The Justice Department (DOJ) is preparing to Charge Chinese Government Hackers with a broad Campaign of Cyberattacks against Major Technology Services Firms.
The Charges come as the Trump Administration, locked in a Trade War with Beijing, alleges that China has Violated a 2015 Agreement against Stealing U.S. Businesses’ Intellectual Property.
Chinese Intelligence Services have spent years trying to Hack the Managed Service Providers that remotely Administer IT Systems for Large Companies, according to Warnings from the Department of Homeland Security (DHS) and PwC. Access to these Providers’ Systems would give the Hackers a jumping-off point into the Databases of their Primary Targets, Exposing vast troves of Sensitive Corporate Data.
Cybersecurity Researchers have Linked the Chinese Activity to a State-backed Group dubbed APT 10 and Cloud Hopper. The Charges related to the Hacking of Managed Service Providers, are only some of the Prosecutions that U.S. Officials are considering. “There are a number of charges being contemplated for hacks directed at a number of industries,” said a source, who requested anonymity to discuss ongoing Investigations. The IT Providers “are just one lucky sub-group.”
The Charges over the Service Provider Hacks were Delayed out of concern that “they could disrupt proceedings” at the G-20 Summit in Argentina last week, during which President Trump and Chinese President Xi Jinping committed to “negotiations on structural changes with respect to … cyber intrusions and cyber theft.”
The Charges are the latest example of a Broad Pressure Campaign against Beijing over its Theft of U.S. Trade Secrets. At DOJ, a New “China Initiative” will Prioritize Chinese IP Theft Cases, including Government-backed Hacking. On Oct. 30th, the U.S. Indicted Chinese Intelligence Officers and their Hired Hackers for trying to Steal a Wide Range of Intellectual Property, including Plans for a Jet Engine.
In March, the Office of the U.S. Trade Representative released a Detailed Report on China’s Actions, including its Routine use of “cyber intrusions into U.S. commercial networks targeting confidential business information.”.
In September, the White House has been Directing an “administration-wide” Campaign against China, with a Focus on its Malicious Cyber Activity, to Shift the Focus away from Russia.
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