgently needed to catch up with coastal cities.

"China's vigor stays not only on the coastline but also in the central and west area," she said.

Sebastian Heilmann, president of the Mercator Institute for China Studies, said in a recent interview with Deutsche Welle: "Germany provides China with products it needs for industrialization, for example ,machines, specialty chemicals and electronic goods. On the other hand, Chinese consumer goods with very reasonable prices are in high demand in Germany."

Ren Baiming, a researcher at the Chinese Academy of International Trade and Economic Cooperation at the Ministry of Commerce, said Germany, as well as the European Union at large, need a driving force from the outside for growth, and the fast-growing Chinese market meets that need.

Wu Jiao contributed to this story. - By ZHAO YINAN and JIANG XUEQING (China Daily)
/Asia News Network

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Better Internet governance, keys for Internet governance: standards and benchmarks

A series of non-obligatory international norms promoted at a recent Internet conference in Brazil will be helpful to the establishment of global Internet governance, but it remains urgent that some specific rules be worked out to ensure cyberspace is not used as a means for some countries to target others.

The United States National Security Agency's PRISM program disclosed by the Edward Snowden has aggravated the concerns of countries worldwide about cyberspace security and accelerated the push for better Internet governance.

In March, the US government announced that it will turn over the Internet Corporation for Assigned Names and Numbers, known as ICANN, which manages the core functions of the Internet, to a "global multi-stakeholder community". This, if implemented, would be a positive step toward improving global Internet governance. Nevertheless, the better management of cyberspace depends more on how to build a safe, open, equitable and orderly network environment for countries across the world, says an online article of People's Daily.

For the better governance of the Internet, the UN Charter and the universally recognized norms of international relations should be abided by, and the cyberspace sovereignty of each country, including the laws, regulations and policies each country has adopted regarding the Web should be respected.

All countries should be empowered to manage their information facilities and conduct Internet activities within their territory in accordance with their laws, and their information resources should be free from any external threats.

An Internet governance framework should also be built on the principles of tolerance, equality and extensive participation from multiple parties. All countries, big or small, rich or poor, should be allowed to participate in Internet governance and equally share the opportunities brought by booming information technologies. The making of relevant Internet standards, rules and policies should be based on openness, transparency and fairness, and developed countries should help developing ones to develop their network technologies.

And while enjoying their own Internet rights and freedom, countries should not compromise the information freedom and privacy of other countries.

To promote better Internet governance, the voices of all countries should be respected and their coordination is needed to make cyberspace rules acceptable to all.

- China Daily

The key for Internet governance: standards and benchmarks

A global Internet governance conference in Brazil concluded last Tuesday with a strong demand for building an effective worldwide legislative framework, while a series of Internet-related optional standards had been drafted.

The Internet has spread its influence into every aspect of life around the world. But while people enjoy the conveniences that the Internet brings, they are also starting to worry about security and privacy issues and the possible negative impacts of the Internet. Last year, revelations about the American “Prism” program triggered global concerns about surveillance, resulting in calls for protecting the individual, and strengthening Internet governance

Last month, the U.S. announced its plans to turn over the Internet Corporation for Assigned Names and Numbers, known as ICANN, to a “global multi-stakeholder community”, which sent a positive message to the world. But the obligations of Internet governance should go beyond IP address allocation into control of Internet technical standards and a focus on how countries can build a secure, open, transparent, and ordered web environment.

Internet governance should admit and respect a self-regulated space free of government interference in all countries, subject to a country’s level of technology, language, and culture, and people’s wishes in terms of relevant legislation. A country should also be able to supervise its information infrastructure, information resources, and online activities in accordance with laws designed to protect the interests of its people.

Internet governance should focus on extensive cooperation among all stakeholders against a backdrop of a tolerant and fair attitude. Any country, big or small, rich or poor, should have both the obligation to participate in Internet governance, and the right to enjoy opportunities created by IT development.

Internet governance should uphold open, transparent, and win-win principles for general cooperation. The decision-making on Internet standards, rules, and policy should be open and transparent; developed countries should be encouraged to help developing countries in improving network techniques and narrowing the information gap.

