How XDR Works: Step by Step

June 7, 2023

Last Updated: November 19, 2024

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Extended Detection and Response (XDR) has emerged as a new cybersecurity paradigm, which provides a proactive, unified approach to threat detection and response. XDR allows for faster detection of threats and improved investigation and response times. It addresses the complexity and diversity of modern threats across various security layers—including endpoint protection, network security, cloud security, and email security.

This article will provide an introduction to XDR and explain at a high level how XDR solutions work. Most XDR technologies operate using a five-step process:

Data collection: XDR gathers data from multiple security layers throughout an organization’s digital environment.
Data normalization and enrichment: The collected data is standardized and enriched to ensure a consistent format for analysis.
Data correlation and advanced analytics: The enriched data is correlated and analyzed using advanced techniques to identify patterns and anomalies for real-time threat detection.
Threat detection: Using the insights from the analysis, XDR detects potential threats across all security domains, creating unified attack stories.
Threat investigation and response: Upon threat detection, XDR provides the necessary tools and information for security teams to effectively investigate and respond to the incident.

Quick Intro to XDR

XDR, or Extended Detection and Response, is a cybersecurity solution that aims to provide organizations with a comprehensive and proactive approach to identifying, investigating, and remediating threats across various security layers. This innovative technology unifies multiple security domains, such as endpoint protection, network security, cloud security, and email security, to provide a holistic view of an organization’s security posture.

Traditional security solutions are often unable to keep pace with the increasing sophistication and frequency of cyber attacks. This is where XDR steps in to bridge the gap, offering a more advanced and integrated approach to threat detection and response. By consolidating data from various security tools and using advanced analytics, XDR can help organizations quickly identify and respond to threats, reducing the risk of a successful attack.

XDR is not just another buzzword in the cybersecurity industry; it is a significant advancement in the way organizations protect their digital assets. The importance of this technology is reflected in the growing adoption of XDR solutions by businesses of all sizes, across various industries.

Importance and Need for XDR in Cybersecurity

One of the primary reasons for the growing adoption of XDR solutions is the increasing complexity of cyber threats. Attackers are continually developing new tactics, techniques, and procedures (TTPs) to bypass traditional security measures, making it more difficult for organizations to defend their digital assets effectively.

To address this challenge, XDR solutions unify data from multiple security domains, providing a single pane of glass for security teams to analyze and respond to threats. This holistic view of an organization’s security posture enables security teams to identify and remediate threats more quickly, reducing the time it takes to detect and respond to an attack. Furthermore, the integration of various security tools allows for better collaboration among security teams, leading to improved efficiency and a more robust overall security posture.

Another critical aspect of XDR is its ability to help organizations address the skills gap in cybersecurity. As cyber threats continue to evolve, there is an increasing demand for skilled security professionals to combat these threats effectively. However, the supply of qualified cybersecurity experts has not kept pace with the growing demand, leading to a significant skills gap in the industry. XDR solutions help alleviate this issue by automating many of the manual processes involved in threat detection and response, allowing security teams to focus on more strategic tasks and reducing the burden on already stretched resources.

Learn more in our detailed guide to XDR security solutions

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How Does XDR Work: A Step-by-Step Process

Step 1: Data Collection from Multiple Security Layers

The first step in the XDR process is data collection. XDR solutions gather data from various security tools and systems across an organization’s environment, such as endpoint protection platforms, network security devices, cloud security tools, and email security solutions. This data can include log files, network traffic, user activity, and other relevant security information.

Step 2: Data Normalization and Enrichment

Once the data is collected, XDR solutions normalize and enrich it to ensure that it is in a consistent format and contains all the necessary contextual information required for analysis. This process is essential for enabling the accurate detection of threats and reducing the number of false positives.

