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European Court Rules ‘OTTs’ And ‘VoIP Services’ Are Subject To European Telecom Regulations

The ruling was issued nine years after the case started.

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Photo: Stock Catalog | Flickr | CC BY 2.0

In a landmark ruling, the European Court of Justice ruled that Internet-based, commonly known as “over-the-top” (OTT) services are subjected to the European law and telecommunications regulations, a court document reveals.

The fourth chamber court made the ruling of the ECJ composed of M. Vilaras (Rapporteur), President of the Chamber, K. Jürimäe, D. Šváby, S. Rodin and N. Piçarra, and Judges. The issuance of the ruling on June 5th marks an essential clarification in the field of VoIP and Internet-based communication.

The ruling revolves around the complaint made by Skype Communications, a global phone messaging and calling tech giant, a subsidiary of Microsoft, against Belgian Institute of Postal Services and Telecommunications (IBPT) concerning its decision to impose an administrative fine on Skype Communications for providing an electronic communications service without first having given the required notification.

Skype Communications runs Skype, “which allows users who have installed that software on a terminal, namely a computer, a tablet, or even a smartphone, to enjoy a device-to-device voice-telephony and teleconference service.”

As an added service, Skype also offers SkypeOut, a way for users to call outside users without skype using their mobile numbers. This feature allows users to make calls from a terminal to a fixed or mobile telephone line using the Internet Protocol (IP) and, more specifically, the technique called ‘Voice over IP’ (VoIP).

But SkypeOut does not receive calls from users using Belgian telephone numbers. This kind of service is called an “over-the-top” service or OTT — a service that is available on the Internet but does not require any form of traditional communications operator.

SkypeOut. Photo: Skype

Back in 2011, the IBPT requested for Skype to notify it of its services by Article 9(1) of the LCE. However, Skype refused to do so, citing that they did not carry out any activities in Belgium.

Furthermore, Skype argues that in any event, the company does not have any electronic communications services since they don’t transmit signals themselves. Instead, the company said, it used international operators who sent the signals themselves.

Nonetheless, the IBPT was persistent, sending Skype another request citing that SkypeOut was indeed part of an “electronic communications service” within the meaning of Article 2(5) of the LCE.

“First, the fact that a numbering plan was used revealed that the service was more than a web application and was not covered by the content exception referred to in the definition of an electronic communications service. Second, the fact that Skype Communications did not transmit signals over electronic communications networks did not prevent it from, in fact, offering such services. Lastly, the SkypeOut service was aimed at users resident in Belgium,” reads the court document obtained by Z6Mag.

The tit-and-tat between Skype Communications and the IBPT continued until October 2017 when Skype said that there are significant technical differences between the PSTN Calling service and SkypeOut which justify the former’s notification as an electronic communications service.

However, the court sided with IBPT’s case and ruled that, since Skype is offering services to residents of Belgium, it follows that it also provides SkypeOut to Belgians.

“It notes, in this regard, that the Court ruled, in its judgment of 30 April 2014, UPC DTH (C‑475/12, EU:C:2014:285, paragraph 43), that ‘the fact that the transmission of signals is by means of an infrastructure that does not belong to [the applicant] is of no relevance to the classification of the nature of the service. All that matters in that regard is that [the applicant] is responsible vis-à-vis the end-users for transmission of the signal which ensures that they are supplied with the service to which they have subscribed’,” read the court’s ruling.

In a comment, law firm Mason, Hayes, and Curran said that the ruling carries a lot of implications, especially on how the law will be applied to telecommunication service providers and VoIP vendors.

“Looking forward, one could say that the ruling merely hastens the inevitable, given the significant widening of the scope of ECS under the upcoming European Electronic Communications Code,” they said.

“However, the ruling still potentially has far-reaching implications. These services could now be subject to a broad range of regulatory obligations in each Member State where the services are received. Also, the ruling raises interesting questions around sanctions for past non-compliance and recoupment of past levies given that the law has arguably been settled in this area since the ECJ’s 2014 ruling in UPC DTH.”

A consumer tech and cybersecurity journalist who does content marketing while daydreaming about having unlimited coffee for life and getting a pet llama.

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Lenovo Patches Security Flaw Exposing 36TB Of Financial Data In The Wild

The compromised data include sensitive financial information like card numbers and financial records.

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Photo: lenovophotolibrary | Flickr | CC BY-ND 2.0

A recent breach that has exposed more than 36TB of data owned by users of specific network-attached storage devices has been confirmed by the computer tech giant, Lenovo, and said that a vulnerability in some of their products “could allow an unauthenticated user to access files on NAS shares via the API.”

Security researchers from Vertical Structures, who made the discovery, said that they found “about 13,000 spreadsheet files indexed, with 36 terabytes of data available. The number of files in the index from scanning totaled to 3,030,106.” Worse, these data include sensitive financial information like card numbers and financial records.

