Europe gets new cybersecurity support from Microsoft

Microsoft has launched a free cybersecurity initiative for European governments aimed at countering increasingly sophisticated cyber threats powered by AI. Company President Brad Smith said Europe would benefit from tools already developed and deployed in the US.

The programme is designed to identify and disrupt AI-driven threats, including deepfakes and disinformation campaigns, which have previously been used to target elections and undermine public trust.

Smith acknowledged that AI is a double-edged sword, with malicious actors exploiting it for attacks, while defenders increasingly use it to stay ahead. Microsoft continues to monitor how its AI products are used, blocking known cybercriminals and working to ensure AI serves as a stronger shield than weapon.

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China accuses Taiwan of cyber attacks and offers a bounty

Authorities in Guangzhou have placed a secret bounty on more than 20 individuals suspected of launching cyber attacks on Chinese targets, according to state news agency Xinhua.

One named suspect, Ning Enwei, is reportedly linked to Taiwan’s government. While the size of the reward remains undisclosed, officials claim the accused hackers targeted sectors including defence, aerospace, energy, and science—alongside agencies in Hong Kong and Macau.

Xinhua stated that Taiwan’s ‘information, communication and digital army’ has coordinated with US forces to carry out cyber and cognitive warfare against China.

These accusations form part of a broader Chinese narrative suggesting Taiwan is seeking independence through foreign alliances, particularly with US intelligence agencies. State media also claimed the US has trained Taiwanese personnel and helped orchestrate cyber attacks on the mainland.

In response, a senior Taiwanese security official, speaking anonymously, dismissed the claims as fabricated. The official argued that Beijing is attempting to deflect criticism following allegations of Chinese cyber activities in Europe, especially in the Czech Republic.

‘It is typical of the Chinese Communist Party’s efforts to change the narrative,’ the official said, branding Beijing an international cyber threat instead of a victim.

Taiwan’s government has yet to issue an official statement.

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Salt Typhoon and Silk Typhoon reveal weaknesses

Recent revelations about Salt Typhoon and Silk Typhoon have exposed severe weaknesses in how organisations secure their networks.

These state-affiliated hacking groups have demonstrated that modern cyber threats come from well-resourced and coordinated actors instead of isolated individuals.

Salt Typhoon, responsible for one of the largest cyber intrusions into US infrastructure, exploited cloud network vulnerabilities targeting telecom giants like AT&T and Verizon, forcing companies to reassess their reliance on traditional private circuits.

Many firms continue to believe private circuits offer better protection simply because they are off the public internet. Some even add MACsec encryption for extra defence. However, MACsec’s ‘hop-by-hop’ design introduces new risks—data is repeatedly decrypted and re-encrypted at each routing point.

Every one of these hops becomes a possible target for attackers, who can intercept, manipulate, or exfiltrate data without detection, especially when third-party infrastructure is involved.

Beyond its security limitations, MACsec presents high operational complexity and cost, making it unsuitable for today’s cloud-first environments. In contrast, solutions like Internet Protocol Security (IPSec) offer simpler, end-to-end encryption.

Although not perfect in cloud settings, IPSec can be enhanced through parallel connections or expert guidance. The Cybersecurity and Infrastructure Security Agency (CISA) urges organisations to prioritise complete encryption of all data in transit, regardless of the underlying network.

Silk Typhoon has further amplified concerns by exploiting privileged credentials and cloud APIs to infiltrate both on-premise and cloud systems. These actors use covert networks to maintain long-term access while remaining hidden.

As threats evolve, companies must adopt Zero Trust principles, strengthen identity controls, and closely monitor their cloud environments instead of relying on outdated security models.

Collaborating with cloud security experts can help shut down exposure risks and protect sensitive data from sophisticated and persistent threats.

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Customer data stolen in cyber attacks on Cartier and North Face

Fashion brand The North Face and luxury jeweller Cartier have confirmed recent cyber attacks that exposed customer data, including names and email addresses.

Neither company reported breaches of financial or password information.

North Face identified the attack as a credential stuffing attempt, where previously stolen passwords are used to break into other accounts.

Affected customers are being advised to change their login details, while the company’s owner, VF Corporation, continues recovering from an earlier incident.

Cartier said the breach allowed brief access to limited client data but insisted that it quickly secured its systems.