Internet governance should insist on both rights and obligations. A country should uphold the right to privacy by ensuring the effective implementation of all obligations under human rights law. Everyone should be able to enjoy the right to and freedom of the Internet, subject to not damaging the interests of other people or the country, and not breaking the law or damaging social morality.

The key for global Internet governance is to promote close cooperation among countries, and build a practical network of international Internet-related rules and standards. All opinions and proposals from all countries should be heard with equal importance while defining rules suitable for all countries.

- The article is edited and translated from 《互联网治理，规范和标准是关键》, source: People's Daily

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US, UK, India among 'Free World' Governments Worst for online spies

WASHINGTON: US' National Security Agency, India's Centre for Development of Telematics, and the UK's GCHQ have been named among the worst online spies by a non-profit group for implementing censorship and surveillance.

Three of the government bodies designated by Reporters Without Borders as 'Enemies of the Internet' are located in democracies that have traditionally claimed to respect fundamental freedoms, a report by the Reporters Without Borders said.

PARIS - Shady agencies at the service of democratically elected governments are among the worst online spies in the world, media watchdog RSF said Wednesda

In the latest instalment of the "Enemies of the Internet" report, wholesale spying by "free world" services -- much of it exposed by US intelligence contractor Edward Snowden --- is offered no distinction from the unabashed surveillance carried out by the world's worst dictatorships. 

To RSF, agencies such as the US National Security Agency, Britain's GCHQ and the Centre for Development Telematics in India embrace the worst methods of snooping in the name of governments that purportedly hold freedom of speech as a national priority. 

They have "hacked into the very heart of the Internet" and turned a collective resource "into a weapon in the service of special interests" that flout the "freedom of information, freedom of expression and the right to privacy". 

"The NSA and GCHQ have spied on the communications of millions of citizens including many journalists," the report by Reporters Sans Frontieres (RSF, Reporters Without Borders) said. 

The methods used, many of which NSA contractor Snowden revealed to the world last year before going into hiding in Russia, "are all the more intolerable" because they are then used by authoritarian countries such as Iran, China, Turkmenistan and Saudi Arabia, the report said. 

Also singled out by RSF are private companies that provide their most up-to-date powers of snooping at trade fairs that have become giant spying bazaars selling the best that technology can offer. 

It is at these shows hosted regularly around the world that profit-driven spy-ware firms link up with government agents or nervous multinationals that are in search of the newest ways to observe and control the Internet. 

RSF argued that the censorship carried out by the Enemies of the Internet "would not be possible without the tools developed by the private sector companies to be found at these trade fairs." 

With these tools, spies can track journalists anywhere in the world, RSF said. 

Governments keen to impose censorship also help one another. 

Iran has asked China to help it develop a local version of the electronic Great Wall that cuts off billions of Chinese from the Internet as seen by the rest of the world. China is active in Africa and central Asia too. 

To stop this proliferation of snooping, RSF said a whole new legal framework to govern surveillance was "essential" with states needing to embrace transparency regarding the methods being used. 

The fight for human rights, it warned, "had spread to the Internet".

- The Economic Times-AFP

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It is a small world

The world is actually quite small

EVERY week, I go to the nearby wet market to stock up on provisions. One of the stalls I have to stop by is run by a young man who knows that I am there to collect my weekly quota of 20 kampung eggs.

Recently I asked him if he might want to consider starting up an online service to provide home delivery to his regular customers. After all, even the major hypermarkets are going big time in providing such a service to tap into the trend of people being so busy that grocery shopping needs another approach.

His reply tells me once again that true wisdom rests among ordinary people who truly know what the real world is all about. You can grab quotations from wise men and manage­ment gurus but sometimes the real gems are from people like my egg seller.

He basically told me that it is better for me to come out and get the chance to meet people rather than stay in the house. Every moment in any public area, he said, is fresh and unpredictable.

“You can bump into people you have not met for a long time or come across something interesting that cheers you up when you are feeling down,” he said.

The egg seller is correct to say that every moment in public is fresh and unpredictable. I have always believed that nothing happens by chance. Some call it divine appointments but it is this connection of one human to another that opens up a myriad of possibilities.

