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tv   CNN Newsroom With Carol Costello  CNN  December 18, 2014 6:00am-7:01am PST

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>> that's the mark of a good stuff. thanks so much for watching us with all of the breaking news today. we appreciate it. we'll see you tomorrow. time now for "newsroom" with carol costello. >> thank you. have a great day. "newsroom" starts now. good morning. i'm carol costello. thank you so much for joining me. we begin with the massive cyber terror attack on sony officials. the u.s. is getting ready to announce that north korea was indeed behind that b rcrazen attack. also new this morning, a defector who once worked as a computer expert for north korea tells cnn he believes the communist country is running a massive hacker network made up of nearly 2,000 secret cyberwarriors. all of this as sony pulls the
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plug on the christmas day release of "the interview" after a terror threat by hackers. and a movie release starring -- >> we expect that they are going to treat this as a very, very serious thing. this has been handled at the highest levels. we have the president's counterterrorism adviser who has been helping to coordinate the response from the u.s. intelligence agencies, the fbi, department justice's national security division. that tells you exactly how high this is and how serious this is. as you called it, a cyberterrorism act. this has been, in some ways, a lot more successful than any of the other threats that north korea makes every few months. they make threats against south korea, against the united
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states, about launching new missiles. a lot of times they don't do anything. sometimes they explode before they go anywhere. this, this has been a lot more successful and in some ways they are censoring the america public in the way nobody else can. >> the thought that north korea is turning these cyberwarriors, it doesn't take much money to train people inside north korea, right? >> right. they do what they are told if kim jong-un says that it happens. that's one reasons why the investigators that have been working on this case, the fbi and others believe that this came from the top. because nothing happens out of north korea without kim jong-un's say so, without the military regime deciding this. there's this one group of hackers that works for the military called bureau 121 and they are front and center at these efforts. they have been doing attacks against companies in south korea and now we've seen this. we'll see where the administration goes and how
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farther going to try to go in their response to this because they have to respond. >> yeah. you would think so. we're going to talk about that in a bit. evan perez, thanks so much. we're also learning new information about the group of hackers believed to have carried out that attack. it's called bureau 121. their target is foreign countries. a north korean defector tells cnn that the group of cyberwarriors is handpicked by the north korean regime and placed in different places around the world. >> translator: cyberattack capability is much more dangerous than nuclear weapons because often it's hard to find the attackers and low cost and effort, north korea can cause an incredible impact on the society, politically, economically, and militarily. >> so let's dig deeper into this topic with cnn's will ripley in
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tokyo. it sounds like a bad movie but it's dangerous. tell us more about this bureau 121. >> reporter: it's all too real, carol. i was in north korea a few months ago and i can tell you how remarkable it is that this country is able to pull together the funds to train and supply this group of 1800 technical wizards plugged from the elite. they can barely scrape together enough food and even in that capital city where they don't have enough electricity to keep the lights on 24 hours, they somehow manage to keep this group fully powered and fully supplied so that they can basically conduct these cyberattacks. this is the first kind of attack they've conducted on the united states but they've credited south korean broadcasters with this similar tactic. with the u.s. being affected,
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carol, unprecedented. >> will ripley reporting live from tokyo this morning. many experts fear the damage could be far worse if cybersoldiers attend government sites like power plants, pipelines and water systems. let's talk more about that with cnn law enforcement analyst and former fbi assistant director tom fuentes and we're also joined by a former hacker, kevin. you're the author of the book "ghost in the wires," my adventures as the world's most wanted hacker. we're very much interested to talk to you this morning. tom, first to you, newt gingrich called north korea's action an act of war. is it? >> no, not quite. it's a serious action, an act of terrorism. i don't know if it's enough that we're going to have to declare war on them and send in the military and nuke them or what other things you might do an as
