From China, With Sprinkles

Gee, you’d think there’s be some type of common sense rule about not buying critical electronic components for your military hardware from your enemy, but I guess not.

Fake electronics becoming military danger

“Sprinkling” sounds like a fairly harmless practice, but in the hands of sophisticated counterfeiters it could deceive a major weapons manufacturer and possibly endanger the lives of U.S. troops.

It is a process of mixing authentic electronic parts with fake ones in hopes that the counterfeits will not be detected when companies test the components for multimillion-dollar missile systems, helicopters and aircraft. It was just one of the brazen steps described Tuesday at a Senate Armed Services Committee hearing examining the national security and economic implications of suspect counterfeit electronics — mostly from China — inundating the Defense Department’s supply chain.

See also:
U.S. defense equipment has been outfitted with counterfeit parts from China
Senate Homes in on China’s Role in Counterfeit Parts Entering DOD’s Supply Chain
Senators to Take on Counterfeit Electronic Parts in DOD
US Senators Demand China Crack Down on Suppliers of Fake Military Parts
Officials: Fake weapons parts ‘ticking time bomb’
Officials: Fake weapons parts ‘ticking time bomb’
Opening Statement at SASC Hearing on Counterfeit Electronic Parts in DOD Supply Chain
Fake Chinese weapons costs US millions
Lawmakers says counterfeits flood Pentagon supply
Chinese counterfeit parts found in U.S. weapons
Officials: Fake weapon parts hit Pentagon supplies
Lawmakers describe counterfeit electronic parts flooding into military’s supply chain
Probe traces bogus military parts to China
Report: US military supply chain riddled with shanzhai parts from China
China rejects U.S. charges of bogus weapons parts

It’s bad enough that China steals our intellectual property at will and that we owe them over a trillion dollars, but now they’re deliberately sabotaging our military equipment with fake electronics that, upon failure, could cost the lives of our military service members?

/it’s not a hot war, but it’s not a cold war either and we seem to be losing

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Finally Fingering The Usual Suspects

I’m shocked, shocked to find that gambling is going on in here!

Intell report says China, Russia stealing US secrets

After years of suspicions and mounting evidence, the United States has formally called out China and Russia on cyber espionage, accusing the countries of stealing U.S. economic and technology secrets. China quickly denied the accusation.

In a report, “Foreign Spies Stealing U.S. Economic Secrets in Cyberspace,” the Office of the National Counterintelligence Executive also said U.S. allies have used online methods to help themselves to sensitive information, although the report does not name those countries. 

Read the report:
Foreign Spies Stealing U.S. Economic Secrets in Cyberspace 

See also:
In a world of cybertheft, U.S. names China, Russia as main culprits
Foreign cyber thieves stealing U.S. trade secrets, agency warns
China Singled Out for Cyberspying
US calls out Russia and China over hacking attacks
U.S. finally acknowledges Chinese and Russian cyberthreat
DNI Report on Economic Cyberespionage
US Report Cites Growing Economic Cyber Espionage
Report: Russia and China are top thieves of U.S. technology
Here’s The U.S. Government Report That Openly Calls Out China On Economic Cyberspying
US Official Singles Out China, Russia on Cyber-Spying
China, Russia top offenders in cyber stealing: US
US report blasts China, Russia for cybercrime
China hits back over US claims of online spying
China scorns U.S. cyber espionage charges

Gee, what have I been posting here for years now? It’s not like the massive, out of control Chinese and Russian cyberspying has been some sort of well kept secret. Oh well, I suppose better late than never, at least now the United States government is actually, publicly acknowledging the problem.

/and now I ask again, what are we going to do about the problem, can we please stop being the world’s cyberdoormat and speed bump on the superhighway to stolen intellectual property?

Famous Last Words

And for some bizarre, unexplained reason, Tim Geithner is still the U.S. Treasury Secretary.

Credit rating downgrade hits markets

U.S. stocks tumbled, following the biggest weekly drop in the Standard & Poor’s 500 Index since 2008, amid concern that a downgrade of the nation’s credit rating by S&P may worsen an economic slowdown.

The U.S. credit rating downgrade extended a rout that wiped out $1.94 trillion in market value from the country’s stocks. S&P lowered the U.S. long-term rating one level to AA+ after markets closed on Aug. 5 while keeping the outlook at “negative” as the company becomes less confident that Congress will end Bush-era tax cuts or tackle entitlements.

See also:
The Impact Of The S&P U.S. Credit Downgrade On Small Businesses
sting Icons Weigh In On U.S. Credit Downgrade
2ND UPDATE: Goldman Sachs: S&P’s US Downgrade May Be ‘Material And Adverse’ -Filing
U.S. Credit Downgrade Leaves ‘Horrible Impact’
Wall St. panics as Washington dawdles and the wheels come of the economy
GOP candidates slam Obama on US credit downgrade
Senate panel reviewing S&P downgrade
Was S&P downgrade an act of revenge?
Rating Agencies in Spotlight Following Downgrade

Of course, the Democrats got their talking points together and tried blaming the Tea Party.

