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Question. Can't we just let this company die? Do we really need a new law created by congress (EG HIPAA 2.0). Wont this just destroy the ability to create start

Question. Can't we just let this company die? Do we really need a new law created by congress (EG HIPAA 2.0). Wont this just destroy the ability to create startups quickly? I understand it will help lawyers get fat and happy, but enforcing 'privacy' laws would be a trolling circus.

samfisher83 9y ago
Do I really want a startup doing this stuff? Iterate fast and break things? I would rather just have a heavily regulated industry with a lot of checks and balances handle very important data like this. Why could you even access the core databases from the front end? Why isn't the data on completely separate server where all queries are completely scrubbed and verified?
- ransom1538 9y ago
  Heavily regulated like: airlines, healthcare, public schools, prisons and drugs?
  - samfisher83 9y ago
    Air travel is pretty safe.
    - neurotech1 9y ago
      That and if an airline has a major crash, there is a high probability they'll be out of business relatively soon, or forced to acquire a new brand. * Pan Am had two 747 crashes in 11 years. Flight 103 & Flight 1736 (Tenerife) although the airline was not directly to blame for either crash. * TWA 800 (along with 9/11) led to the collapse of airline. * Valuejet 592 crashed in Florida in 1996, grounded for several months, and then merged with Airtran Airlines in 1997.
- anigbrowl 9y ago
  Those are interesting questions, but distract fromt he central one of just why we should continue to let Equifax exist.
g051051 9y ago
What do you mean, "let it die"? Do you honestly think there's even a shred of possibility that Equifax would go out of business?
- ransom1538 9y ago
  I don't think it will be long until the data is sold, then some group figures out you can program with the data + curl + facebook and automate applying for loans and tax refunds in mass. There could be millions of erroneous loan applications, tax refunds, business filings, car applications. Then! Law suites, government inquiries, etc. They don't sell oil - money will run out.
  - g051051 9y ago
    Take a look at the analyst outlook and decide if you still think that's going to happen: https://baird.bluematrix.com/docs/pdf/dbf801ef-f20e-4d6f-91c1-88e55503ecb0.pdf https://baird.bluematrix.com/docs/pdf/dbf801ef-f20e-4d6f-91c...
    - uiri 9y ago
      Our understanding is data retained by EFX primarily generated through consumer interactions was breached via the Apache Struts flaw (i.e., core databases not believed to have been breached). This is complete and utter garbage. There is no solid evidence to back this theory of the breach. It is still too early to tell exactly what data was leaked and how. We simply won't know until the security consultants auditing Equifax's systems publish a report (or otherwise publicize their results).
      - clra 9y ago
        I also find it pretty hard to believe that a company like Equifax didn't just have everything hooked up to one big database, but I still don't think it's likely the breach is going to take the whole company down. Most people aren't going to be tuned into the leak the same way that we are on HN, they've still got their special place in a government-sponsored near-monopoly, and big companies have the resources to deflect blame and hunker down to weather the storm. Remember the Deepwater Horizon spill and how angry people were at the time? These days, a large majority probably don't remember the details or even the name of the bigco responsible.
umanwizard 9y ago
> Wont this just destroy the ability to create startups quickly? Why does this matter to anyone but startup founders?
- ransom1538 9y ago
  Because monopolies are bad.
  - mannykannot 9y ago
    Equifax is not a monopoly. Furthermore, the root cause of this problem does not lie in any quasi-monopolistic feature of the industry. Appropriate regulation should not be ruled out, as a possible remedial action, on the basis of non-sequiturs.
    - greedy_buffer 9y ago
      Could argue that industries with low startup costs are much less likely to suffer a proliferation of Apache Struts. Increased competitive pressure to improve an information product might bring the side effect of more modern technology, but who knows the overall impact it would have on security.
      - mannykannot 9y ago
        Maybe, but the underlying problem is not a particular technology, or even technological in general; it lies in having a system built on false assumptions about the confidentiality of SSNs and other data. Suppose we have a solution to the underlying problems. It would undoubtedly be difficult and costly for the financial industry to adopt it, and a startup that implements it will not be in a position to force its adoption. About the only thing that could would be regulation - but I'm not holding my breath.
  - sorokod 9y ago
    From a single company's point of view, as an evolutionary entity , there is absolutely nothing better than becoming a monopoly.

