Fraudware Scam Yields $34 Million Every Month for Hackers
According to Sean Paul and Luis Corrons two security researchers at PandaLabs, who recently compiled a study paper titled "The Business of Rogueware," cyber criminals are reaping almost $34 Million every month by selling bogus AV (antivirus) software also called scareware or fraudware to unwary computer users, as reported by MXLogic in the end week of July 2009.
Panda has computed that rogueware infects 35 Million computers every month. The security company in its research reveals that 200 separate groups of rogueware already exist, while additional new variants are emerging constantly. Internet crooks have been developing new varieties of scareware so that they may escape detection by authentic antivirus software, PandaLabs stated.
Rogueware produces phony pop-up alerts and projects messages inside the web browser's task bar. The software deceptively scans the computer for malware and within few seconds produces popups that claim you are infected. Furthermore, it modifies Windows so that the rogueware is not removed, disallowing the user to regain his desktop and screensaver until he abides by the alerts' instructions and purchases the scareware.
Actually, the researchers' study discovered that during Q2-2009, there was a fourfold increase in new malware strains over 2008. Panda Security reported finding 374,000 variations of Fraudware in the 2nd quarter of 2009!
Commenting on the widespread prevalence of scareware, Corrons, Technical Director of PandaLabs, said that rogueware's popularity amidst cyber criminals was chiefly because they didn't need to steal sensitive information such as account numbers and passwords from users to gain monetary benefits, as reported by The Register on August 7, 2009.
Cyber criminals, by exploiting Internet surfers' fear for malware attacks, victimize purchasers of their bogus AV products, and constantly find new methods to seize victims, particularly through social-networking websites such as Twitter and Facebook.
For instance, recently a spam mail was spotted that offered a Harry Potter movie for free but when surfers accessed the site, a warning appeared that malware had infected their systems. The warning further suggested that they should purchase an AV program that was actually a fake.
