Ethical Hacking 101: 5 Times They Saved the Day

Cyber security incidents continue to be a major risk for companies of all sizes. According to a recent survey from IFP, around seven in ten businesses (76%) recorded up to 100 attacks between 2021 and 2022, while research from IBM suggests the typical cost of these incidents has reached $4.24 million - the highest figure on record.

Yet despite this, many businesses remain poorly prepared to face such an incident.

While the popular image of a hack is of a large-scale, multifaceted attack that uses complex code and requires significant expertise, the truth for many businesses is far more mundane. Most data security breaches can be traced to a few easily solvable issues that, if identified and fixed quickly, can shut down many potential avenues of attack.

However, finding these problems is often easier said than done. So how do you know where your potential vulnerabilities lie? The answer is to turn to an ethical hacker.

What is ethical hacking?

Ethical hacking involves an outside party attempting to hack into a business' network in much the same way as a malicious hacker would. While they’ll have permission from the company to do this, they’re free to choose their own methods and targets to simulate a real-world attack as closely as possible.

It's sometimes used interchangeably with penetration testing, but there are a few key differences. The main one is that penetration testers usually have a specific brief to work to. For instance, they may be asked to examine a certain system or network to determine the effectiveness of its defenses.

Learn more: 9 Penetration Testing Tools The Pros Use

An ethical hacker, on the other hand, has a much broader remit, and will use any and all techniques at their disposal to bypass defenses. This makes it a much more valuable real-world test, as there are no artificial constraints holding them back.

The 3 types of hacker

There are a few different kinds of hacker, generally classified by how malicious their intentions are. In IT parlance, they're described in reference to the old Western movie tradition of the color of characters' hats identifying who are the good guys and the bad guys. They are:

• White hat hackers: White hat hackers are experienced hackers who have no intent to harm the organization they target, and are instead looking to find weaknesses and security flaws and inform them of any issues. They’re often hired directly by an organization for their hacking skills, and so are not breaking the law as they have permission to hack into a network.
• Black hat hackers: Black hat hackers are malicious individuals looking to break into networks for personal gain, such as stealing financial details or other valuable data they can profit from. These are the malicious hackers your security teams need to stop.
• Gray hat hackers: The middle ground, gray hat hackers are often motivated by curiosity or fun rather than profit. They don't usually have malicious intentions, but work without the approval of organizations, so their activities are illegal. Some may take advantage of bug bounty programs if they find anything, while others may turn towards black hat methods or public disclosure if any warnings go ignored.
• Blue hat hackers: Blue hat hackers, much like green hat hackers are skilled individuals are often employed by companies to perform penetration testing, which involves intentionally attempting to exploit a weak spot or critical vulnerability within the security system. Interestingly, the term 'blue hat' is also used in some circles to denote malicious hackers seeking revenge.
• Green hat hackers: Finally, green hat hackers are individuals who use their hacking skills primarily to enhance their knowledge and expertise in the field of cyber security. Unlike malicious hackers who seek financial gain or aim to cause damage, green hat hackers aspire to become experienced professionals in the industry. They are often newcomers, eager to learn and develop their abilities.