FBI warns BADBOX 2.0 malware is infecting millions

The FBI has issued a warning about the resurgence of BADBOX 2.0, a dangerous form of malware infecting millions of consumer electronics globally.

Often preloaded onto low-cost smart TVs, streaming boxes, and IoT devices, primarily from China, the malware grants cyber criminals backdoor access, enabling theft, surveillance, and fraud while remaining essentially undetectable.

BADBOX 2.0 forms part of a massive botnet and can also infect devices through malicious apps and drive-by downloads, especially from unofficial Android stores.

Once activated, the malware enables a range of attacks, including click fraud, fake account creation, DDoS attacks, and the theft of one-time passwords and personal data.

Removing the malware is extremely difficult, as it typically requires flashing new firmware, an option unavailable for most of the affected devices.

Users are urged to check their hardware against a published list of compromised models and to avoid sideloading apps or purchasing unverified connected tech.

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DW Weekly #215 – Japan is boosting its cyberdefence, NATO shifts digital priorities, EU’s International Digital Strategy

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30 May – 6 June 2025


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Dear readers,

Amid heightened cybersecurity tensions in East Asia, exemplified by China’s recent accusations against Taiwan for alleged cyberattacks and bounty offers targeting Taiwanese hackers, Japan is taking proactive steps to strengthen its cyberdefence capabilities. In May, the Japanese parliament approved a cyberdefence law, empowering authorities to monitor international communications through domestic infrastructure and neutralise overseas servers preemptively if they’re suspected of initiating cyberattacks. To complement these legislative measures, Japan is also formulating a comprehensive new cybersecurity strategy by the end of 2025, which will prioritise advanced encryption, proactive threat detection, and enhanced resilience of critical national infrastructure.

Cybersecurity policy strengthening is frequent these days, not only in Asia but also across the EU, as the UK and NATO bring important shifts in their cyberdefence strategies. The UK Ministry of Defence recently announced the establishment of a new Cyber and Electromagnetic Command aimed at integrating defensive cyber operations with offensive cyber and electronic warfare capabilities. Concurrently, NATO is considering formally incorporating cybersecurity into its defence spending guidelines, potentially including cyber capabilities within the alliance’s new 5% GDP target for defence expenditures.

Related to state security, another notable military development from the past week is the announcement that Chinese scientists have created the world’s first AI-based system capable of distinguishing real nuclear warheads from decoys, marking a significant breakthrough in arms control verification.

Cryptocurrencies continue to reshape Europe’s financial landscape, prompting varying responses from institutions across the continent. While the EU is actively advancing its ambitions for a digital euro, viewing it as a strategic tool to enhance the eurozone’s global currency influence and financial sovereignty, the Bank of Italy has expressed scepticism about current regulatory efforts. Specifically, Italy’s central bank criticised the Markets in Crypto-Assets (MiCA) regulation, pointing out its limited impact on boosting crypto adoption or effectively addressing consumer protection and market stability concerns.

The EU continues its legal battle with tech companies that do not comply with its digital market policies. Namely, the European Commission has imposed a €329 million fine on Berlin-based Delivery Hero and its Spanish subsidiary, Glovo, for participating in what it described as ‘a cartel’ in the online food delivery market.

A content policy correction initiative from France: TikTok has globally banned the hashtag ‘SkinnyTok’ after pressure from the French government, which accused the platform of promoting harmful eating habits among young users.

EU’s International Digital Strategy

On 5 June 2025, the European Commission and the High Representative unveiled a new International Digital Strategy for the EU, aiming to enhance the EU’s global tech competitiveness and security amid a rapidly evolving digital landscape. The strategy emphasises deepening existing Digital Partnerships and Dialogues, establishing new ones, and creating a Digital Partnership Network to foster collaboration on emerging technologies like AI, 5G/6G, semiconductors, and quantum computing, while promoting secure connectivity through initiatives like the Global Gateway. It also introduces an EU Tech Business Offer, a modular approach to combine technology solutions with capacity-building, supporting trusted partners in building secure digital infrastructure, such as submarine cables and AI Factories. 

Prioritising cybersecurity, the EU plans to strengthen defences against cyber threats and Foreign Information Manipulation (FIMI) by enhancing resilience and promoting algorithmic transparency on online platforms. The strategy reaffirms the EU’s commitment to shaping global digital governance by advocating for human-centric standards in forums like the UN and G7, ensuring the digital transformation aligns with democratic values and fundamental rights.

