Five Eyes’ Intelligence Chiefs Accuse China Of IP Theft And ‘new cold war

n an “unprecedented” joint call by the Five Eyes on Tuesday, the intelligence chiefs of the countries accused China of intellectual property theft and using AI for hacking and spying against its nations and called for private industry and academia to help counter those threats.

“China has long targeted businesses with a web of techniques all at once: cyber intrusions, human intelligence operations, seemingly innocuous corporate investments and transactions. Every strand of that web had become more brazen, and more dangerous,” FBI Director Christopher Wray said.

The FBI and the White House sent a warning Tuesday about how technology is being used dangerously, calling it the “new Cold War.”

“Because back in the day, it was more, ‘can I put more bombs and more missiles that point to you?’ Whereas these days it’s truly digital, where the information is, and also the spy component,” said Wray.

This meeting comes shortly after the Biden administration issued new restrictions on companies exporting AI technology to China and other countries.

Despite China having a bigger hacking program than that of every other nation combined, the Chinese government spokesman Liu Pengyu said the country was committed to intellectual property protection and denied the “groundless” allegations.

Ted Miracco, CEO, Approov Mobile Security had this comment:

   “Statements from the intelligence communities at the Five Eyes countries are a positive recognition of the persistent threat of Chinese espionage. However, this escalation is coming years, perhaps decades, after we had known about the blatant theft of intellectual property from China.

   “As open societies, we face significant challenges in competing against a closed society like China in the field of AI. China has a centralized governance structure, which gives it access to a large amount of diverse and centralized data, without a lot of ethical restrictions on how it will be used. In contrast, the Five Eyes countries face challenges in accessing similar volumes and types of data due to privacy concerns and legal frameworks that prioritize individual rights. China has also been aggressively investing in AI research and development, leading to a significant pool of talented scientists, engineers, and researchers.

   “The Five Eyes countries have well-established innovation ecosystems, including leading universities, research institutions, and a vibrant private sector that fosters a culture of innovation which can lead to breakthroughs in AI technologies. However, the question that remains is can open societies capitalize on these innovations, safeguard individual freedoms, and protect their valuable IP over the long term?”

David Mitchell, Chief Technical Officer, HYAS follows with this comment:

   “The PRC has been a cyber concern for as long as I can remember but has grown to become an existential threat over the last few years. The sheer number of motivated hacking teams, the scale of the toolsets and the coordination are unlike anything we’ve ever seen — and add AI to the equation and we have a serious problem. The private sector is not equipped to deal with such skilled nation state teams for a variety of reasons — a lack of network visibility, disjointed security platforms and understaffed organizations.

   “Without improvements in our security posture, products, and response, along with coordination between the private sector and government, it is hard to see this threat dissipating anytime soon.”

While China isn’t the only state actor that is out to steal all the IP that it can get, it is the biggest. Thus the threat that China poses must be taken seriously, along with doing everything possible to stop them from profiting from their desire to steal all the IP that they can.

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