Two Tech Companies Report Chinese Malware in the Power Grids

No worries America, President Biden is on vacation again, this time for a week. Meanwhile, it was back in May that Microsoft and Mandiant (0wned by Google) reported Volt Typhoon was in a few power systems either for espionage or worse for later capability to disrupt. Presently, there is no immediate threat however, experts outside of the Federal government are studying the cyber language and issuing warnings.

Volt Typhoon's Cyberattack: Key Concerns and Implications for the Industry  | TXOne Networks source

Experts say it’s one of the largest known cyber espionage campaigns against the US.

A key US military outpost, Guam’s ports and air bases would be crucial to any Western response to a conflict in Asia. Together with the Five Eyes alliance – comprising the intelligence agencies of the US, Australia, Britain, New Zealand and Canada – Microsoft published details of the malware.

A cyberattack on Guam is equivalent to an attack on Silicon Valley. Guam, with a population of nearly 154,000, is indistinguishable from the 50 states for the purposes of defense under international and domestic law. It would also be vital to US military operations in any conflict over Taiwan. The Guam Defense System, the defense architecture surrounding Guam and the Mariana Island Chain, is the top homeland defense priority of the current commander of the US Indo-Pacific Command, Admiral John Aquilino. Guam contains the United States’ largest refueling and armament stations in the first and second island chains that provide lines of defense against China. The 2023 National Defense Authorization Act also announced $1.4 billion for defense projects in Guam, and the U.S. Marine Corps is building its first new base in 72 years there. Guam has among the highest military recruitment levels in the United States. In recognition of Guam’s military importance, China calls its DF-26 intermediate ballistic missile, which has a 2500-mile firing range, “the Guam Killer.” Source

The U.S. has 3 military bases (installations in Guam)

Q&A: What does the US military do on the island of Guam? source

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China’s “peacetime” targeting of critical infrastructure that is used by both civilians and the US military erodes the principles of the law of war. The principle of distinction ordinarily forbids targeting civilian objects, such as civilian property and infrastructure. However, many computer networks are used for both civilian and military purposes. Such “dual use” objects may be targetable based on their nature, purpose, and use. However, combatants must still comply with the other principles of the law of war: military necessity, proportionality, and avoiding unnecessary suffering.

Microsoft has tracked a group of what it believes to be Chinese state-sponsored hackers who have since 2021 carried out a broad hacking campaign that has targeted critical infrastructure systems in US states and Guam, including communications, manufacturing, utilities, construction, and transportation.

Microsoft’s blog post offered technical details of the hackers’ intrusions that may help network defenders spot and evict them: The group, for instance, uses hacked routers, firewalls, and other network “edge” devices as proxies to launch its hacking—targeting devices that include those sold by hardware makers ASUS, Cisco, D-Link, Netgear, and Zyxel. The group also often exploits the access provided from compromised accounts of legitimate users rather than its own malware to make its activity harder to detect by appearing to be benign.

Blending in with a target’s regular network traffic in an attempt to evade detection is a hallmark of Volt Typhoon and other Chinese actors’ approach in recent years, says Marc Burnard, a senior consultant of information security research at Secureworks. Like Microsoft and Mandiant, Secureworks has been tracking the group and observing its campaigns. He added that the group has demonstrated a “relentless focus on adaption” to pursue its espionage.

US government agencies, including the National Security Agency, the Cybersecurity and Infrastructure Security Agency (CISA), and the Justice Department published a joint advisory about Volt Typhoon’s activity today alongside Canadian, UK, and Australian intelligence. “Private sector partners have identified that this activity affects networks across US critical infrastructure sectors, and the authoring agencies believe the actor could apply the same techniques against these and other sectors worldwide,” the agencies wrote. As early as 2009, US intelligence officials warned that Chinese cyberspies had penetrated the US power grid to “map” the country’s infrastructure in preparation for a potential conflict. Two years ago, CISA and the FBI also issued an advisory that China had penetrated US oil and gas pipelines between 2011 and 2013. China’s Ministry of State Security hackers have gone much further in cyberattacks against the country’s Asian neighbors, actually crossing the line of carrying out data-destroying attacks disguised as ransomware, including against Taiwan’s state-owned oil firm CPC. Source

