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Edition: U.S. Article Comments (0) Editor's Choice Not only .coms as Internet body throws open domain names U.N. atom chief urges nuclear stress tests, inspections U.S. medical-marijuana shops struggle to find bankers Scientists see sunspot "hibernation" but no Ice Age Sega says 1.3 million users affected by cyber attack Analysis: Hopes fading for climate agreement Portable pools pose summer risk for kids Moody's cuts nuclear operator Tepco rating to junk status Comment: 50+ job seeker? Tweet your way to a new career Video: U.S. nuke plant flood warning Follow Reuters Facebook Twitter RSS YouTube Read Boeing expects customers to look at Airbus neo 9:41am EDT Wal-Mart wins Supreme Court sex-bias ruling | 4:48pm EDT Analysis: Germany goes back to black in snub to green power 10:59am EDT Northern Ireland celebrates McIlroy's U.S. Open win 10:56am EDT Anthony case recesses after judge criticizes lawyers 4:38pm EDT Discussed 73 Republicans to debate, with Romney the frontrunner 48 Weiner tells friends he will resign: NY Times 46 IMF cuts U.S. growth forecast, warns of crisis Watched Paris air show takes off Sat, Jun 18 2011 Airbus' view of flying in the future Mon, Jun 13 2011 Hefner's revenge; Ryan Reynolds stops traffic Fri, Jun 17 2011 Defense firms see opportunity in cyber attacks Tweet Share this Email Print Related News Analysis: Cyber raids fuel calls for training, monitoring Fri, Jun 17 2011 Analysis: Banks seek cybershelter with "ethical hackers" Fri, Jun 17 2011 Special report: Government in cyber fight but can't keep up Thu, Jun 16 2011 Analysis: Computer security attracts venture capitalists Wed, Jun 15 2011 Malaysia tries to stop threatened cyber attack Wed, Jun 15 2011 Analysis & Opinion Tech wrap: The Web is about to get some new domains Amid global cybercrime, accidental hacks risk jail Related Topics Technology » Deals » Global Deals Data 2011 Q1 » Inflows Outflows » Media » Aerospace & Defense » U.S. Department of Homeland Security (DHS) employees work on the Industrial Control Systems Cyber Emergency Response Team (ICS-CERT) operational watch floor where they monitor, track, and investigate cyber incidents in this handout photo taken October 29, 2009 at the Idaho National Laboratory in Idaho Falls, Idaho. Credit: Reuters/Chris Morgan/Idaho National Laboratory By Rhys Jones LE BOURGET, France | Mon Jun 20, 2011 1:35pm EDT LE BOURGET, France (Reuters) - A spate of high-profile online break-ins has given defense firms at the Paris Air Show a new sales pitch: cyber security. Targeted by hackers looking to steal source codes, R&D information and trade secrets, aerospace and defense firms are turning the tables on the pirates and are making security a key sales argument. "We see huge potential to do deals this week because interest in cyber security has soared given recent events," Paul MacGregor, general manager of Finmeccanica's UK security arm, Vega Consulting Services, told Reuters. He added that cyber security was now an "arms race," with defense firms battling to stay one step ahead of the hackers. "Information is now used as a weapon and companies need to defend it at all costs or they themselves could lose out on contracts if they are seen as having weak defenses," he said. Earlier this month, some of U.S. defense giant Lockheed Martin's systems -- home to sensitive U.S. defense technologies -- were hacked, while the Pentagon said that cyber attacks perpetrated by foreign governments could now be considered acts of war. Other recent prominent attacks have targeted entities such as the International Monetary Fund, the Central Intelligence Agency and the U.S. Senate, as well as multinationals Google and Sony. "When you see an airplane coming at you firing missiles, you can see it. This other threat, you have no idea whether they are there or not. That's why I don't sleep at night," Raytheon Chief Executive William Swanson told Reuters. "Our opportunity is to make sure we protect ourselves, protect our products and protect those we offer services too." Some defense industry insiders believe China-backed hackers are to blame, though China claims attacks are being perpetrated by rogue hackers, not government-backed agents. Military communications contain sensitive information such as locations of aircraft and known faults, meaning it is "absolutely critical" defense companies have the highest level of security in place, Stuart Beattie, a manager at British cyber security firm AEP Networks, told Reuters. "Multiple organizations will be looking at security contracts in Paris to protect against real and current threats," he said. MILLENNIUM WORRY On the eve of the air show, Louis Gallois, the chief executive of European aerospace and defense group EADS, told Reuters the company would plough hundreds of millions of euros into the creation of its own cyber security business in a bid to tap into what was a huge growth market. Vega's MacGregor said: "Defense companies are following the cash into the cyber security market, which is currently worth billions of pounds a year." He added that the future size of the market was almost immeasurable because of the pace it was building, in a way that was similar to the worries about the millennium bug in 1999. The recent cyber attack on Lockheed Martin was perpetrated in part using data stolen from RSA Security -- itself a cyber security company, which makes the ubiquitous keychain fobs that generate constantly changing passwords for users logging into secure networks. RSA, who suffered the attack in March, said the perpetrators had focused on finding information that could breach defense-related companies. (Additional reporting by Victoria Bryan and Karen Jacobs; Editing by Geert De Clercq) Technology Deals Global Deals Data 2011 Q1 Inflows Outflows Media Aerospace & Defense Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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