According to a security notification from Lenovo, the breach affected both Iomega and LenovoEMC NAS products. Vertical Structures was able to track down the source, a legacy Iomega storage product acquired by EMC and co-branded Lenovo-EMC in a joint venture. They added that it is “trivially easy” to exploit that application programming interface (API) and allow attackers to access the data stored upon any of several Lenovo-EMC network-attached storage (NAS) devices.

Screenshot of discovered files. Photo: Vertical Structures

Discovery was verified by WhiteHat Security

Researchers from Vertical Structures said they commissioned the help of WhiteHat Security, a security firm known to have patched up network-related vulnerabilities in the past, to verify their discovery because “of its world-renowned reputation in helping secure applications, to work together to verify the vulnerability found.”

“Verifying vulnerabilities is a very important step in securing applications, networks, and devices. After all, on an average day, WhiteHat scanners discover hundreds upon hundreds of new potential vulnerabilities,” they added.

After the team has notified Lenovo of their discovery of the said vulnerability, they said that the company swiftly responded and took measures to mitigate the impacts of the vulnerability.

When asked for comments regarding the problem, Simon Whittaker, cybersecurity director at Vertical Structures, said that “this is definitely a huge problem but one which we see every day.”

“Many organizations fear change and are cautious about retiring old devices. If they can’t replace devices, then they should be using threat modeling techniques to consider how better to protect them and ideally removing them from internet access completely,” he added. 

In order to let their users utilize their services, Lenovo pulled three of its old versions out of retirement and brought them back to life while they are patching the said vulnerability. Lenovo then pulled old software from version control to investigate any other potential vulnerabilities to fix and release updates.

“High” severity problem

In a security advisory that Lenovo released, they said that vulnerability has “high” severity and they advised their users to “update to the firmware level (or later) described for your system in the Product Impact section,” and if update is not feasible, “partial protection can be achieved by removing any public shares and using the device only on trusted networks.”

In the advisory, Lenovo lists the products that were impacted by the said flaw. They include:

  • px12-350r and ix12-300r, version 4.0.24.34808
  • HMND (Home Media Network Hard Drive) Cloud Edition, version 3.2.16.30221
  • StorCenter ix2-200, Cloud Edition, version 3.2.16.30221 StorCenter ix4-200d, Cloud Edition, version 3.2.16.30221 StorCenter ix2-200, version 2.1.50.30227
  • StorCenter ix4-200d, version 2.1.50.30227
  • StorCenter ix4-200rl, version 2.1.50.30227

For their security advisory, Lenovo disclaims that “the information provided in this advisory is provided on an “as is” basis without any warranty or guarantee of any kind” and advised users to “please remain current with updates and advisories from Lenovo regarding your equipment and software” for more recent and updated information about the problem.

Learning opportunity

As part of their report, Verticle Structures said that there are a lot of things tech companies can learn from what happened in Lenovo. They characterized Lenovo’s approach to the problem as “professional” and hoped that other companies experiencing similar problems could learn from them.

“Not only did they have a clearly stated vulnerability disclosure policy on their site with contact information, but they responded quickly and worked with WhiteHat and Vertical Structure to understand the nature of the problem and quickly resolve it,” said Vertical Structures.

“In sharing this story, both WhiteHat and Vertical Structure hope companies are inspired to always keep cybersecurity top of mind to keep up with the constant barrage of new vulnerabilities and exposures,” they added.

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This Free Service Detects And Blocks Suspicious Behaviors Of Android Apps

This service is still on the beta phase but they promise to release improvements and expand their territorial reach.

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Secure D Index by Upstream

As a smartphone owner, you can have a plethora of apps available for download via Google Play Store or Apple App Store. However, not all of these apps are secured and are safe to be installed on your devices. Some of them are either fake apps posing as a legitimate version of another app, or worse; they could be carriers of infectious malware that could potentially put your device or yourself in harm’s way.

Amid the risk of threat actors and hackers invading someone’s phone or tablet, leading tech company, Upstream, launched an online index that screens, catalogs, and blocks suspicious Android apps in the market around the world.

“The information on the Secure-D Index, currently in beta, allows anyone to easily find what apps pose a threat to their privacy and pocket, in one place, for free. Data is openly available to the whole mobile industry, from app developers, ad networks and publishers, to media, advertisers and mobile network operators that all fall prey to mobile ad fraud.”

The Secure-D Index is still in beta and is currently being tested. Nonetheless, the company and the platform promise to help resolve the problem of malicious apps that serve as a trojan horse for a more significant and more destructive attack against people’s privacy.

Currently, the platform included an aggregate list of suspected malicious Android Apps, and the index is growing every day as the platform continue to scan the internet to flag these unwanted applications. For each app, the Secure-D Index center features pertinent information such as the number of downloads, market infection rate, and markets where the app is active.

The data is available to 17 regions, and they are working on expanding their reach shortly. They are available in countries like the US, Russia, India, Germany, South Africa, and Egypt, covering up to 1.3 billion mobile data subscribers.

The number of the listed apps in the platform is currently at 1,500, with malicious apps estimating to 13.5 billion downloads. The platform allows users to check whether the apps are available on Google Play, have been removed from Google Play, or are distributed through third-party app stores.