It was not until the New York Times reported this condition that anyone took it seriously. What is worse are the facts reported by CyberScoop in part:

The largely unknown amount of Chinese-made equipment within the North American grid is a threat to national security, experts warned during a Thursday congressional hearing that explored cybersecurity vulnerabilities within the electric sector.

Witnesses from the Department of Energy and private sector testifying during the Senate Energy and Natural Resources Committee echoed a sentiment increasingly heard in Washington that a longstanding dependence on Chinese technologies and cheap components is now an alarming national security issues for U.S. critical infrastructure.

 

 

 

Your Vehicle is Spying on you and You’re not Getting Paid

Every app on your phone is collecting data, often protected and confidential data and selling it. Selling it to whom? No idea. But then you have invited the same thing when it comes to your home with the streaming apps…never mind Alexa and Siri. But now while it has been highly suggested to never use or click on Tik Tok videos that people seem to ignore at their own peril…let’s consider your own cars or trucks you drive every day. Oh you have nothing to hide…yeah yeah yeah…but manufacturers and tech companies are making trillions a year selling everything about YOU and you don’t care or have nothing to hide? Are you fine with your passwords, social security numbers, ATM card numbers or even children’s names being transported to entities unknown to you?

Privacy is gone and you should care…. it is a cyber war actually and you are in the middle of it.

Autonomous Car Technology Market Outlook From 2020-2026 - Science Techniz source

It all started with OnStar and now there is facial recognition requirements to even start your car….

America’s national security experts have made a compelling case that TikTok, the popular social media application owned in part by the Chinese government, constitutes a national security threat.

The Federal Bureau of Investigation has warned that TikTok allows the Chinese government to access location, biometric identifiers and browsing history, which could be shared with the Chinese Communist Party. This information led a bipartisan group of senators, led by Sen. Mark Warner (D-Va.), to recently introduce legislation providing the Department of Commerce the power to regulate the popular social media app. The Biden White House quickly endorsed the bill and called for its immediate passage.

It’s encouraging that the federal government is taking the TikTok threat so seriously. Many policy analysts even believe it should double its efforts to combat harmful social media companies’ data collection. After all, TikTok is not the first company that poses such a problem, nor will it be the last. Many other apps, such as WeChat, have equally dangerous connections to the Chinese Communist Party that lawmakers should watch closely.The data regulations that they impose on TikTok should apply across the board including American companies that may pose similar threats.

That said, Chinese-owned social media apps are not the only data collection threat that the American people currently face. Chinese-owned automakers present just as significant of a national security problem, if not an even greater one.

Modern cars are becoming data collection vacuums. Their cameras and computers not only diagnose engines, but they also collect information about where you travel, what stores you shop at, what music you listen to, and how fast you drive. Electric cars, particularly autonomous vehicles, collect millions of terabytes of information that automakers rightfully see as digital gold.

This data collection would be beneficial if consumers owned and controlled it, but currently, they don’t. The car companies do. Best Android Car Apps 2016 | Caromotor 2017

Chinese automakers like Volvo and Lotus must comply with the same Military-Civil Fusion laws that TikTok and other problem Chinese apps must follow. That means the same data security concerns apply but with even more in-depth personal in play, from when they leave the house to their driving patterns and histories.

American vehicle manufacturers have yet to modernize their security infrastructures with the modern-digital age. Over the last year, API attacks in the automotive industry have surged by over 380 percent, and 34 percent of auto employees admitting their company receives more security threats now than two years ago. China is one of the global leaders in API attacks, and U.S. attorneys have already warned automakers to watch out for the country’s theft of their personal information.

