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.



Cards to Consoles: Nintendo Opens First Museum

(FILES) This photo taken on September 24, 2024 shows large console-shaped pillows in the gift shop during a media preview of the new Nintendo Museum, located inside a renovated old factory, in the suburbs of Kyoto. (Photo by Richard A. Brooks / AFP)
(FILES) This photo taken on September 24, 2024 shows large console-shaped pillows in the gift shop during a media preview of the new Nintendo Museum, located inside a renovated old factory, in the suburbs of Kyoto. (Photo by Richard A. Brooks / AFP)
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Cards to Consoles: Nintendo Opens First Museum

(FILES) This photo taken on September 24, 2024 shows large console-shaped pillows in the gift shop during a media preview of the new Nintendo Museum, located inside a renovated old factory, in the suburbs of Kyoto. (Photo by Richard A. Brooks / AFP)
(FILES) This photo taken on September 24, 2024 shows large console-shaped pillows in the gift shop during a media preview of the new Nintendo Museum, located inside a renovated old factory, in the suburbs of Kyoto. (Photo by Richard A. Brooks / AFP)

Nintendo opened its first museum on Wednesday in a renovated factory in Kyoto, showcasing the long history of the Japanese video game giant from playing cards to "Super Mario.”

The company began life in 1889 producing Japanese playing cards called "hanafuda" as well as Western-style ones. Nintendo launched its first home video-game machines in 1977.

Many exhibits at the museum in Kyoto's Uji city are interactive -- including an area where two people can play Mario and Donkey Kong games together on a giant console.

Other zones focus on Nintendo's vintage products. For example, there is a digital version of an ancient Japanese poetry game, and a workshop for fans to create their own hanafuda cards.

Tickets, priced at 3,300 yen ($22.60) for adults and less for children, are already sold out for October and November, AFP reported.

"Visitors can learn about Nintendo's commitment to manufacturing that places importance on play and originality," Shigeru Miyamoto, the renowned creator of "Super Mario" and other games said in a video in August.

The "Super Mario" games were launched in 1985, two years after the company began selling its classic Nintendo Entertainment System (NES) console.

The museum is part of efforts by Nintendo to broaden its brand exposure, including with a smash-hit animated movie last year featuring the Italian plumber and his colorful crew.

The company has also built a "Super Nintendo World" zone at the Universal Studios Japan theme park, featuring a Mario Kart ride with a real-life Bowser's Castle.

A similar area is set to open at the park's huge Orlando location next year.

Nintendo first announced plans for the museum in 2021.

Kensaku Namera, an analyst at Nomura Securities, told AFP that the museum fits into Nintendo's strategy as a place where "people can interact" with its gaming franchises.

Repurposing an old factory built in 1969, which was once used by Nintendo for producing playing cards and later repairing consoles, is also a canny move, he said.

"It's an effective reuse of assets" by Nintendo, Namera said.