Seriously, blaming the Tea Party is about as ridiculous as blaming the fireman for starting the fire.

/the obvious problem, to any sane observer, is that Obama and the Democrats just spend too damn much money

When Chinese RATs Attack

Oh, hey, look what China did, again. Isn’t this supposed to be an act of war now?

Massive Global Cyberattack Targeting U.S., U.N. Discovered; Experts Blame China

The world’s most extensive case of cyber-espionage, including attacks on U.S. government and U.N. computers, was revealed Wednesday by online security firm McAfee, and analysts are speculating that China is behind the attacks.

The spying was dubbed “Operation Shady RAT,” or “remote access tool” by McAfee — and it led to a massive loss of information that poses a huge economic threat, wrote vice president of threat research Dmitri Alperovitch.

. . .

Analysts told The Washington Post that the finger of blame for the infiltration of the 72 networks — 49 of them in the U.S. — points firmly in the direction of China.

See also:
Revealed: Operation Shady RAT
McAfee’s Operation Shady RAT exposes national cybersecurity lapses
McAfee discovers massive series of cyber attacks
Hacking Campaign Targets U.S. Government, Signs Point to China
Operation Shady RAT: five-year hack attack hit 14 countries
China Suspected Of Shady RAT Attacks
Q+A: Massive cyber attack dubbed “Operation Shady RAT”
Operation Shady RAT: A frightening web of global cyber-espionage
Operation Shady RAT smells like Chinese hacking
All cursors point to China in global hack attack that threatens nations
China accused of biggest ever global cyber spying attacks
Hackers Based in China Attack UN, Olympic Networks, Security Firms Report
Operation Shady RAT and the cyberhacking
APT Attackers Used Chinese-Authored Hacker Tool To Hide Their Tracks

Why did it take a private security company to uncover the largest case of cyberspying in world history and why aren’t we doing something about it?

/does China have to steal every last piece of sensitive and secret computer data we possess before we start taking this threat seriously?

Running On Empty

Actually, we’re running beyond empty now. The United States can’t legally borrow any more money until Congress acts to raise the debt ceiling.

US government hits debt ceiling, lighting 11-week fuse

Treasury Secretary Timothy Geithner informed Congress on Monday that the United States has reached its legal debt limit, setting off a ticking time bomb that could explode in less than three months if lawmakers can’t bridge differences and allow more government borrowing.

In hitting the $14.3 trillion debt ceiling – the limit on how much the government can borrow – the Obama administration on Monday began temporarily halting payments to the retirement and federal pension accounts of federal workers and started borrowing from those funds, to be restored later.

Geithner sent a letter to Senate Majority Leader Harry Reid, D-Nev., warning that the government can move money around for about 11 weeks but if a new debt ceiling isn’t agreed to by Aug. 2, the U.S. government could effectively default on its obligations to its creditors. He warned of “catastrophic economic consequences for citizens” unless Congress raises the debt ceiling.

An increase of about $2 trillion is expected, enough to get the issue past the 2012 elections before Congress would have to lift it again.

Republicans who control the House of Representatives vow to link raising the debt ceiling to cuts in government spending of at least equal measure. In a combative statement Monday, House Speaker John Boehner, R-Ohio, upped the ante.

“As I have said numerous times, there will be no debt limit increase without serious budget reforms and significant spending cuts, cuts that are greater than any increase in the debt limit.” Boehner has called previously for $2 trillion in spending cuts as part of any deal to raise the debt ceiling.

See also:
US hits $14 trillion debt limit
US Hits Debt Ceiling, But Treasury Market Rules Out Default For Now
Deja Vu, But No Disaster: U.S. Government Hits Debt Ceiling
U.S. Hits Debt Limit, Sky Doesn’t Fall
U.S. hit debt limit today
Treasury Tapping Federal Retirement Accounts to Stave Off Default
Turbo Tim Raids Pension Plans
With Debt Limit Maxed Out, Lawmakers Hold Firm On Remedy
Rep. Jordan: U.S. won’t default if debt ceiling isn’t raised
U.S. National Debt Clock

Well, we hit the debt ceiling and, despite all the Democrat Chicken Little hysteria, the Sun didn’t explode, the seas didn’t boil, and the markets didn’t plunge thousands of points. Go figure.

/all I can say is that the Republicans had better stand firm and hold their ground this time and hold out for concrete, verifiable spending cuts that at least equal the amount of any debt limit increase