Through such encounters, we learn that the world is actually quite small once we start connecting the dots and learn that the person we have just met is actually not quite a stranger after all.

As much as I love the written word, I find that it is the spoken word, with all the body language appended, that conveys the true meaning of what we want to say.

To tell someone you are sorry through a card is easy even if you do not really mean it. But to say you are sorry up close and personal, you’d better mean what you say or else.

Those who are less socially inclined than I am will disagree when I say that we are not created to be solitary beings. We need company to flourish in thought and in deed.

We can talk about feeling the pulse of the people and of being connected to the grassroots, but if we are only doing so from the comfort of our living room or office, we will never get the real picture.

Some of the things I read online will make me think there is absolutely no hope left in the country, but when I am out there, I realise that this is just not the case.

Take a ride on the bus or the LRT, drop in to see a friend at the hospital, take a walk around the neighbourhood, have a chat with the grasscutter ...

Then you will learn that the world we live in is a wonderful place because the people make it so.

And we do so by not merely looking out for our own personal interests, but also for the interests of others.

In this season of Christmas, it is my hope that we do our part to reach out and love one another. We can, and we will, make a difference.

Contributed by Soo Ewe Jin. He wishes all Christian readers a blessed Christmas with a gentle reminder that this is the season not only for giving but for forgiving as well.

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Get pay from spying?

Whistleblowing hero: Germans holding up pictures of Snowden while protesting in front of the Reichstag building which houses the Bundestag (lower house of parliament) in Berlin . — AFP

Heavy-duty spying does not pay 

The hidden costs, and the controversy, of the massive US global spying operation keep on growing.

IF officials behind the US-based “Five Eyes” spying network had hoped the scandal would soon fade away, their obvious disappointment should be an object lesson about their excesses and abuses.



US, British, Canadian, Australian and New Zealand spies – together with their Singaporean and South Korean co-conspirators – had violated the implicit trust placed in their governments by friendly and ally nations around the world.

Former US intelligence contractor Edward Snowden had exposed how the conspirators had tapped into fibre-optic cables in 20 locations worldwide and infiltrated 50,000 computer networks.

This unprecedented scale of spying makes no distinction between friend and foe. It has provoked questions about the value of being a friend or “ally” of these Western countries.

Countries in the world’s main regions have routinely been spied on: Europe, East Asia, West Asia and Latin America. The spying exceeds all norms of intelligence gathering to target the personal cell phones of national leaders, from German Chancellor Angela Merkel to Indonesian President Susilo Bambang Yudhoyono and even his wife Ibu Ani Yudhoyono.

Snowden’s leaks reveal that Spain, for example, had been spied on so much as to have 20 million phone calls tapped each day. For the US authorities to insist that it was all for the sake of fighting terrorism is too much of a stretch.

The spying covers economic as well as political purposes. It was revealed that a foreign government’s confidential information picked up from spying is also used to give an unfair advantage to US companies against other companies in bids for international contracts.

Today’s supercomputers can do a lot of work in very little time. The ones used in the US global spying scheme apparently had very little ethical human supervision, precisely because that was the intention.

It has long been a “given” that all countries gather intelligence, to varying degrees, through some of their diplomats, expatriates and other undercover operatives. The extent of this activity also varies with the distance in relations between the spying country and the one spied upon.

Between friendly countries, discussions on issues of common interest and concern are the means of updating one another on events. Excessively intrusive and invasive spying, however, such as the kind Snowden has revealed, is supposed to be for untrustworthy governments and enemy nations.

Such universal perceptions and expectations lie at the heart of the current spying controversy. There is little wonder that countries so sordidly spied on take the matter so seriously.

Such spying shows the United States would enforce its will on all other countries, as opposed to sharing information between equal partners with mutual respect. It also implies that rules will be made by the US alone.

At the bilateral meeting in Jakarta during the week between Malaysian Prime Minister Datuk Seri Najib Tun Razak and Susilo, Malaysia declared full support for Indonesia in placing the spying scandal on the agenda of the next Asean Summit in Myanmar.