Last week in Geneva

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In Geneva, the 113th Session of the International Labour Conference (ILC), convened by the International Labour Organisation (ILO), is currently taking place from 2 to 13 June 2025 at the Palais des Nations and ILO headquarters, where delegates are deliberating on pressing global labour issues.

On 5 June, the Giga Research Lab, in collaboration with Giga and the Geneva Innovation Movement, hosted a high-level event titled Bridging the Digital Divide: Cross-Sector Insights for Scaling School Connectivity. Held on Giga premises, the event welcomed invited guests for an exchange of ideas on expanding digital access in education.

On the same day, the International Telecommunications Union (ITU) held a webinar to launch the fourth edition of the landmark report, Greening Digital Companies: Monitoring Emissions and Climate Commitments 2025.

For the main updates, reflections and events, consult the RADAR, the READING CORNER and the UPCOMING EVENTS section below.

DW Team


RADAR

Highlights from the week of 30 May – 6 June 2025

EU

As the global race for digital dominance accelerates, the European Union is stepping forward with a bold strategy that blends technological ambition with a commitment to democratic values and international…

House of Lords Chamber

Peers warn the UK’s creative sector could suffer if AI firms are allowed to use copyrighted content without consent or fair compensation.

satellite messaging

Space-based cryptography aims to secure sensitive data from quantum threats.

quantum computers

New centre aims to accelerate real-world use of quantum computing.

enter new era computing with large quantum computer generative ai

The open-architecture Tuna-5 showcases how academic labs and startups can build a functional quantum machine with interoperable components from the local supply chain.

image 14

Opposition seeks answers in emergency parliament session on 5 June.

vodafone

Vodafone is facing one of the largest privacy-related fines in Germany’s telecom sector, revealing deep concerns over how personal data is handled behind the scenes.

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The lawmakers have approved a bill allowing crypto payments for state services under a pilot programme.

Meta Clinton Clean Energy Center Illinois Constellation nuclear energy AI

Meta’s AI infrastructure plans include $65 billion in spending for 2025.

amazon india beverly hills polo club Lifestyle equities trademark lawsuit

However, an expert warned that Amazon’s investment shows how costly AI infrastructure has become, pushing out smaller developers.

nord quantique qubit quantum computers photons multimode encoding

Quantum computers may need fewer qubits, thanks to new photon-based encoding.


READING CORNER
Faut il laisser lIA halluciner

The rise of AI is transforming work and education, but raises questions about its impact on critical thinking and cognitive independence.

UPCOMING EVENTS
WSIS20 consultations June 2025
9 Jun 2025 – 10 Jun 2025

The consultation, organised by the the President of the General Assembly, aims to gather input from all relevant WSIS stakeholders on the preparatory process for the review of the implementation…

ICANN 83
9 Jun 2025 – 12 Jun 2025

The event will focus on ongoing policy development, community outreach, and collaboration among global stakeholders.

wsis
10 Jun 2025, 14:00h – 15:00h

The session aims to foster open dialogue, encourage active stakeholder engagement, and support continued progress toward the WSIS+20 High-Level Event 2025

diplo event 1 zelena
12 June 2025 – 13 June 2025

Digital Democracy for All (D4ALL): Capacity Building Programme for Armenia The Digital Democracy for All (DD4ALL) project is a collaborative initiative

IGF2025
23 Jun 2025 – 27 Jun 2025
The Government of Norway will host the 20th annual Internet Governance Forum (IGF) in Lillestrøm from 23 to 27 June 2025.
IGF 2025
23 June 2025 – 27 June 2025

Diplo/GIP at IGF 2025 The 20th annual meeting of the Internet Governance Forum (IGF) will be hosted by the Government of Norway, in Lillestrøm, from 23 to 27 June.

UNESCO logu blue background
24 Jun 2025 – 27 Jun 2025
Thailand will host the 3rd UNESCO Global Forum on the Ethics of Artificial Intelligence from 24 to 27 June 2025.

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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AI and farmers go head-to-head in China’s rice fields

China’s second AI rice farming competition is underway in Sichuan Province, where human farmers and AI-assisted teams are competing across 66.7 hectares of land. AI teams rely on a network of sensors and satellite data to guide real-time decision-making on planting and pest control

The initiative, running through September, tests whether machine learning can outperform traditional farming practices in yield, efficiency, and quality. Organisers emphasise that the competition is not a battle between humans and machines, but a step toward integrating AI into agriculture.

Last year’s challenge saw mixed results for AI, which outperformed two human teams but lagged behind experienced farmers. While its early-stage data analysis showed promise, gaps in adaptability and environmental perception limited its effectiveness.

