According to Kaspersky, hackers linked to Chinese threat actors have targeted Russian state agencies and tech companies in a campaign named EastWind. The Record reports: [T]he attackers used the GrewApacha remote access trojan (RAT), an unknown PlugY backdoor and an updated version of CloudSorcerer malware, which was previously used to spy on Russian organizations. The GrewApacha RAT has been used by the Beijing-linked hacking group APT31 since at least 2021, the researchers said, while PlugY shares many similarities with tools used by the suspected Chinese threat actor known as APT27.

According to Kaspersky, the hackers sent phishing emails containing malicious archives. In the first stage of the attack, they exploited a dynamic link library (DLL), commonly found in Windows computers, to collect information about the infected devices and load the additional malicious tools. While Kaspersky didn’t explicitly attribute the recent attacks to APT31 or APT27, they highlighted links between the tools that were used. Although PlugY malware is still being analyzed, it is highly likely that it was developed using the DRBControl backdoor code, the researchers said. This backdoor was previously linked to APT27 and bears similarities to PlugX malware, another tool typically used by hackers based in China.

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The BBC reports that “while most of the world was grappling with the blue screen of death on Friday,” there was one country that managed to escape largely unscathed: China.

The reason is actually quite simple: CrowdStrike is hardly used there. Very few organisations will buy software from an American firm that, in the past, has been vocal about the cyber-security threat posed by Beijing. Additionally, China is not as reliant on Microsoft as the rest of the world. Domestic companies such as Alibaba, Tencent and Huawei are the dominant cloud providers.

So reports of outages in China, when they did come, were mainly at foreign firms or organisations. On Chinese social media sites, for example, some users complained they were not able to check into international chain hotels such as Sheraton, Marriott and Hyatt in Chinese cities. Over recent years, government organisations, businesses and infrastructure operators have increasingly been replacing foreign IT systems with domestic ones. Some analysts like to call this parallel network the “splinternet”.

“It’s a testament to China’s strategic handling of foreign tech operations,” says Josh Kennedy White, a cybersecurity expert based in Singapore. “Microsoft operates in China through a local partner, 21Vianet, which manages its services independently of its global infrastructure. This setup insulates China’s essential services — like banking and aviation — from global disruptions.”
“Beijing sees avoiding reliance on foreign systems as a way of shoring up national security.”
Thanks to long-time Slashdot reader hackingbear for sharing the article.

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A high-tech race is under way between the U.S. and China as both countries chase an elusive energy source: fusion. From a report: China is outspending the U.S., completing a massive fusion technology campus and launching a national fusion consortium that includes some of its largest industrial companies. Crews in China work in three shifts, essentially around the clock, to complete fusion projects. And the Asian superpower has 10 times as many Ph.D.s in fusion science and engineering as the U.S. The result is an increasing worry among American officials and scientists that an early U.S. lead is slipping away.

JP Allain, who heads the Energy Department’s Office of Fusion Energy Sciences, said China is spending around $1.5 billion a year on fusion, nearly twice the U.S. government’s fusion budget. What’s more, China appears to be following a program similar to the road map that hundreds of U.S. fusion scientists and engineers first published in 2020 in hopes of making commercial fusion energy. Scientists familiar with China’s fusion facilities said that if the country continues its current pace of spending and development, it will surpass the U.S. and Europe’s magnetic fusion capabilities in three or four years.

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“China may be the world’s second-largest economy,” writes Fortune’s news editor, “but when it comes to startup funding, the U.K. is punching above its weight.”

Startups in the U.K. raised $6.7 billion in funding during the first half of 2024, helping dethrone China and propelling the U.K. to second place globally for funds raised, according to a new report. Crucial to the U.K.’s success were a dozen funding rounds worth over $100 million each, including those of digital bank Monzo ($620 million), lender Abound ($862 million), and automated driving startup Wayve ($1.05 billion).