In seeking a satisfactory corrective for spying intrusions that breach all known limits, granting a regional profile to the problem is the least that Indonesia and Malaysia can do. Thailand is another Asean country targeted by these spies operating in part from the respective Australian embassies.

France and Germany are particularly outraged by “Five Eyes” snooping. Italy, the Netherlands and Spain are also concerned, as the scandal unites political parties within individual nations as well as European countries throughout the EU – except for Britain.

The aggrieved countries find the excessive spying violating privacy rights, their national sovereignty as well as their domestic laws. US officials predictably reject its seriousness.

The EU now wants a new law requiring private IT companies to inform European regulators if a foreign snooping request is made on any European citizen. That effort could clash with an existing US law that bans any company whose “cooperation” is required from telling anyone.

The potential conflict would pit European determination against US intransigence. It would further test the trans-Atlantic alliance in the post-Cold War period.

As the initial leaks started to provoke European anger, clandestine efforts tried to dilute or divert the upset.

It was somehow also “leaked” that the French government had been spying on its own population, followed by allegations that the German government had known about and even used information obtained by US-connected spies. The truth of these “mitigating” leaks was, however, less clear.

As expected, such efforts at damage control had a very limited effect. The harm perpetrated by US-led spying on the trust, goodwill and relations with Europe was far more serious, and remains a main feature in the foreground.

In Latin America “south of the border”, Brazil, Colombia, Mexico and Venezuela are particularly disturbed by US-led spying activities. Argentina, Bolivia, Chile, Ecuador, Nicaragua, Paraguay and Uruguay are also concerned.

Several of these countries have already offered asylum to Snowden, who hopes to avoid prosecution in the US after his current one-year asylum stay in Russia. The more Washington pressures and threatens these countries, the more keen they are to protect whistleblowers like Snowden.

The Union of South American Nations (Unasur) is currently working on a new, alternative communications system that will cut the prospect of US spying in the region. As a sign of seriousness, the region’s defence ministers who form Unasur’s defence council are tasked with developing the new system.

Unasur’s 12 member countries may be disadvantaged in lacking sophisticated technological inputs for the system. However, they also enjoy certain advantages in a renewed unity, determination and strength of purpose.

Brazilian President Dilma Rousseff, whose email had been hacked by US spies, has accused Washington of violating human rights and crime. Four days ago, she followed this with a defence procurement contract that spelt out clearly where Brazil stood.

Capping a 10-year plan, Rousseff announced on Wednesday that Brazil would buy 36 of Sweden’s Saab Gripen fighter jets instead of Boeing’s F/A-18s in replacing the air force’s ageing fleet. Brazil had bargained the price down from US$6bil (RM19.8bil) to US$4.5bil (RM14.8bil).

US officials privately grumbled over having lost “a US$4bil deal” but in fact the cost of NSA spying on Brazil is almost twice that. Boeing’s price for the F/A-18s was US$7.5bil (RM24.7bil).

Over the longer term, the cost to the US economy is likely to grow if Washington does not or cannot seriously mend its ways. US-based companies like Google, Yahoo! and Microsoft are often seen by other countries as part of the problem in having to comply with US laws and demands.

Unasur is already showing the way forward by working on an alternative. In time, other regions like Europe and countries such as Russia, India and China may also develop their own communications systems and software, taking more business away from US companies.

In the short term it is always tempting to blame the messenger such as Edward Snowden rather than the problematic nature of the message itself. Ironically, the development of modern communications has raised awareness of privacy and sovereignty rights – and of their violations.

To level the playing field, IT development as well as spying activities may need to become more equalised. By serving the greater interests of the greater number, that would be democratisation indeed.

Contributed by Bunn Nagara, who is a Senior Fellow at the Institute of Strategic and International Studies (ISIS) Malaysia, The Star/Asia News Network

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2013 the year of Internet innovation

A man uses his smartphone to take a picture of a person wearing a mask of former U.S. spy agency contractor Edward Snowden during a protest in Berlin, July 4, 2013.

As the year comes to a close, we need to reflect on what are the most important things that have affected our lives in 2013.