Retailers such as Adidas, Victoria’s Secret, Harrods, and M&S have all been hit in recent months, prompting warnings that the industry remains an attractive target for cyber criminals.

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Microsoft takes down massive Lumma malware network

Microsoft has dismantled a major cybercrime operation centred around the Lumma Stealer malware, which had infected over 394,000 Windows devices globally.

In partnership with global law enforcement and industry partners, Microsoft seized more than 1,300 domains linked to the malware.

The malware was known for stealing sensitive data such as login credentials, bank details and cryptocurrency information, making it a go-to tool for cybercriminals since 2022.

The takedown followed a court order from a US federal court and included help from the US Department of Justice, Europol, and Japan’s cybercrime unit.

Microsoft’s Digital Crimes Unit also received assistance from firms like Cloudflare and Bitsight to disrupt the infrastructure that supported Lumma’s Malware-as-a-Service network.

The operation is being hailed as a significant win against a sophisticated threat that had evolved to target Windows and Mac users. Security experts urge users to adopt strong cyber hygiene, including antivirus software, two-factor authentication, and password managers.

Microsoft’s action is part of a broader effort to tackle infostealers, which have fuelled a surge in data breaches and identity theft worldwide.

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China creates AI to detect real nuclear warheads

Chinese scientists have created the world’s first AI-based system capable of identifying real nuclear warheads from decoys, marking a significant step in arms control verification.

The breakthrough, developed by the China Institute of Atomic Energy (CIAE), could strengthen Beijing’s hand in stalled disarmament talks, although it also raises difficult questions about AI’s growing role in managing weapons of mass destruction.

The technology builds on a long-standing US–China proposal but faced key obstacles: how to train AI using sensitive nuclear data, gain military approval without risking secret leaks, and persuade sceptical nations like the US to move past Cold War-era inspection methods.

So far, only the AI training has been completed, with the rest of the process still pending international acceptance.

The AI system uses deep learning and cryptographic protocols to analyse scrambled radiation signals from warheads behind a polythene wall, ensuring the weapons’ internal designs remain hidden.

The machine can verify a warhead’s chain-reaction potential without accessing classified details. According to CIAE, repeated randomised tests reduce the chance of deception to nearly zero.

While both China and the US have pledged not to let AI control nuclear launch decisions, the new system underlines AI’s expanding role in national defence.

Beijing insists the AI can be jointly trained and sealed before use to ensure transparency, but sceptics remain wary of trust, backdoor access and growing militarisation of AI.

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NATO weighs inclusion of cybersecurity in new 5% defense spending target

NATO is discussing proposals to broaden the scope of defence-related expenditures to help member states meet a proposed spending target of 5% of GDP. According to Bloomberg, the target includes 3.5% for traditional defence spending and 1.5% for related activities.

The 1.5% portion may include cybersecurity, protection of critical infrastructure, border and coastal security, space-related initiatives, and the work of non-defence intelligence agencies. Some member states are also advocating for the inclusion of counter-terrorism efforts and dual-use infrastructure, pending agreement among the alliance.

The proposals are currently under negotiation and are expected to be discussed further by NATO’s policy and planning committee. These discussions will inform a framework to be considered at the alliance’s summit in June.

A final decision on the classification of eligible expenditures has not yet been made, according to the reports, and remains subject to consensus among member states. NATO has not responded publicly to inquiries regarding the ongoing negotiations.

The 5% figure was originally proposed by former US President Donald Trump and was initially viewed as an ambitious benchmark. Recent reporting suggests, however, that a growing number of member states now recognise the need for increased defence investments. As of April, 23 out of 32 NATO members had met the current 2% defence spending guideline, with all expected to do so by the summer.

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UK to establish cyber and electromagnetic command to enhance warfare capabilities

The United Kingdom has announced plans to establish a new military formation, the Cyber and Electromagnetic Command, aimed at strengthening its digital and electronic warfare capabilities. The new command will fall under Strategic Command, which already oversees the Ministry of Defence’s offensive and defensive cyber operations and works in coordination with the National Cyber Force.

According to the Ministry of Defence, the formation will be responsible for leading defensive cyber operations, coordinating offensive cyber capabilities, and integrating electromagnetic warfare expertise across the Armed Forces. Rather than creating entirely new capabilities, the command will reorganise existing structures to improve coordination and operational effectiveness.

