China automakers pivot to hybrids for Europe to counter EV tariffs | The US Department of Defense is investing in deepfake detect | Temu, Shein suspend Vietnam operations amid crackdown on e-commerce
Good morning. It's Friday 6th December.
The Daily Cyber & Tech Digest focuses on the topics we work on, including cybersecurity, critical technologies, foreign interference & disinformation.
Follow us on Twitter and on LinkedIn.
Automakers in China are ramping up exports of hybrid vehicles to Europe and planning more models for the key market, exposing the limits of the European Union's electric vehicle tariff scheme. Reuters
The US Department of Defense has invested $2.4 million over two years in deepfake detection technology from a startup called Hive AI. It’s the first contract of its kind for the DOD’s Defense Innovation Unit. MIT Technology Review
Chinese online retailers Temu and Shein have suspended their operations in Vietnam as the companies work to register their e-commerce services with the Southeast Asian nation's authorities, the two companies said on Thursday. Reuters
ASPI
Simeon Boikov: Ukrainians call on Penny Wong to kick out Russian agent ‘Aussie cossack’ in Sydney consulate
The Nightly
Latika Bourke
Ukrainians in Australia have called on Foreign Minister Penny Wong to shut down the Sydney consulate housing Russian agent Simeon Boikov following revelations the Australian-born man paid a viral account on X to spread pro-Trump disinformation during the recent US election. The Australian Strategic Policy Institute said the act was an example of hybrid warfare being conducted on Australian soil and that a failure to deal with Boikov risked implicating Australia and tarnishing the country as a launchpad for foreign interference.
It’ll take effort, not hype, to finally achieve the hydrogen future
The Strategist
Henry Campbell
The Australian government envisions Australia as a renewable energy superpower, with the Future Made in Australia policy committing billions to building a domestic hydrogen industry. For decades, optimists have called hydrogen the fuel of the future, while cynics have said it’s 20 years away—and always will be. Hydrogen offers Australia, particularly northern Australia, great economic opportunity. But more policy work is needed to achieve this opportunity.
Australia
As Trump looms, Australia urges 'free and predictable trade'
Nikkei Asia
Norman Goh
Australia remains committed to promoting free, predictable and rules-based trade amid concerns over potential tariff policies under the incoming U.S. administration led by Donald Trump, Foreign Minister Penny Wong said. In an interview with Nikkei Asia in Malaysia on Tuesday, Wong highlighted Australia's dedication to working with countries committed to fostering prosperity and security in the region.
ANU axes tech policy centre as financial troubles bite
Capital Brief
Finn McHugh
The Australian National University has axed its technology policy centre, as it attempts to dig itself out of a deep financial hole. Capital Brief reveals that staff at the Tech Policy Design Centre TPDC, which advises government and industry on developing technology regulations, have been told it will be scrapped at the end of this month. But the TPDC's director Johanna Weaver has described the decision as simply the “end of a chapter”, insisting its work will continue outside of the university.
Redflow was the great hope of Australian manufacturing. Its collapse left customers with broken batteries
ABC News
James Purtill
Battery company Redflow was tipped to be the future of Australian clean energy manufacturing, but it collapsed in August this year. Some customers, installers and former employees say the company's $10,000 home batteries failed within months. With its assets being liquidated, Redflow shows some of the challenges faced in rebuilding Australian manufacturing and competing in the global clean energy market.
China
China automakers pivot to hybrids for Europe to counter EV tariffs
Reuters
Automakers in China are ramping up exports of hybrid vehicles to Europe and planning more models for the key market, exposing the limits of the European Union's electric vehicle tariff scheme. The bloc's latest EV tariffs to protect its auto industry from a flood of cheap Chinese imports do not apply to hybrid cars. That could see major brands such as China's top EV maker BYD continue expansion in the region, analysts say.
