July 31, 1998

          Hacker Convention Takes On a Corporate Tone

          By MATT RICHTEL [Bio]

          LAS VEGAS -- "Dark Tangent," the founder of the              
          annual hacker convention known as Def Con, isn't the
          arch-criminal you might expect, stealthily breaking into
          corporate America's most private systems. Instead, he's
          having corporate America over for lunch -- and its
          managers are paying handsomely for the privilege.

          The sixth-annual Def Con                         [Image]
          opens Friday in Sin City,           Christine Thompson /
          and some 2,000 rowdy                         CyberTimes
          hackers and their groupies
          are expected to attend. But  ---------------------------
          on Wednesday and Thursday, Dark Tangent -- whose given
          name is Jeff Moss -- hosted a conference and buffet
          lunches for a different crowd: 350 representatives from
          Fortune 500 companies, the military and law enforcement.
          Each paid $1,000 to hear hackers share their technical
          secrets.

          "It's very fruitful," said Robin Hutchinson, a serious
          and clean-cut senior manager of electronic commerce for
          Ernst & Young, the accounting firm, which sent 11
          computer professionals to the conference. "They've
          pulled together people who really know their stuff."

          The phenomenon of leading members of the hacker
          underground sharing their expertise with the government
          and private industry is not new. A group of hackers from
          Boston even testified in front of a Senate committee
          earlier this year, reporting that the national
          infrastructure is vulnerable because of computer
          security flaws.

          However, it has only been in the last year that hackers
          and potential hackees have come together at Def Con,
          which was once the domain of a close-knit group of
          anti-establishment ideologues -- rebellious both in
          attitude and attire. That faction will no doubt be in
          attendance when the real Def Con starts Friday, and some
          of them will be critical of the commercial tactics of
          their generally older (as in 30-something) colleagues.

          But the drift towards corporate style was obvious at the
          prelude to Def Con, which looked like a convention of
          accountants or appliance salesmen. Attendees even wore
          name tags with actual names written on them instead of
          hacker monikers like "Mudge" or "Se7en." The talks were
          highly technical, featuring plenty of abbreviations
          (VPN, SNMP, GSM) that would be meaningless to
          non-engineers.

          The clearest signs of the times may be the T-shirts Moss
          designed for this year's Def Con. On the back, they
          read, "I miss crime." Moss said the slogan narrowly beat
          out the runner-up: "Def Con VI: The Security World
          Sellout Tour."

          Moss said the shirts' message is thick with irony. He
          said he is well aware that hackers -- once accused of
          thwarting law enforcement and threatening corporate
          America -- have increasingly turned to cooperating with
          companies and selling their services. In fact, when
          younger hackers accuse Moss and his more seasoned hacker
          colleagues of going corporate, he replies: Damn
          straight.

          ------------------------- Moss, a clean-cut 28-year-old
          TODAY IN TECHNOLOGY       who looks the antithesis of
                                    the stereotypical hacker,
          CyberTimes                said the truly dedicated
          'Rate Your                hackers plied their trade in
          Representative' Sites     search of knowledge about
          Illustrate Voting's       computer systems, not to
          Complexity                cause trouble. Now that
                                    corporate America is paying
          New Anti-Pornography      attention, Moss figures his
          Measure Could Pass        subculture may as well
          Constitutional Test       capitalize on the fact that
                                    hacker interests are
          Business Technology       mainstream. Attendance has
          Microsoft Co-Founder to   tripled since the first
          Buy 90% of Big Cable      conference a year ago.
          Company
                                    "The computer problems are
          France to Sell up to 30%  what's interesting," said
          of Thomson Multimedia     Moss, who added that he is
                                    not interested in limiting
          MCI Reports a Decline of  himself to working within the
          30% in Net Income for the hacker community. "I don't
          2d Quarter                care if it's kids we're
          ------------------------- dealing with, or AT&T."

          On Friday, Moss will be dealing with the "kids" again,
          and he will undergo something of a transformation. He
          said he will shed his sweater, don a T-shirt, grab a
          drink and relax. Even the setting will change. The
          Wednesday and Thursday conference, called the "Black Hat
          Briefings," were held in the Caesar's Palace on the
          famed Las Vegas Strip, whereas Def Con will be held at a
          hotel in the lower-rent downtown area called the Plaza.

          The reason, quite simply, is that the Def Con hackers
          aren't welcome at most places in Las Vegas. Over the
          years, they've applied their intellectually devious
          talents to pernicious ends, hacking into casino Web
          sites and elevator systems, and, one year, ripping
          dozens of smoke detectors from the ceiling of a hotel
          hallway.

          "Two years ago, I would have been figuring out how many
          sea flares to bring to put into swimming pools and
          fountains," said Christian Valor, who goes by the name
          "Se7en" online. "I would have been figuring out how much
          mayhem I could create."

Two years ago, he wasn't interested in hacking or the convention.
About on par for his past.

          These days, though, Valor won't even hang around for Def
          Con. He came only as a guest speaker to share his
          experience as a former "phone phreaker" -- someone who
          breaks into telephone systems -- with law enforcement
          and military personnel. Valor spoke not at the Black Hat
          Briefings, but at a second conference of the hackers and
          the hacked -- this one with 40 attendees who paid $800
          for the two-day affair.

          Valor said he once took great pride    ------------------
          in being a part of the hacker          CyberTimes
          underground, but he said he had        Special
          recently turned 30 and did not have    Hackstock: A
          time to play around anymore. "I have   Reporter's
          to pay the mortgage, I have a car      Fact-Finding
          payment," said Valor, who said he'll   Mission
          earn $90,000 this year as a            ------------------
          consultant.

90,000 is far from his earnings last year. This also
directly contradicts his claims of 120,000 and 160,000 in other
articles or public forums.

          "There's been a changing of the guard," said Valor,
          inhaling a Marlboro Light. "If these young guys want to
          take over the world, let them. We're too old."

          That said, Valor planned a late-night get-together with
          fellow hackers Thursday to discuss how to talk their way
          into getting free hotel stays, airline tickets and
          first-class upgrades. Which is to say that the real
          business of Def Con may have just begun.

          The opening conference "was like going to a university
          class," said Hutchinson of Ernst & Young. Def Con "will
          be like the frat party," he said.

          --------------------------------------------------------
          Matt Richtel at mrichtel@nytimes.com welcomes your
          comments and suggestions.
          --------------------------------------------------------