Microsoft Terminal Services vulnerable to MITM-attacks.

From: Erik Forsberg (forsberg+btqat_private)
Date: Tue Apr 01 2003 - 14:05:44 PST

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    During extensive investigation of the Remote Desktop Protocol (RDP),
    the protocol used to connect to Windows Terminal Services, we (Cendio
    Systems) have found that although the information sent over the network is
    encrypted, there is no verification of the identity of the server when
    setting up the encryption keys for the session.
    
    This means RDP is vulnerable to Man In The Middle attacks (from here
    on referred to as MITM attacks). The attack works as follows:
    
    1) The client connects to the server, however by some method (DNS
       spoofing, arp poisioning, etc.) we've fooled it to connect to the
       MITM instead. The MITM sends the request further to the server.
    2) The server sends it's public key and a random salt, in cleartext,
       again through the MITM. The MITM sends the packet further to the
       client, but exchanges the public key to another one for which it
       knows the private part.
    3) The client sends a random salt, encrypted with the server public
       key, to the MITM.
    4) The MITM deencrypts the clients random salt with it's private key,
       encrypts it with the real servers public key and sends it to the
       server. 
    5) The MITM now know both the server and the client salt, which is
       enough information to construct the session keys used for further
       packets sent between the client and the server. All information
       sent between the parts can now be read in cleartext.
    
    The vulnerability occurs because the clients by no means try to verify
    the public key of the server, sent in step 2 above. In other
    protocols, such as the Secure Shell protocol, most client
    implementations solve this for example by letting the user answer a
    question whether a specific serverkey fingerprint is valid.
    
    The clients we've seen so far for RDP have no way to preinsert a known
    server key. There is also no interaction with the user in order to
    verify a key the first time a connection is made to a new server.
    
    We have communicated with Microsoft in this matter, and they 
    confirmed 2003-03-19 that the problem do exist in their current
    implementation. They are currently "investigating the feasability in
    adding this functionality". They also point out that they do not claim
    RDP having the functionality of providing server authentication.
    
    We feel that Microsoft is not taking this seriously enough. We know
    there are sites using Terminal Services to transfer sensitive data,
    and we feel that they need to be informed about this vulnerability in
    order to be able protect their networks. This is why we publish this
    information at this moment. 
    
    We've tested this vulnerability against Windows 2000 Terminal Server,
    Windows 2000 Advanced Server and the upcoming Windows Server 2003
    using both the clients delivered with Windows 2000 and the latest
    downloadable RDP client from Microsoft. We have reason to believe that
    the vulnerability exists when running both RDP version 4 and 5, and
    regardless of terminal server mode.
    
    We have developed software that can be used to exploit this
    vulnerability, but we choose not to release it.
    
    \EF
    -- 
    Erik Forsberg                Telephone: +46-13-21 46 00
    Cendio Systems               Web: http://www.thinlinc.com
    		             
    



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