2600 has obtained the letters sent to the FBI that were used to help
calculate "damages" caused by Kevin Mitnick. The following letters can
be thought of as the main reasons why Kevin was able to be held without
bail for so long and will no doubt be used at his sentencing on June 14
to impose more harsh conditions.
As far as we know, no mention of any of these "losses" was ever made to
any of the stockholders of these companies, which to our understanding
they are required to do if losses of this magnitude actually took place.
We're making these public because the public needs to know how individuals
can be locked away for so long just for pissing off powerful corporations.
We believe this also demonstrates how the FBI prodded these companies into
giving as inflated a figure as possible.
Sun Microsystems
2550 Garcia Avenue
Mountain View, CA 94043
415 960-1300
415 336-0630 fax
March 9, 1995
Kathleen Carson
Federal Bureau of Investigation
11000 Wilshire Boulevard, Suite 1700
Los Angeles, California 90024
Re: Sun Solaris 2.x
Dear Ms. Carson:
As you are aware, Sun Microsystems, Inc. experienced a break-in of its
computer systems located in our Los Angeles office on or about June 30,
1993. During the break-in, a substantial portion of the source code of
Sun's Solaris 2.x software product was apparently copied and removed.
Solaris software is a UNIX-based product originally licensed by Sun from
AT&T. In March of 1994 Sun bought out its original license with AT&T with
a lump sum payment of more than $80 million. In addition, Sun has
invested very heavily for more than ten years in the continued development
of the Solaris software and values the current product in the hundreds
of millions of dollars.
Sincerely,
Lee Patch
Vice President, Intellectual Property Law
LP/kl
Enclosure
View letter
NEC America, Inc.
1555 W. Walnut Hill Lane
Irving, Texas 75038-3796
Tel. 214-751-7000
March 9, 1995
Special Agent Kathleen Carson
Federal Bureau of Investigation
U.S. Department of Justice
11000 Wilshire Boulevard #1700
Los Angeles, CA 90024
Dear Ms. Carson:
Please be advised that the software stolen from NEC America, Inc. and its
affiliates involves the software design for a NEC cellular mobile telephone
and is valued at one million seven hundred fifty thousand dollars
($1,750,000.00). The value is based on the development costs for the
stolen software.
Please contact me if I can be of any further assistance.
Sincerely,
Yutaka Ichikawa
Vice President & General Manager
Communications Terminals Group
View letter
Nokia Mobile Phones
Ilkka Roman
Deputy Security Manager
P.O. Box 86
FIN-24101 Salo
Finland
Telefax: +358 10 505 4303
Telephone: +358 10 505 5153
Mobile: +358 40 501 3773
To: FBI Los Angeles
Attn: SA Kathleen Antena [sic]
CC: Mr. Urho Ilmonen, Vice President, Legal
Fax: +1-310-9963836
Date: Sep. 20, 1996
Subject: ESTIMATED VALUE FOR SOFTWARE ASKED TO BE SENT
PRIVILEGED AND CONFIDENTIAL
Nokia Mobile Phones was requested and tried to be mislead in early 1994
to send whole material of HD760 project on magnetic tape from Oulu to US
as guided by the requesting person. We have estimated the value of the
asked material to be:
2.5 M FIM
which is according to the current rating (1 US $ = 4.48 FIM)
560,000 US $
This estimation is based on amount of work done to create the material
of that project plus additional overhead caused by type approval and
other featured necessary to finish the product.
Ilkka Roman
NMP Security Deputy Security Manager
View letter
NOKIA Mobile Phones (UK) LTD
CONFIDENTIAL
Ms. Kathleen Carson
Special Agent
Federal Bureau of Investigation
11000 Wilshire Boulevard
Los Angeles, CA 90024
USA
February 23, 1995
Dear Ms. Carson:
Regarding your telephone request of 21 February 1995 asking for Nokia to
put a value on the costs of the software stolen, together with an estimate
of the costs of the disruption, I have provided initial estimates of them
for you as detailed below:
A rough estimate of the development costs of stolen software and tools,
including testing is US$ 7.5 Million.
The disruption to the Nokia Mobile Phones development community caused
by the incidents resulted in our local networks being completely closed
for a week and the external networks closed for one month.
Lost development time is estimated to have cost the company US$ 7.5
Million and probably a further US $120 Million in lost revenue due to
new developments being delayed in reaching the market.
There are some costs of disruption to our other divisions, Nokia Research
and Nokia Telecommunications, I have not yet been able to ascertain
estimates for those divisions. These could be provided in due course.
This would lead to a minimum loss estimated to total US $135 Million.
I hope that this information satisfies your needs.
Yours sincerely
John A. Talbot
Vice President of Engineering Support Centre
View letter
NOVELL
February 23, 1995
Cathleen Carson
(Via Fax 310-996-3359)
Special Agent FBI
11000 Wilshire Blvd
Suite 1700
Los Angeles, CA 90024
Dear Special Agent Carson,
Novell is greatly relieved that Kevin Mitnick has been apprehended. As you
know, several types of source code were taken by Mitnick. To attach a
value of the source code taken is a very difficult thing to do, given
that Novell's revenues exceed $2,000,000,000/year. However, the cost
associated with the development of the source code is well in excess of
$75,000,000.
A more precise number would require additional research. If you have any
questions, please contact me at 801-429-7888.
Sincerely,
Edward L. Morin
Corporate Security
View letter
Fujitsu
February 22, 1995
VIA FACSIMILE 310/996-3359 & U.S. MAIL
Kathleen Carson, Special Agent
Federal Bureau of Investigation
11000 Wilshire Boulevard
Los Angeles, California 90024
Re: Kevin Mitnick
Dear Kathleen:
Congratulations on the arrest of Kevin Mitnick. Pursuant to your request,
I asked our Cellular group to assess the damages caused to Fujitsu
Network Transmission Systems, Inc. ("FNTS") by Mitnick's theft of the
source code for the PCX telephone. The information provided to me is
as follows:
Software development expenses... $1,100,000.00
Research & development expenses.. 1,000,000.00
Total... $2,100,000.00
Additionally, attached is a worksheet showing what it would (will) cost
FNTS to recall the PCX phones in the marketplace if the source code has
been compromised or is not safe. Please call me at (214) 479-2931 if you
need further information.
Very truly yours,
Melanie W. Scofield
Corporate Counsel
MWS/lm
Attachment
cc: George Banash
To: Nobuo Yamamolo PCX Recall Cost Analysis COMPANY CONFIDENTIAL
Yoichiro Fujino DO NOT RELEASE
PCX Recall for Software Rework
COST ITEMS-
DESCRIPTION PRICE COMMENT REFERENCE
Shipping $17.31 Fed. Exp.=$7.50 X 2 + $2.31 (PACKAGE) B5
Pre-check $4.00 Bench test to confirm operational
status - 6 min. B6
Labor to upgrade software $8.50 15 min. $ 34.00 per hour B7
QC Cost $4.00 After repair QC check - 6 min. B8
Packing & Handling labor $6.40 Overhead cost to unpack & pack and
ticket - 9.6 min. B9
Customer Handling $15.00 Dealer, FASC, End-User Compensation B10
PCX Admin Overhead $2.00 Mass Mailing, Accounting, Repair
Admin., Misc. B11
TOTAL $57.21 Total Cost per Recall Unit SUM(B5:B11)
GRAND TOTAL $5,517,389.61 Total recall cost for 96,441 unit population
Recall for source code rework. Based on population through December 1994.
View letter
View attachment