USA
The US Department of Defense is investing in deepfake detection
MIT Technology Review
Melissa Heikkilä
The US Department of Defense has invested $2.4 million over two years in deepfake detection technology from a startup called Hive AI. It’s the first contract of its kind for the DOD’s Defense Innovation Unit, which accelerates the adoption of new technologies for the US defense sector. Hive AI’s models are capable of detecting AI-generated video, image, and audio content.
Exclusive: Feds are probing 764, The Com’s use of cybercriminal tactics to carry out violent crimes
CyberScoop
Greg Otto and Jana Winter
The child sextortion group 764 and the global collective of loosely associated groups known as “The Com” are using tools and techniques normally used for financially motivated cybercrime tactics — such as SIM swapping, IP grabbing and social engineering — to commit violent crimes, according to exclusive law enforcement and intelligence reports reviewed by CyberScoop.
US arrests Scattered Spider suspect linked to telecom hacks
Bleeping Computer
Sergiu Gatlan
U.S. authorities have arrested a 19-year-old teenager linked to the notorious Scattered Spider cybercrime gang who is now charged with breaching a U.S. financial institution and two unnamed telecommunications firms. Remington Goy Ogletree (also known online as "remi") breached the three companies' networks using credentials stolen in text and voice phishing messages targeting their employees.
ThayerMahan’s Outpost unmanned surveillance system highlighted in news story about submarine production delays
Associated Press
In the midst of White House and Pentagon negotiations regarding delays and cost overruns in submarine production, ThayerMahan, a global leader in undersea surveillance technology, recently responded to a media inquiry about its Outpost system. The core question was whether its unmanned, long-duration acoustic sensing systems are able to augment submarine surveillance missions. Just days after Connor was interviewed to explain how Outpost can aid in filling known and anticipated undersea surveillance mission gaps, the White House asked Congress for $7.3 billion in emergency funding to keep sub production on pace.
US recommends encrypted messaging as Chinese hackers linger in telecom networks
ArsTechnica
Jon Brodkin
A US government security official urged Americans to use encrypted messaging as major telecom companies struggle to evict Chinese hackers from their networks. The attack has been attributed to a Chinese hacking group called Salt Typhoon.
As data centers proliferate, conflict with local communities follows
Associated Press
Dan Merica and Jesse Bedayn
Demand for data centers ballooned in recent years due to the rapid growth of cloud computing and artificial intelligence, and local governments are competing for lucrative deals with big tech companies. But as data centers begin to move into more densely populated areas, abutting homes and schools, parks and recreation centers, some residents are pushing back against the world’s most powerful corporations over concerns about the economic, social and environmental health of their communities.
Large number' of Americans' metadata stolen by Chinese hackers, senior official says
Reuters
Raphael Satter
A large number of Americans' metadata has been stolen in the sweeping cyberespionage campaign carried out by a Chinese hacking group dubbed "Salt Typhoon," a senior U.S. official told journalists on Wednesday. The official declined to provide specific figures but noted that China's access to America's telecommunications infrastructure was broad and that the hacking was still ongoing.
North Asia
It has to be a deepfake': South Korean opposition leader on martial law announcement
CNN
South Korea's opposition leader initially thought the president's martial law announcement was a deepfake, he told CNN in an interview. The country's president made the stunning surprise announcement late Tuesday night, plunging South Korea into political chaos. Hours later, lawmakers voted down the decree.
Southeast Asia
Malaysia's investment 'sweet spot,' Penang, to open new tech park
Nikkei Asia
Norman Goh and Hakimie Amrie
Long known as a "Silicon Island" for its manufacturing prowess, the northern Malaysian state of Penang is now sharpening its focus in an effort to dominate high-value technology sectors, including semiconductors and medical equipment, as global supply chain shifts create new opportunities. The local government recently unveiled its Silicon Design @5km+ initiative to position Penang as a global hub for integrated circuit (IC) design and digital innovation. The state hopes to create an ecosystem within a five-kilometer-plus radius of its Bayan Lepas Free Industrial Zone.
