Marc Faber and Cyber Attacks on the US

Marc Faber is the well known author and editor of the attention getting publication “The Gloom, Boom & Doom Report”. In his New Year’s Day edition this year there was a section on the potential for cyber attacks during the next decade that is scary stuff indeed.

The reason that it is so scary is that we are up against a very smart and determined enemy in Al-Qaeda. We know that they use the Internet to recruit members and to communicate worldwide. No doubt they have a cadre of very computer savvy terrorist operatives, including some top notch hackers. Then there are a number of foreign governments who may someday decide to attack us not with an army of armed forces but with an army of computer geek hackers.

The following is Marc Faber’s take on the possibility of cyber attacks.

“I, for one, am convinced that sometime in this next decade we shall experience successful cyber attacks, which may result in electricity blackouts, airport control tower failures, traffic jams, train and underground collisions, erroneous missile launches, a breakdown of the Internet, and so on.

“And whereas I perfectly understand their entire investment strategy around such highly disruptive events, they should at least prepare themselves for the day, week, month or even year when they may not be able to access or use their credit cards, bank and brokerage accounts, the Internet, and their mobile phones, and when they may have to live without oil and electricity amidst acute food shortages and poisoned water…

“It’s all wonderfully depressing, and some readers will consider me to be an alarmist. But the fact is that the likelihood of one or other of these conditions occurring sometime in the future is actually rather high. Therefore, I advise my readers to take out some insurance (but not with … any insurance company) in term for being prepared for an emergency situation.

“I suppose most people keep a small toolbox in their cars for emergencies, a fifth wheel in case of a flat tire (the Fed chairman doesn’t need a spare wheel because he wouldn’t know how to replace one in the first place), and a small home pharmacy for treating minor injuries. So, being prepared in the event of a major disruption in our lives might be considered prudent (especially if other people, such as small children) and not just an unnecessary warning by an insane alarmist. Hoping that all will go well is just not an option at this stage.”

Yikes! With what we know about the potential for conflict in the decade ahead a bit of preparation does seem to be only prudent. My own opinion is that trial cyber attacks are already being directed against us and more intense efforts will follow. As Al-Qaeda’s stated goal is to bankrupt the US shutting down the power grid would be a huge blow to our economy and would quickly cost us many billions of dollars in lost output and in combating total chaos. Then there are all of the smart computer geeks in Iran. And Pakistan. And Iraq. And our friend for now China. Yikes indeed!