China is reportedly hacking computer motherboards. The economic fallout could be huge.

Author(s): 
Publication Type: 
Other Writing
Publication Date: 
October 4, 2018

Bloomberg has just published an explosive article claiming that a secret unit in the Chinese military has compromised the motherboards (the systems of chips and electronics that allow computers to work) of servers used by Apple, a bank and various government contractors.

According to Bloomberg, China’s exploit was discovered when Amazon did due diligence on a company that it was acquiring, which used servers with the compromised motherboards. Both Apple and Amazon have issued statements denying the Bloomberg claims. Bloomberg seems confident that it’s correct, saying it has multiple sources inside Amazon and the intelligence community. (Amazon chief executive Jeffrey P. Bezos owns The Washington Post.) The Department of Homeland Security has issued a statement saying that it sees no reason to doubt Amazon’s and Apple’s reports. According to reporter Eric Geller, the National Security Agency’s Senior Adviser for National Security Strategy has indicated that he is ‘befuddled’ by the story, and has seen no evidence to support it.

Read the full piece at The Washington Post.