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Cloud

4 MIN READ

News



MICROSOFT 365 BREACH RISK WIDENS TO MILLIONS OF AZURE AD APPS

China-linked APT actors could have single-hop access to the gamut of Microsoft
cloud services and apps, including SharePoint, Teams, and OneDrive, among many
others.
Tara Seals
Managing Editor, News, Dark Reading
July 21, 2023
Source: AllCanadaPhotos via Alamy Stock Photo
PDF


The Storm-0558 breach that gave Chinese advanced persistent threat (APT) actors
access to emails within at least 25 US government agencies could be much
further-reaching and impactful than anyone anticipated, potentially placing a
much broader swathe of Microsoft cloud services at risk than previously thought.



But the lack of authentication logging at many organizations means that the full
scope of actual compromise stemming from the situation will take weeks, if not
months, to determine.

In the email breach, a stolen Microsoft account (MSA) key allowed the Storm-0558
APT to forge authentication tokens to masquerade as authorized Azure Active
Directory (AD) users, obtaining access to Microsoft 365 enterprise email
accounts and the potentially sensitive information contained within.

But it turns out that the swiped MSA key could have allowed the threat actor to
also forge access tokens for "multiple types of Azure Active Directory
applications, including every application that supports personal account
authentication, such as SharePoint, Teams, OneDrive, customers' applications
that support the 'login with Microsoft' functionality, and multitenant
applications in certain conditions," according to research from Wiz released
July 21.



Personal Microsoft accounts for services like Skype and Xbox are also
vulnerable.



Shir Tamari, head of research at Wiz, noted that the APT could be lurking in
position to have "immediate single hop access to everything, any email box, file
service or cloud account."

Microsoft has confirmed the firm's findings, Tamari noted in a July 21 posting.


DETERMINING THE SCOPE OF THE STORM-0558 BREACH

Microsoft revoked the stolen key in early July, and has released indicators of
compromise (IoCs) for the email attack. But unfortunately, assessing whether the
Storm-0558 actors actually made use of the broader access to any of the millions
of additional susceptible applications will be much easier said than done.

"We discovered that it may be difficult for customers to detect the use of
forged tokens against their applications due to lack of logs on crucial fields
related to the token verification process," Tamari explained.



This relates to the so-called "logging tax" that came to light in the aftermath
of Microsoft's original disclosure of the Storm-0558 breach last week: Many
Microsoft customers have lacked visibility as to the impact of the attacks on
their businesses, because the advanced logging that could detect the anomalous
behavior has only been available as part of a paid premium service. Microsoft
within days bowed to industry pressure, pledging to make access to advanced
logging free, but that change will take a bit for customers to implement and use
globally.

"Unfortunately, there is a lack of standardized practices when it comes to
application-specific logging. Therefore, in most cases, application owners do
not have detailed logs containing the raw access token or its signing key,"
wrote Tamari. "As a result, identifying and investigating such events can prove
exceedingly challenging for app owners."

Nonetheless, the stakes remain high, noted Yossi Rachman, director of security
research for AD security company Semperis. "The main concern here is
understanding how exactly threat actors were able to get their hands on the
compromised Azure AD key, as these types of breaches have the potential of
quickly turning into a SolarWinds-scale event."


AZURE AD CUSTOMERS COULD STILL BE AT RISK

Wiz warned that despite the key revocation, some Azure AD customers could
potentially still be sitting ducks, given that Storm-0558 could have leveraged
its access to establish persistence by issuing itself application-specific
access keys, or setting up backdoors.

Further, any applications that retained copies of the Azure AD public keys prior
to the revocation, and applications that rely on local certificate stores or
cached keys that may not have updated, remain susceptible to token forgery.

"It is imperative for these applications to immediately refresh the list of
trusted certificates," Tamari urged. "Microsoft advises refreshing the cache of
local stores and certificates at least once a day."

In addition, Wiz, which listed details in its post as to which specific Azure AD
configurations would be at risk from an attack, counseled organizations to
update their Azure SDKs to the latest version and ensure their application
caches are updated.

"The full impact of this incident is much larger than we initially understood it
to be," Tamari noted. "We believe this event will have long lasting implications
on our trust of the cloud and the core components that support it, above all,
the identity layer which is the basic fabric of everything we do in cloud. We
must learn from it and improve."

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