samfisher83 9y ago

Do I really want a startup doing this stuff? Iterate fast and break things? I would rather just have a heavily regulated industry with a lot of checks and balances handle very important data like this. Why could you even access the core databases from the front end? Why isn't the data on completely separate server where all queries are completely scrubbed and verified?

ransom1538 9y ago
Heavily regulated like: airlines, healthcare, public schools, prisons and drugs?
- samfisher83 9y ago
  Air travel is pretty safe.
  - neurotech1 9y ago
    That and if an airline has a major crash, there is a high probability they'll be out of business relatively soon, or forced to acquire a new brand. * Pan Am had two 747 crashes in 11 years. Flight 103 & Flight 1736 (Tenerife) although the airline was not directly to blame for either crash. * TWA 800 (along with 9/11) led to the collapse of airline. * Valuejet 592 crashed in Florida in 1996, grounded for several months, and then merged with Airtran Airlines in 1997.
anigbrowl 9y ago
Those are interesting questions, but distract fromt he central one of just why we should continue to let Equifax exist.

g051051 9y ago

What do you mean, "let it die"? Do you honestly think there's even a shred of possibility that Equifax would go out of business?

ransom1538 9y ago
I don't think it will be long until the data is sold, then some group figures out you can program with the data + curl + facebook and automate applying for loans and tax refunds in mass. There could be millions of erroneous loan applications, tax refunds, business filings, car applications. Then! Law suites, government inquiries, etc. They don't sell oil - money will run out.
- g051051 9y ago
  Take a look at the analyst outlook and decide if you still think that's going to happen: https://baird.bluematrix.com/docs/pdf/dbf801ef-f20e-4d6f-91c1-88e55503ecb0.pdf https://baird.bluematrix.com/docs/pdf/dbf801ef-f20e-4d6f-91c...
  - uiri 9y ago
    Our understanding is data retained by EFX primarily generated through consumer interactions was breached via the Apache Struts flaw (i.e., core databases not believed to have been breached). This is complete and utter garbage. There is no solid evidence to back this theory of the breach. It is still too early to tell exactly what data was leaked and how. We simply won't know until the security consultants auditing Equifax's systems publish a report (or otherwise publicize their results).
    - clra 9y ago
      I also find it pretty hard to believe that a company like Equifax didn't just have everything hooked up to one big database, but I still don't think it's likely the breach is going to take the whole company down. Most people aren't going to be tuned into the leak the same way that we are on HN, they've still got their special place in a government-sponsored near-monopoly, and big companies have the resources to deflect blame and hunker down to weather the storm. Remember the Deepwater Horizon spill and how angry people were at the time? These days, a large majority probably don't remember the details or even the name of the bigco responsible.

umanwizard 9y ago

> Wont this just destroy the ability to create startups quickly? Why does this matter to anyone but startup founders?

ransom1538 9y ago
Because monopolies are bad.
- mannykannot 9y ago
  Equifax is not a monopoly. Furthermore, the root cause of this problem does not lie in any quasi-monopolistic feature of the industry. Appropriate regulation should not be ruled out, as a possible remedial action, on the basis of non-sequiturs.
  - greedy_buffer 9y ago
    Could argue that industries with low startup costs are much less likely to suffer a proliferation of Apache Struts. Increased competitive pressure to improve an information product might bring the side effect of more modern technology, but who knows the overall impact it would have on security.
    - mannykannot 9y ago
      Maybe, but the underlying problem is not a particular technology, or even technological in general; it lies in having a system built on false assumptions about the confidentiality of SSNs and other data. Suppose we have a solution to the underlying problems. It would undoubtedly be difficult and costly for the financial industry to adopt it, and a startup that implements it will not be in a position to force its adoption. About the only thing that could would be regulation - but I'm not holding my breath.
- sorokod 9y ago
  From a single company's point of view, as an evolutionary entity , there is absolutely nothing better than becoming a monopoly.