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act of war but it's a serious, serious matter. if i can add, it's nice to be on the same side as kevin these days. i was in the fbi in the '90s when we weren't exactly teammates. >> oh, well that's interesting. so you're not predator and prey anymore, you're kind of friends this morning? >> exactly. >> that's a good thing. that's a good thing. so kevin, newt gingrich also said that north korea has won the first round of cyberwar. how could you argue that they haven't? >> well, i think they have. they were successful at getting sony to yank the movie "the interview" through this cyberextortion scheme. i think it's unfortunate that it's encroaching on our first amendment rights. i don't think sony should suppress it and we couldn't lose against north korea. >> i want to talk to you about
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that, tom. you wouldn't think north korea would have this capability but we've known about bureau 121 for quite some time. so it didn't just come out of nowhere. >> no, carol. they have been doing this. they've done it to south korea and they are kind of growing their abilities. this is practically the definition of asymmetrical warfare, where a country cannot launch a missile to your shores and attack you that way can do it by cyber and we've seen this with other countries as well, other state-sponsored cyberpenetrations. if i could add one more thing, the vulnerability to attacks like this is very serious but also that vulnerability is magnified if they have employees on the inside who want to be part of this for whatever reason, just loyal to the company. maybe they've been fired and the company hasn't eliminated their password access to sensitive files. you know, so we see in many of these attacks over the years,
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inside help to make it happen. >> so kevin, what does the government need to do to go after these hackers in north korea? >> well, in north korea, i don't know. i don't think the government has a lot of options there. but i must say, a disgruntled insider would have much greater access and probably the ability to gain administrator rights in the company and get access to everything but i get hired to test companies all the time. they hire me to break in as a hacker and we're extremely successful and that's because it's really not that difficult and so i think north korea would have that capability if they were, in fact, behind us to actually do it because a company like sony has a lot of what we call points where hackers could actually break in and it's extremely hard to manage all of them and some information our
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journalists have given me, he showed me a document that was an internal document of sony that spoke to a lot of their security monitoring wasn't working because of some misconfigurations. so i don't if hacking into sony was really such a hard task and there might be multiple hacking groups that attacked sony at the same time. it might not just be one. >> so sony may be, in part, responsible for not providing them the proper security for its systems. on the other hand, tom, when you have a foreign country hacking into your systems, is it the government's responsibility to protect companies from such things as well? >> actually, it is in that sense. the government -- especially when it's a foreign government behind the penetration or attempted attack. the u.s. government helps that. we have a series of serious felonies against the united states law from the penetration
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itself into the stisystem, the destruction of files and now the extortion and threat of a terrorist attack, implying that people would be killed by bombs at a theater if the movie had been released. so, yes, this runs the table of criminal offenses that are investigated by the fbi in particular and other government agencies. >> tom fuentes, kevin, thank you to both of you. appreciate it. >> thank you. >> you're welcome. still to come on "the newsroom," the human drama of yesterday's prisoner swap to the far-reaching impact for millions of americans. cnn's michelle kosinski at the white house this morning. hi carol. this question of what to do about cuba fiercely debated for years is now becoming another political butting of heads. what some are threatening to do about if, next.
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this time yesterday, american alan gross was enjoying his first moments of freedom as cnn and, yours truly, dissected the deal that involved the trade of three cuban spies. is this new attitude towards the dictatorship of cuba a deal with the devil? michelles cou michelle kosinski is joining us. >> reporter: do you take a hard line of cuba, pressure the regime and mate for it to change even though it hasn't been working or do you throw this brutal regime a bone, a big one like this, and then use leverage and influence to try to spur that change? some in congress are already vowing to keep that from happening. >> reporter: the release of alan gross, much more than a happy reunion. now the sudden re-establishment of diplomatic relations with cuba.
