U.S. Blocks Chinese Telecom Bid for International Services

Citing law enforcement and national security risks, the Federal Communications Commissions unanimously denied an application by China Mobile USA (the U.S. arm of Chinese telecom giant, China Mobile Ltd.), which aimed to provide international calls and other services via American networks. This could be another in a series of signs of escalating tensions between China and the U.S. The crux of the FCC’s concern is that the company is owned by the Chinese government and would be therefore vulnerable to that influence.

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Senators Introduce 5G Security Bill for Next-Gen Networks

Senior U.S. senators proposed the Secure 5G and Beyond Act to guide the development of a domestic security strategy for next-gen networks. Senators John Cornyn, Richard Burr and Mark Warner, with co-sponsors Susan Collins, Tom Cotton, Marco Rubio and Michael Bennet reached across the aisle to pen an act reflecting concern over the security of the U.S. telecommunications system. The act would prevent President Trump from recommending that 5G or other future telecom networks be nationalized, which his advisors recently proposed. Continue reading Senators Introduce 5G Security Bill for Next-Gen Networks

Congress Introduces IoT Bill to Protect Connected Devices

Congress introduced the Internet of Things Cybersecurity Improvement Act yesterday, in an effort to position legislative power behind securing connected devices. Defense Intelligence Agency director Lieutenant General Robert Ashley told lawmakers last year that IoT devices are considered one of the “most important emerging cyberthreats” to national security. Without a national standard for IoT security, we need to rely on steps taken by individual companies. The legislation, which was first introduced in 2017, would require security standards for IoT devices used by the federal government. Continue reading Congress Introduces IoT Bill to Protect Connected Devices

Rivals Qualcomm, Apple Cite National Security in 5G Cases

Qualcomm stated that a Federal Trade Commission (FTC) case arguing it suppressed competition in smartphone chips and charged excessive licensing fees could risk U.S. national security. The company is joined by officials from the Defense and Energy Departments who, said sources, have urged FTC commissioners to settle the lawsuit. Those opposing the case contend that Qualcomm’s financial losses from its passage will limit its ability to compete with China’s Huawei Technologies in developing 5G networks and equipment. Continue reading Rivals Qualcomm, Apple Cite National Security in 5G Cases

Justice Department Levies Multiple Charges Against Huawei

The Justice Department charged Huawei and its chief financial officer Meng Wanzhou with the theft of trade secrets, obstructing a criminal investigation and evading economic sanctions on Iran. The charges are part of an aggressive move by the U.S. to block the Chinese telecom firm suspected of undermining national interests. The charges are based on Huawei’s internal emails describing a plan to steal T-Mobile testing equipment. Internal memos also link Meng to bank fraud to evade sanctions against Iran. Continue reading Justice Department Levies Multiple Charges Against Huawei

U.S. Charges Members of China’s Elite APT10 With Hacking

The Trump administration has charged two Chinese citizens accused of involvement in a state-sponsored effort to steal information from government agencies, various businesses and managed service providers. The hackers are said to be members of China’s elite APT10 group, and prosecutors claim there are direct links between the accused and China’s Ministry of State Security. The U.S. says China’s cyberattacks have become significant national and economic security threats. The latest charges indicate that Chinese authorities directed the hacking campaign. Continue reading U.S. Charges Members of China’s Elite APT10 With Hacking

Intelligence Agencies Agree to Rein In Huawei Technologies

In July, said sources, heads of intelligence agencies from Australia, Canada, New Zealand, the U.K. and U.S. met in Canada and agreed that they needed to “contain” China’s telecom manufacturer Huawei Technologies. The advent of 5G mobile networks has heightened the already-existing risk of using Huawei gear. The group discussed Chinese cyberespionage and expanding military, and ways to protect telecom networks. Despite the lack of a consensus, the group did agree that an outright Huawei ban is impractical. Continue reading Intelligence Agencies Agree to Rein In Huawei Technologies

Federal Government Takes Additional Steps to Block Huawei

The U.S. government is reportedly pushing for foreign allies to stop using hardware from China-based Huawei Technologies Co. According to people familiar with the initiative, the government is aiming to convince wireless and Internet service providers to avoid telecom equipment that comes from Huawei in an effort to increase security. Washington officials are particularly concerned about countries that host military bases. The U.S. and Australia already have bans in place to curb the risk of cyberattacks. Huawei is the world’s largest telecommunications provider. Continue reading Federal Government Takes Additional Steps to Block Huawei

