China Hack Exposes U.S. Officials to Massive Spy Network | Threats reported in 3 states, but none are found credible | Australian Federal Government Shelves Local Content Plans
Good morning. It's Wednesday 6th November.
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.
Hackers linked to Chinese intelligence used precision strikes to quietly compromise cellphone lines used by an array of senior national security and policy officials across the U.S. government in addition to politicians, according to people familiar with the matter. The Wall Street Journal
Officials in Maine, Georgia, and North Carolina investigated bomb threats against schools and polling stations, later deemed non-credible, many traced to Russian email domains. In Georgia’s Fulton County, brief polling place closures were resolved, and officials pledged increased security. Law enforcement remains vigilant. New York Times
Australia's government indefinitely delayed new local content rules for streaming platforms, a key arts policy aimed at reviving the local screen industry. Concerns over compliance with the U.S. trade deal, pushback from streaming giants, and election timing complicate progress. The policy's future remains uncertain. ABC News
ASPI
It’s time for Canada to work with like-minded partners – including in Asia – to combat disinformation
Asia Pacific Foundation of Canada
Stephen R. Nagy
Danielle Cave and Albert Zhang of the Australian Strategic Policy Institute have also outlined in their research the use of digital transnational repression and the deployment of disinformation in targeted spaces. They showed that the Chinese Communist Party’s toolkit increasingly includes disinformation that bullies, cajoles, and silences debate on issues that matter to China or targets individuals who may be seen as voices that are influential in shaping views on China. While a multilateral approach to combating disinformation will be critical, several approaches need to be considered so that it can involve frontline states and political entities. A state-to-state multilateral agreement is feasible between Canada, Japan, the U.S., Australia, New Zealand, Ukraine, Poland, South Korea and other frontline states, but would not include Taiwan because of its non-state status and each country’s respective ‘One-China’ policy.
Australia
Federal government quietly shelves plans for local content requirements
ABC News
Tom Lowrey and Claudia Long
The federal government has quietly delayed plans to introduce local content requirements for major streaming platforms, with no indication of when it might return to work on the policy.
Falloff in cyber reports as businesses lawyer up
InnovationAus
Justin Hendry
Australia’s cyber intelligence agency has witnessed a falloff in businesses proactively reporting cyber incidents in recent months, delaying their ability to respond as firms increasingly lawyer up. As Parliament considers new ‘Limited Use’ protections to shield companies from immediate regulation action, officials from the Australian Signals Directorate on Friday revealed growing caution by businesses. “We are seeing a relative decline in the number of proactive incidents being reported to ASD from industry,” ASD first assistant director-general for cybersecurity resilience Stephanie Crowe told a parliamentary inquiry.
Encrypted messaging app developer moves out of Australia after police visit employee’s home
The Guardian
Josh Taylor
The founder of an encrypted messaging app who left Australia for Switzerland after police unexpectedly visited an employee’s home says he had left because of Australia’s “hostile” stance against developers building privacy-focused apps.
Instagram co-founder questions Albanese government’s social media bans for children
The Australian
Tansy Harcourt
Instagram co-founder Mike Krieger has questioned how the Albanese government’s ban on children using social media, will work while saying he feels “responsibility” over the rapid evolution of artificial intelligence. Mr Krieger became Silicon Valley royalty in 2012 by selling Instagram — which he co-founded with Kevin Systrom to Facebook, now Meta, for $US1bn. The San Francisco-based entrepreneur said he was not up to speed on the Albanese government’s plans to introduce age restrictions on children accessing social media accounts.
China
China hack enabled vast spying on U.S. officials, likely ensnaring thousands of contacts
The Wall Street Journal
Dustin Volz, Aruna Viswanatha, Drew FitzGerald and Sarah Krouse
Hackers linked to Chinese intelligence used precision strikes to quietly compromise cellphone lines used by an array of senior national security and policy officials across the U.S. government in addition to politicians, according to people familiar with the matter.
