Supply Chain Attack

  • Fabian Sinner
  • February 12, 2025

Content

Supply Chain Attack

A supply chain attack is a type of cyberattack in which attackers exploit vulnerabilities in a company’s supply chain to gain access to sensitive data, systems or networks. Instead of attacking a target company directly, the attackers focus on its suppliers, service providers or partners, who are often less well protected. This makes it possible to indirectly compromise the actual target. 

How is a supply chain attack carried out?

Supply chain attacks are carried out in several stages, which are carefully planned and executed to cause maximum damage. 

Target selection and information gathering 

In the first step, the attackers identify a suitable target within the supply chain. They analyze potential partners or service or software providers of the target company to find vulnerabilities. To do this, they use publicly available information, social engineering or stolen data to get a comprehensive picture of the security situation in the supply chain. 

Infiltrating the supplier 

Once a vulnerable partner or service provider has been identified, the attackers penetrate their systems. To do this, they use techniques such as: 

  • Phishing attacks in which employees of the partner are tricked into downloading malware or revealing sensitive access data. 
  • Exploitation of vulnerabilities; for example, in the supplier’s software or networks. 
  • Installing malware on the partner’s systems to establish a permanent presence. 

Manipulating the supply chain 

After successful infiltration, attackers use the supplier’s infrastructure to prepare the actual attack. They manipulate the partner’s products or services to smuggle malware or backdoors into the target company unnoticed. Typical methods include: 

  • Manipulated software updates: Malicious code is inserted into legitimate updates that are later installed by the partner’s customers. 
  • Hardware manipulation: Attackers add malicious components during production or transport, such as chips with backdoors. 
  • Fake certificates: To make the manipulated products or software appear authentic, attackers steal or forge digital signatures. 

Attack on the target company 

As soon as the manipulated products or services reach the target company, the actual attack begins. The attackers use the infiltrated malware or manipulated hardware to gain access to the company’s internal systems. Here they can: 

  • Steal data such as customer data, trade secrets or intellectual property. 
  • Sabotage networks by paralyzing or manipulating important systems. 
  • Spread malware to carry out ransomware attacks or espionage activities.

Expand and deepen the attack 

After successfully penetrating the network, attackers expand their activities to cause further damage. They move laterally through the network, compromising additional systems and increasing their access to sensitive data. Often, the attack goes undetected for an extended period of time, significantly increasing the impact. 

Covering their tracks 

After completing the attack, perpetrators attempt to cover their tracks to make it more difficult to trace them. This includes: 

  • Deleting log data to conceal activities. 
  • Removing malware once the desired data has been stolen or sabotaged. 
  • Leaving backdoors to gain access again later if needed. 

What are the goals of such an attack?

The goal of supply chain attacks is to gain access to sensitive data, systems or resources through vulnerabilities in a company’s supply chain. Attackers pursue various strategies, often aimed at causing maximum damage or achieving financial gain. A central goal is the theft of sensitive data 

This includes customer data such as names, addresses or payment information, intellectual property such as patents and product designs, and business secrets such as strategic plans or market analyses. Such data can then be used for further attacks, sold on the black market, or used as leverage in extortion attempts. 

Another common goal of supply chain attacks is the distribution of malware. Attackers compromise software updates, hardware or services to distribute ransomware, spyware or Trojans to a broad user base. They can use these attack vectors to encrypt systems, steal access data, or set up backdoors for future access.  

In addition to data and malware attacks, supply chain attacks also aim to sabotage systems. In doing so, attackers may, for example, paralyze production lines or critical infrastructure, manipulate processes, or cause system failures in order to cause economic damage or reputational damage. Finally, many supply chain attacks often pursue the goal of achieving financial gains. This is done through extortion, manipulation of payment flows, or the sale of stolen data. 

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How can companies protect themselves from a supply chain attack?

Supply chain attacks pose a serious threat to companies because they exploit vulnerabilities to gain unauthorized access to systems and data. To effectively protect against such attacks, a comprehensive approach is needed that includes both technical and organizational measures.  

A key step is to minimize risks among suppliers and partners. This includes regularly reviewing their security measures and IT policies, along with clear contractual agreements that set minimum standards for cybersecurity and require incident reporting. Access rights should also be limited to the necessary minimum to reduce potential attack surfaces. 

A company’s own IT infrastructure also plays a crucial role in protecting against supply chain attacks. Software updates should always be checked for integrity and digital signatures verified before installation. Network segmentation helps to separate critical systems from each other and prevent attacks from spreading. Implementing a zero trust architecture ensures that no connection or user is automatically trusted, but that all access must be authenticated and verified. 

In addition, companies should take measures to minimize risks from open source components. Automated tools can identify vulnerabilities in open source libraries, and the use of trusted repositories ensures that only verified software is used. Regular code reviews can also help to detect hidden threats early on. 

Another important aspect is preparing for an emergency. Companies should develop contingency plans that take supply chain attacks into account and regularly test them through simulations. In the event of an incident, the ability to respond quickly is crucial, for example by blocking compromised access or isolating affected systems. 

In addition, compliance with established security standards such as ISO 27001 or the NIST Cybersecurity Framework is an important protective mechanism. Regular internal and external audits can help to identify vulnerabilities at an early stage. The use of endpoint protection solutions or SIEM systems enables the early detection of suspicious activities and increases security. 

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