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fidel castro's brother still at the helm has erupted into another political firestorm. >> this policy contradiction is absurd. and it is disgraceful for a president who claims to treasure human rights and human freedom. >> reporter: especially from hispanic lawmakers who felt left out of the discussion. some possibly running for president next round. >> we've been consistently alienating and abandoning our friends and allies and, at the same time, appeasing and coddling our enemies. first it was russia, then iran and today it's cuba. >> reporter: and not only republicans. >> it's a fallacy to believe that cuba will reform because an american president opens his hands ands castro brothers will suddenly unclench their fists. >> reporter: president obama spent a day explaining. >> we want to see greater freedom, greater prosperity, greater opportunity for ordinary cubans. >> reporter: this, the first time an american president has
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reached out to cuba since its revolution in the 1950s will mean an embassy in havana, removing cuba from a list of state-sponsored terror and opening up tourism for now. >> it is the right thing to do. today america chooses to cut loose the shackles of the past. chooses to reach for a better future. >> reporter: cuba has agreed to release some prisoners and remove the restriction of connectivity to its people. this subject is still raw for many. the president knew it was coming, addressing that reaction before it even started. >> let me say that i respect your passion and share your commitment to liberty and democracy. the question is, how we uphold that commitment. i do not believe we can keep
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doing the same thing for over five decades and expect a different result. >> reporter: the white house says we have relations and do business with plenty of countries that have, frankly, a pretty terrible human rights record and feel this plan is a more efficient way of working towards those goals of ultimately bettering human rights but some lawmakers are saying, maybe they could derail this by maybe not funding a new embassy there in cuba or not confirming a new u.s. ambassador there. carol? >> all right. me michelle kosinski, thank you. i want to take you to miami because that's where chris cuomo is reporting. how does this benefit america? chris? >> and then you have this big crossover because, carol, you have cuban-americans, those who were forced out after the regime, forced to lose everything and everyone they
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loved. and that doesn't go away. that doesn't disappear. and that harbors resentment, betrayal feelings now about the u.s. government for trusting the same men, raul and fidel castro, who caused their despair. and then the second and third generations in this country, they feel differently. they feel that nothing seems to be working there, somewhat of the echo of the president. we are where the conflict meets. this is a rock that is an outcropping of cuba, it's called, in spanish. because this is where the community comes together. there are two minds on this and it's a very passionate situation so there's been a lot of heated exchanges. and then it comes down to alan gross, that he needed to come home. and they achieved that. you heard from two lawmakers today on "new day," senator udall and senator chris van hollen. he was on the plane with him,
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the famous picture of alan gross celebrating talking to president obama and cnn on in the background. this is what they have to say. >> we are turning our back on a failed policy and moving forward with engagement. and that's the way i think the united states works best, is engaging countries like cuba and supporting the cuban people. under this policy, all that i have seen, from my several trips to cuba and that i've studied, is that the leaders do better with this kind of policy, not the cuban people. so this engagement is going to empower them. >> there's a generational split within the cuban-american community. this is not giving the cuban government anything. this is trying to empower the cuban people. again, the castro regime has benefited from the isolation in the sense that their people have been punished but they are still there and there's no sign that
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another five or ten years of trying to isolate cuba will result in any kind of regime change. >> reporter: and it's interesting, carol, you know, from what you're hearing here, there is an assumption of transparency and of good faith operations by the cuban government that many here don't put any stock in. and it's no small easteirony th good third wheel was the vatican and the pope because it may take someone with great faith and the prospect of change to see the potential benefit to this policy. >> chris cuomo, thank you so much, live in miami. fidel castro, some say, has long romanticized cuba and don't get me started on queen b and
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beyonce, jay-z smoke a cuban cigar and took in the sites. cuba is kcool. a number of americans want to experience that's hot havana nights for themselves. i'm joined by the vice president of marketing at tout which offers trips to cuba. good morning. thanks for being with me. >> good morning, carol. >> have you gotten more calls? >> maybe a little bit in the last day but cuba has been exciting for many travelers over the past few years. >> so why do americans want to go to cuba? what do they tell you? >> well, first of all, it's so close to home and sits a little bit of that element of forbidden fruit, someplace that i can't go easily or legally for a long time and now under our
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people-to-people cultural exchange license, they can go with a select number of tour operators. so i think it's that innate curiosity for someplace so close that has been isolated for the last 50 years. >> do they ever say things to you like, we're a little concerned that we're supporting the communist regime of fidel castro? >> you know, you get that comment from time to time. let's face it, people have been going to china in droves for years that has a similar type of regime but i think what draws people is that people-to-people connection and the opportunity to talk to and get to know the real cuban people. >> let's talk a little bit about the obama administration's easing of travel restrictions, it's still not easy to go, right? >> no. you have to, first of all, go
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with a company that has a certain license. it can be a people-to-people cultural exchange license or an education license, something like that. and because there is no banking in cuba, for example, tough buy a package ahead of time and go with a company that has a charter relationship as well because there is no scheduled air to cuba. >> i would expect as relations between the two country continue to normalize, that it will be good for your business. >> i think so. i think in the short term people are going to want to see authentic cuba, the cuba that exists today. and perhaps a little bit easier if there's not that anxiety about having to take cash with them if their bank cards work or
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telephones work when they are there, that might ease some anxiety. >> so when america is able to build its first mcdonald's in cuba, it may not be all that exciting for people? >> it will certainly change the atmosphere, carol. >> all right. katharine bonner, appreciate it. still to come in "the newsroom," sony caves to the cyberattacker's demands. why newt gingrich says the u.s. just lost its first engagement in cyber warfare.
