Microsoft Corp will buy LinkedIn Corp. for US $ 26.2 billion. The purchase plan is the largest corporate action in the technology sector. The acquisition plan encourages LinkedIn shares rose while Microsoft declined earlier this week.
In trading on Monday (Tuesday morning GMT), LinkedIn shares jumped 47 percent to US $ 192.21 New York time. LinkedIn shares rise the most since 2011. Shares of LinkedIn has slumped 42 percent this year as investors began to doubt the company’s future prospects.
Meanwhile, Microsoft shares fell 2.6 percent to US $ 50.14 in first this week. Twitter shares too jumped on speculation that Twitter will become the next acquisition target. Twitter shares rose 3.8 percent to US $ 14.55.
LinkedIn stock purchases represented the purchase of approximately US $ 196 per share. The share price is quite premium with an increase of almost 50 per cent of the market value of LinkedIn shares at the close of trading last Friday. However, the figure is still below the social media of the highest shares in the range of US $ 270.
LinkedIn share purchase was considered a bold step undertaken Microsoft CEO Satya Nadella is trying to make the company’s software to continue to lead in next-generation computing.
By connecting the software Microsoft Word and PowerPoint with your LinkedIn network of approximately 433 million professionals who can add to make the combination of sales, marketing and recruitment services as its core business products. This is potentially a challenging competitor cloud software like Salesforce.com.Inc future.
“LinkedIn and Microsoft share a mission of helping people to work more efficiently. There is no better way to achieve that mission than to connect professionals in the world,” said Microsoft CEO Satya Nadella.
Meanwhile, Chief Financial Officer (CFO) Microsoft Amy Hood said LinkedIn’s stock purchases will be financed by debt. It is also as a way to reduce the tax bill. The Company had funds of approximately US $ 105 billion in cash and other liquid assets.
Microsoft also said LinkedIn CEO Jeff Weiner will remain in his position in the company. Microsoft also will operate LinkedIn as a separate unit, and retains its name.
Nevertheless, the agreement would require approval from regulators United States (US), European Union, Canada and Brazil. In the process of this stock purchase, Microsoft assisted by Morgan Stanley. While financial advisor LinkedIn by Allen and Company LLC and Qatalist Partners.
Corporate action plan of this technology is considered to provide optimistic than one mega corporate mergers to succeed. “It’s a big growth for Microsoft,” said Forrester analyst Ted Schadler.
Morningstar analyst Rodney Nelson assess LinkedIn stock purchases by Microsoft can deliver new services and products that are useful for workers and the role of human resources (HR) going forward.
While Madrona Ventures Portfolio Manager Matt Mcllwain said that Microsoft buy LinkedIn as an opportunity to take advantage of the capabilities of each and combine to produce something strong and complementary.
“The future of productivity around people, identities, data and relationships between them,” said Mcllwain.
On the other hand there are also analysts pessimistic about the impact of the purchase of shares LinkedIn by Microsoft. Scott Kessler, an analyst at S & P Global Capital said that large transactions were also still requires work to be done.
Microsoft will use LinkedIn as a database of information professionals and distribution channels for software systems. While LinkedIn gain additional financing and access to millions of people, potentially combining networks.
Microsoft noted that the agreement would help the large increase in new customers. The total potential productivity of Microsoft’s market reached US $ 315 billion, up from US $ 200 billion without LinkedIn.
Not only that, for Microsoft, LinkedIn agreement into an opportunity to reverse a poor track record of acquisitions, including paying US $ 9.4 billion of HP manufacturer Nokia in 2014, and the business network Yammer approximately US $ 1.2 billion in 2012. In addition, Skype for US $ 8.5 billion.
A study reveals that the wearable device is prone to hacking. Unmitigated, ATM PINs and passwords can be hacked through these devices. These results revealed from the study titled “Friend or Foe ?: Your Personal Wearable Devices Reveal Your PIN”.
Scientist at Binghamton University and Stevens Institute of Technology collected data sensors in wearable devices, such as smartwatch and fitness trackers using the algorithm. The goal is to open a gap to obtain a PIN or password.
Researchers conducted an experiment in (key-entry) as much as 5,000 times in 20 adults who use the keyword-based security systems, such as ATMs, for 11 months.
The result is very accurate with an accuracy rate of 80 percent on the first try, and 90 percent after the third attempt.
Researchers have little information recording until the slightest movement of the accelerometer, gyroscope, and magnometer that is in wearable devices without the need to pay attention to his pose.
