President Barack Obama declared Friday that Sony "made a mistake" in shelving a satirical film about a plot to assassinate North Korea's leader and pledged the U.S. would respond "in a place and manner and time that we choose" to the hack attack on Sony that the FBI blamed on the communist government.

Speaking of executives at Sony Pictures Entertainment, Obama said at a year-end news conference, "I wish they had spoken to me first. ... We cannot have a society in which some dictatorship someplace can start imposing censorship."

Obama said he imagined situations in which dictators "start seeing a documentary that they don't like or news reports that they don't like."

The president spoke not long after the FBI accused the North Korean government of being responsible for the hacking attack against Sony, providing the most detailed accounting to date of the digital break-in. Obama's pointed criticism of Sony shifted focus to whether the studio would reverse its decision, as some leading celebrities--including actors George Clooney and Sean Penn--have recommended.

"Sony is a corporation. It suffered significant damage. There were threats against its employees. I am sympathetic to the concerns that they faced," he said. "Having said all that, yes, I think they made a mistake."

Sony Pictures chief executive Michael Lynton said later it was the president who was mistaken, noting that Sony canceled the release only after all major theater chains decided not to show the movie amid threats of violence by the hackers. The Homeland Security Department concluded those threats were not credible.

"The president, the press and the public are mistaken as to what actually happened," Lynton told CNN. "We do not own movie theaters. We cannot determine whether or not a movie will be played in movie theaters."

Lynton, whose own emails were published by the hackers, added: "We have not given in and we have not backed down. We have always had every desire to have the American public see this movie."

The administration earlier in the day formally accused North Korea's government of being responsible but offered few hints about how it might retaliate. Its evidence: The U.S. detected communications between computer Internet addresses known to be operated by North Korea and hacking tools left behind at the crime scene, which the FBI said contained subtle clues linking them to that country's government.

The decision to openly blame North Korea--which involved the State Department and U.S. intelligence agencies--escalated an intriguing global game of brinkmanship. It included the disclosure of confidential Sony emails and business files and threats of terror attacks against U.S. movie theaters until Sony agreed to cancel the Christmas Day release of its comedy, "The Interview." The hackers had demanded that withdrawal partly over a scene depicting the assassination of North Korea's leader.

"The FBI now has enough information to conclude that the North Korean government is responsible for these actions," said the U.S. statement, which was not attributed to any official by name. It added: "North Korea's actions were intended to inflict significant harm on a U.S. business and suppress the right of American citizens to express themselves."

The statement included a general promise to impose "costs and consequences" on any person, group or government using cyberattacks to threaten the U.S. or its interests. Obama wasn't any more specific.

"They caused a lot of damage, and we will respond," Obama said. "We will respond proportionally, and we'll respond in a place and time and manner that we choose. It's not something that I will announce here today at a press conference."

North Korea has denied it was involved but praised the hacking as a "righteous deed." On Friday, a North Korean diplomat to the United Nations, Kim Un Chol, declined to comment on the American accusations.

In a taunting new email, the hackers told Sony that executives were "very wise" to cancel the movie's release and said they planned no further disclosures of Sony's confidential materials "as long as you make no more trouble." The message warned Sony never to release the film "in any form," including on DVD.

In Hollywood, Clooney said the entertainment industry should push for immediate release of "The Interview" online. In an interview with the trade site Deadline, Clooney urged Sony to "do whatever you can to get this movie out. Not because everybody has to see the movie, but because I'm not going to be told we can't see the movie. That's the most important part."

Penn said: "By caving to the outside threat, we make our nightmares real. The decision to pull 'The Interview' is historic. It's a case of putting short-term interests ahead of the long term."

The evidence implicating North Korea previously was described as largely circumstantial, including unspecified clues in the hacking tools left behind and the involvement of at least one computer in Bolivia previously traced to other attacks blamed on North Korea. Now, the FBI said, clues included similarities to other tools developed by North Korea in specific lines of computer code, encryption algorithms and data deletion methods. More significantly, the FBI discovered that computer Internet addresses known to be operated by North Korea were communicating directly with other computers used to deploy and control the hacking tools and collect the stolen Sony files.

The FBI noted in its statement that it worked closely on the investigation with "other U.S. government departments and agencies." Those included the National Security Agency, a person familiar with the case said on condition of anonymity because some information NSA was providing in the case was highly classified.

An internal FBI investigative document obtained by The Associated Press identified the computers in the Sony hacking as operating in New York, Thailand, Poland, Italy, Bolivia, Singapore and Cyprus. At least three were still functioning Friday, responding online to Internet test signals transmitted by the AP. The hackers previously published some of the stolen materials with a message that included five addresses using an anonymous email service in France.

"I think the administration is going to look for other ways that we can press financial pain on the leadership of the regime and its cronies," said Rep. Adam Schiff, D-Calif., a member of the House intelligence committee. "There are ways to turn the screws on the regime even further. I think there are real risks in having a cyberresponse because we have a lot more to lose than the North Koreans if we get into a cyberwar."

Schiff, whose congressional district includes major movie studios, added: "I'd love to see wide distribution of the film, in Korean and English."

--Associated Press

Published on: Dec 19, 2014