Incident: August Smart Lock Vulnerability Exposes Wi-Fi Credentials During Setup.

Published Date: 2020-08-10

Postmortem Analysis
Timeline 1. The software failure incident with the August Smart Lock vulnerability happened in late 2019 [103826]. 2. The article reporting on the incident was published on August 10, 2020 [103826]. 3. Estimation: The incident likely occurred in late 2019.
System 1. August Smart Lock Pro and Connect module [103826]
Responsible Organization 1. Bitdefender and PCMag [103826]
Impacted Organization 1. Users of older August Smart Lock models paired with an August Connect module were impacted by the software failure incident [103826].
Software Causes 1. The software vulnerability in the August Smart Lock Pro and Connect module allowed a hacker to access Wi-Fi network credentials due to the encryption key being encrypted using a simple cipher called ROT-13 [103826].
Non-software Causes 1. Lack of robust encryption protocols in the August Smart Lock Pro and Connect module [103826] 2. Vulnerability in the Wi-Fi network setup process of the August Smart Lock Pro and Connect module [103826] 3. Use of a simple cipher (ROT-13) for encryption in the August app [103826] 4. Lack of timely updates from August to patch the security vulnerability [103826]
Impacts 1. The vulnerability in the August Smart Lock Pro and Connect module allowed hackers to access users' Wi-Fi network credentials, potentially compromising their home network security [Article 103826]. 2. The encryption used by August was found to be a simple cipher called ROT-13, making it easy for hackers to decode and intercept Wi-Fi passwords during the setup process [Article 103826]. 3. The vulnerability only affected older models of August Smart Locks paired with an August Connect and was specific to users on an Android device for the August app [Article 103826]. 4. August responded by actively working to resolve the issue by releasing security updates for both the firmware in the device and the Android app [Article 103826]. 5. The vulnerability was not valid on iOS devices due to Apple's stronger security measures [Article 103826]. 6. August recommended users to change their Wi-Fi password if they believed their network had been compromised and assured that once the Connect device was set up, it was no longer vulnerable [Article 103826].
Preventions 1. Implementing stronger encryption methods for securing network information, rather than using a simple cipher like ROT-13, could have prevented the vulnerability exploited by hackers [103826]. 2. Regularly updating firmware and software applications to address known security vulnerabilities and enhance overall system security could have prevented the software failure incident [103826]. 3. Conducting thorough security assessments and testing, including penetration testing, to identify and address potential vulnerabilities before they can be exploited by malicious actors could have prevented the software failure incident [103826].
Fixes 1. Security updates for both the firmware in the device and the Android app are in production [103826]. 2. Changing the Wi-Fi password once the Connect device has been set up is recommended if a customer believes their network has been compromised [103826]. 3. Ensuring the Connect's firmware is up-to-date and the user's August Android app is up-to-date can prevent vulnerability to the original attack, even if the unit enters setup mode [103826].
References 1. PCMag 2. Bitdefender

