Obama asked for $19 billion for cybersecurity efforts in his budget request, a 35% increase from current levels, with $3 billion earmarked to help modernise the patchwork of computer systems used in government agencies.
"More and more, keeping America safe is not just about more tanks or more airplanes," Obama told reporters at the White House yesterday.
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US intelligence chief James Clapper underscored those risks at a Senate hearing, pointing out that wider adoption of connected devices and new systems that rely on artificial intelligence can open up doors to hackers.
Clapper said "smart" Internet of Things (IoT) devices for autonomous vehicles, household appliances and systems such as electric power grids create new vulnerabilities.
The intelligence chief named Russia, China, Iran and North Korea as "leading threat actors" which pose risks for US security, and said these risks are growing as technology evolves and moves into new devices.
"Future cyber operations will almost certainly include an increased emphasis on changing or manipulating data to compromise its integrity... To affect decision making, reduce trust in systems, or cause adverse physical effects," Clapper said.
"Russian cyber actors, who post disinformation on commercial websites, might seek to alter online media as a means to influence public discourse and create confusion. Chinese military doctrine outlines the use of cyber deception operations to conceal intentions, modify stored data, transmit false data, manipulate the flow of information, or influence public sentiments."
The Obama cyber initiative responds to an epidemic of data breaches and cyber attacks on both government and private networks in recent years, and passage last year of a cybersecurity bill that aims to promote better threat sharing.
Obama said some US computer networks are "archaic" and use systems that date back to the 1960s.
"If you've got broken, old systems - computers, mainframes, software that doesn't work anymore - then you can keep on putting a bunch of patches on it, but it's not going to make it safe," he told reporters.
The launch comes after disclosures last year that personal data from some 20 million federal employees, contractors and others had been leaked in a massive breach at the Office of Personnel Management.
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