The Internet continues to transform our world. The most significant Internet event in 2013 was not the listing of Facebook, which priced the company at $104 billion (almost Bt3.4 trillion), but Edward Snowden's July revelations of Internet surveillance, which revealed that Big Brother, friend or foe, is really watching. Since my smartphone is smart enough to track me even in the toilet, there is really no privacy left in this world.

On the plus side, Singles Day - November 11 - garnered 35 billion yuan (Bt187 billion) in online sales on one day in China. Since China already accounts for one-third of the smartphones in the world, and they can make and sell smartphones at one-third the price of Apple or Samsung, it is not surprising that e-commerce in the Middle Kingdom is set to overtake even the US in volume next year.

Online business is here to stay.

What the combination of the Internet and smartphone means is that a person in the remotest part of Indonesia can sell his or her product to buyers worldwide, and collect over the smartphone, which was impossible to imagine even 20 years ago.

Amazing also are the apps downloaded in their millions to maximise personal efficiency. Ease of personal communication, meanwhile, has been taken to a new level with apps like WeChat. Such free Internet services are rising so fast that even revenue from SMS text messages is slowing down.

On the other side, after Snowden, what must consider the proper role of the government in the Internet and how it should behave to encourage Web innovation and growth?

Nobel Laureate economist Joseph Stiglitz was one of the first to tackle the subject, in "The Role of Government in a Digital Age" (2000), with Peter and Jonathan Orzag. Their report recommended 12 principles. The first three cover the state's proper role in the affairs of the Internet:

1. Provide public data and information.

2. Improve efficient government services.

3. Support basic research.

The next six principles are areas where the government should exercise caution. These include:

4. Adding specialised value to public data and information.

5. Providing private goods only under limited circumstances.

6. Providing services online where private services are more efficient.

7. Ensuring that mechanisms exist to protect privacy, security, and consumer protection online.

8. Promoting network externalities only with great deliberation and care.

9. Maintaining proprietary information or exercising rights under patents or copyright.

The report also signalled "red light" areas of state intervention in the Internet:

10. Governments should exercise substantial caution in entering markets in which private sector firms are active

11. Governments (including government corporations) should generally not aim to maximise net revenues or take action that would reduce competition.

12. Government should only be allowed to provide goods or services for which appropriate privacy and conflict-of-interest protections have been erected.

The Stiglitz-Orzag report was written for the US market, but the general principles are useful guides for all states. The trouble is that Snowden showed that the US government might have failed to follow some of these guidelines. We do know that governments are becoming increasingly intrusive on the Internet, and that such intrusion inhibits competition and innovation.

Because the Internet is evolving very fast, the role of government in Web affairs also needs to evolve. Businesses are becoming even more service and information-oriented, with increasing numbers going digital and in the "Cloud". This means that governments are struggling with three major issues: protecting private privacy, ensuring a level playing field in competition, and taxing online activities.

Governments must also sort out jurisdictional duties and powers, because the Cloud is global, and taxation and regulation is not only national, but departmental. It is as if each small part of the bureaucracy is trying to regulate the whole Cloud. We can all touch and feel its power, but there is no overall central authority that can control the Cloud.

An island nation in the Pacific might pass a law on the Cloud, but could it enforce it?

Individual privacy is being threatened by the practice of hacking, and the biggest hackers are not bedroom-bound nerds, but governments everywhere.

The second problem of a level playing field is a serious one. If Google has maps and can monitor everything I do through my smartphone, does that information belong to Google or to me? If it belongs to the large platforms, does that not confer a huge informational advantage on them? How can governments ensure that there is a level playing field between these massive online platforms and the small businesses that have no such information or may have to pay the platform for it?

The third area is taxation. Online commerce has escaped the tax radar because it is new. In contrast, bricks-and-mortar shops have rents, create jobs and pay value-added taxes. If everything moves online, the government loses the ability to tax, and bricks-and-mortar retail shops will complain they are losing out to larger and larger platforms. Bookshops around the world are closing in droves now that everyone can order through Amazon.

There are no easy answers to these tough questions. The interdependent and interconnected nature of the Internet means that regulatory or government action in one part may affect the system as a whole. In other words, government action or non-action creates a shadow system - the business moves offline, offshore or into cyberspace.

