Microsoft: Chinese Hackers Breached US Govt Email Accounts

FILE PHOTO: Microsoft logo is seen on a smartphone placed on displayed Activision Blizzard logo in this illustration taken January 18, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Microsoft logo is seen on a smartphone placed on displayed Activision Blizzard logo in this illustration taken January 18, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
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Microsoft: Chinese Hackers Breached US Govt Email Accounts

FILE PHOTO: Microsoft logo is seen on a smartphone placed on displayed Activision Blizzard logo in this illustration taken January 18, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: Microsoft logo is seen on a smartphone placed on displayed Activision Blizzard logo in this illustration taken January 18, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

Chinese-based hackers seeking intelligence information breached the email accounts of a number of US government agencies, computer giant Microsoft said.

"The threat actor Microsoft links to this incident is an adversary based in China that Microsoft calls Storm-0558," the company said in a blog post late Tuesday.

Microsoft said Storm-0558 gained access to email accounts at approximately 25 organizations including government agencies, AFP said.

Microsoft did not identify the targets but a US State Department spokesperson said the department had "detected anomalous activity" and had taken "immediate steps to secure our systems."

"As a matter of cybersecurity policy, we do not discuss details of our response and the incident remains under investigation," the spokesperson said.

According to The Washington Post, the breached email accounts were unclassified and "Pentagon, intelligence community and military email accounts did not appear to be affected."

But the paper reported Wednesday evening, quoting US officials, that State Department email accounts and that of Commerce Secretary Gina Raimondo were hacked. Raimondo's agency has angered China by imposing tough export controls on Chinese technologies.

CNN, citing sources familiar with the investigation, said the Chinese hackers targeted a small number of federal agencies and the email accounts of specific officials at each agency.

In the blog post, Charlie Bell, a Microsoft executive vice president, said "we assess this adversary is focused on espionage, such as gaining access to email systems for intelligence collection.

"This type of espionage-motivated adversary seeks to abuse credentials and gain access to data residing in sensitive systems," Bell said.

US National Security Adviser Jake Sullivan addressed the hack in an appearance on Wednesday on ABC's Good Morning America, and said it had been detected "fairly rapidly."

"We were able to prevent further breaches," Sullivan said.

"The matter is still being investigated, so I have to leave it there because we're gathering further information in consultation with Microsoft and we will continue to apprise the public as we learn more," Sullivan said.

Espionage and data theft
Microsoft said Storm-0558 "primarily targets government agencies in Western Europe and focuses on espionage, data theft, and credential access."

The Redmond, Washington-based company said it had launched an investigation into "anomalous mail activity" on June 16.

"Over the next few weeks, our investigation revealed that beginning on May 15, 2023, Storm-0558 gained access to email accounts affecting approximately 25 organizations including government agencies as well as related consumer accounts.

"They did this by using forged authentication tokens to access user email using an acquired Microsoft account consumer signing key," the company said. "Microsoft has completed mitigation of this attack for all customers."

US Senator Mark Warner, chairman of the Senate Select Committee on Intelligence, said the panel is "closely monitoring what appears to be a significant cybersecurity breach by Chinese intelligence."

"It's clear that the PRC is steadily improving its cyber collection capabilities directed against the US and our allies," Warner said in a statement.

Disclosure of the Chinese hacking comes on the heels of trips to China by US Secretary of State Antony Blinken and Treasury Secretary Janet Yellen and the shooting down by the United States of a Chinese surveillance balloon.

In May, Microsoft said state-sponsored Chinese hackers called "Volt Typhoon" had infiltrated critical US infrastructure networks.

Microsoft highlighted Guam, a US territory in the Pacific Ocean with a vital military outpost, as one of the targets in that attack, but said "malicious" activity had also been detected elsewhere in the United States.

"Microsoft assesses with moderate confidence that this Volt Typhoon campaign is pursuing development of capabilities that could disrupt critical communications infrastructure between the United States and Asia region during future crises," the company said at the time.

Microsoft's May statement coincided with an advisory released by US, Australian, Canadian, New Zealand and British authorities warning that the hacking was likely occurring globally.

China denied the allegations, describing the Microsoft report as "extremely unprofessional" and "scissors-and-paste work."

"It is clear that this is a collective disinformation campaign of the Five Eyes coalition countries, initiated by the US for its geopolitical purposes," foreign ministry spokeswoman Mao Ning said, referring to the security alliance of the United States and its Western allies that wrote the report.



