Chinese computer hack attacks slow ahead of Obama summit: Experts

Mandia has probed major corporate breaches, including those at Sony Pictures Entertainment, Target and healthcare insurers

Image
Reuters
Last Updated : Sep 21 2015 | 2:46 AM IST
Major intrusions by Chinese hackers of US companies' computer systems appear to have slowed in recent months, private-sector experts say, ahead of a meeting between China's president and President Barack Obama with cyber security on the agenda.

Three senior executives at private-sector firms in the field told Reuters they had noticed a downtick in hacking activity.

"The pace of new breaches feels like it's tempering," said Kevin Mandia, founder of Mandiant, a prominent company that investigates sophisticated corporate breaches.

Also Read

A point of friction in US-Chinese relations, cyber security will be a major focus of talks with Chinese President Xi Jinping this week in Washington, DC, Obama said earlier this week.

In the same remarks, Obama called for a global framework to prevent the internet from being "weaponised" as a tool of national aggression, while also holding out the prospect of a forceful US response to China over recent hacking attacks.

Mandia has probed major corporate breaches, including those at Sony Pictures Entertainment, Target and healthcare insurers. Experts have connected some of these to a breach of classified background investigations at the US Office of Personnel Management, which was traced to China.

Government-supported hackers in China may have backed off recently as Chinese and US officials began negotiating in earnest over cyber security ahead of the Obama-Xi summit.

"In my gut, I feel like the Chinese and the US over the next couple of years are going to figure this out," said Mandia, now an executive at Mandiant's parent, FireEye Inc.

The FBI declined to comment on Friday.

The Obama administration has been weighing bringing economic sanctions against Chinese companies that have benefited from intellectual property theft. But no sanctions have been brought and US companies disagree on the wisdom of such retaliation.

US Assistant Attorney General John Carlin, who leads the Justice Department's National Security Division, has scheduled a press availability on cyber security for Wednesday in Pittsburgh.

That is the same day that President Xi is scheduled to attend an Internet industry forum in Seattle hosted by Microsoft Corp. Xi will depart the next day for Washington, DC.

On Saturday, a Justice Department spokesman said Carlin will make routine remarks and answer questions. The spokesman said he expected US cyber espionage charges brought in May 2014 against five Chinese army officers would come up. The indictment alleged the officers conspired from 2006 to 2014 to hack into US entities' computers and steal information.

In July, the FBI said economic espionage cases it had handled in the preceding 12 months were up 53 per cent from a year earlier, with China the biggest offender. Statistically, that period could have included a falloff toward the end.

While Mandia said his perception of a slowdown was unscientific and based on "how often my phone has been ringing," others voiced similar views.

Stuart McClure, chief executive of Cylance Inc, a smaller cyber security firm, said he too had noticed a drop-off in presumed Chinese attacks going back about six months.

"He has more volume" and so has a broader perspective, McClure said of Mandia. "But we have not seen the samples of attacks like we had been."

Mandia and McClure spoke Thursday on the sidelines of the Billington Cyber Security Summit in Washington, DC.

Tom Kellermann, chief cyber security officer at large security vendor Trend Micro Inc, said in an interview in New York he also had seen fewer new Chinese hacks recently, though he said one campaign that compromised US defense contractors years ago might be adding new government targets.

"There's been a consolidation in activity coming out of China," Kellermann said. "It's down a notch."

A spokeswoman for security investigations firm CrowdStrike said in an email that it had not seen a significant change.

The Billington conference featured White House cyber security policy coordinator Michael Daniel. After speaking on a panel, Daniel suggested to reporters that Chinese officials have been listening hard to US complaints on economic spying.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Sep 21 2015 | 12:33 AM IST

Next Story