This is your Cyber Sentinel: Beijing Watch podcast.
This is Ting, and you’ve tuned in to Cyber Sentinel: Beijing Watch. The cyber skies were especially stormy this week, so let’s jump right into the latest—and yes, listeners, there’s a lot to break down.
First, if you thought Beijing was taking a cyber summer vacation, forget it. CrowdStrike says Chinese state-linked cyberattacks on the US doubled in the last year, pushing past 330 incidents and continuing to rise. The folks over at SentinelOne are calling it China’s “golden age of hacking,” and there’s broad agreement in DC and in Silicon Valley. China’s not only hitting more targets, it’s getting much better at hiding inside networks once it’s in. We’re seeing campaign structures shift: instead of just government agencies like the Ministry of State Security, Beijing now licenses private contractors to hack away, outsourcing their cyberoffense at industrial scale. That means more attacks, more creativity, and honestly, more headaches for defenders.
Now, these attackers are lasering in on *strategic industries*, especially telecommunications and, gold-standard of all, semiconductors. In the last few months, Salt Typhoon (sometimes called RedMike, and yes, hackers love their code names) ramped up attacks on global telecom providers. Their signature move? Exploiting unpatched Cisco devices, slipping in through known CVEs like CVE-2023-20198 to install persistent shells and GRE tunnels. This gives them not just a foothold, but long-term, almost invisible access. Targets included US firms, big names like Comcast, and global carriers from South Africa to Korea. The broader goal? Tap lines, harvest strategic intelligence, and lie low for political leverage.
Taiwan’s semiconductor sector is still at ground zero for Beijing’s ambitions. Proofpoint and Reuters both report at least three new, previously unknown China-backed groups—UNK_FistBump, UNK_DropPitch, and UNK_SparkyCarp—using ultra-targeted spear-phishing, custom malware, and even building trust with insiders before launching remote access trojans. Taiwanese giants like TSMC declined to comment, but Proofpoint estimates at least 15 major firms, AND US financial analysts tracking the chip sector, were targeted.
Attack patterns run from surgical—single, well-crafted phish—to massive shotgun blasts of up to 80 malware-laced emails. The campaign’s all about stealth: compromised university accounts, fake job offers, customized malware with codenames like Voldemort. Their motive? Espionage supporting Beijing’s semiconductor self-sufficiency push and helping dodge US export restrictions. National Guard networks weren’t spared either—Salt Typhoon spent nine months undetected in one state’s Army National Guard, pulling sensitive data that could be used for military targeting later.
The tactical implication: Chinese cyber teams are leveraging supply-chain risk by infiltrating security vendors and telecom infrastructure. By hiding in routers and edge devices, they sidestep traditional perimeter-based defenses and, crucially, evade NSA detection due to domestic network traffic. That means CISOs need to step up segmentation, persistently patch, and monitor network edge devices—especially anything remotely connected to Cisco’s IOS XE platform.
Strategically, it’s clear that China views cyberspace as its main stage for creative risk-taking with the US. With major staffing cuts at CISA and the White House busy on other fronts, now’s the time to double down. All American companies in telecom, defense, and especially semiconductors should adopt proactive threat hunting, red team across supply-chain links, and lock admin privileges.
On the global stage, international response is growing: January’s US Treasury sanctions on Sichuan Juxinhe Network Technology are proof. But sanctions alone can’t outpace Beijing’s decentralized cyber machine. The pressure is on for tighter global info sharing and private-sector collaboration.
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