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00:00EMILY: WE ARE JOINED BY CAROLINE HYDE AND PATRICK MORLEY. THE ORIGIN OF THIS ATTACK IS COMPLICATED AS YOU HEARD THE WHITE HOUSE SPEAKING THERE. TALK TO US ABOUT HOW THIS STARTED. CAROLINE: THE MUD SHRINKING WAS BEING DIRECTED AT THE NATIONAL SECURITY AGENCY SAYING YOU REMEMBER THE ATTACK EARLIER THIS YEAR THAT SOME OF ITS TOOLS WERE DUMPED ON THE PUBLIC INTERNET BY HACKERS. THE BLAME IS BEING AIMED AT ETERNAL BLUE. THIS IS MEANT TO PENETRATE A VULNERABILITY WITHIN MICROSOFT'S OPERATING SYSTEM. SO IT WAS ABLE TO SPREAD. IT WAS PHISHING EMAILS AND THEY SAY IT IS IN THE BLAME OF SHELFING OF DOCUMENTS. REMEMBER, WHEN THIS WAS DUMPED BY THE SHADOW BROKERS WHO WERE THE HACKERS WHO GOT TO THE N.S.A., MICROSOFT SENT A PATCH BACK IN MARCH SAYING UPDATE YOUR SYSTEMS. BUT MANY THAT HAVE BEEN HIT HAVE BEEN PERHAPS NOT TECH SAVY. HEALTH SYSTEMS HERE IN THE U.K. HAVEN'T BEEN UPDATING AND HAVEN'T GOT IT IN THEIR GRIP. AND THIS HAS BEEN ABLE TO SPREAD AND MICROSOFT AT THE TOP BLAMING PERHAPS THE UNITED STATES. WE HEARD FROM THE PRESIDENT AND CHIEF LEGAL OFFICER, BRAD SMITH SAYING LOOK, THE U.S. MILITARY HAVE THE EQUIVALENT OF THEIR HOME TOMA HAWK MISSILE. HE IS TRYING TO HINT THAT MAYBE THE N.S.A. IS TO BLAME AND HOMELAND SECURITY IS BACKING AWAY. EMILY: BRAD SMITH IS SAYING THIS SHOULD BE A WAKEUP CALL. AND TALK ABOUT THE REACH OF THIS. FED EX IN THE UNITED STATES, MAJOR TELECOM GIANTS IN SPAIN, HOSPITALS IN JAPAN AND INDONESIA, WHAT DOES THAT TELL YOU ABOUT THE ACTUAL TARGET AND INTENTION BEHIND THIS ATTACK? PATRICK: CYBERSECURITY IS A VERY IMPORTANT ISSUE AND REINFORCES THAT IT'S A WEAPON THAT CAN BE USED IN THE WRONG HANDS IN A WAY THAT'S VERY BAD FOR THE GLOBAL ECONOMY. AND THE -- THIS WAS NOTHING NOVEL AND PUT TOGETHER LEVERAGING A SET OF THINGS THAT HAVE BEEN KNOWN FOR QUITE SOME TIME BUT DONE IN A BROADWAY THAT AGAIN IT BRINGS HOME HOW VULNERABLE THE ECONOMY IS ON A GLOBAL BASIS. EMILY: WHAT IS QUITE INTERESTING, PERHAPS ASIA DIDN'T KICK IT OFF. EVERYONE WAS BRACING AND CHINA HAD 40,000 OF THEIR COMPUTERS, BUT MANY MORE THOUGHT IT WOULD BE MUCH BIGGER ACROSS ASIA. WHY HASN'T IT BEEN? PATRICK. LOOKS LIKE PATRICK IS HAVING TROUBLE. EMILY: I WOULD LIKE TO ASK YOU ABOUT THE CONTINUED FALLOUT FROM THIS ATTACK. CAROLINE MENTIONED IN ASIA, IT TOOK A LITTLE BIT OF A LONGER TIME TO PICK UP. ARE YOU EXPECTING MORE FALLOUT FROM THIS ATTACK AND WHERE? PATRICK: WE WILL CONTINUE TO SEE ADDITIONAL COMPANIES THAT ARE HIT BY THE ATTACK. IF YOU LOOK AT THE WAY WHAT THE ATTACK IS RELYING ON, IT'S RELYING ON TWO THINGS, USER BEHAVIOR, PEOPLE ARE