Huawei courts global chip talent with new Shanghai R&D hub
Nikkei Asia
Itsuro Fujino
Development is ramping up near Huawei Technologies' new research and development hub in China as the telecommunications equipment giant seeks to turn the area into a magnet for semiconductor talent from around the world. Huawei has invested more than 10 billion yuan ($1.4 billion) in its Lianqiu Lake R&D Center, some 60 kilometers from central Shanghai. Sitting on a roughly 160-hectare campus, the hub is twice the size of a key research facility in Dongguan.
Chinese smartphone giant Oppo, PolyU to launch joint AI research centre in Hong Kong
South China Morning Post
Ben Jiang
Chinese smartphone giant Oppo and the Hong Kong Polytechnic University have renewed a collaborative framework agreement, which involves the launch of a joint innovation research centre for artificial intelligence imaging technology in the city.
Chinese AI firms are splurging on ads, report finds, as chatbot market gets crowded
South China Morning Post
Ben Jiang
Chinese artificial intelligence companies are racking up huge advertising bills, according to figures from a marketing consultancy, as firms search for any possible edge in a highly competitive market.
USA
Threats reported in 3 states, but none are found credible
New York Times
Richard Fausset, Sean Keenan and Michael Levenson
Officials in Maine, Georgia and North Carolina said the discredited threats involved schools and polling stations. The F.B.I. also referred to bomb threats deemed not to be credible in several states, “many of which appear to originate from Russian email domains.”
U.S. braces for foreign election threats, especially in swing states
New York Times
Julian E. Barnes
Federal officials are bracing for an increase in efforts by foreign adversaries to undermine the U.S. elections but said they had not seen any national-level threats so far on Election Day.
Election wargames: tech and politics try their hands at detecting voting threats
The Wall Street Journal
Belle Lin
On Tuesday evening the week before Election Day, nearly 70 people gathered in an office near Union Square in New York to “wargame” the vote. Huddled in the venture capital office turned “fusion cell” organized by Lux Capital, a mix of technology, business and public policy leaders roleplayed as intelligence specialists, White House officials, artificial-intelligence experts and others as they swapped tips, formed alliances and spun out scenarios in a race to identify various simulated threats to the coming election.
In final check-in before election day, CISA cites low-level threats, and not much else
The Record by Recorded Future
Martin Matishak
Despite “small-scale incidents” during the country’s early voting period and an uptick in online disinformation, the leader of the U.S. cybersecurity agency believes election systems remain secure for Tuesday.
Nakasone says all the news about influence campaigns ahead of Election Day is actually 'a sign of success'
The Record by Recorded Future
Dina Temple-Raston
Retired Gen. Paul Nakasone is one of America’s first cyberwarriors. He was the architect of Cyber Command and created a strategy that fundamentally changed the way the world viewed cyber operations in the modern age.
‘Heretic’ directors used end credits to warn Hollywood about AI: ‘let’s bury it underground with nuclear warheads, cause it might kill us all’
Variety
William Earl
Scott Beck and Bryan Woods‘ newest movie, “Heretic,” out Nov. 8 via A24, is filled with thought-provoking discussions about faith and humanity. But eagle-eyed viewers will notice something unconventional in the credits: A message stating that “No generative AI was used in the making of this film.”
Americas
Hacker said to be behind breach of snowflake customers arrested
Bloomberg
Margi Murphy and Brian Platt
Canadian authorities have arrested a man suspected of being behind a string of hacks involving as many as 165 customers of Snowflake Inc., according to people familiar with the matter. Following a request from the US, Alexander “Connor” Moucka was taken into custody on a provisional arrest warrant on Oct. 30, according to Canada’s Department of Justice. He is due to appear in court on Tuesday.
North Asia
Japan taps US chip startup Tenstorrent to help train new wave of engineers
Reuters
Stephen Nellis
Tenstorrent, a Silicon Valley artificial intelligence chip startup founded by Apple and Intelveterans, said it had won a deal with the Japanese government to help train up to 200 Japanese chip designers at its U.S. offices over five years. The contract announced on Tuesday, under which $50 million will be divvied up among Tenstorrent and Japan's Leading-edge Semiconductor Technology Center, is part of Japan's effort to reinvigorate its semiconductor industry. The country controlled half or more of the global chips market through the 1980s but has less than a tenth of the market today.