Researchers consists of Assistant Professor of Computer Science, Yan Wang, followed by Chen Wang, Guo Xiaonan, and Bo Liu of Thomas J Watson School of Engineering and Applied Science at Binghamton University and Head of Research Yingying Chen of Stevens Institute of Technology.
They reveal, this is the first way that can reveal the PIN to exploit information from wearable devices without the need for contextual information
In internal attacks, hackers accessing wearable sensor devices worn on the wrist with malware. Malware will wait until the victim access security system with a password and sends back the sensor data.
In other attacks, hackers put a sniffer on the wireless security system to ‘eavesdrop’ sensor data that is sent to a Bluetooth mobile phone to the victim.
This study is fairly still at an early stage to understand the fragility of the security system of wearable devices.
Although they have yet to find a solution, the researchers suggest to the developers to inject some kind of ‘noise’ so that hackers can not read hand gestures. Developers are also advised to encrypt wearable devices and operating systems. “
Fears the government in a number of countries over hacker attacks that would cripple critical infrastructure occurred in December 2015, when a further constant threat (advanced persistent threat, APT) attacks on the government of Ukraine.
The incident became the first cyber intrusion drop and turn off the power of a nation.
Using BlackEnergy malware, hackers remotely disconnect the power 225,000 users and flooded customer service with numerous phone calls to prevent the original customer calls.
In 2015 alone, the government of the United States, the Netherlands, Ireland, and Turkey became prey to DDoS attacks, which intends to create chaos and disrupt operations.
In January 2015 in Thailand, some demonstrators angry about the government’s court verdict and launch malicious attacks against 300 government websites.
In the same month, hackers affiliated with Anonymous also initiated a similar attack against the government of Saudi Arabia and Nigeria.
Web applications and virtual DDoS violations that exploit vulnerabilities in the public sector has become more frequent and damaging.
Global risk consultancy Control Risks (Control Risks Global Risk Consulting) in the map for 2016. The annual risk report said a third of the 36 percent of cyber attacks now targeting the government sector.
DDoS attacks are becoming a weapon of destruction to digital extortionists and terrorists. DDoS attacks come in different forms.
Some of them are intended to disrupt the system, while others flood the system with requests for multiple resources (bandwidth, processor time, disk space, etc.).
In Asia, the faster the APT attacks. Territorial dispute between China, India and Southeast Asian countries continues to increase.
The hacker group known as APT 30 in recent years have been using modular malware to obtain sensitive data from their targets, including government classified secret network.
Some cyber attacks consist of emails written in the language of the recipient containing documents looks legal, but contain malware.
The attackers also made Encryption worm-like, which is attached to the hardware, such as USB thumb drives and hard disks. Once these components are in contact with other systems, such attacks would spread.
Protection against DDoS and risk APT
Derek Manky, Global Security Strategist of Fortinet said a comprehensive approach and multi-layered is one of the best ways to improve the defense of cyber threats.
Effective defense is often found when building a cohesive framework of protection and additional protection.
This framework, he added, is very important because it combines the capabilities of today’s security – technology that began to emerge and have a learning mechanism – creating a follow-up of security intelligence of the new threats detected.
Other measures include the environmental aspects of the network and devise response plans. It’s important to secure the potential narrowing, network monitoring, and make sure they go beyond major attacks and mitigation plan.
It aims to complete removal of all DDoS traffic, the strategy should seek to maintain services – especially essential services – with little disruption.
Detailed plans should include backup and recovery, additional oversight, as well as ways to restore service as quickly and efficiently as possible.
A multi-layer strategy for DDoS protection also involves a dedicated on-premise solutions that are designed to maintain and reduce the threat from all corners of the network.
“IT administrators need to remember that it is not necessary for every employee to have access to certain resources that may contain sensitive data. By limiting access whenever possible, the organization can reduce a lot of attacks,” he added.
Governments need to carefully
A strong partnership with the service provider of security, said Manky also important. Partners can provide information up-to-date and threat intelligence to the IT staff, and determine when an incident reporting channel is detected.
The government agency also should partner proactive cyber security organizations and solution providers to share threat information, so that collectively, the industry can have a more comprehensive view of the global cyber threat landscape and respond better to attack.
Lastly, although the assessment and comprehensive plan can be developed, educate government officials on cyber threats is very important.
Employees with access to sensitive information should be specially trained to know how to handle such data. For example, limiting employee access to the USB drive is a good option to protect the network.
Because, APTs, worm outbreaks, DDoS, botnets, or inbound and outbound attacks today are more sophisticated and intrusive.
“Governments need to carefully consider their security posture, proactive and adopt a multi-layered approach to minimize the risks they face,” Manky lid.