Dmitri Alperovitch13:11
So the first appreciation was that we were going through a paradigm shift where not only do you have to deal with cybercrime and hacktivists—Anonymous was emerging at the time doing hack-and-leak campaigns—but you also had these very persistent actors hitting almost everyone, and most companies weren't even aware of it. When I was doing these reports at McAfee, part of the process was visiting all the McAfee customers, particularly those impacted, and briefing them on these operations. In so many cases, I got the response, 'Thank you, Dmitri, for telling us, but it would have been great to learn about this five years ago when we first got hit. We didn't even know. At best, maybe years or months into it, we discovered a piece of malware in a system, cleaned it up, and thought we were done, when in reality the adversary had credentials, had deployed other malware, and was continuing to remain in our network exfiltrating data non-stop.' We even had the tagline at CrowdStrike in the early days: 'You don't have a malware problem; you have an adversary problem.' That's how you should be thinking about it. Before that, it was like, 'Oh, I found a problem on this machine. Let me clean it up, even wipe the machine. I'm done.' No, you had an intrusion. You just found one artifact. It's like a robber drops a knife in the house, you take the knife, throw it away, and think you're safe. Problem solved. But the robber may still be in the house. They may have cloned the keys, gotten into the safe. You have to do the full investigation. What happened? You just found one artifact. So that was the appreciation that this was a massive problem, and the existing companies, which I was part of at McAfee, really weren't prepared for this paradigm shift. They weren't thinking about it that way. I even tried to shift the company, to convince our team that we needed to do things differently, but it was too hard. The classic innovator's dilemma. The other thing emerging at the time was the cloud. AWS had started a few years earlier and was still very nascent. There was an appreciation that if you're building an endpoint solution, you could do it very differently. You don't have to have all this heavyweight processing and analytics on the endpoint; you can offload to the cloud, use the cloud to do correlation, use machine learning—before it was called AI—to identify threats. I had done an early version of that at a prior company that started around email security. I was working there out of college. Jay Chaudhry was actually the founder of that company, who is now famously the founder of Zscaler. That was a remarkable experience, getting started in cyber right out of college. I remember interviewing with Jay, the CEO, and he had this email security company. Email security at the time was really about encryption and policies for email. This was early 2000s. Spam was just beginning to emerge as a little bit of a nuisance in email, nothing like what it is today, and that was before phishing and all the other threats that came through email-borne vectors. I was being hired because of my encryption background, and that's what the company was focused on. I was going to be the first member of the research team. I asked Jay about his vision and roadmap for the future of the company, and he said, 'Well, we're going to spend a couple of quarters solving the spam problem. I know that's a detour from encryption, but we can get back to it. Don't worry. Once we solve spam, we'll get back to it.' So, 15 years later, spam is not solved, despite all my best efforts and many others in the industry. Needless to say, my job on day one was to solve spam. We never got back to encryption. Over the course of that year, spam went from being about 5% of all email traffic to 95%. Very quickly, there was an incredible innovation cycle with the criminals. They realized they could make a lot of money, first peddling Viagra pills and other things, then moving up to direct criminal activity with phishing, account takeovers, and scams. What was interesting was how quickly they responded to anything we were doing. The spam solution for the company was a dictionary: if you see 'Viagra' and 'payment' or whatever keywords in the email, it's malicious, with some simple scoring infrastructure to block it. Very quickly, that went out the window because the attackers started substituting words. Instead of an 'a' in Viagra, they put a '1', and suddenly your dictionary attack doesn't work. They started using images instead of words, so you couldn't process them. Then you started blocking the machines they were sending from, so they started buying botnets. That's when botnets started emerging. Before that, botnets were really a plaything: 'I have a worm on the internet, let me see how many machines I can control,' but not doing anything useful with it, maybe some denial of service. But right at that moment, spammers realized they needed lots of machines to send their emails, and they needed to take over these machines and work with criminals who would take them over. So there was this incredible iteration cycle taking place non-stop. You do something, and immediately the enemy does something. That gave me an incredible learning basis, which I later used at McAfee and other places: you're never done. You think you invented this really cool defensive technique, but the adversary always has a move to play, just like in chess, and they're going to find a way around your technique. That was the number one thing. It didn't happen on the same cycle with malware. It was really interesting when I got to McAfee, which had acquired my company, to get together with the researchers there, malware researchers who had been doing this since the 1980s. For them, malware research and detection was all about writing signatures and distributing them efficiently. It never even occurred to them that eventually adversaries would automatically generate malware, use polymorphism to adapt it, break your signatures, and do a variety of other things that would make the whole model completely obsolete. I knew from my email days that signatures and dictionaries are basically the same thing, and that's never going to work. But I had the privilege of learning that in a month because of how quickly the spammers evolved, whereas the attackers in the malware space literally took decades to adapt. There was a lot of complacency in the industry. So that background was really helpful. One of the things we developed back in those days for the email product was an online reputation system. We would take certain fingerprints from the email—hashes, so no private content would be captured—and send them to the cloud. It wasn't yet called the cloud; it was just servers in the sky, in a data center. We would correlate this information and do a lot of early machine learning to identify threats proactively, even when they were unknown. I realized by the time we were starting CrowdStrike that you could use the same model for not just email but for all sorts of threats, including threats on the endpoint. So you had this confluence of a threat environment that was changing, a new capability emerging in the cloud that allowed you to do it differently and at scale, and the improvements in machine learning technology that enabled the success of CrowdStrike. We came at the right time.