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Thursday, 14th January 2010

Google poses Obama a problem

John Stokes 7:14pm

Google’s decision to publicly confront the Chinese government over cyber attacks that have been hitting Google customers for the past year or so poses a difficult challenge for the Obama administration. The threat by Google to shut down its operations in China over the attacks is the first public acknowledgement by a major US corporation of the attacks which the US intelligence community has known about for almost a decade.

The facts are that China has been waging a cyber war against the US government and companies that involve literally millions of attacks each day. Every major US corporation operating in China has been targeted, as have universities, research laboratories and other American companies that have intellectual property worth stealing. The US estimates that $50 billion in corporate secrets are stolen each year and that unknown quantities of government and national security networks have been penetrated.

US intelligence has set up the largest counter cyber espionage effort in American history – codenamed Byzantine Foothold and Byzantine Hades - to try to counter the attacks, so far without success.

Until now, these efforts have been hidden behind the scenes and the extent to which US security has been compromised has never been disclosed. However, now that Google has decided to go public, the government is faced with a choice: take on the Beijing regime and stand with its own Fortune 100 companies, all of whom are victims of Chinese cyber espionage, or ignore the problem and pretend it isn’t happening.

President Obama made cyber security one of the pillars of his election campaign and he promised to take aggressive action. Since then, nothing significant has happened and US intelligence continues to flounder. Last month, after more than a year of indecision, the administration appointed Howard Schmidt to be the White House cyber security czar.

While the appointment itself is welcome, it came only after all the qualified candidates turned the job down, in part because they were not convinced that Obama is really serious about tackling the problem. Schmidt had the same job in the administration of George W Bush and was seen as completely ineffectual and a lightweight who both the political appointees and the bureaucracy completely marginalised.

After leaving the White House, he went to head up cyber security at eBay where has lasted only a short time before moving on. His reputation in Silicon Valley is that of a sergeant being given a general’s job and he will have little success joining Google in leading the charge against China.
 

Filed under: Barack Obama (257 more articles) , China (110 more articles) , Security (41 more articles) , UK politics (5405 more articles)

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Comments Post comment

stephen

January 14th, 2010 8:16pm Report this comment

Another US Foreign Policy Cockup in the offing?

DavidDP

January 14th, 2010 9:26pm Report this comment

Yes, if you ignore the fact that Google approached the US government before going ahead with this.

Unixman

January 14th, 2010 9:33pm Report this comment

We are mad: I wouldn't trust China from a security perspective further than I can throw them and yet we purchase key infrastructure products (hacking which would bring down out telecoms networks) from a company that has clear links with the PLA: http://www.theregister.co.uk/2009/03/30/huawei_threat/

Hawkeye

January 14th, 2010 9:33pm Report this comment

"The US estimates that $50 billion in corporate secrets are stolen each year and that unknown quantities of government and national security networks have been penetrated."

Surely Gary McKinnon works for us, not the Chinese?

Seriously though - they want to put McKinnon on trial when they are being routinely penetrated and secrets stolen left, right and centre to the tune of $50bn per year?

What a travesty!

Alan

January 14th, 2010 9:39pm Report this comment

"The US estimates that $50 billion in corporate secrets are stolen each year and that unknown quantities of government and national security networks have been penetrated."

This is as much the fault of the US Government and companies who cannot secure their networks for toffee as it is the Chinese for accessing them. Let's also be careful banding about the word 'hack'. Gary McKinnon has found out the hard way that accessing an unsecured network is apparently the same as breaking into it.

Snowman

January 14th, 2010 11:29pm Report this comment

Let's face it, boys, the future belongs to China. Google and Obama cannot do without them.

Major Plonquer

January 14th, 2010 11:45pm Report this comment

Are you seriously trying to tell me the US (or UK) government doesn't use cyber-methods to penetrate email systems? They don't read the emails of suspected Islamic terrorists?

If our security services don't engage in this type of snooping they should be fired. And if they do engage in this kind of snooping then Google should quit the US and UK on exactly the same matter of principle that caused them to quit China.

Will Google also quit Australia when that country introduces its own national firewall later this year? Will the US government boycott Cisco for providing China with its firewall technology?

No, no, no and no. That might actually cost them money. Principles be damned. Its money that counts.

Simonsays

January 15th, 2010 1:37am Report this comment

So how did the Chinese go from zero to catching up with western technology in just a few years? Purely bt industrial espionage. Every chinese student sent to the west was ordered to copy everything they could. At universities they called the photocopier 'the Chinese Take-Away'.

Austin Barry

January 15th, 2010 7:17am Report this comment

"President Obama made cyber security one of the pillars of his election campaign and he promised to take aggressive action. Since then, nothing significant has happened..."

That's our man..

Austin Barry

January 15th, 2010 7:28am Report this comment

I'm on the horns of a dilemma.

In anticipation of being ruled by the Chinese do I learn Mandarin and how to noisily hawk great gobs of phlegm everywhere, or do I anticipate the Caliphate by becoming circumcised and hiding Mrs Barry in a Burka?

Our hopeless Government should provide some guidance, although it seems to be favouring the Caliphate option. As-salam alaykum!

Olaf

January 15th, 2010 9:02am Report this comment

Of course the Chinese are attacking UK establishments too.

Norman Dee

January 15th, 2010 9:37am Report this comment

the truly chilling thought is that when we become a caliphate, or a minor outpost of the Chinese empire, what has happened to us will never happen to them because they will kill the freedoms that have enabled them to strip out our hundreds of years of development, and if you don't believe it is already happening, then look at the suspension of laws that have already taken place. Muslims can already do and say pretty much anything they want here, and when the Chinese premier visits all normal freedom of speech and assembly laws are immediately suspended to protect him from the criticism he needs but has no interest in.

T .England

January 15th, 2010 1:29pm Report this comment

I wonder if Microsoft & Yahoo are going to follow suit?
http://news.cnet.com/8301-13860_3-10433609-56.html

David Preiser

January 15th, 2010 3:57pm Report this comment

All this foreign policy is just an annoyance for President Obamessiah. It's glaringly obvious that He never really cared about that stuff, never thought about it too deeply. The concerns of our Community Organizer in Chief have always been purely domestic economic power politics.

Jennifer Hickson

October 6th, 2010 4:56pm Report this comment

America needs to get onboard with forward thinking leaders if our country plans to compete in the growing globalization market. Yes, the Internet has a lot of useless information; however, it can be powerful teaching tool and a source of liberation for many. Let’s remember, the point here is Technology and how it can be used to our advantage for the sharing and dissemination of information.

From the Local, State, and Federal level Government has always had some sort of disconnect with the people. We are the people and maybe it’s time for a different approach. I’m not advocating that Google & Obama have a monopoly for personal gains, but it would be great having access to what’s important to me 24/7. For example, true real-time feedback using secure online voting systems; remote monitoring of assisted living communities to prevent elder abuse; electronic mortgage applications to reduce the amount of wasted paper; discounted or free online learning courses for rural communities; etc. Regards, Jennifer from android development

David Bowie

March 17th, 2011 7:18am Report this comment

It appears that the position China has taken is that they expect other countries to completely abide by Chinese law , but they feel no obligation to abide by and respect the laws of other countries,China’s constant theft of intellectual property and disregard for the internet laws of other countries has been out of control for a very long time. China seems to overlook the issue as if it is no big deal. Regards, David from Android Development.

jimmy92

April 16th, 2011 3:45pm Report this comment

So, significant political pressure is building on Obama, who will likely be blamed by pundits on either side for any outcome unfavorable to American interests -- despite limited US leverage in the crisis.
Regards.
gary corbett

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