Southeast Asia
Thailand’s commitment to a safer digital landscape
OpenGov Asia
Samaya Dharmaraj
Mr Ekapong Harimcharoen, Inspector-General of the Ministry of Digital Economy and Society (DE), convened a crucial meeting to discuss the integration of data between the AOC 1441 Online Crime Operations Center and the Thai Police Online system. This strategic collaboration is designed to enhance the efficiency of operations against online crimes, allowing for more effective coordination and faster resolutions of cases. The meeting was attended by notable officials, including Ms Yupaporn Sirikitpanichkul, Assistant Permanent Secretary of the Ministry of DE, and Pol. Col. Jessada Burinsuchat, Director of the Cyber Security Group at the Technology Crime Investigation Bureau.
Chinese group accused of hacking Singtel in telecom attacks
The Straits Times
Singapore Telecommunications, Singapore’s largest mobile carrier, was breached by Chinese state-sponsored hackers this summer as part of a broader campaign against telecommunications companies and other critical infrastructure operators around the world, according to two people familiar with the matter.
South & Central Asia
This Indian state wants to be a tech hub. But the government keeps shutting down the internet
Rest of World
Sanghamitra Kar P
On May 2, 2023, Roshni Kumar Yambem was finishing a long day at Globizs, his IT services startup. It had not been easy for Yambem to attract an international clientele while based in the remote Indian state of Manipur, but over the past decade, he had done it. Globizs was just beginning to emerge from a yearslong pandemic slump. What came the next day, though, would change everything.
NZ & Pacific Islands
Transforming public service: New Zealand’s cloud first policy
OpenGov Asia
Alita Sharon
The New Zealand government has a Cloud First policy, which represents a significant shift in the way government agencies approach technology and service delivery. Originally established in 2012, the policy focuses on the adoption of public cloud services over traditional IT infrastructure, with the goal of enhancing the efficiency and effectiveness of government operations.
Ukraine-Russia
Moldova rebuffs Russia’s influence with re-election of its pro-Western leader
The Straits Times
Jonathan Eyal
Russia’s attempts to maintain a sphere of influence in Europe have suffered a setback after voters in Moldova, a small former Soviet republic bordering Ukraine, re-elected their pro-Western president for a second term despite a massive Russian effort to influence the ballot’s outcome.
South Korea and EU worry about Russia's technology transfer in return for North Korea troops
The Asahi Shinbun
In this photo provided by South Korea Defense Ministry, South Korean Defense Minister Kim Yong Hyun, left, talks with European Union foreign policy chief Josep Borrell, right, during a meeting at the Defense Ministry, in Seoul, South Korea, on Nov. 4, 2024. SEOUL, South Korea--South Korea and the European Union on Monday strongly condemned North Korea’s reported dispatch of troops to aid Russia’s war against Ukraine and expressed concerns that Russia could reward North Korea with transfers of sensitive technology to enhance its nuclear and missile programs.
UK
“Mind the Gap” between innovation and cybersecurity, says UK’s Cyber Chief
GovInsider
Yogesh Hirdaramani
The United Kingdom’s new CEO of the National Cyber Security Centre (NCSC), Richard Horne, cautioned the global community of the cybersecurity risks that increasing tech innovation can pose at Singapore International Cyber Week 2024. “Mind the Gap” is a commonplace phrase warning commuters about the space between the train doorway and station platform edge in large metro systems around the world, particularly in the London Underground and Singapore’s Mass Rapid Transit system.
Africa
Will China’s influence in Africa’s AI revolution undermine its sovereignty?