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and good morning. i'm carol costello. thank you so much for joining me. we now know north korea is indeed responsible for the cyberterror attack on sony pictures. that means north korea threatened america with a 9/11 attack if it showed the movie "the interview" in theaters. some consider that an act of war. >> here you have a foreign
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dictatorship make a decision to intervene on american soil, to punish an american company, to raise threats of physical violence. what finally stopped the movie was movie theaters were afraid there were going to be bombs or other threats being made. now, are we prepared to relax and allow foreign dictatorships to intimidate us in our own country and force us to change behavior? unless we have a very strong response, we have lost this war and that should be a serious concern for the congress and the president and require us to really rethink what is our policy. this is not a cyberstealing of something. this is a deliberate, coercive effort to change the threat of cyber involvement and the threat of physical violence at theaters. >> this is not the first time north korea has threatened a
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cyberattack. they depicted new york city in slayings after a missile and tack. we all laughed at it then but after the sony hack, it's not so funny. congressman ed royce is here to talk about this. welcome, sir. >> thank you, carol. >> is north korea's actions a sib cyberwar? >> it is a cyberwar and they have taken other actions which, counterfeiting civil war and the council of the treasury suggested the following steps. stewart levy said why don't we put sanctions on that regime for a while because if we block them from the international financial community, they can't get the hard currency that they need in order to carry out the types of activities they are doing as well as their nuclear weapons program. they did that a treasury until the state department leaned in and forced treasury decided to
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lift those and for a while the dictator was on the ropes. couldn't afford to pay it is generals. i think it's time that we respond with something like those types of sanctions. we say to the banking community, either you bake with the united states or north korea. we're going to freeze their accounts now and cut off their ability to function and give them a choice between compromise on these kinds of policies or presidential collapse. >> president obama is going to speak on these matters later today. what do you think he should say? >> i think he should say, listen, given the fact that north korea has been repeatedly warned, i think the president should say, the international community has found them in violation in terms of developing their icbm program and nuclear weapons program and given that hostile intent that we can infer from the video last year that shows, you know, the attack on
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washington, d.c., we're going to impose those sanctions on the regime, on north korea, which means that no bank in asia or anywhere else is to deal with the regime in north korea. they need that hard currency in order to survive and these hackers, these several thousand hackers that they have trained overseas, they have sent some to russia to be trained and some in the past to china to be trained and they've got the expertise, not just -- remember, not just to hit the business community here but they also have the capability of looking into things like our energy infrastructure. it's time for us to respond to this in a very strong way and show the rest of the international community that, yes, the united states went -- when a grievance like this, we're not going to allow this to happen without us imposing a cost on a regime that does it. >> i want to talk a little bit
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more about this bureau 121, these cyberwarriors that north korea is training. the u.s. government knew about 121 for quite some time. has it done anything about this in the past? >> no, we haven't. >> why? >> as a matter of fact, kim hung quain who defected from north korea, their focus in the past has been to do these attacks on the financial community in south korea. there's no banking system really in north korea. so if you screw up the banking system in south korea with cyberattacks, it's a no lose for the regime in the north. that's been the focus on the attacks, is on south korea's financial activity and the south korean government. now they have focused their attention to the united states and that's what is new here and
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why we should be looking at what we can do. as pointed out, without resources, north korea can't develop its nuclear weapons program. without hard currency, it can't send, you know, students abroad to learn these skills in moscow or beijing and then come home and practice them. let's cut off their hard currency. that's what we should be doing to bureau 121. >> well, there is a sentiment right now. i want to show you the cover of the new york post in a headline "kim jong won." >> the thought was not just on that but the publisher. the publishing houses came together and defended the right to pub lesh. what should have happened here is that hollywood and frankly the wider business community