Kia to Sell Lower-priced Electric Vehicle in US

A KIA logo on an electric vehicle is seen on display at the Canadian International AutoShow in Toronto, Ontario, Canada, February 13, 2025. REUTERS/Carlos Osorio
A KIA logo on an electric vehicle is seen on display at the Canadian International AutoShow in Toronto, Ontario, Canada, February 13, 2025. REUTERS/Carlos Osorio
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Kia to Sell Lower-priced Electric Vehicle in US

A KIA logo on an electric vehicle is seen on display at the Canadian International AutoShow in Toronto, Ontario, Canada, February 13, 2025. REUTERS/Carlos Osorio
A KIA logo on an electric vehicle is seen on display at the Canadian International AutoShow in Toronto, Ontario, Canada, February 13, 2025. REUTERS/Carlos Osorio

Kia said Wednesday it will begin selling a lower-priced electric vehicle in the United States later this year as automakers work to recharge EV sales.

The Korean automaker said at the New York Auto Show it will offer the EV3 in the US market starting later this year, Reuters reported.

Automakers are facing a tougher EV market in the United States after Congress repealed the $7,500 EV tax credit last year but higher gasoline prices in recent weeks has prompted new interest in the EVs.


Passengers Stranded in Moving Traffic after Robotaxi Outage in China

This file photo taken on August 1, 2024 shows a general view of a driverless robotaxi autonomous vehicle developed as part of tech giant Baidu's Apollo Go self-driving project, in Wuhan, in central China's Hubei province. (Photo by PEDRO PARDO / AFP)
This file photo taken on August 1, 2024 shows a general view of a driverless robotaxi autonomous vehicle developed as part of tech giant Baidu's Apollo Go self-driving project, in Wuhan, in central China's Hubei province. (Photo by PEDRO PARDO / AFP)
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Passengers Stranded in Moving Traffic after Robotaxi Outage in China

This file photo taken on August 1, 2024 shows a general view of a driverless robotaxi autonomous vehicle developed as part of tech giant Baidu's Apollo Go self-driving project, in Wuhan, in central China's Hubei province. (Photo by PEDRO PARDO / AFP)
This file photo taken on August 1, 2024 shows a general view of a driverless robotaxi autonomous vehicle developed as part of tech giant Baidu's Apollo Go self-driving project, in Wuhan, in central China's Hubei province. (Photo by PEDRO PARDO / AFP)

Some robotaxi passengers were left stranded in the middle of fast-moving traffic in a major Chinese city after their driverless vehicles stopped running, according to police and media reports on Wednesday.

A preliminary investigation indicates more than 100 robotaxis came to a halt because of a “system malfunction,” police in the city of Wuhan said in a statement, without elaborating. No injuries were reported.

One passenger told Chinese media that their robotaxi stopped after turning a corner. An instruction on a screen read: “Driving system malfunction. Staff are expected to arrive in 5 minutes.” After no one showed up, the passenger pushed an SOS button and was told that staff were on their way. The car door could be opened, so the passenger got out on their own.

It is the first time a mass shutdown of robotaxis has been reported in China, The Associated Press said. In December, many of Waymo’s self-driving cars came to a stop in San Francisco because of a power outage.

The taxis in Wuhan are operated by Baidu, a major Chinese internet and AI company that is expanding its Apollo Go robotaxi business to overseas locations in Europe and the Mideast.

Baidu did not have any immediate comment.

Police said reports that taxis were coming to a halt started coming in around 9 p.m., while media reports said multiple people were rescued.

While some passengers were able to exit their taxis on their own, others were afraid to get out because their vehicle had stopped in the middle lane of a ring road with other vehicles passing on both sides, the reports said. Ring roads are elevated roads without traffic lights designed to move traffic quickly in urban areas.

Baidu operates hundreds of robotaxis in Wuhan, which hosted an early pilot project for the company.


Microsoft Reportedly on Track to Invest $5.5 Billion in Singapore by 2029

FILE PHOTO: A Microsoft logo is seen next to a cloud in Los Angeles, California, US June 14, 2016. REUTERS/Lucy Nicholson/File Photo
FILE PHOTO: A Microsoft logo is seen next to a cloud in Los Angeles, California, US June 14, 2016. REUTERS/Lucy Nicholson/File Photo
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Microsoft Reportedly on Track to Invest $5.5 Billion in Singapore by 2029

FILE PHOTO: A Microsoft logo is seen next to a cloud in Los Angeles, California, US June 14, 2016. REUTERS/Lucy Nicholson/File Photo
FILE PHOTO: A Microsoft logo is seen next to a cloud in Los Angeles, California, US June 14, 2016. REUTERS/Lucy Nicholson/File Photo

Microsoft is on track to invest $5.5 billion in cloud and artificial ⁠intelligence infrastructure in Singapore ⁠through 2029, the ⁠Wall Street Journal reported on Wednesday.

Microsoft did not immediately respond to a ⁠Reuters request for ⁠comment.

The Thai government ⁠said in a statement on Tuesday that Microsoft plans to invest $1 billion in Thailand over the next two years in cloud services and AI infrastructure.

The investment includes developing digital ⁠skills of the Thai workforce, the statement said.

The announcement follows a number of data center investments to support AI, as Southeast ⁠Asia's ⁠second-largest economy looks to speed up projects involving data centers, electronics, and power generation.