What we need is better transparency, better education, wider access and also some key principles of fair competition that should be enforced for online business to innovate.

Finally, a year-end reminder: use your smartphone in the toilet, and someone (not Snowden) can hear you flush. Merry Xmas and Happy New Year to all.

Contributed by Andrew Sheng, President of the Fung Global Institute.

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Play safe on the mobile, secure your devices!

All a sinister person needs to do to spy on you is to simply penetrate your smartphone or tablet.

OF late, spying has been a household word after revelations of Prism, a clandestine mass electronic surveillance programme operated by the United States National Security Agency (NSA), by former NSA contractor Edward Snowden. 

But one does not need an entire state programme to spy on someone.

All that a sinister person needs to do is to penetrate their intended victim’s smartphone or tablet. Which is quite an easy thing to do, actually. One of the common methods used is spyware.

Such spyware can easily be found by searching on Google although they are usually not free.

There is a possibility that consumers might download spyware from an identified party or an unknown source accidentally. - Goh Chee Hoh

This is what happened when a husband in Singapore suspected his wife of having an affair. On the pretence that his phone was not working, he borrowed his wife’s phone to make a call but instead installed a spyware app.

The husband was then able to see the calls made (but not hear the actual conversation), messages sent and her location at that point, from a computer using a Web-based application that communicated with the app.

When the information confirmed that she was having an affair, he continued to monitor her phone for some time before posting the information online, including the messages she sent to her “lover”. He did not reveal any personal details about themselves but this is how the news became public.

However, many have questioned the authenticity of the story, with some brushing it off as a publicity stunt to sell the spyware app.

Nevertheless, it pays to be safe, as there are apps that can do such things and they are easily obtainable from the Web.


“Mobile phones are an integral part of consumers’ lives, with two thirds of adults worldwide reporting that they use a mobile device to access the Internet,” says David Hall, senior manager of regional product marketing for Norton at Symantec Corporation.

“As we use our mobile phones in new and innovative ways, we’re also putting sensitive information at risk.”

“Spyware is a type of malware (malicious software) that logs information and then forwards that information from your device,” explains Rob Forsyth, director for Asia Pacific at Sophos Ltd.

Usually, such spyware is capable of operating quietly in the background so it can easily go unnoticed by an unsuspecting device owner.

“For a regular user, it is very difficult to figure out that they’ve been infected,” says Goh Su Gim, security advisor for Asia Pacific at F-Secure (M) Sdn Bhd. “There’s no obvious signs.”

In fact, it may surprise you to know that such threats could actually come from a source that’s known to you.

“There is a possibility that consumers might download spyware from an identified party such as their spouse, friends, colleagues, business associates or from an unknown source accidentally,” says Goh Chee Hoh, managing director for South-East Asia at Trend Micro Inc.

As an example, he describes a mobile phone monitoring service which uses Nickispy, a family of viruses that attacks Android devi­ces). It is said to be capable of monitoring a mobile user’s activities and whereabouts. The Chinese website which offers this service charges subscribers fees costing US$300 to US$540 (RM900 to RM1,620).

“This spyware sends MMS to the victim’s mobile device. Once the MMS is downloaded, the cybercriminal is granted access to your line of communications,” Chee Hoh says.

This security issue is further compounded in cases where a consumer uses the same device for both work and personal purposes.

“From a personal user’s standpoint, one can experience loss of privacy whereas from a business perspective, an organisation may lose sensitive data which can lead to loss of revenue,” he explains.

Had such an act been committed in Malaysia, it would go against Section 231 of the Communications and Multimedia Act 1998. Using an app to obtain information from another person’s phone can land the offender a RM50,000 fine or a prison term not exceeding two years if convicted.

The Malaysian Communications and Multimedia commission (MCMC), our multimedia industry nurturer and regulator, also said that it does not act alone when pursuing offenders.

“We look at each case individually and help other agencies like the police, for example, when upholding the law,” said Sheikh Raffie Abd Rahman, MCMC head of strategic communications.