Software Taxonomy of Faults

Category Option Rationale
Recurring one_organization, multiple_organization <Article 103826> reports a software failure incident related to August smart locks. The vulnerability discovered in the August Smart Lock Pro and Connect module allowed hackers to access Wi-Fi network credentials during setup. This incident highlights a security flaw in the August smart lock system, specifically affecting older models paired with an August Connect module. The vulnerability was identified by PCMag and Bitdefender, indicating a potential breach in security protocols [103826]. Regarding the incident happening again at one_organization, the article mentions that August was notified of the vulnerability in late 2019 but as of the article's publication in August 2020, there were no updates to patch or solve the issue. This lack of prompt action to address the vulnerability raises concerns about the organization's response to security threats within its products [103826]. In terms of the incident happening again at multiple_organization, the article notes that security issues in Wi-Fi devices are not uncommon in the smart home era. This suggests that similar vulnerabilities or security lapses may exist in products from other organizations operating in the smart home industry. The fact that August was actively working to resolve the issue and release security updates indicates that such incidents may not be unique to a single organization [103826].
Phase (Design/Operation) design, operation (a) The software failure incident in the article is related to the design phase. The vulnerability in the August Smart Lock Pro and Connect module was discovered during the setup process, where the August Connect creates an open access point on the Wi-Fi network to pass network credentials to the phone. This design flaw allowed a hacker to intercept Wi-Fi passwords due to the encryption method being easily cracked [103826]. (b) The software failure incident is also related to the operation phase. The vulnerability could be exploited during the setup of the August Smart Lock and Connect module, potentially allowing a hacker to force setup and credential reentry on demand. This indicates that the failure was due to factors introduced by the operation or misuse of the system [103826].
Boundary (Internal/External) within_system (a) within_system: The software failure incident related to the August Smart Lock vulnerability was primarily due to factors originating from within the system. The vulnerability allowed a hacker to access Wi-Fi network credentials during the setup process of the August Smart Lock Pro and Connect module [103826]. The issue stemmed from the encryption method used by August, which was a simple cipher called ROT-13, making it easy for a hacker to intercept Wi-Fi passwords through the smartphone's encryption method [103826]. August acknowledged the vulnerability and mentioned that security updates were in production for both the firmware in the device and the Android app to address the issue [103826]. (b) outside_system: The software failure incident was not primarily due to factors originating from outside the system. The vulnerability was related to the setup process of the August Smart Lock and Connect module, where a hacker could exploit the encryption method used by August to access Wi-Fi network credentials [103826]. The vulnerability was specific to users on an Android device for the August app, highlighting the importance of the security measures implemented by different mobile platforms [103826].
Nature (Human/Non-human) non-human_actions, human_actions (a) The software failure incident in this case is primarily due to non-human actions. The vulnerability in the August Smart Lock Pro and Connect module was discovered during a test conducted by PCMag and Bitdefender, where they found a concerning vulnerability that allowed a hacker to access Wi-Fi network credentials without human participation [103826]. (b) However, human actions also played a role in this software failure incident. The encryption used by August was a simple cipher called ROT-13, which is a human-designed encryption method that can be easily decoded. Additionally, the vulnerability was specific to users on an Android device for the August app, highlighting the role of human actions in the setup process and the choice of encryption method [103826].
Dimension (Hardware/Software) hardware, software (a) The software failure incident related to hardware: - The vulnerability in the August Smart Lock Pro and Connect module was due to a flaw in the hardware setup process involving the August Connect module creating an open access point on the Wi-Fi network during setup, making network credentials vulnerable to interception by a hacker [103826]. (b) The software failure incident related to software: - The software failure incident was primarily caused by a software vulnerability in the encryption method used by August, specifically the use of a simple cipher called ROT-13 to encrypt the key holding network information. This encryption method was easily decoded, allowing a hacker to intercept Wi-Fi passwords during the setup process of the August Smart Lock and Connect module [103826].
Objective (Malicious/Non-malicious) malicious (a) The software failure incident described in the article is malicious in nature. The vulnerability discovered in the August Smart Lock Pro and Connect module allowed a hacker to access Wi-Fi network credentials, potentially leading to unauthorized access and harm to the home network [Article 103826]. The encryption used by August was found to be weak and easily decoded, making it susceptible to snooping hackers during the setup process. The vulnerability was identified by security researchers from PCMag and Bitdefender, highlighting the intentional exploitation of the system for unauthorized access [Article 103826].
Intent (Poor/Accidental Decisions) accidental_decisions (a) The intent of the software failure incident was not due to poor decisions but rather due to a vulnerability in the encryption method used by August Smart Locks. The vulnerability allowed hackers to access Wi-Fi network credentials during the setup process, particularly affecting older models paired with an August Connect module. The encryption used by August was a simple cipher called ROT-13, making it easy for hackers to intercept Wi-Fi passwords during setup [103826]. The incident was not a result of poor decisions but rather a flaw in the encryption method used by the software.
Capability (Incompetence/Accidental) development_incompetence, accidental (a) The software failure incident in the article can be attributed to development incompetence. The vulnerability in the August Smart Lock Pro and Connect module was due to a concerning flaw in the encryption method used by August, which was a hard-coded key using a simple cipher called ROT-13. This encryption method was easily decoded, allowing a hacker to intercept Wi-Fi passwords during setup [103826]. (b) Additionally, the incident can also be categorized as accidental. The vulnerability was not intentionally created but was a result of the encryption method chosen by the development team, which turned out to be easily crackable. The vulnerability was not a deliberate act but rather a consequence of the encryption implementation [103826].
Duration temporary The software failure incident described in the article is temporary. The vulnerability in the August Smart Lock Pro and Connect module was identified during setup, allowing a hacker to access Wi-Fi network credentials. August responded by actively working to resolve the issue, with security updates in production for both the firmware in the device and the Android app [103826]. Additionally, August clarified that the vulnerability is not valid on iOS devices, and there are specific circumstances and an extremely narrow window of time where the vulnerability is valid, emphasizing that once the Connect is set up, it is no longer vulnerable [103826].
Behaviour other (a) crash: The software failure incident in the article does not involve a crash where the system loses state and does not perform any of its intended functions. The vulnerability discovered in the August Smart Lock Pro and Connect module does not lead to a complete system failure but rather exposes a security flaw during the setup process [103826]. (b) omission: The software failure incident does not involve the system omitting to perform its intended functions at an instance(s). Instead, the vulnerability allows a hacker to access Wi-Fi network credentials during the setup process, potentially compromising the security of the network [103826]. (c) timing: The software failure incident is not related to the system performing its intended functions correctly but at the wrong time. The vulnerability in the August Smart Lock Pro and Connect module exposes network credentials during the setup process, indicating a security flaw rather than a timing issue [103826]. (d) value: The software failure incident does not involve the system performing its intended functions incorrectly. The vulnerability discovered in the August Smart Lock Pro and Connect module does not lead to incorrect functioning of the smart lock but rather exposes a security loophole in the setup process [103826]. (e) byzantine: The software failure incident does not exhibit the system behaving erroneously with inconsistent responses and interactions. The vulnerability in the August Smart Lock Pro and Connect module is a specific security issue related to the encryption method used during the setup process, allowing potential interception of Wi-Fi passwords [103826]. (f) other: The behavior of the software failure incident can be categorized as a security vulnerability that exposes sensitive information (Wi-Fi network credentials) during the setup process of the August Smart Lock Pro and Connect module. This vulnerability is a result of weak encryption (ROT-13 cipher) used in the August app, which can be exploited by a hacker to access network information [103826].