GETTING PHISHED AND YOU HAVE VULNERABLE SYSTEMS. THAT IS THE PRIMARY COMBINATION THAT THE ADVERSARY IS HOPING FOR TO GAIN MONEY. WE WILL CONTINUE TO SEE A LONG TAIL ON THIS WITH ADDITIONAL ORGANIZATIONS GETTING HIT. THE MEDIA COVERAGE ACTUALLY HAS BEEN A REAL BENEFIT BECAUSE IT HAS WOKEN YOU UP A LOT OF INDIVIDUALS THAT THEY SHOULD BE SMART BEFORE THEY OPEN EMAILS. EMILY: TALK ABOUT THE RANSOM ASPECTS, IT LOCKS THE USER OUT AND IN ORDER TO GET BACK IN, THEY HAVE TO PAY THE PERPETRATOR 300 IN BIT COIN. WHAT DO YOU MAKE OF THIS TACTIC? BIT COIN IS SOMETHING THAT IS MORE DIFFICULT TO TRACK, BUT EVEN SO, COULDN'T THAT LEAD DIRECTLY TO THE PEOPLE WHO ARE BEHIND THIS? PATRICK: WELL, THIS IS -- THERE IS A LARGE UNDERGROUND THAT HAS BEEN BUILT FROM AN ORGANIZED CRIME SYNDICATE AROUND THIS ON A WORLDWIDE BASIS AND THEY HAVE BUILT MECHANISMS VERY EFFECTIVELY TO MAKE IT CHALLENGING TO FIND THEM. AND THE SIMPLE WAY TO THINK ABOUT IT BECAUSE THEY HACKED OTHER MACHINES AROUND THE WORLD, THEY CAN OBJECT FUSS INDICATE INFORMATION. THEY ARE HARDER TO FIND. TWO YEARS AGO, F.B.I. SAID RANSOMWARE WAS A $24 MILLION PROBLEM. THIS YEAR, IT WILL BE OVER A BILL DONE -- BILLION DOLLARS. AND THIS IS CAUSING CHALLENGES. WE HAVE NOT SEEN THE BIGGEST, BADDEST YET. EMILY: WHAT ARE BUSINESSES SUPPOSED TO DO, DO THEY PAY OR WAIT IT? >> WE WOULD TELL BUSINESSES NOT TO PAY AND WHEN WE TALK TO OUR PROSPECTS THAT HAVE BEEN HIT IN THE PAST, WE SEE MORE ORGANIZATIONS NOT PAYING AND USING THIS AS A HAVING A WAY TO HAVE A CONVERSATION ABOUT HOW TO IMPLEMENT SMART SECURITY IN TODAY'S WORLD THAT IS A HYPERCONNECTED WORLD. AND MUCH OF WHAT WE SEE IN THIS ATTACK COMES DOWN TO BASICS. BACKUP YOUR COMPUTERS AND AS THE C.E.O. OF CARBON BLACK AND USE NEXT-GEN SECURITY PRODUCTS. EMILY: CAROLINE YOU HAVE BEEN LOOKING INTO HOW FAR THIS HAS REACHED AND TALK TO US ABOUT THE EXTENT OF WHERE THESE COMPUTER SYSTEMS HAVE BEEN HIT AROUND THE WORLD. CAROLINE: 200,000 COMPUTERS AND 150 COUNTRIES. HERE, IT HAS BEEN THE VERY INFRASTRUCTURE OF THE UNITED KINGDOM, THE NATIONAL HEALTH SYSTEM. IN SPAIN, WE HAVE THE TELECOM GIANT, OF ALL COMPANIES TO BE HIT AND GERMANY AND GERMAN RAILROAD AND FROM U.S. TO RUSSIA, THE MONEY BEING EX TORLTED IS NOT MUCH, $300. $60,000 HAS BEEN PAID SO FAR.

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What We Know About the Global Ransomware Attack

Patrick Morley, Carbon Black's chief executive officer, and Bloomberg's Caroline Hyde discuss the global ransomware attack. They speak with Bloomberg's Emily Chang on "Bloomberg Technology." (Source: Bloomberg)

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