For all these reasons and more, this information shouldn’t remain the property of the carmakers. The drivers should own and control it.

Reps. Gus Bilirakis (R-Fla.) and Jan Schakowsky’s (D-Ill.) Innovation, Data, and Commerce Subcommittee should consider a comprehensive legislative framework that ensures transparency and accountability from car manufacturers and protects drivers against misuse of their personal information. This will turn a staunch national security problem — TikTok on wheels — into a valuable addition to the U.S. economy.

Again, the problem is not that this auto data exists; the problem is that carmakers are the ones in control of it. From diagnosing and fixing vehicle malfunctions to providing insurance discounts, vehicles keeping track of this information is benefiting drivers in untold ways. If consumers own this data instead of the auto industry, they will receive the utility of this information without the baggage of it potentially falling in the wrong hands.  Source

How Far Back Does Hamilton 68 Really Go?

A Yahoo News reporter, Natasha Bertrand in August of 2017 posted in part the following –>

website launched on Wednesday by a former FBI special agent-turned disinformation expert claims to track Russian propaganda in near-real time, as it spreads via Twitter accounts that have been linked to Russian influence operations.

Clint Watts, who garnered national media attention after testifying before the Senate Intelligence Committee about Russia’s ongoing cyber and propaganda war against the West, spearheaded the project called Hamilton 68 — a hat tip to the founding father’s Federalist Papers No. 68.

“In the Federalist Papers No. 68, Alexander Hamilton wrote of protecting America’s electoral process from foreign meddling,” the site reads, alluding to Russia’s interference in the 2016 election. “Today, we face foreign interference of a type Hamilton could scarcely have imagined.”

Watts worked on Hamilton 68 with JM Berger, a fellow with the International Centre for Counter-Terrorism who studies extremism and propaganda on social media; Andrew Weisburd, a fellow at the Center for Cyber & Homeland Security; and Jonathon Morgan, the CEO of New Knowledge AI and head of Data for Democracy, a volunteer collective of data scientists and technologists. More here

Now you would think that former Federal government officials would tell the truth or at least do retractions as required when something is proven false…not so much.

In full disclosure, years ago, I read JM Berger’s book and interviewed him on my radio show. Furthermore, I followed Clint Watts on Twitter because as a former FBI agent, perhaps truth and context was important, it still is but not at the very least from those former ‘intelligence’ experts which now include even more former officials like Former Acting CIA Director Mike Morrell and former Ambassador to Russia Michael McFaul.

They among others created a fraud upon America as discovered by Matt Taibbi and the Twitter files.

 

Read in depth here to see just how scandalous media and the officials really were…perhaps still are actually. The New York Post in part has the following paragraph:

The Hamilton 68 “dashboard” was the brainchild of former FBI special agent and MSNBC contributor Clint Watts and operated under the Alliance for Securing Democracy, a think tank founded in 2017 — shortly after former President Trump took office.  (Alliance for Securing Democracy, REALLY?)

Further from the New York Post: Emails in the disclosure show that Twitter’s own internal audits repeatedly showed that accounts flagged by Hamilton 68 were not Russian bots.

The Hamilton 68 website/screenshot as of the moment of this post:

 

Other names also include Bill Kristol, editor of the now defunct Weekly Standard, John Podesta and of course Hillary Clinton. Now we have some more questions for sure including who funded all of this? Perhaps the Clinton Foundation? How nutty is all this going to be when a deeper dive happens by the House Republicans on the Oversight Committee look at the other tech/media outlets like Google, Reddit, YouTube and Facebook?

 

Bullshit is right…more like KGB/Stasi tactics brought into the American public square and news outlets like CNN and the Washington Post need to own this too. Gotta wonder if the White House under Biden much less Obama’s White House team will get subpoenas….How much interaction was there between those former government officials and those in the House and Senate much like Adam Schiff?

This all brings a new definition to cyber wars and news media terrorism.

