CSCSS Defence Intelligence Group Commentary China Hacking

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CSCSS / Centre for Strategic Cyberspace + Security Science

Washington D.C + 571.451.0312
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CSCSS Defence Intelligence Group Commentary China Hacking

  1. 1. 2 It’s About Culture Cyber + Espionage A Commentary on Chinese Hacking It Will Get Worse Before It Gets Better · David Swan, Executive Vice President, CSCSS Defence and Intelligence Group CSCSS / Centre for Strategic Cyberspace + Security Science 1 There are a lot of people who are sick of news stories about Chinese Hackers. They don't believe that there is any impact on their world. The impact of hacking in general, and the Chinese hacking in particular, has reached everyday life. Worse, the effects will get worse before they get better. The scope of Chinese activity ranges from stealing ideas from business startups to stealing plans for jet fighters. Coca-Cola admitted they were hacked – it cost them the opportunity to purchase a Chinese beverage company. An expert Chinese Hacker was identified – as a professor at a Military University. Most recently, at least 140 computer attacks against American companies have been traced to a Chinese Army Unit. Companies in Silicon Valley, Wall Street, Bay Street, and rural Saskatchewan have been hit by Chinese Hackers. 2 The Chinese are one of the oldest cultures on earth. They have been attacked countless times, over thousands of years and often the attackers were successful. The result is a culture that is concerned about being attacked again. This is not about 'rational thought' but a deep cultural (genetic?) sense that there are many enemies who want to take what China has. The result is that the Chinese think differently at a basic level and therefore behave differently. When a western company competes with a Chinese company, they are competing against the company, plus all the families of those companies, plus all the extended relationships, plus a protective government, PLUS THE CULTURE which says that China MUST be protected. The result is like one person trying to play against an entire football team. The Chinese have stacked the odds in their favour.
  2. 2. 3 Why Chinese Hacking Will Get Worse 1 What the Chinese have done is apply lessons from their Master Strategist Sun Tzu. Hacking to the Chinese is collecting information on the enemy ( us ), learning our strengths and weaknesses – and learning our plans. This is NOT business, this is the application of thousands of years of history and culture, and we are the target. The Chinese understand that in a global economy they are competing against the world. Thousands of years of Chinese history tells them that they WILL be attacked again and that they must be ready. Chinese Master Strategist Sun Tzu taught that in order to protect themselves they must know the plans of allies and enemies. The easiest way to get that information is hacking. The next issue is that the Chinese have not been “caught”. Most computer security operators don't have any Intelligence or forensic investigation training, so they stop at the end of the electronic trail. Even when the trail visibly leads to China, no one wants to lose ( or offend ) the business potential. The Chinese have never been punished for hacking. Over thousands of events, mere hundreds of attacks have been publicized and few reports have made the mainstream western media. Few people have any concept of how rampant the Chinese hacking efforts are, so the Chinese continue to get away with claiming they are victims. Bottom line: the Chinese have been taught they must collect all information on allies and enemies alike, hacking has produced superb results so far with no significant repercussions. The Chinese will continue to use hacking as an effective tool of choice. 2 Conclusion Any person or organization who believes that they can 'do business' with the Chinese is ignoring Chinese culture. Its not 'about the money' its not about business' and it never will be. Politicians who believe the Chinese will agree to treaties and conventions, or that diplomacy can resolve disputes, are ignoring Chinese history. Any person who believes that Chinese hacking has had no impact on their world has not been paying attention. CSCSS Defence Intelligence Group For a dedicated briefing by the CSCSS Defense Intelligence Group regarding National entities and espionage please contact us : · Washington D.C + 571.451.0312 · London, United Kingdom +44 2035141784 · North America +877.436.6746 · Middle East +800.653.407 · Australia +61 2 8003 7553 Email: defintel@cscss.org www.cscss.org/defence_intelligence.php The CSCSS Defence Intelligence Group through its CSCSS subsidiaries has aligned with defense, civilian and intelligence agencies providing specific defence intelligence support to mission-essential requirements at every stage of the program, product and business lifecycle. We deliver mission and technical expertise, delivery of intelligence products, and a commitment to client objectives and results at the strategic, operational and tactical Levels. We provide specialized defence intelligence expertise; services and solutions that help our clients address and achieve their missions, goals and objectives securely© Center for Strategic Cyberspace + Security Science

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