What is Supply Chain Cyber Security?
Supply chain cyber security refers to the protection of digital assets, data, and systems across the supply chain from cyber threats. This includes manufacturers, suppliers, distributors, and other entities involved in the production and distribution of goods and services. These entities play a critical role in ensuring products and services reach end-users effectively and securely. However, they also introduce new risks that can be exploited by hackers.
With the increasing digitization and interconnectedness of supply chains, cyber security has become a crucial concern for businesses globally. Supply chains now rely heavily on digital technologies and third-party services to optimize productivity and streamline operations. Consequently, this technological reliance creates vulnerabilities. Every supplier, distributor, and transporter serves as a potential entry point for cybercriminals looking to exploit weak links.
Hardware-Based Threats in Supply Chain Cyber Security
Hardware-based attacks pose a unique challenge because they often bypass traditional cyber defenses. Rogue Devices and spoofed peripherals can be introduced at any stage of the supply chain, from manufacturers to distributors to end-users. These devices appear legitimate to both humans and security tools but can execute harmful actions like data theft, malware injection, DDoS attacks, or Man-in-the-Middle (MiTM) attacks.
In fact, a recent BlueVoyant report found that 93% of organizations feel the impact of their suppliers’ security weaknesses, yet many are still unaware of the risk posed by compromised hardware. Moreover, as supply chains grow more digitized and interconnected, the physical layer becomes a critical point of vulnerability.
How Rogue Devices Exploit Supply Chain Networks
Attackers often target suppliers as a pathway to reach high-value targets. For example, consider an organization updating its keyboards, mice, and security cameras. These devices pass through multiple suppliers before reaching the end-user. A hardware-based attacker may manipulate a device at any point in transit, turning it into a Rogue Device that can bypass network defenses.
For example, in many documented incidents, organizations remain unaware of these compromised devices for months or even years. During this time, attackers can collect credentials, monitor network traffic, and escalate privileges. Because Rogue Devices operate below the software layer, traditional endpoint detection and response (EDR) tools often fail to identify them.
This persistence makes hardware-based supply chain attacks especially dangerous for critical infrastructure, healthcare, finance, and government organizations.
Without Layer 1 visibility, the ability to see every physical device connected to the network, these attacks remain invisible to traditional security solutions such as NAC, EPS, IDS, and IoT network monitoring. Rogue Devices exploit this blind spot to infiltrate networks and endpoints, potentially causing widespread damage.
Vulnerabilities in Supply Chain Networks
The interconnected nature of supply chains magnifies the risk of attacks. Every supplier, distributor, and transporter represents a potential entry point for malicious actors. The logistics and transportation sectors are particularly exposed due to the complexity and global scale of operations.
High-profile incidents like SolarWinds and Kaseya have shown how a single compromised element in a supply chain can affect thousands of organizations. Hardware-based attacks amplify this risk because the malicious device can physically move through the supply chain undetected.
Business Impact of Supply Chain Cyber Attacks
A successful supply chain cyber attack can have severe consequences for organizations, including:
- Operational downtime and service disruptions
- Loss of sensitive customer and business data
- Regulatory penalties and compliance violations
- Financial losses and legal liability
- Long-term reputational damage
For organizations that rely on continuous operations, such as logistics providers, manufacturers, and critical infrastructure operators, even a short disruption can result in significant revenue loss.
Hardware-based attacks further amplify these risks because they often remain undetected, allowing attackers to operate covertly for extended periods.
Sepio’s Solution: Physical Layer Security for Networks and Endpoints
Sepio’s platform addresses the visibility gap in traditional cyber security. By providing complete hardware device visibility, organizations can detect, manage, and secure all IT, OT, and IoT devices across the supply chain.
Key Features Include
Holistic Asset Risk Visibility
Using physical layer data, Sepio creates a unique DNA profile for every known and shadow device, identifying hardware cyber security risks across IT, OT, and IoT environments. Patented algorithms eliminate misleading device signatures, providing organizations with a single, reliable source of asset visibility.
Actionable Risk Intelligence
Sepio generates an Asset Risk Factor (ARF) score for every asset using DNA profiles, business context, and behavioral analytics. Assets are classified as high, medium, or low risk, helping security teams prioritize remediation and respond faster to threats. Continuous monitoring ensures risk scores are updated as device behavior changes.
Zero Trust Hardware Access (ZTHA) & Policy Enforcement
Sepio applies Zero Trust Hardware Access (ZTHA) principles at the hardware level. Each device is continuously evaluated against policies and ARF scores. Rogue Devices or policy violations are automatically blocked or isolated, preventing unauthorized hardware from accessing networks or endpoints.
Scalable Deployment and Integration
Sepio’s trafficless deployment enables rapid, large-scale implementation without network disruption. The platform integrates with NAC, EDR, XDR, and Zero Trust solutions, strengthening existing security investments and simplifying operations.
By securing the physical layer, Sepio protects networks and endpoints from hardware-based attacks, helping organizations maintain a secure and resilient supply chain.
Why Physical Layer Security Matters
Unlike software-based threats, hardware attacks exploit physical devices that are difficult to detect and mitigate with standard cyber tools. As a result, without visibility into every device connected to the network, organizations risk data breaches, operational disruption, and exposure to sophisticated attackers.
- Securing the physical layer ensures:
- Detection of unauthorized devices
- Prevention of Rogue Device attacks
- Protection for both networks and endpoints
- Strengthened overall supply chain security
Conclusion
In summary, supply chain cyber security goes beyond software and network defenses; it requires hardware device and physical layer security to fully protect modern, interconnected supply chains. Sepio enables organizations to detect and stop unauthorized devices, safeguarding networks and endpoints from hardware-based attacks and ensuring resilient operations across the entire supply chain.
See every known and shadow asset. Prioritize and mitigate risks. Talk to an expert to leverage Sepio’s patented technology and secure your supply chain.