Hurry and Reconsider you use of Venmo, PayPal or Other Payment Apps

President Biden said that anyone making less than $400,000 per year would not a dime more in taxes….now a lie. Apps of all sorts are already asking for your banking information. Note….the banking information is getting reported by payments apps and other online sites such as Etsy, Marketplace and OfferUp. As you read further, understand what is not being revealed. The IRS is using private corporations to aid them in reporting personal information about you. Getting a 1099 could easily put you in a higher tax bracket dust because you collected dues from team members, sold an old umbrella or work on the side selling a potholder you knitted.

Best Mobile Payments Apps to Send & Receive Money | MyBankTracker photo source

FNC: Americans who made money online this year could be in for a potentially brutal shock when they file their taxes in 2023.

That’s because, beginning next year, taxpayers must report to the IRS transactions of at least $600 that are received through payment apps like Venmo, PayPal and Cash App.

In an explainer posted online last month, the IRS warned small business owners about the $600 threshold for receiving Form 1099-K for third-party payments exceeding $600.

Third-party payment processors will now be required to report a user’s business transactions to the IRS if they exceed $600 for the year. The payment apps were previously required to send users Form 1099-K if their gross income exceeded $20,000 or they had 200 separate transactions within a calendar year.

“I think it will come as a shock out of nowhere that people are getting these,” Nancy Dollar, a tax lawyer at Hanson Bridgett, told FOX Business.

Democrats made the change in March 2021, when they passed the American Rescue Plan without any Republican votes.

Now, a single transaction over $600 will trigger the form. The change is intended to crack down on Americans evading taxes by not reporting the full extent of their gross income. However, critics say that it amounts to government overreach at its worst and that it could ultimately hurt small businesses.

The lower reporting threshold threatens to sweep up millions of Americans who make money online. Roughly one in four Americans rakes in extra income on the side by selling something online, renting their home or using a digital platform to do work, according to the Pew Research Center.

The change could discourage some Americans from participating in the gig economy, according to Dollar.

“Everyone I know offloads old goods that they have on these platforms because it’s so easy,” Dollar said. “Or they’ve been engaging in gig work on a very casual basis, and that affects gig workers as well who have been underreporting their income. I think it’s going to force people to either cut down on those activities or kind of take them more seriously and track them.”

The new rule only applies to payments received for goods and services transactions, meaning that using Venmo or PayPal to send a loved one a gift, pay your roommate rent or reimburse a friend for dinner will be excluded. Also excluded is anyone who receives money from selling a personal item at a loss; for example, if you purchased a couch for $300 and sold it for $250, the amount is not taxable.

“This doesn’t include things like paying your family or friends back using PayPal or Venmo for dinner, gifts, shared trips,” PayPal previously said.

To be clear, business owners are already required to report that income to the IRS. The new rule simply means that the IRS will figure out what business owners earned on the cash apps, regardless of what that individual actually reports on their 1099-K, because it broadens the scope of the threshold.

Form 1099-K is used to report goods and services payments received by a business or individual in the calendar year, but there are certain exclusions from gross income that are not subject to income tax, including amounts from selling personal items at a loss, amounts sent as reimbursements and amounts sent as gifts.

For the 2022 tax year, you should consider the amounts shown on your Form 1099-K when calculating gross receipts for your income tax return,” PayPal said in a Q&A on its website. “The IRS will be able to cross-reference both our report and yours.”

The cash apps will now be required to send users who meet the newest requirements Form 1099-K for transactions made electronically or by mail.

The apps may request additional information from users shortly to properly report transactions, and users may be asked to provide their Employer Identification Number (EIN), Individual Tax Identification Number (ITIN), or Social Security Number (SSN) if it’s not already on file.

Could it be that Europe has more Guts in Suing Google than the U.S.?

Shame on our Congress but more…shame on the Justice Department for dragging it’s feet when it comes to anti-trust cases against big tech, especially Google.