Malaysia says any U.S. tariffs on BRICS nations could impact semiconductor supply
Reuters
Malaysia said on Thursday any attempt by the incoming Trump administration to impose tariffs on BRICS countries for trying to create a new currency or use alternatives to the dollar could cause global semiconductor supply chain disruptions.
South & Central Asia
Japan's chip traders see China opportunities in U.S. crackdown
Nikkei Asia
Tsuyoshi Tamehiro
Japanese semiconductor distributors are looking to move deeper into the Chinese market, as U.S. export controls raise the difficulty level of cross-border chip transactions. Restar, one of Japan's biggest chip traders, plans to introduce Taiwanese peer WPG Holdings' logistics management system at its sales company in Singapore as early as 2025, allowing it to see the supply capacity of chipmakers around the world in real time and connect them with customers.
Japan’s audacious bid to become a semiconductor superpower
Financial Times
David Keohane, Leo Lewis and Harry Dempsey
By the end of their 138th Zoom meeting, the group of Japan’s leading experts in the world’s most critical technology finally had their plan: a blueprint for the country’s biggest industrial comeback in more than half a century. The secret project, presented to the country’s prime minister in 2020, was designed to create, out of nowhere, a world-leading semiconductor manufacturer. Japan was once the leader in this $600bn industry but surrendered that position to rivals in the US, South Korea and Taiwan. Now it wants its crown back.
Ukraine-Russia
After Trump’s win, Russian disinformation aims to drive a wedge between the US and Ukraine
Associated Press
David Klepper
As President Joe Biden uses his final days in office to boost Ukraine’s defenses, Russia is playing a different game: spreading disinformation aimed at eroding U.S. support for Ukraine before Donald Trump’s return to the White House next month. Since the U.S. election on Nov. 5, the Kremlin has used state-run media and its networks of fake news sites and social media accounts to push divisive narratives about the war and America’s Republican president-elect.
Europe
Will Romania elect a pro-Russian president?
Foreign Policy
Emilia Sercan
The previously unknown Georgescu, an independent with pro-Russian and anti-European views, ran an almost exclusively digital campaign on TikTok. With nearly 9 million users in Romania—about 47 percent of the population—the country boasts the highest percentage of TikTok accounts per capita in the European Union, according to World Population Review. This algorithm-fueled campaign not only unsettled Romanian authorities but also raised alarm in Western capitals, prompting the European Commission to demand explanations from the Chinese-owned platform and even consider launching an investigation.
Romania hit by major election influence campaign and Russian cyber-attacks
BBC
Sarah Rainsford
Authorities in Romania have revealed details of what appears to be a major attempt to interfere in the country’s presidential elections using the social media platform TikTok, and with a series of cyber-attacks. Romania's domestic intelligence service says there are signs the effort was "co-ordinated by a state-sponsored actor".
Police shuts down Manson cybercrime market, arrests key suspects
Bleeping Computer
Sergiu Gatlan
German law enforcement has seized over 50 servers that hosted the Manson Market cybercrime marketplace and fake online shops used in phishing operations. Two main suspects (currently in pretrial detention) believed to be Manson Market's operators have been arrested in Germany and Austria under European arrest warrants on Wednesday in an operation led by the cybercrime departments of the Verden Public Prosecutor's Office (Staatsanwaltschaft Verden) and the Hanover Police Department (Polizeidirektion Hannover).
Up to 100 ‘suspicious incidents’ in Europe can be attributed to Russia, Czech minister says
The Guardian
A senior European diplomat said that up to 100 “suspicious incidents” in Europe this year could be attributed to Russia, as western officials grapple with how to respond to suspected Russian sabotage attempts. Speaking ahead of a meeting with Nato counterparts in Brussels, the Czech foreign minister, Jan Lipavský, stressed that Europe “needs to send a strong signal to Moscow that this won’t be tolerated”.