Step 3: Data Correlation and Advanced Analytics

The next step in the XDR process is data correlation and analysis. XDR solutions use advanced analytics, machine learning, and artificial intelligence to identify patterns and anomalies within the collected data. These insights help security teams detect threats in real-time, enabling them to respond more quickly and effectively to potential attacks.

Step 4: Threat Detection: Unified Attack Stories

Using the insights gained from data analysis, XDR solutions can detect potential threats across the various security domains. By leveraging the power of machine learning and artificial intelligence, XDR can combine multiple data points into a unified attack story, which can also span multiple attack vectors.

This allows XDR to identify both known and unknown threats, as well as advanced persistent threats (APTs) and other sophisticated attacks that may be difficult to detect using traditional security tools.

Step 5: Threat Investigation and Response

Once a threat is detected, XDR solutions provide security teams with the tools and information they need to investigate and respond to the incident effectively. This may include automated response actions, such as isolating affected systems or blocking malicious traffic, as well as providing detailed information on the threat to help security teams understand the nature of the attack and determine the best course of action.

Tips From the Expert

Integrate deception technology
Integrating deception tools (honeypots, decoys) into your XDR can enhance threat detection by luring attackers into controlled environments, enabling earlier detection before they cause significant damage.
Continuously tune detection algorithms
Periodically review and refine the XDR’s machine learning models and detection algorithms based on emerging threat patterns and your environment’s evolving landscape. Static models degrade in effectiveness over time as attacker TTPs evolve.
Incorporate playbooks for rapid response
Develop and automate custom response playbooks for various threat scenarios within your XDR platform. This ensures faster and more consistent response actions, minimizing damage during high-stress incidents.
Use XDR to centralize identity threat monitoring
Extend XDR capabilities to monitor for identity-related threats by integrating signals from IAM tools. Identity compromise is a common attack vector; this ensures a more comprehensive coverage of the attack surface.
Develop a feedback loop between XDR and endpoint protection
Implement bi-directional communication between XDR and your endpoint security tools. Alerts triggered by endpoint anomalies should inform XDR, while insights from XDR can enhance endpoint policies, closing detection gaps.

Eyal Gruner is the Co-Founder and CEO of Cynet. He is also Co-Founder and former CEO of BugSec, Israel’s leading cyber consultancy, and Versafe, acquired by F5 Networks. Gruner began his career at age 15 by hacking into his bank’s ATM to show the weakness of their security and has been recognized in Google’s security Hall of Fame.

Basic and Advanced XDR Functions

XDR solutions offer various functions that help organizations improve their security posture and better defend against cyber threats. Some of the basic XDR functions include:

Threat detection: XDR solutions can detect a wide range of threats, from known malware and phishing attacks to more advanced threats, such as zero-day exploits and targeted attacks.
Incident investigation: XDR provides security teams with the tools and information they need to investigate incidents, helping them understand the nature of the threat, its potential impact, and the best course of action for remediation.
Automated response: XDR solutions can automate many of the manual processes involved in threat response, such as isolating infected systems, blocking malicious traffic, or even rolling back unauthorized changes to critical systems.

In addition to these basic functions, advanced XDR solutions offer several more sophisticated capabilities, including:

Threat hunting: XDR can help security teams proactively search for signs of compromise within their environment, allowing them to identify and remediate threats before they can cause significant damage.
Behavioral analytics: By analyzing user and system behavior, XDR can identify anomalies that may indicate a potential security threat, even if the attack is not yet known or has not triggered any alerts.
Threat intelligence integration: Advanced XDR solutions can integrate with external threat intelligence sources, providing security teams with up-to-date information on the latest threats and helping them stay one step ahead of attackers.

In conclusion, understanding how XDR works and its importance in cybersecurity is crucial for organizations looking to improve their security posture and better defend against the growing number of cyber threats. By unifying data from multiple security domains and using advanced analytics to detect and respond to threats, XDR solutions can help organizations reduce the risk of successful attacks and maintain a robust security posture in today’s ever-evolving digital landscape.