The announcement comes ahead of the government’s Strategic Defence Review, due to be published on 2 June. The review will set out priorities for defence spending and assess the threats facing the UK, the capabilities required to address them, the condition of the Armed Forces, and the resources available. It is expected to highlight the growing impact of daily cyber attacks on national security and the economy.

To support the new command, the Ministry has introduced an accelerated recruitment route for cyber specialists. This new pathway, announced in February, shortens basic training from ten weeks to four, followed by a three-month programme focused on military cyber skills.

Recruitment and retention remain a key challenge. General Sir Jim Hockenhull, Commander of Strategic Command, previously noted that the competition for digital talent is particularly intense, stating that the UK is currently at a disadvantage in this area. Lieutenant General Tom Copinger-Symes, Deputy Commander of Strategic Command, also highlighted the skills shortage as a more immediate concern than funding.

The review describes the Cyber and Electromagnetic Command as a formation that will consolidate expertise in electromagnetic operations, such as degrading command and control systems, jamming signals to drones or missiles, and intercepting adversary communications. The intention is to ensure these capabilities are available at the right time and place to support integrated military operations.

Hockenhull has also pointed out that the UK’s focus on operations in Iraq and Afghanistan over the past two decades led to a reduced emphasis on electromagnetic capabilities, except in limited areas. He noted that the conflict in Ukraine has demonstrated the importance of integrating cyber and electromagnetic tools with conventional military operations.

In 2024, both Ukraine and Russia have announced plans to establish a new branch within the country’s armed forces specialising in drone warfare and the use of unmanned aerial vehicles (UAVs).

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Japan to develop new cybersecurity strategy and measures

The Japanese government is preparing to develop a new cybersecurity strategy within the year, aiming to address growing digital threats targeting both public institutions and private enterprises. As part of the forthcoming strategy, the government plans to transition its internal communications systems from public-key cryptography to post-quantum cryptography, which is considered more resilient against potential cyberattacks enabled by quantum computing technologies.

In a recent development, Defence Minister Gen Nakatani met with Lithuanian Defence Minister Dovile Šakalienė in Tokyo, where both sides agreed to strengthen bilateral cooperation on cybersecurity. A Japanese Ministry of Defence expert will be sent to Lithuania in June to engage with local specialists, who are recognised for their expertise in managing persistent cyber threats, particularly those attributed to Russian state-linked actors.

The agreement follows an earlier announcement that Japan intends to expand its pool of specialist cybersecurity personnel from the current 24,000 to at least 50,000 by 2030. The target was introduced in response to a Ministry of Economy, Trade and Industry (METI) panel recommendation that the country needs approximately 110,000 skilled cybersecurity professionals to meet growing demand.

Under new regulatory measures due to take effect in 2026, the government will also begin inspecting the cybersecurity practices of private companies. Firms failing to meet the established standards may risk losing access to state subsidies.

Earlier this year, the parliament passed a new law enabling active cyberdefence measures, allowing authorities to legally monitor communications data during peacetime and neutralise foreign servers if cyberattacks occur.

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Chinese state-linked hackers use Google Calendar to steal data

In a report published this week, analysts at Google have uncovered a campaign in which a China-linked group known as APT41 targeted government ministries and other organisations.

Victims received spearphishing emails directing them to a ZIP file hosted on a compromised official website. Inside, a PDF and some insect images were designed to tempt users into clicking.

Opening the PDF quietly installed a programme called ToughProgress, which runs entirely in a device’s memory to evade antivirus checks. Once active, the malware stole sensitive files and prepared them for exfiltration.

Google Calendar became the hackers’ secret communication channel. An event dated 30 May 2023 carried encrypted data stolen from victims in its description.

Further entries in July contained new instructions. ToughProgress regularly checked the attacker-controlled calendar, decrypted any commands and uploaded its results back as new calendar events.

APT41 is one of China’s most active state-linked cyber groups. US authorities charged five members in 2020 with over a hundred intrusions worldwide and issued arrest warrants for operatives including Zhang Haoran and Tan Dailin.

Earlier investigations tie the group to long-running breaches of Southeast Asian government agencies and a Taiwanese research institute working on strategic technology.

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