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Cyber Security

Supply Chain Attack: Unraveling the Rising Cyber Intrusion

Avatar Andrea Abbondanza , 02 May, 2024

Businesses of any industry are prone to cyberattacks, especially with the sophisticated development of the attacks nowadays. One of the recently rising attacks is the supply chain attack, mainly targeting weak links in supply chains.

To avoid being an easy target of this attack, let’s learn more about its definition, impact, types, and security measures to detect and prevent it. Read on!

What is a Supply Chain Attack?

A virus alert on a computer screen
A virus alert on a computer screen

A supply chain attack is a cyberattack type that targets a trusted third-party vendor who provides services or software important to the supply chain. It is also called “third-party attacks” or “value-chain attacks”.

This type of attack is on the rise, with attackers formulating creative ways to infiltrate organizations and exfiltrate data without detection. In a recent study by Data Theorem, it was found that 91% of organizations encountered a software supply chain attack within 2023.

What Do Supply Chain Attacks Do?

A supply chain management concept
A supply chain management concept

Of course, the main intention of this attack is to harm a third-party organization within a supply chain system by infiltrating and disrupting it. Once a weak point is identified, the attackers will perform the attack on the main target.

The Impact of Supply Chain Attacks

A virus alert notification on a computer screen
A virus alert notification on a computer screen

Supply chain attacks bring detrimental impacts for organizations, including:

  • Data breaches
  • Financial losses
  • National security risks
  • Increased distrust
  • Regulatory penalties

One of the most prominent supply chain attacks was the SolarWinds attack in 2020. A study explained that hackers infiltrated the SolarWinds Orion software by inserting malicious code into one of its updates. This attack impacted approximately 18,000 customers, granting prolonged and undetected access to critical U.S. sectors and major technology companies.

The incident raises ongoing national security risks and concerns about the integrity of affected networks.

What are Common Types of Supply Chain Attacks?

A virus alert notification on a tab
A virus alert notification on a tab

This attack has several common types, including:

Software Attacks

This attack infiltrated user devices via software updates, just like what happened to SolarWinds in 2020.

JavaScript Attacks

It is performed by either embedding malicious scripts in webpages or exploiting the weaknesses of JavaScript code. When the user loads the page, the attack executes automatically.

Watering Hole Attacks

This happens when hackers find popular websites (like government services) and look for weak spots to break into. Once they find a way in, they use it to secretly put harmful malware on the computers of people who visit these sites.

Browser-based Attacks

It occurs when bad actors run harmful code in users’ web browsers. They might target JavaScript libraries or browser add-ons that run code by themselves. They could also swipe private information like passwords or browsing history that’s saved in the browsers.

Open-source Attacks

Living up to its name, this attack exploits open-source code vulnerabilities. While using open-source code packages can speed up the creation of apps and software for companies, these packages also give hackers a chance to mess with weak spots or hide harmful software.

Magecart Attacks

Also known as “formjacking”, this attack uses JavaScript code to skim CC (credit card) information from website checkout forms, which third parties often manage.

Cryptojacking

This attack occurs when hackers hijack users’ computer’s power to create cryptocurrency without their knowledge. They can sneak harmful code onto websites, hide mining scripts in free code online, or trick users into clicking on bad links that infect their devices.

How Do You Detect Supply Chain Attacks?

A safe account concept
A safe account concept

To spot supply chain attacks, there are several efforts for companies, including:

  • A good checking system, including the inventory of all the things and path data, to find where they might not be secure.
  • A threat model where assets are categorized by risk level and scored. Regular updates to these scores help prioritize the security of assets from highest to lowest risk.
  • A new software test updates to catch any bad software, suspicious registry changes, or unique files that only malware uses.

How Do You Prevent Supply Chain Attacks?

padlocks symbolizing security
What are Endpoint Security Trends?

There are several prevention efforts to minimize the risk of being a supply chain attack target, including:

  • Limit access to companies’ sensitive data.
  • Invest in cybersecurity tools for advanced cybersecurity threat protection.
  • Reevaluate third-parties risks.
  • Prepare mitigation plans.
  • Ensuring full data termination with previous vendor systems.

Frequently Asked Questions

Which is the best example of a supply chain attack?

The NotPetya ransomware attack in 2017 is a prime example of a supply chain attack; a malicious update to Ukrainian software MeDoc led to widespread damage and significant financial loss globally.

Are supply chain attacks on the rise?

Yes, supply chain attacks are indeed on the rise. Statista revealed that 2023 saw the highest reported attack number in the U.S. since 2017, which was 2769 entities.

Why the current supply chain is so vulnerable?

The current supply chain is vulnerable to several factors, from natural disaster risks to sophisticated cyberattack advancements.

Conclusion

In conclusion, a supply chain attack demands ongoing vigilance, enhanced security measures, and strong collaboration across your supply chain. Start by enhancing your defenses and continuously educating your organization’s team members.

Staying proactive is key—this not only protects your operations but also maintains stakeholder trust. If you need further help with this kind of attack, contact Fluxgate now!