THE NEWS WRAP: USB security is ‘fundamentally broken’

Security researchers Karsten Nohl and Jakob Lell say USB security is fundamentally broken, and there’s no easy fix.

The duo plan to present findings next week that demonstrate a collection of proof-of-concept malicious software that highlights that point.

They’ve created malware called BadUSB, which can be installed on a USB device and completely take over a PC, invisibly alter files installed from the memory stick, or redirect the user’s internet traffic.

BadUSB resides in the firmware that controls the basic functions of a USB stick, not in the device’s flash memory storage, the attack code can be hidden long after the device’s memory would appear to the average user to be deleted.

LinkedIn Q2 results beat analyst estimates

LinkedIn has reported its second quarter results, posting revenue of $534 million, an increase of 47% year-on-year, while its EPS (non-GAAP diluted) was $0.51.

Analysts were expecting the company to post EPS of $0.39 on revenues of $511 million.

The company’s stock is up around 8% following the announcement.

Twitter acquires password security startup Mitro

Mitro, a small security startup which built a way that multiple people can share or control passwords to a single account, has been acquired by Twitter.

Unlike previous acquisitions Twitter is allowing the product to live on.

It will become an open source project and the Mitro team is working with the Electronic Frontier Foundation to vet the code and guide Mitro toward being a self-sustaining, non-profit, community-run service.

Overnight

The Dow Jones Industrial Average is down 317.06 to 16,563.30. The Australian Dollar is currently trading at US93 cents.