By SUSANNA KHOO and ZAM KARIM
bytz@thestar.com.my, The Star/Asia News Network

Simple safeguards to keep your devices secure

While the mobile security and privacy threats remain very real and imminent, the steps to prevent such problems are really quite straightforward and easy to do.

Following are some practical tips, courtesy of security specialists Symantec Corporation, Sophos Ltd, Trend Micro Inc and F-Secure (M) Sdn Bhd, that you should take note of:

1. Use your device’s built-in security features 

Configure your security settings so that functions such as location sharing are disabled and passwords are not saved but need to be manually keyed in each time.

You can also make your device more secure by activating its lock function and requiring an identification action such as a fingerprint scan, keystroke pattern, numeric PIN or alphanumeric password in order to access the device.

2. Use strong passwords and secure Internet connections

Unique and strong passwords will help prevent valuable information from being stolen from your device. Using a different password for each and every app would be best but you would need to ensure that you have a good way of remembering those passwords if you choose to go this route.

Avoiding open and unsecured Internet connections such as free public WiFi will also reduce risk of online threats on your mobile device.

3. Never jailbreak or root your device 

Use your device as recommended by the manufacturer instead of modifying the version of the iOS or Android operating system that has been installed. This is usually done to install pirated games and apps for free but this makes it easier for spyware to operate on your device.

4. Be cautious when choosing and installing apps

It’s a vast universe out there in the World Wide Web and, at times, it’s hard to tell the good guys from the bad ones. It therefore pays to be extra careful when downloading apps from the Internet. If something is too good to be true, it probably is. Do background checks on developers if you need to be sure, and scrutinise an app’s ratings and reviews as well.

It’s also a better idea to download apps directly from the Google Play Store for Android devices rather than from third party websites since downloads from some of these sources may contain malware.

Do have a close look at the Terms and Conditions as well as permissions requested by an app prior to installing it, as you don’t want to unknowingly allow developers to track and collect personal data which is unnecessary for running the app.

5. Scrutinise notifications and services running on your device 

Stay alert whenever you receive any notification on your device. Some may contain malicious links or cleverly trick you into submitting personal information to cybercriminals.

Also, pay special attention to services running in the background on your device that seem unfamiliar or strange. You will have to refer to online guides on how to check, as it differs among devices.

The principle of “when in doubt, throw it out” could help save you a great deal of trouble later on.

6. Log out immediately

This is especially crucial for social media apps where the chances of your data being misused are higher. Make it a habit to log out of such apps and re-enter login information each time you use them.

7. Stay up-to-date

Take time to pick out a preferred mobile security software and install it on your device. Make sure to constantly update it, and don’t forget to check for updates for all your apps and to install any available patches for your device’s operating system as well. Set up routine scans for your device, and review the logs each time a scan is concluded.

By Susanna Khoo
bytz@thestar.com.my ,The Star/Asia News Network

Related posts: 

1. Upset over US cyber spying!
2. US Spy Snowden Says U.S. Hacking China Since 2009
3. US building new spy wing to focus on Asia

Upset over US cyber spying!

There are increasingly strong reactions to revelations that United States agencies are spying on Internet use by Americans and foreigners as well as planning cyber actions on foreign targets.

 

Weekend News Round-up: US cyber spying whistle-blower revealed; is Snapchat worth US$1bn?

THE revelations of data collection on a massive scale by the United States’ security agencies of details of telephone calls and Internet use of its citizens and foreigners are having reverberations around the world.

Much of the responses have been on the potential invasion of privacy of individuals not only in the United States but anywhere in the world who use US-based Internet servers.

Also revealed is a US presidential directive to security agencies to draw up a list of potential overseas targets for US cyber-attacks.

This lays the Unites States open to charges of double standards and hypocrisy: accusing other countries of engaging in Internet snooping or hacking and cyber warfare, when it has itself established the systems to do both on a mega scale.

The revelations, published in the Guardian and Wall Street Journal, and based on a leak by a former US intelligence official, include that US security agencies have access to telephone data of Verizon Communications, AT&T and Sprint Nextel, as well as from credit card transactions.