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should have come together and defended sony's rights here because once you capitulate to one dictator, does that mean that the next dictator or terrorist, when they say you are not going to make a comedy about -- or a film at all about isis -- >> iran, for example. or isis. right? >> right. now this is a very different lesson and already the movie, i've heard, has been canceled. that's a very serious documentary about a young man, who i've interviewed, who escaped out of north korea, out of north korea. and mr. shin told his story and i heard there was a movie plan that has already been canceled. so movies about north korea, you see the capitulation going on now. there's more than one that's already been canceled. >> right. the movie you're talking about
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would have starred steve carrell. is it the government's responsibility to help sony? >>. >> well, the responsibility here for the international community, including people in public life, is to stand up and remind people of what we did and said after there were satanic verses published. if at that point the world capitulated, there couldn't be a dialogue today about these important issues. so we cannot walk down that road. all of us in public life have a responsibility to speak out and say, sony, you did the wrong thing. and to say to hollywood, come behind sony and offer their support and at this point, no more capitulation. no more cancellation of scripts. you know, freedom of speech is a
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very important thing, not just in this country but all over the world if we're going to move the needle in places like north korea and see humanity continue to experience the possibility of more freedom, it is through news and information and beginning to self-censor ourselves is in exactly the wrong direction here and that's what is most worrisome about this decision. >> i agree wholeheartedly with you, as a lover of the first amendment. congressman ed royce, thank you so much. appreciate you being here with me. >> thank you, carol. sony is not the only victim in that massive cyberterror attack. snapchats have also been leaked. that includes merger snapchat has wrapped up and a potential music label that the company was considering. tell us more. >> if you're sitting at home and saying what does snapchat have to do with sony? there's an interesting link,
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rather. michael linton, the ceo of sony, also sits on the board of snapchat. of course, in his e-mails, which have been leaked online, there's lots of information about sn snapchat and the ceo of snapchat is very upset and emotional and the memo that was sent to his entire company, i want to read you what he posted online. "i've been feeling like crying all morning. i am so sorry that our work has been violated and exposed. it's not fair that people who try to build us up and break us down get a glimpse of who we really are." and it's interesting that he's so emotional in this, carol, because actually what i'm hearing from the business community is they are very impressed by these e-mails that have been leaked. he's only 24 and sets out an incredible business plan in these ec-mails. company e-mails leaked that
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actually give a positive image and maybe could help the company. >> but i don't think we should think about it like that. i know you're trying to look at the glass half full. >> i'm trying to find something positive in the story. the fact that wall street is responding so positive, at least there's some type of positive lining in what is a very negative story. >> samuel burke, thank you so much. we'll be right back. all right. before we go, a bit of breaking news. and it's good news. that's a good thing. let's get a check on the market's opening bell that rang moments ago. the dow is skyrocketing. let's bring in cristina alesci. >> first and foremost, the fed yesterday decided to keep it lower than -- well, low for a longer time than a lot of market participants expected. that is really boosting the idea
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that it is here to stay through mid-2015. then you've got jobless claims coming in lower than expected. that's giving investors and traders some confidence that we've got a recovery, a very strong recovery under way. and then you have oil, actually, coming up and giving a boost to some of those energy producers and you can't discount this, carol, it is the santa rally in december. december historically has been a great month for stocks and so you can't take that out of the equation. so you've got this incredible optimism in the market today. one thing to keep in mind, one of the reasons that the fed may not have been so eager to lift rates is you remember that u.s. growth is still falling below the 2% projection. and so there's really no incentive for the fed right now to raise rates. >> all right.
