The Wiretap: Trump's $1 Billion Offensive Cyber Budget
The U.S. president is keen to up the country's game when it comes to hacking other nations, and a recent bill signed by Donald Trump has allocated a whopping $1 billion for "offensive cyber operations". This provision is alongside a further $250 million "for the expansion of Cyber Command artificial intelligence lines of effort". The potential for defense contractors to capitalize on this spending wave is vast, with established players like Booz Allen Hamilton and Raytheon already salivating at the prospect. AI companies are also expected to be eager participants, given the recent announcement that major providers such as Anthropic, OpenAI, and Elon Musk's xAI have all secured contracts worth up to $200 million.
However, not everyone is supportive of this new approach. Senator Ron Wyden has expressed concerns about the risks of vastly expanding U.S. government hacking. In a statement to TechCrunch, he warned that "vastly expanding U.S. government hacking is going to invite retaliation — not just against federal agencies, but also rural hospitals, local governments and private companies who don't stand a chance against nation-state hackers." He has also highlighted concerns about cyber defense, citing the recent layoffs of at least 130 employees in the Cybersecurity and Infrastructure Security Agency (CISA) division since Trump took office.
The impact of these cuts is already being felt. With fewer personnel to defend against cyber threats, the U.S. may be leaving itself vulnerable to attacks from countries like China, Russia, and Iran. The lack of funding for CISA has raised questions about whether the country can effectively counter the growing threat of state-sponsored hacking.
U.K. Law Enforcement Crack Down on Cyberattacks
In a separate development, U.K. law enforcement has arrested four individuals in connection with cyberattacks targeting some of the country's biggest retailers, including Marks & Spencer and Harrods. The alleged members of the group, known as Scattered Spider, are believed to have been responsible for targeting countries across the world, most recently hitting airlines and insurance companies.
The group is thought to consist of a 17-year-old, two 19-year-olds, and a 20-year-old, who were arrested in the West Midlands and London on suspicion of Computer Misuse Act offenses, blackmail, money laundering, and participating in the activities of an organized crime group.
International Cyber Threats
The U.S. has also made another arrest in connection with cyberattacks targeting COVID-19 research systems. A 33-year-old Chinese national was apprehended in Milan, Italy, as he exited a plane from China. He is accused of working on behalf of Beijing to steal sensitive information and conduct other malicious activities.
Meanwhile, a British official has accidentally leaked data on thousands of Afghans who were secretly given the right to live in the U.K. The leak, which was kept secret for over three years due to a government-obtained superinjunction, highlights the potential risks of sensitive information being mishandled.
Security Updates and Breaches
In other news, Android security has taken a hit with zero security updates in July, according to reporter Catalin Cimpanu. This is a rare occurrence, as there were typically security updates released each month for the past six years. The lack of updates raises questions about whether vulnerabilities have been fixed or left unaddressed.
Medical billing giant Episource has also revealed that as many as 5.4 million Americans had their health information stolen in a cyberattack. This is one of the biggest breaches of the year to date, according to TechCrunch reports.