They also can access data from major Internet companies – Google, Yahoo, Microsoft, Facebook, AOL, Apple, PalTalk, Skype and YouTube—under the Prism surveillance programme.

Millions of Internet users around the world use the servers or web-based services of the companies mentioned.

Two American citizen groups, the American Civil Liberties Union (ACLU) and the New York Civil Liberties Union, have filed a lawsuit against the US administration.

“Those programmes constitute unreasonable intrusions into American’s private lives that’s protected by the Fourth Amendment (on search and seizure),” said Brett Kaufman of the ACLU, as quoted by IPS news agency.

Governments and people outside the United States are equally upset, or more so, that they apparently are also covered by the massive US surveillance programme.

The European Union’s commissioner of justice Viviane Reding has written to the US attorney general asking if European citizens’ personal information had been part of the intelligence gathering, and what avenues are available for Europeans to find out if they had been spied on.

In China, commentators and opinion makers are citing double standards on the part of the United States.

An article in the China Daily commented that the massive US global surveillance programme as revealed is certain to stain Washington’s overseas image and test developing China-US ties.

An editorial in another Chinese paper, Global Daily, stated: “China needs to seek an explanation from Washington.

“We are not bystanders. The issue of whether the United States as an Internet superpower has abused its powers touches on our vital interests directly.”

In their summit last week in California, United States President Barack Obama reportedly pressed Chinese President Xi Jinpeng to curb cyber-spying by Chinese agencies and companies.

The breaking news about the United States snooping on Internet users must have caused some discomfort to Obama when bringing up this issue.

A Chinese Foreign Ministry spokesperson last week reiterated that “China is also a victim to the most sophisticated cyber hacking”.

Though less publicised, a part of the leaks published in the Guardian, was a 18-page directive from President Obama to his security and intelligence officials to draw up a list of potential overseas targets for US cyber-attacks.

The October 2012 directive states that what it calls Offensive Cyber Effects Operations (OCEO) “can offer unique and unconventional capabilities to advance US national objectives around the world with little or no warning to the adversary or target and with potential effects ranging from subtle to severely damaging”, according to the June 7 Guardian article by Glenn Greenwald and Ewen MacAskill.

The directive says the government will “identify potential targets of national importance where OCEO can offer a favorable balance of effectiveness and risk as compared with other instruments of national power”.

The aim of the document was “to put in place tools and a framework to enable government to make decisions” on cyber actions, a senior administration official told the Guardian.

Obama’s move to establish a potentially aggressive cyber warfare doctrine will heighten fears over the increasing militarisation of the Internet, comments the Guardian article.

It adds that the United States is understood to have already participated in at least one major cyber attack, the use of the Stuxnet computer worm targeted on Iranian uranium enrichment centrifuges, the legality of which has been the subject of controversy.

In the presidential directive, the criteria for offensive cyber operations in the directive is not limited to retaliatory action but vaguely framed as advancing “US national objectives around the world”.

Obama further authorised the use of offensive cyber attacks in foreign nations without their government’s consent whenever “US national interests and equities” require such non-consensual attacks. It expressly reserves the right to use cyber tactics as part of what it calls “anticipatory action taken against imminent threats”.

The Guardian commented: “The revelation that the US is preparing a specific target list for offensive cyber-action is likely to reignite previously raised concerns of security researchers and academics, several of whom have warned that large-scale cyber operations could easily escalate into full-scale military conflict.”

Meanwhile, UN Human Rights Council’s Special Rapporteur Frank La Rue issued a report on June 4 on the increasing use of surveillance, warning that unfettered state access to surveillance technologies could compromise human rights to privacy and freedom of expression, as protected by the Universal Declaration of Human Rights and the International Covenant on Civil and Political Rights (ICCPR).

The report warned too against the use of “an amorphous concept of national security” as a reason to invade people’s rights to privacy and freedom of expression, arguing that such an invasion potentially “threatens the foundations of a democratic society”.

Global Trends
By MARTIN KHOR

Related posts:
US Spy Snowden Says U.S. Hacking China Since 2009 
New China-US relationship can avoid past traps 
Xi-Obama summit aims to boost ties, aspirations between China and USA