Developers at the Chinese Academy of Agricultural Sciences have since improved the system’s algorithms, aiming to achieve over 80 percent alignment with farmers’ actions in this year’s edition.

As China seeks sustainable solutions for ageing farming populations and fragmented urban land, smart farming systems are emerging as vital tools to bridge knowledge gaps and enhance productivity.

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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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SCO members invited to join new AI cooperation plan

China has proposed the creation of an AI application centre in cooperation with member states of the Shanghai Cooperation Organization (SCO). The plan was introduced at the 2025 China-SCO AI Cooperation Forum, held in Tianjin, with the goal of deepening collaboration in AI across the region.

The proposed centre aims to support talent development, foster industrial partnerships, and promote open-source service cooperation.

Presented under the theme ‘Intelligence Converges in China, Wisdom Benefits SCO,‘ the forum brought together officials and experts to discuss practical AI cooperation and governance mechanisms that would serve the shared interests of SCO nations.

According to Huang Ru of China’s National Development and Reform Commission, closer cooperation in AI will drive economic and social growth across the SCO, reduce the digital divide, and contribute to inclusive global progress.

China reaffirmed its commitment to the ‘Shanghai Spirit’ and called for joint efforts to ensure AI development remains secure, equitable and beneficial for all member states.

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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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ASEAN, the GCC, and China unite to advance digital innovation

The Association of Southeast Asian Nations (ASEAN), the Gulf Cooperation Council (GCC), and China convened their inaugural trilateral summit in Kuala Lumpur with a shared vision to strengthen regional cooperation and integration.

The three parties committed to deepening economic ties through sustainable development, free trade, and enhanced collaboration across key sectors such as the digital and green economy, technology, and finance.

A major focus of the summit was boosting connectivity, notably through infrastructure development and expanded cooperation under China’s Belt and Road Initiative.

Key policy areas include the promotion of AI, the advancement of financial technology (fintech), and the development of digital skills to prepare their populations for the evolving digital economy.

They also expressed a shared interest in supporting clean energy innovation, highlighting the role of technology in driving sustainable and inclusive energy transitions.

These technology-focused policies aim to build resilient, future-ready economies by enhancing cross-border collaboration in emerging digital industries and strengthening regional capabilities in science, technology, and innovation.

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China blamed of cyberattack on Czech Republic government networks

Prague has formally accused China of launching a malicious cyber campaign against its Foreign Affairs ministry’s unclassified communications network. Beijing’s embassy in Prague dismissed the allegations and urged an end to what it called ‘microphone diplomacy.’

Investigators trace the operation back to the Czech Republic’s 2022 EU presidency, attributing it to APT31, a group allegedly operating under China’s Ministry of State Security. After detecting the intrusion, officials rolled out a more secure communications platform in 2024.

Foreign Minister Jan Lipavský summoned China’s ambassador to stress the severity of the breach, which targeted emails and other documents related to Asia. The government condemned the incident as an attack on its critical infrastructure.

International partners have rallied behind Prague. NATO and the EU have condemned the attack and the US Bureau of Cyberspace and Digital Policy has called on China to meet its international cybersecurity commitments.

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Chinese tech firms thrive amid US curbs

Nvidia CEO Jensen Huang has raised concerns that US export restrictions are accelerating the growth of Chinese AI firms, making them more competitive. In a recent interview, Huang highlighted that companies like Huawei — long blacklisted by the US — have become ‘formidable’ rivals.

The restrictions have hit Nvidia hard, with the company projecting an $8 billion revenue loss this quarter due to the limited access to the Chinese market, historically its largest for chips. The Biden administration’s AI diffusion rule, aimed at controlling the spread of advanced AI technologies, had already drawn criticism from Huang before being partially rolled back by the Trump administration in May.

Yet, Nvidia still faces tough restrictions, including a ban on selling even its downgraded H20 chip to China. The company was recently notified that it would need a special license to export the chip, leaving it with no viable alternative for the Chinese market.

Huang warned that efforts to keep cutting-edge AI tech out of China have largely backfired, as Chinese firms are finding workarounds and quickly catching up.

‘They’re doubling or quadrupling capabilities every year,’ he noted, stressing that the performance of Huawei’s latest AI chip now rivals Nvidia’s once-leading H200.

Despite Nvidia’s strong recent performance, Huang emphasised the long-term importance of re-engaging with China, home to the world’s largest community of AI researchers. He urged US policymakers to reconsider their approach, advocating for broader access to American AI technology to maintain leadership and influence in the global AI ecosystem.

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