Finland says latest fiber-optic cable break was an accident, not sabotage
The Record by Recorded Future
Daryna Antoniuk
Finland's police confirmed on Tuesday that the damage to two fiber-optic cables running across the country’s land border with Sweden was caused by excavation work rather than sabotage. In an official statement, the police said they have no ongoing criminal investigation into the recent cable break, dismissing previous reports that the incident was allegedly caused by malicious activity. As of the time of writing, the cables had been repaired — a day after they were damaged at two separate locations in rural areas.
UK
UK disrupts Russian money laundering networks used by ransomware
Bleeping Computer
Sergiu Gatlan
A law enforcement operation led by the United Kingdom's National Crime Agency has disrupted two Russian money laundering networks working with criminals worldwide, including ransomware gangs. Dubbed "Operation Destabilise," this international investigation has led to the arrest of 84 Russian-speaking suspects linked to the Smart and TGR criminal organizations, controlled by Russian Ekaterina Zhdanova and Ukrainian George Rossi.
Middle East
Dubai’s alleged crypto scams are raking in billions
Bloomberg
Alice Kantor
Near the beginning of the year, US authorities announced that they’d charged Lee in absentia with conspiracy to commit securities fraud and wire fraud. They alleged that, as the co-founder of a company called HyperVerse, he’d orchestrated a cryptocurrency scam that bilked investors around the world for almost $2 billion. HyperVerse had promised returns as high as 1% a day via cutting-edge blockchain-based strategies, but according to the US Department of Justice and the Securities and Exchange Commission, it was just an old-fashioned Ponzi scheme.
Gender and Women in Cyber
Australian women researchers join hands with Indian STEM experts
The Australia Today
Bureau Report
Five trailblazing Australian women researchers have been awarded prestigious fellowships to collaborate with leading Indian STEM experts. Their work will tackle critical global challenges, including urban rainwater harvesting, brain disease insights through data, and AI-driven air quality forecasting.
Media Release: Australian Women Researchers Awarded Fellowships for STEM collaboration with India
Australia India Institute
Five Australian women researchers have received fellowships to collaborate with Indian STEM experts on key topics, including urban rainwater harvesting, data-driven insights into brain diseases, and air quality forecasting using AI.
Big Tech
Temu, Shein suspend Vietnam operations amid crackdown on e-commerce platforms
Reuters
Phuong Nguyen and Khanh Vu
Chinese online retailers Temu and Shein have suspended their operations in Vietnam as the companies work to register their e-commerce services with the Southeast Asian nation's authorities, the two companies said on Thursday. The Vietnamese government and domestic businesses have voiced concern about the impact of deep discounting by Chinese online platforms, with the trade ministry saying it was also worried about potential sale of counterfeits.
TikTok shop triples Black Friday sales, topping $100 Million
Bloomberg
Alexandra S. Levine
TikTok tripled its US shopping sales to more than $100 million on Black Friday, a sign of the app’s growing popularity despite a looming ban. TikTok Shop, the app’s e-commerce feature, also drew a 165% annual increase in shoppers for the two days between Black Friday and Cyber Monday, the company said. More than 7 billion posts included the hashtags #tiktokshopblackfriday or #tiktokshopcybermonday.
Artificial Intelligence
OpenAI’s new defense contract completes its military pivot
MIT Technology Review
James O'Donnellarchive
At the start of 2024, OpenAI’s rules for how armed forces might use its technology were unambiguous. The company prohibited anyone from using its models for “weapons development” or “military and warfare.” That changed on January 10, when The Intercept reported that OpenAI had softened those restrictions, forbidding anyone from using the technology to “harm yourself or others” by developing or using weapons, injuring others, or destroying property. OpenAI said soon after that it would work with the Pentagon on cybersecurity software, but not on weapons. Then, in a blog post published in October, the company shared that it is working in the national security space, arguing that in the right hands, AI could “help protect people, deter adversaries, and even prevent future conflict.” Today, OpenAI is announcing that its technology will be deployed directly on the battlefield.