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checking top stories for you, three people have died and nearly a dozen injured after a car struck a crowd leaving a church christmas concert in
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rodondo beach, california. the car collided head-on with another car and the woman has been arrested for felony dui and vehicular manslaughter. two of the people who died were in their 80s. at least two of the injured were children. more uber fallout this morning. a boston-based driver has been arrested and accused of sexually assaulting a woman he picked up back on december 6th. the 46-year-old was arrested on wednesday on charges of rape and assault to rape. the arrest comes as boston police investigate three new incidents happening this past weekend all involving uber. christmas break is starting early for some students but there's a catch, or rather a bug. the flu is walloping parts of the midwest and the south. many schools closing for deep cleaning this week, later announcing that they are staying closed until the new year. in all, the cdc says that polk county, georgia, where 1300
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students were out sick on tuesday. that's more than 30% of the district. tonight, we all say good-bye to stephen colbert. >> tomorrow i will conclude my final broadcast, say my fond farewells and angry adioses and luke warm laters and walk out. and then everything in here will be shredded and sold as industrial meat filler to a national fast food chain. now, i can't say which one because they are sponsors. >> the late-night comedy central host will sign off for the final time tonight to prepare for his new role as david letterman's replacement. tonight will be stephen colbert's final show as his ultra ego, stephen colbert. cnn correspondent is here.
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i guess he'll defer to colbert. >> we know the grim reaper is a character on the show and that is going to be his only guest, apparently, although there might be some surprise guests. i've watched a lot of colbert clips and looked at what he meant to us for a decade. bill o'reilly is not going to miss mr. colbert's character. >> mr. colbert are the ilk and have no clue how to fight the jihad. >> bill o'reilly is a [ bleep ] ego maniac. >> reporter: launched in 2005 and followed jon stewart's "the daily show." colbert did not mock the news the way stewart does. he created a whole persona who believed he had a whole nation behind him. someone who pretended there was nothing that could change his mind. o'reilly, the number one star on
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cable news, was his model or, as he calls him -- >> papa bear, bill o'reilly! bill! [ applause ] >> reporter: colbert once said of his character, i think of him as a well-intentioned poorly informed high-status idiot. but it was more than a spoof. it was a media critique. he played a right-winger. >> your reasonableness is poisoning my fear. >> reporter: and believe it or not, he actually educated his viewers, too. >> at the policy center they found the colbert nation not only thought they knew more about some as campaign finance reform but they were actually right. >> reporter: but colbert is not colbert. when he's not on "comedy central," he's a father of three, a sunday school teacher who is a big nerd and loves "lord of the rings." >> do you want the valor or the
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hunter? >> we want the valor of the trees. >> you come into my house! you come into my house! >> reporter: he's been a writer, actor and comedian for almost 30 years. you might say he's graduating to the late show on cbs but his victory is not. >> yes, a victory lap because obamacare is dead! ♪ >> reporter: somewhere, i'm sure, papa bear is laughing. i'm laughing, too, carol. >> he was great at the grim reaper. seriously. so what is it that he'll be like on cbs? >> i'm a little nervous to see it. his cbs show will not premier until next august or september. he's got nine months to figure out who he's going to be and is he going to be himself or play a different character? >> it's just difficult for me to
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believe that he will throw away his schtick. >> even president obama last week, he dialed it back and it made for very fun television. >> who is going to take his place? >> larry wilmore and he's mocking all of the shows like "the five" on fox news. he's calling it "the minority report." >> i'm sure that will be good. >> "comedy central" always giving us something to watch. >> they should thank him for all of that money that they are making. >> without us, we wouldn't have them. >> and vice versa. brian stelter, thank you so much. still to come, was investigation number two too much for the san francisco 49ers? the team finally drops ray mcdonald. cnn is following that story for us. >> mcdonald is under investigation for sexual assault and no longer a member of the
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49ers. we'll hear what his teammates or former teammates have to say about his release when "cnn newsroom" continues.