Furthermore, along with the entry of each malicious app, the index also includes data such as the developer’s website, whenever the information is available.

“Secure-D leads the fight against malware, an ever-growing threat for mobile security worldwide. We believe a crucial part of this fight is awareness, which mobile users and, surprisingly, a large part of the industry lacks,” Dimitris Maniatis, Head of Secure-D at Upstream said

“At Upstream, we have been steadily and openly sharing Secure-D’s proprietary findings on suspicious and fraudulent apps in an effort to eliminate digital mobile fraud. The publication of these findings through our Secure-D Index highlights the level of awareness we aim to achieve and the transparency we believe is required to more effectively target the shady practices of threat actors that prey on a whole ecosystem.”

The platform is available for everyone where the Index is available, and it is free of charge, according to the press release of the company. Users can access the top 20 most active malware from the previous day and register for free to access full data — either global or country-specific — see historical data, or search for a specific app.

In 2018 alone, Secure-D having processed over 1.8 billion mobile transactions, detected and blocked over 63,000 malicious apps in 16 countries. They added that the platform is currently processing and blocking an average of 170 malicious applications every day.

Earlier this year, Secure-D reported on the suspicious background activity of 4shared, a popular file-sharing app, Vidmate, a video downloader, and Weather Forecast a preinstalled app on Alcatel devices. They said that all these apps were previously available at Google Play Store and had more than 600,000 downloads before their platform was able to flag their suspicious behavior. The company said that in these three cases alone, Secure-D detected and blocked near 250 million suspicious mobile transactions

“By providing information on suspicious apps freely to the public via Secure-D Index, Upstream aims to further protect mobile subscribers, operators, and advertisers from the ever-growing threat of mobile ad fraud, whose value is currently estimated at $40 billion,” they added.

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‘User Data Are Not Transferred To Russia,’ Says FaceApp

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Photo: charlene mcbride | Flickr | CC BY 2.0

The popular photo-manipulation app, Face App, has taken social media platforms like Facebook, Twitter, and Instagram by storm. And with “by storm,” it means that a lot of people, including celebrities and famous individuals, have jumped on the bandwagon to see how they would look like when they grow old.

There are a lot of things interesting about the app; it can manipulate a photo that a user submits to make a realistic version of the picture as the face ages. There is no surprise as to why Face App has gained popularity among young users around the world.

There is a problem though: you need to submit your photo to the app. This means that providing the chosen selfie, FaceApp will have access to your photo at their disposal. That’s why concerns were raised by security experts and data privacy advocates regarding the implication of sending a photo to an app.

One thing that concerns advocate and experts the most is the fact that the company that built and developed the app is from Russia. It is owned by a Russian company named Wireless Labs and has been downloaded by more than 100 million people via Google Play on the Android platform, and by over 50 million people across other platforms including Apple’s iOS.

The Russia issue

Many advocates have cited the human rights record of Russia, as well as the heightened citizen surveillance they have in their country. The fears of advocates and experts are amplified after the privacy terms and conditions for the app reveals that it sneakily includes a clause that would “grant FaceApp a perpetual, irrevocable, nonexclusive, royalty-free, worldwide, fully-paid, transferable sub-licensable license to use, reproduce, modify, adapt, publish, translate, create derivative works from, distribute, publicly perform and display your User Content and any name, username or likeness provided in connection with your User Content in all media formats and channels now known or later developed, without compensation to you [the user or the owner of the photo].”

The app’s terms of use also grant the developers to publish the photos they gathered in public at their discretion. “When you post or otherwise share User Content on or through our Services, you understand that your User Content and any associated information (such as your [username], location or profile photo) will be visible to the public,” they added.

The polarizing opinions about FaceApp have opened the discussion on how people are carelessly sharing their photos on social media platforms and smartphone apps without a thorough understanding of the implications of such action. In an article published by Wired, they said that what FaceApp is doing is rather common than new.

They said that the same thing is happening when someone uploads a photo on Facebook and Instagram. Instead of demonizing FaceApp and singling it out, the article encourages users to be more vigilant with the data they share across all platforms.

FaceApp clarifies

However, security experts and advocates still press on the idea that FaceApp could be used by the Russian government in its surveillance and technology-versus-people agenda. However, FaceApp is strong in its position that it is protecting the privacy of their users, saying that they “perform[s] most of the photo processing in the cloud. We only upload a photo selected by a user for editing. We never transfer any other images from the phone to the cloud.”

“We might store an uploaded photo in the cloud. The main reason for that is performance and traffic: we want to make sure that the user doesn’t upload the photo repeatedly for every edit operation. Most images are deleted from our servers within 48 hours from the upload date. We don’t sell or share any user data with any third parties,” they added.

They also countered the claims that they can be used as Russia’s trojan horse and said that “even though the core R&D team is located in Russia, the user data is not transferred to Russia.”

Furthermore, they clarified that they don’t require users to log in their app for them to use it and while they ask for device permission to access the phone’s camera and photo roll, they only access those that are selected by the users for editing.

“You can quickly check this with any of network sniffing tools available on the internet,” they said.

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