[ISN] Former Cybersecurity Czar To Join Ebay

From: InfoSec News (isnat_private)
Date: Thu May 01 2003 - 22:20:09 PDT

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    http://www.washingtonpost.com/wp-dyn/articles/A1498-2003May1.html
    
    By Brian Krebs
    washingtonpost.com Staff Writer
    Thursday, May 1, 2003
    
    Online auction giant eBay is responding to the growing Internet fraud 
    by calling in the nation's former cybersecurity czar. 
    
    Howard Schmidt, whose resume includes almost five years as Microsoft's 
    top security officer, will become vice president of security at San 
    Jose, Calif.-based eBay later this month. 
    
    Ebay spokesman Chris Donlay declined to discuss the issues that will 
    top Schmidt's "to-do" list, but said the company was "thrilled to have 
    him on board." The security post is new to eBay's executive ranks. 
    
    Schmidt resigned from government service less than two weeks ago -- 
    the second White House cybersecurity adviser to leave the Bush 
    administration in as many months. His predecessor, Richard Clarke, 
    left his post to become a private security and media consultant after 
    the White House decided to eliminate the Critical Infrastructure 
    Protection Board and move its functions to the new Department of 
    Homeland Security. 
    
    Schmidt played a key role in drafting the national cybersecurity 
    strategy released by the administration in February. He has spent the 
    last two years building ties with the private sector in a joint effort 
    to protect the nation's most important information systems from 
    cyberattacks. 
    
    Schmidt will join eBay at a time when Internet auction fraud is taking 
    a larger toll than ever -- estimated by the FBI to amount to $54 
    million in annual losses. The Federal Trade Commission also is trying 
    to cut down on Internet auction scams. On Wednesday, the FTC and state 
    authorities said they have arrested, indicted or sent warning letters 
    to 57 suspected Internet fraudsters in the last eight months. 
    
    Schmidt said he set his sights on eBay after searching for a company 
    that was "big on security, privacy and trust." 
    
    "No one is bigger on those values than eBay," Schmidt said. "I can't 
    think of a more awesome company to go work for." 
    
    Schmidt said he has never bought anything on eBay, but visits the 
    auction site frequently to comparison shop. He added that he is not 
    afraid of shopping online. 
    
    "I probably bought 60 to 70 percent of my Christmas presents online 
    last year," he said. 
    
    Schmidt, 53, is currently in the process of moving back to his 
    hometown of Seattle. He plans to commute to San Jose for his eBay job. 
    Before returning to work in the private sector, he will spend a week 
    in Alaska under the terms of his Army Reserve duty, teaching a class 
    on advanced computer forensics. 
    
    
    
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