The Monthly Roundup: Dr Nathan Attrill on Taiwan’s digital defence push

ASPI CTS China Analyst Dr Nathan Attrill unpacks cyber coercion, AI disinformation, and Taiwan’s digital fight—plus his must-reads.

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Welcome to another edition of The Daily Cyber & Tech Digest Monthly Update! Each month, an ASPI expert shares their top news picks and provides their own take on one key story. This month, ASPI CTS China Analyst and editor of ASPI’s State of the Strait newsletter, Dr Nathan Attrill, shares his take.

Taiwan fortifies its digital defences as Chinese coercion intensifies

Taiwan is facing a dramatic intensification of cyber threats—most notably from state-backed Chinese actors—as it accelerates national efforts to bolster its cyber resilience. Taiwan’s recent actions within the last few weeks suggest it is doing just that. But the scale of the challenge remains formidable.

According to Taiwan’s legislature, the country is now fending off more than 2.4 million cyberattacks daily, a figure that has doubled in just one year. By contrast, Australia reports around 86,400 attacks per day. These sustained intrusions—primarily targeting government systems, critical infrastructure, and semiconductor firms—form part of a broader campaign of coercion designed to intimidate, isolate, and subvert Taiwan into unifiying with China without a fight.

Intelligence assessments attribute most of the activity to Chinese advanced persistent threat groups, who appear intent on undermining Taiwan’s sovereignty and sowing chaos across its institutions. Recent warnings in April from Western intelligence agencies have further highlighted the threat. Notably, the spyware tools “BADBAZAAR” and “MOONSHINE” are being deployed by Chinese actors to conduct surveillance on Taiwanese independence advocates and civil society figures. These tools allow adversaries to extract personal data and monitor communications in real-time, posing serious risks to human rights defenders and the political process.

Meanwhile, Taiwan’s intelligence agency has raised the alarm last month over China's use of generative AI to conduct large-scale disinformation operations. Officials say Beijing is leveraging AI tools to flood Taiwanese social media with divisive narratives, particularly around sensitive political moments. Already in 2025, over 500,000 suspicious or misleading posts have been flagged, including AI-generated deepfakes designed to erode public trust and electoral integrity.

In response, President Lai Ching-te’s administration is advancing several major cybersecurity reforms. The centrepiece is the NT$8.8 billion (AUD$450 million) ‘7^th National Cybersecurity Development Program’, which aims to train cybersecurity personnel, upgrade defences in public institutions, and improve citizen awareness. The plan reflects a wider understanding that resilience now requires coordinated whole-of-society action.

A flagship initiative under this strategy is the new ‘National Cybersecurity Center’, scheduled to open in August. According to the Lai administration, the facility will serve as a hub for detecting and responding to emerging threats, including those linked to AI and quantum computing. Officials say the centre will enhance real-time threat monitoring and help pool expertise across government and industry.

Additionally, legislative reforms are underway. Taiwan’s Ministry of Digital Affairs is working to update relevant legislation to expand protection obligations to the private sector and enhance reporting and response protocols across Taiwan’s digital ecosystem.

The government also reinforced its international cyber posture at ‘CYBERSEC 2025’, a major cyber security conference held in Taipei in April. President Lai used the forum to underscore the strategic importance of cyber security collaboration, calling on democratic partners to deepen cyber information sharing and infrastructure protection.

These developments reinforce Taiwan’s position as a key frontline state in the global cyber conflict. For other countries, Taiwan’s experience offers a warning and a model. As authoritarian regimes sharpen digital weapons to pursue geopolitical aims, liberal democracies must be prepared to invest—not only in defensive technology—but in societal resilience, legal reform, and collective cyber deterrence.

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My must-reads

• The Risk of War in the Taiwan Strait Is High—and Getting Higher

Foreign Affairs

In this piece, Bonny Lin, John Culver, and Brian Hart warn that the risk of war in the Taiwan Strait is rising sharply in 2025. They argue that Beijing’s anxiety over Taiwan’s political direction—especially under President Lai—has fuelled increasingly aggressive military activity and inflammatory rhetoric. As China ramps up pressure through large-scale drills and psychological operations, the margin for miscalculation narrows. To reduce the risk of conflict, the authors call for the United States and its allies to bolster deterrence by reinforcing military preparedness and preserving open, direct communication channels with Beijing.

• Xi Can’t Trust His Own Military

The New York Times

In this piece, Phillip C. Saunders and Joel Wuthnow explore the strategic dilemmas facing Chinese President Xi Jinping over what to do about Taiwan. They weigh up the domestic political pressures, economic headwinds, and international dynamics shaping Xi’s calculus on his goal to annex Taiwan during his leadership. The piece maps out several potential scenarios Xi might pursue: increased grey-zone coercion, economic pressure, political influence operations, or, in the most extreme case, a full-scale invasion.

• Taiwan Is Getting Serious About Self-Defence

Foreign Policy

In this piece, Matthew Kroenig examines how Taiwan is overhauling its defence strategy, drawing lessons from Ukraine's resistance. Kroenig sees “a new energy in Taiwan—and a welcome and unprecedented seriousness about its self-defence.” Taiwan is now investing heavily in asymmetric warfare capabilities, including the establishment of drone units and the procurement of over 3,200 drones over the next five years.

For more on China's pressure campaign against Taiwan—including military threats, interference and cyberwarfare, check out ASPI’s State of the Strait Weekly Digest.