International Affairs Academy, Document of the Day - Free Professional Development
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Foreign Economic Espionage in Cyberspace
Foreign Economic Espionage in Cyberspace
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The topic of cyber espionage is something I have spent a lot of time researching in my academic career. The role of cyber-espionage eroding US military and economic power is a issue affecting the entire field of cybersecurity. The most prominent example is the data breach caused by Chinese hackers that resulted in the plans for the F-35 being stolen [1]. This breach removed a strategic military advantage from the US. This document has a focus on the role of competitive advantages being manipulated by cyberspace. I believe the document articulates the role of cyber-espionage well, “Despite advances in cybersecurity, cyber espionage continues to offer threat actors a relatively low-cost, high-yield avenue of approach to a wide spectrum of intellectual property.” Just this week the US has indicted six Russian intelligence operatives (GRU employees) for their alleged role in multiple cyber campaigns [2]. Russia will continue their operations in cyberspace regardless of the attributions against them. China operates in a similar vein. The DOD has unmasked and filed multiple indictments against members of the People’s Liberation Army for cyber-crimes, but the actions continue. Cyber-espionage will continue to be a major issue facing US and Western power. The offensive operations countries like China and Russia are able to prey of the US advantages. Protection for the US will be extremely difficult when there are still private companies falling victim to MEOW attacks via unsecured databases of customer information [3]. The role and acceptance of cloud networks private companies handling US data has presented multiple different avenues of attack for US opponents. Two recent cases of cyber-attacks targeting US firms related to the government are the breaches impacting IPG Photonics, lead laser developer and US government software provider Tyler Technologies [4] [5]. I believe we will hear more about these breaches impacting US advantages in due time. An important quote from this document accurately details the threat environment the US faces in cyber from a political perspective, “We anticipate that China, Russia, and Iran will remain aggressive and capable collectors of sensitive U.S. economic information and technologies, particularly in cyberspace.” It is important to note that private cyber criminals also pose a threat to US advantages.
I have included sources below for additional reading.
1. F-35 Plans
2. US Indictment of six Russian Nationals of Cybercrime
3. Meow Attack
4. IPG Photonics
https://www.databreaches.net/leading-u-s-laser-developer-ipg-photonics-hit-with-ransomware/
5. Tyler Technologies
https://krebsonsecurity.com/2020/09/govt-services-firm-tyler-technologies-hit-in-apparent-ransomware-attack/
Diving into today’s reading it is clear that cyberspace is one area that should be protected because so much of our daily life revolves around technology. The Cyber realm is so vast and complex and ever-evolving that no matter where someone looks you can see the effects of cyberspace anywhere. You can see the effects of cyberspace extend from a military aspect to health care to mental health to even personal aspects of our daily life such as turning our heat on at home, talking to people at our front door, starting our car, or turning on lights. That being said, anything that is connected to the cyber realm is at risk of being hacked so security is of paramount concern. One issue I have been following is the healthcare concern for internal pacemakers. Pacemakers are not being able to be monitored via the internet by your doctor, what is to stop someone from hacking into the software and potentially hurting someone severely. This is just one of the many concerns or issues revolving around cyberspace, artificial intelligence, and other technologies of today’s world. The three main adversaries I expected to be mentioned in this document were mentioned. China is a hot topic currently in the cyber arena because of the current issue with China stealing user’s data from applications on their phones. Russia is also a known cyber player as well from the accusation of interference in U.S. elections. Lastly, Iran being a major player with oil, It would make sense that the threat of information regarding other ventures outside of the oil industry being targeted. Overall, this is a very fascinating topic to look into.
Cyber espionage is a growing threat likely to aid in overtaking the conventional methods of war due to its low cost and high opportunity to cause damage. Some of the most malicious attacks that exemplify this shift in war strategy were the hack on the Office of Personnel Management in 2013 and 2014 by the Chinese, the BlackEnergy and NotPetya attacks by Sandworm in Russia on Ukraine in 2015-2017, and obviously Stuxnet in 2010 created by the US and Israel to target Iran. Protecting our nation's data is becoming more and more important although it is a seemingly harder and harder task. Russia leads the world in persistence and severity of attacks but China is a close second, innovating technology for data collection and corruption. This is only expected to be expedited with their growing military, political, and economic power and heightened animosity towards the US. Here I have linked a paper I posted on LinkedIn that discusses the future of the United States and China from a cybersecurity standpoint. The United States Government, specifically Secretary of State Pompeo, has been implementing a program called the Clean Network that disallows Chinese produced technology pieces, specifically by Huawei, to be used in the United States. This is said to protect national security and deter Chinese involvement in American telecommunication.
In another election year, it will also be interesting to monitor illegal Russian participation with reports that it has already interfered.
With the world becoming more digitalized and relying more and more on cyberspace, cyberterrorism has become a real threat to security. A recent example of how large of an impact cyberthreats could play is the 2017 Equifax Data Breach, which affected more than 147 million people. Many government officials believe that this cyberattack was initiated by the Chinese government or People's Liberation Army but the Chinese Communist Party (CCP) denies these claims. This cyberattack exposed how vulnerable the American population is to an cyberattack and how dangerous it could be. If a cyberthreat hits major companies that the US population and government rely on, it could have catastrophic results on the economy, safety and privacy of US citizens.
I find the Internet of Things to be one of the most interesting concepts of the technological revolution. While it creates many conveniences, it also opens up the floodgates for potential threats. Now, a malicious entity can not only steal your identity, but also potentially lock you out of your house, turn on your lights, and potentially even take remote control over your car. It is good to see that this document mentions the Internet of Things as a prime security concern. Especially considering we may soon have entire cities reliant on the web. Attacks on these networks could cause substantial damage to the US economy.
The emergence of the Internet of Things requires not only preparation by the US government agencies but also preparation by private companies. Most of these smart technologies will be developed by companies like Google, Amazon, or Microsoft, not the government. If these companies do not cooperate with the federal government to assure the security of these networks, then our entire livelihoods will be vulnerable to hackers. For example, this past March, Microsoft confirmed that 1.2 million Microsoft accounts were compromised in January of 2020. These companies and the consumers who use these companies' platforms must engage in more rigorous security tactics to prevent utter disaster. The threat to the well-being of individual Americans posed by nation-states or rogue actors against poorly secured private networks remains very real. Any US cybersecurity plan must account for the security of private networks. Not doing so opens to door for any country or rogue actor to cause substantial damage to the economy.
I was also slightly disappointed to see North Korea largely omitted from this document. While China and Russia may pose larger potential threats, North Korea demonstrated when it hacked Sony in 2014 that it was willing and able to cause substantial damage to the economic well-being of the world. Unlike Russia, China, and Iran, North Korea has very little to lose and may act incredibly aggressively in the cyber field. When looking at foreign nations that pose a threat to US economic interests, North Korea must be treated as a legitimate threat.