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ray mcdonald facing a new criminal investigation, but a different response from his team, the 49ers, or should i say
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his former team. san francisco 49ers released the defensive end after police searched his home in response to a sexual assault. you'll remember they allowed him to play after a domestic violence case was ultimately dropped. cnn's andy scholes joins me now. >> good morning, carol. the entire season has been a complete mess for the 49ers on and off the field. the team took a lot of criticism for standing by mcdonald while he was under investigation for domestic bus. he played in every game this season. it wasn't until the latest allegation that they decided to finally cut ties with him. mcdonald has not been charged in this case. 49ers still decided to release him, citing a pattern of poor behavior. yesterday after practice, quarterback colin kaepernick reacted to mcdonald's departure. >> this is an organization, a franchise. you want to have a high standard
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and we do around here. you have to be able to abide by that. >> mcdonald's quick release could be a sign of a new era in the nfl. teams aren't likely going to wait for the legal process to play out in situations like these, and second chances are probably going to be harder to come by in this new nfl. in nba last night we had an instant classic. grizzlies and spurs taking three over times to decide the winner. in the end memphis came out on top 117-116. if you didn't think the grizzlies were for real this week, you do now. they ended the warriors' 16-game winning streak on tuesday and beat the world champion spurs last night. impressive back-to-back wins. they are now 21-4 this season. tonight on our sister station tnt we have a doubleheader, the woeful new york knicks and their record of 5-22, will travel to take on the bulls. the nightcap should be a good one. we have kevin durant and the
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thunder putting their seven-game winning streak on the line against the first place warriors. looking forward to at least the second game tonight. >> exactly. we'll be watching that one. andy scholes, thanks so much. the next hour of cnn "newsroom" after a break. i am never getting married. never. psssssh. guaranteed. you picked a beautiful ring. thank you. we're never having kids. mmm-mmm. breathe. i love it here. we are never moving to the suburbs. we are never getting one of those. we are never having another kid. i'm pregnant. i am never letting go. for all the nevers in life, state farm is there. and for many, it's a struggle to keep your a1c down. so imagine, what if there was a new class of medicine that works differently to lower blood sugar? imagine, loving your numbers.
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-- captions by vitac -- www.vitac.com good morning. i'm carol costello. one former lawmaker says americans have just faced their cyber war and the u.s. lost. what makes it even more chilling, federal investigators believe this was the work of north korea. at any time now washington is expected to accuse north korea's government of going rogue and trying the snuff out a film that makes light of assassinating its supreme leader kim jong-un. evan perez is cnn's krus tis correspondent. he joins us with more. >> the idea of this being an act of cyber war is one that's very serious. that's the reason why you see the white house being heavily involved. you have all the u.s. national security agencies, the intelligence agency haves been working on this around the clock. this is almost unprecedented. we have this hack which was discovered only a few months ago, and now the government is getting ready to say we know who did it and we're going to point
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fingers. it's never happened this quickly before. we had another case earlier this year in which the government accused the chinese pla, the chinese military of hacking into u.s. companies and stealing economic secrets. that's a different thing. that took years for the u.s. to even get to the point of pointing fingers. so this is unprecedented. >> here is the thing, evan. north korea supposedly has this bureau 121, cyber warriors trained to carry out the cyber attacks. the united states government knew about bureau 121. why didn't it do anything before? could it not do anything? is it helpless? >> the problem with north korea is their isolation, actually. in some ways it helps them because there's not a lot of things we can do. i think you pointed at talking to ed royce, the form foreign relations chairman in the house. he thinks one way to go after
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them is to go after their banks. they need to be able to trade in dollars at some point. grou after the banks doing business with them in china, which is usually the place they do business with, and that's the way you can hurt their military, which is really the only thing that matters there. that's going to affect their economy and perhaps that's going to make them -- >> in fact, congressman rice said president obama should come out and say we're placing these sanctions on you. let's listen to congressman royce. >> i think it's time we do respond with something like those types of sanctions which say to the banking community, look, we're going to -- either bank with united states or you bank with north korea. freeze their accounts now, freeze their accounts and cut off their ability basically to function and give them a choice between compromise on these kinds of policies or economic collapse. >> of course, it's good to hear that, but it seems like nothing is ever that easy. >> nothing is ever that easy,
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especially because this is such a reclusive country. they don't travel outside the country. one of the ways you sometimes can sanction is to say their military leaders or anybody from bureau 121, anybody who has any ties to this, whenever they go on vacation somewhere, well, we're going to grab them. that doesn't happen here. this is a country that doesn't really let its citizens go anywhere. it's very limited what we can do. >> evan perez, thanks so much. as sony's financial losses pile up, potentially reaching hundreds of millions of dollars, there's a jaw-dropping relalt. sony has been through this nightmare before. in 2011 hackers launched a disastrous cyber attack on their play station network. at the time it was one of the biggest security breaches in history with tens of millions of customers exposed. sony settled a lawsuit with gamers. why did sony seemingly not learn from this very expensive lesson? let's head to tokyo and ask cnn's will ripley. good

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