IoT System Layer

Layer Option Rationale
Perception network_communication (a) sensor: The software failure incident reported in the article is related to network communication error rather than a sensor error. The vulnerability discovered in the August Smart Lock Pro and Connect module allowed a hacker to access Wi-Fi network credentials during setup, not directly affecting the smart lock itself [103826]. (b) actuator: The software failure incident did not involve an actuator error but rather a vulnerability in the setup process of the August Smart Lock Pro and Connect module, which allowed unauthorized access to Wi-Fi network credentials [103826]. (c) processing_unit: The software failure incident did not stem from a processing error but rather from a security vulnerability in the August Smart Lock Pro and Connect module setup process, which exposed Wi-Fi network credentials to potential hackers [103826]. (d) network_communication: The software failure incident is directly related to a network communication error. The vulnerability discovered in the August Smart Lock Pro and Connect module allowed unauthorized access to Wi-Fi network credentials during the setup process, highlighting a flaw in the network communication security [103826]. (e) embedded_software: The software failure incident is not attributed to an error in the embedded software of the August Smart Lock Pro and Connect module but rather to a security vulnerability during the setup process that exposed Wi-Fi network credentials to potential hackers [103826].
Communication connectivity_level The software failure incident reported in Article 103826 was related to the connectivity level of the cyber-physical system. The vulnerability discovered in the August Smart Lock Pro and Connect module was due to issues with the setup process involving the August Connect module and the communication between the smart lock and the home Wi-Fi network. The vulnerability allowed a hacker to access Wi-Fi network credentials during the setup, which was a network layer issue rather than a physical layer problem [103826].
Application TRUE The software failure incident described in the article [103826] was related to the application layer of the cyber physical system. The vulnerability in the August Smart Lock Pro and Connect module was due to a flaw in the encryption method used by the August app, specifically the use of a simple cipher called ROT-13. This flaw allowed a hacker to intercept Wi-Fi network credentials during the setup process, indicating a failure introduced by incorrect encryption usage at the application layer of the system.

Other Details

Category Option Rationale
Consequence property, theoretical_consequence (d) property: People's material goods, money, or data was impacted due to the software failure. The software failure incident involving August Smart Locks and the Connect module exposed a vulnerability that could allow a hacker to access users' Wi-Fi network credentials. While the hacker couldn't unlock the smart lock remotely, they could potentially access the Wi-Fi login information and cause havoc on the home network [103826]. This breach of security could lead to potential property damage or data loss for the affected users.
Domain information (a) The software failure incident reported in the articles is related to the industry of information. The August Smart Lock Pro and Connect module, which were found to have a vulnerability during setup, are part of the smart home technology sector, which falls under the broader category of information technology [Article 103826].

Sources

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