The Africa Report
Alberto Lemma
Chinese investments in digital infrastructure, data centres and energy are accelerating growth but raising concerns over political influence. As the global artificial intelligence (AI) revolution reaches African shores, China is emerging as a dominant influence in digital infrastructure, AI models, and the energy needed to power them. This brings the risk of undue Chinese political influence, which should concern Africa and its international partners.
Big Tech
Meet Musk’s fixer, the powerful executive reshaping Tesla
The Wall Street Journal
Becky Peterson
When Tesla’s manufacturing executives gathered in Shanghai this January, some were surprised to see Elon Musk’s longtime aide Omead Afshar in attendance. The forum, hosted by Tesla’s most senior automotive executive, Tom Zhu, was designed to get the company’s global leadership team on the same page about best practices and the rising threat from electric-vehicle makers in China.
Meta extends ban on new political ads past election day
CNBC
Jonathan Vanian
Meta extended its ban on new political ads on Facebook and Instagram past Election Day in the U.S. The social media giant announced the political ads policy update on Monday, extending its ban on new political ads past Tuesday, the original end date for the restriction period. Meta did not specify the day it will lift the restriction, saying only that the ad blocking will continue “until later this week.” The company did not say why it extended the political advertising restriction period.
After SpaceX's requests, Taiwanese suppliers move manufacturing abroad, sources say
Reuters
Francesco Guarascio, Khanh Vu and Ben Blanchard
Elon Musk's SpaceX asked Taiwanese suppliers to transfer manufacturing off the island, leading to some relocating portions of their supply chain, according to sources employed by and close to the equipment makers and corporate documents. A source at a company that is one of the numerous subcontractors that provide components for SpaceX's Starlink satellite internet products said SpaceX asked their manufacturers to produce outside of Taiwan because of geopolitical risks, pushing at least one to move production to Vietnam.
South Korea fines Meta about $15 mln over collection of user data
Reuters
Reuters
South Korea has ordered Facebook owner Meta Platforms, opens new tab to pay 21.62 billion won ($15.67 million) in fines after finding it had collected sensitive user data and given it to advertisers without a legal basis, Seoul's data protection agency said. The U.S. tech giant obtained information from about 980,000 South Korean Facebook users on issues such as their religion, political views and sexuality while failing to seek agreement from users, the Personal Information Protection Commission said in a statement on Tuesday.
Scoop: Meta to extend block on new election ads
Axios
Sara Fischer
Meta will extend its ban on new election ads for the week leading up to the election until several days after the polls close, Axios has learned. The tech giant informed advertising partners about the shift on Monday.
Meta’s plan for nuclear-powered AI data centre thwarted by rare bees
Financial Times
Hannah Murphy and Cristina Criddle
Plans by Mark Zuckerberg’s Meta to build an AI data centre in the US that runs on nuclear power were thwarted in part because a rare species of bee was discovered on land earmarked for the project, according to people familiar with the matter.
Meta says it’s making its Llama models available for US national security applications
TechCrunch
Kyle Wiggers
To combat the perception that its “open” AI is aiding foreign adversaries, Meta today said that it’s making its Llama series of AI models available to U.S. government agencies and contractors in national security.
Artificial Intelligence
Misc
Inside the massive crime industry that’s hacking billion-dollar companies
WIRED
Joseph Cox
On October 20, a hacker who calls themselves Dark X said they logged in to a server and stole the personal data of 350 million Hot Topic customers. The following day, Dark X listed the data, including alleged emails, addresses, phone numbers, and partial credit card numbers, for sale on an underground forum. The day after that, Dark X said Hot Topic kicked them out.
Research
AI-enabled influence operations: how to protect the 2024 US Election
CETaS Briefing Papers
Sam Stockwell
On the eve of an extremely close US presidential election, there are widespread fears that malicious actors will interfere with the results or cast doubt on its validity. Several hostile operations linked to Russia, China and Iran seeking to manipulate voting intentions have already been exposed. US politicians, celebrities and even ordinary users are further polluting the online information space with conspiracy theories and disinformation.
The Daily Cyber & Tech Digest is brought to you by the Cyber, Technology & Security team at ASPI.