Google is big…really big but perhaps $2.4 billion will get their attention…and that is just Europe. But then again, maybe not as Google just announced the following:

Google has completed the latest phase of construction at its data center in Council Bluffs, Iowa, bringing its total investment in its Iowa campus to $5 billion.

A herd of deer outside the equipment yard of the Google data center campus in Council Bluffs, Iowa. (Photo: Google)

The investment milestone by Google is the latest data point on the extraordinary growth of the data center industry in Iowa, which is also home to Meta’s largest cloud campus and a massive build-out by Microsoft in West Des Moines. The Iowa cloud cluster shows the prominent role of the Midwest in cloud geography, providing a data distribution hub in the center of the United States.

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Google-owner Alphabet faces a massive lawsuit in Europe.

It’s being sued by price-comparison firm PriceRunner for around $2.4 billion.

The Swedish company alleges the tech giant manipulated search results.

PriceRunner wants Google to pay compensation for profits it claims it has lost in the UK since 2008; and Sweden and Denmark since 2013.

A Google spokesperson said the company would defend the lawsuit in court.

It claimed changes made to shopping ads five years ago have worked successfully.

It also said PriceRunner chose not to use shopping ads on Google, so may not have seen the same successes as others.

But PriceRunner said it was ready to fight for years, with financing in place and steps prepared in the event it does not win.

In November Google lost an appeal against a fine of over $2.7 billion imposed by the European Commission in 2017.

It found that the search giant used its own price comparison shopping service to gain an unfair advantage over smaller European rivals.

The seven-year investigation came about due to complaints that Google distorted internet search results in favour of its own shopping service.

PriceRunner is currently in the process of being bought by payments firm Klarna.

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Pricerunner sues Google for SEK 22 billion - Gamingsym

Source: PriceRunner said Monday that it plans to take Google to court in Stockholm. It’s seeking compensation for damages in relation to a 2017 ruling from the European Commission that Google breached antitrust laws by giving preference to its own shopping comparison product, Google Shopping, through its popular search engine.

After a seven-year investigation into the practices, the EU executive body dealt Google a historic $2.7 billion fine. Google appealed the penalty, but in November 2021, the decision was upheld by the EU’s General Court. The verdict can still be appealed and taken to the EU’s highest court.

PriceRunner CEO Mikael Lindahl said the company launched its lawsuit following “extensive and thorough preparations.”

“We are of course seeking compensation for the damage Google has caused us during many years, but are also seeing this lawsuit as a fight for consumers who have suffered tremendously from Google’s infringement of the competition law for the past fourteen years and still today,” Lindahl said in a statement.

A Google spokesperson said the company looks forward to defending its case in court. The company made a number of changes in 2017 aimed at addressing the commission’s concerns.

“The changes we made to shopping ads back in 2017 are working successfully, generating growth and jobs for hundreds of comparison shopping services who operate more than 800 websites across Europe,” the spokesperson said in an emailed statement.

“The system is subject to intensive monitoring by the EU Commission and two sets of outside experts. PriceRunner chose not to use shopping ads on Google, so may not have seen the same successes that others have.”

PriceRunner alleges Google has not complied with the commission’s ruling and is still abusing its dominant position among internet search engines. It expects the final damages to be “significantly higher” than the interim sum of 2.1 billion euros.

The company, which in November agreed to be taken over by Swedish fintech firm Klarna, wants Google to pay compensation for profits it lost in the U.K. since 2008, and in Sweden and Denmark from 2013 onward.

Klarna spokeswoman Aoife Houlihan said the company was “aware and supportive of this suit.”

“It is fundamental that all tech companies no matter where they operate, compete on the basis of their own merit with the best product and service and then gain consumers’ trust,” Houlihan told CNBC.

“European consumers have been denied real choice in shopping services for many years and this is one step to ensuring this ends now.”

PriceRunner says it’s the largest independent price comparison service in the Nordic region, with over 3.7 million products to select from 22,500 stores across 25 different countries.