U.S. Restricts Business Interaction With Chinese Chipmaker

The U.S. Commerce Department announced yesterday that it plans to restrict American companies from doing business with semiconductor startup Fujian Jinhua Integrated Circuit Co. Micron Technology has accused the state-owned Chinese chipmaker of stealing company secrets, which has raised concerns regarding national and economic security. The restriction will prevent U.S. firms from selling software and goods to Jinhua, which relies on U.S. technology to build its chips. The announcement is the latest in an ongoing battle with China over intellectual property issues. Continue reading U.S. Restricts Business Interaction With Chinese Chipmaker

Government Backs Apple and Amazon Denials of Spy Chips

As we reported last week, Bloomberg published a story claiming that China had secretly installed microchips on motherboards built by Supermicro that were used in data center servers of companies such as Apple and Amazon. In the first official response from the U.S. government, Homeland Security issued a statement indicating that it has “no reason to doubt” the denials issued by Apple, Amazon and Supermicro in the wake of the report. The Homeland Security statement is similar to comments released by the U.K.’s National Cyber Security Centre. Continue reading Government Backs Apple and Amazon Denials of Spy Chips

Justice Department Accuses Russian Spies of Cyberattacks

The Justice Department’s National Security Division claims that seven hackers suspected of working with Russia’s GRU military intelligence unit were part of a conspiracy to hack multiple organizations including the World Anti-Doping Agency, the Democratic National Committee, a nuclear energy company and several media outlets. The Fancy Bear cyber espionage group, also known as Sofacy or APT28, is accused of launching a disinformation campaign leading up to the 2016 U.S. presidential election, and “hacking to obtain non-public, health information about athletes and others in the files of anti-doping agencies in multiple countries.” Continue reading Justice Department Accuses Russian Spies of Cyberattacks

China Reportedly Used Tiny Chips to Hack U.S. Companies

According to a Bloomberg Businessweek cover story today, Chinese spies infiltrated nearly 30 U.S. companies including Amazon and Apple by embedding tiny chips into servers in the technology supply chain. In 2015, malicious microchips were reportedly embedded in servers bound for U.S. companies, which resulted in compromised software used in numerous hardware devices. While the report cites former government officials and “senior insiders” at Apple, both Amazon and Apple — as well as motherboard manufacturer Supermicro and China’s Ministry of Foreign Affairs — have firmly disputed the findings. Continue reading China Reportedly Used Tiny Chips to Hack U.S. Companies

Qualcomm Alleges Apple Shared Trade Secrets to Help Intel

In California Supreme Court in San Diego this week, Qualcomm charged Apple with stealing computer source code, software development tools and log files of data about its products’ performance and giving it to Intel, with the goal of reducing its need for Qualcomm chips. The two tech behemoths have been involved in a legal battle since last year, when Qualcomm accused Apple of a “multiyear campaign of sloppy, inappropriate and deceitful conduct to steal Qualcomm’s information and trade secrets” to help Intel. Continue reading Qualcomm Alleges Apple Shared Trade Secrets to Help Intel

President Bans Government Use of Huawei, ZTE Components

As part of the Defense Authorization Act, President Trump banned the use of Huawei and ZTE technology by the U.S. government and its contractors. Many Republicans regard the two Chinese companies as national security threats, which led to the passage of a Senate amendment in June to reinstate a trade ban on ZTE, which would have had the impact of shutting that company down. Trump worked to lift the ZTE ban, and the House did not sign off, setting off questions as to whether the two chambers would find a compromise. Continue reading President Bans Government Use of Huawei, ZTE Components

Qualcomm Kills NXP Acquisition in Wake of China Trade War

Qualcomm has abandoned its $44 billion deal to buy Dutch chipmaker NXP Semiconductors after China held up approval of the transaction for more than 20 months. The death of the deal means that Qualcomm will buy back up to $30 billion of its stock in an attempt to raise share prices. China dragged its heels after the Trump administration imposed tariffs on numerous Chinese goods and China retaliated. Experts say China withheld approval of the sale to gain leverage in negotiations with Washington. Continue reading Qualcomm Kills NXP Acquisition in Wake of China Trade War

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