Soon, the tech behind ChatGPT may help drone operators decide which enemies to kill
ArsTechnica
Benj Edwards
As the AI industry grows in size and influence, the companies involved have begun making stark choices about where they land on issues of life and death. On Wednesday, defense-tech company Anduril Industries—started by Oculus founder Palmer Luckey in 2017—announced a partnership with OpenAI to develop AI models to help US and allied forces identify and defend against aerial attacks.OpenAI, Anduril partner on AI drone-defense plan
Axios
Scott Rosenberg
Defense contractor Anduril and ChatGPT maker OpenAI Wednesday announced "a strategic partnership to develop and responsibly deploy advanced artificial intelligence solutions for national security missions" with an initial focus on anti-drone systems.
Google Introduces A.I. Agent That Aces 15-Day Weather Forecasts
The New York Times
William J. Broad
A new artificial intelligence tool from DeepMind, a Google company in London that develops A.I. applications, has smashed through the old barriers and achieved what its makers call unmatched skill and speed in devising 15-day weather forecasts. They report in the journal Nature on Wednesday that their new model can, among other things, outperform the world’s best forecasts meant to track deadly storms and save lives.
Google DeepMind hits new milestone in AI weather forecasting
Financial Times
Michael Peel
Google DeepMind has unveiled an artificial intelligence weather prediction model that outperforms traditional methods on forecasts up to 15 days and is better at foreseeing extreme events. The tool, known as GenCast, gauges the likelihood of multiple scenarios to accurately estimate trends from wind power production to tropical cyclone movements.
Musk's xAI plans massive expansion of AI supercomputer in Memphis
Reuters
Sheila Dang
Elon Musk's artificial intelligence startup xAI plans to expand its Memphis, Tennessee, supercomputer to house at least one million graphics processing units, the Greater Memphis Chamber said on Wednesday, as xAI races to compete against rivals like OpenAI. The move represents a massive expansion for the supercomputer called Colossus, which currently has 100,000 GPUs to train xAI's chatbot called Grok.
AI governance lagging strategy in Asia-Pacific: Deloitte report
Nikkei Asia
Katherine Creel
Fewer than 1 in 10 organizations across Asia have AI governance policies in place, according to a recent survey that also underscored a tendency of executives to overestimate how ready their businesses are to handle this emerging technology. A joint report by Deloitte Access Economics and Deloitte's AI Institute titled "AI at a crossroads: Building trust as a path to scale" surveyed executives and board members in companies and public sector bodies across 13 markets about their progress on AI policies and what they saw as the risks and benefits of adopting the technology.
Misc
Deepfake dread looms large as security experts scramble for solutions
Forbes
Eyal Benishti
While the lion's share of media coverage about deepfakes remains squarely focused on their use as political disinformation tools, the public sector is not alone in feeling the effects of this novel technology. A November 2023 Sumsub report found that the volume of deepfake-driven cyberattacks against private enterprises between 2022 and 2023 grew 1,000% worldwide.
What it's like to live in the world's most innovative countries
BBC
Lindsey Galloway
With the rise of AI, self-driving cars and wi-fi connected appliances, it can feel like innovation is everywhere these days. But certain countries are known for developing cutting-edge technologies that benefit residents and visitors alike. To dive into those countries making the most impact in these areas, the World Intellectual Property Organisation recently released its 2024 Global Innovation Index, ranking 130 economies based on measures like their education system, technology infrastructure and knowledge creation (like patents filed or mobile apps created).
Jobs
ASPI Director – Defence Strategy Program
ASPI
ASPI is recruiting for one of its key leadership positions - the Director of its Defence Strategy Program. This is an exceptional opportunity for a talented senior leader to contribute to the work of one of the Indo-Pacific’s top think-tanks with a focus on military strategy and capability, emerging security issues and our region. The incoming Director of Defence Strategy is expected to have strong knowledge in at least some of the issues covered by the team, in addition to superior management (including project and stakeholder management) skills, a proven ability to build senior and global relationships and the capacity to fundraise to support the team’s work.
The Daily Cyber & Tech Digest is brought to you by the Cyber, Technology & Security team at ASPI.