While the overall U.K. figure was down 2% year on year, according to data from global market intelligence platform Tracxn, it remained more robust than that of China, whose funding sat at $6.1 billion in H1 2024, helping the U.K. move into the No. 2 spot globally. The win is a milestone for the U.K. tech sector, which has remained under pressure owing to a string of challenges, including Brexit, COVID-19, and the subsequent global economic slowdown.

Only the U.S. saw startups raise more capital in H1, with a combined $54.8 billion raised across some 2,654 funding rounds in the first half of the year.

The article’s last line? “With the arrival of new U.K. Prime Minister Keir Starmer, many will be hoping that the first Labour government in 14 years will continue to support the U.K.’s position as a critical player in the global tech landscape.”

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Nvidia is expected to earn $12 billion from GPU sales to China in 2024, despite U.S. trade restrictions. Research firm SemiAnalysis says the GPU maker will ship over 1 million units of its new H20 model to the Chinese market, “with each one said to cost between $12,000 and $13,000 apiece,” reports The Register. From the report: This figure is said by SemiAnalysis to be nearly double what Huawei is likely to sell of its rival accelerator, the Ascend 910B, as reported by The Financial Times. If accurate, this would seem to contradict earlier reports that Nvidia had moved to cut the price of its products for the China market. This was because buyers were said to be opting instead for domestically made kit for accelerating AI workloads. The H20 GPU is understood to be the top performing model out of three Nvidia GPUs specially designed for the Chinese market to comply with rules introduced by the Biden administration last year that curb performance.

In contrast, Huawei’s Ascend 910B is claimed to have performance on a par with that of Nvidia’s A100 GPU. It is believed to be an in-house design manufactured by Chinese chipmaker SMIC using a 7nm process technology, unlike the older Ascend 910 product. If this forecast proves accurate, it will be a relief for Nvidia, which earlier disclosed that its sales in China delivered a “mid-single digit percentage” of revenue for its Q4 of FY2024, and was forecast to do the same in Q1 of FY 2025. In contrast, the Chinese market had made up between 20 and 25 percent of the company’s revenue in recent years, until the export restrictions landed.

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Paul Voosen reports via Science Magazine: Few things prompt as much anxiety in science and the wider world as the growing use of artificial intelligence (AI) and the rising influence of China. This spring, these two factors created a rift at the European Geosciences Union (EGU), one of the world’s largest geoscience societies, that led to the firing of its president. The whole episode has been “a packaging up of fear of AI and fear of China,” says Michael Stephenson, former chief geologist of the United Kingdom and one of the founders of Deep-time Digital Earth (DDE), a $70 million effort to connect digital geoscience databases. In 2019, another geoscience society, the International Union of Geological Sciences (IUGS), kicked off DDE, which has been funded almost entirely by the government of China’s Jiangsu province.

The dispute pivots on GeoGPT, an AI-powered chatbot that is one of DDE’s main efforts. It is being developed by Jian Wang, chief technology officer of e-commerce giant Alibaba. Built on Qwen, Alibaba’s own chatbot, and fine-tuned on billions of words from open-source geology studies and data sets, GeoGPT is meant to provide expert answers to questions, summarize documents, and create visualizations. Stephenson tested an early version, asking it about the challenges of using the fossilized teeth of conodonts, an ancient relative of fish, to define the start of the Permian period 299 million years ago. “It was very good at that,” he says. As awareness of GeoGPT spread, so did concern. Paul Cleverly, a visiting professor at Robert Gordon University, gained access to an early version and said in a recent editorial in Geoscientist there were “serious issues around a lack of transparency, state censorship, and potential copyright infringement.” Paul Cleverly and GeoScienceWorld CEO Phoebe McMellon raised these concerns in a letter to IUGS, arguing that the chatbot was built using unlicensed literature without proper citations. However, they did not cite specific copyright violations, so DDE President Chengshan Wang, a geologist at the China University of Geosciences, decided not to end the project.

Tensions at EGU escalated when a complaint about GeoGPT’s transparency was submitted before the EGU’s April meeting, where GeoGPT would be introduced. “It arrived at an EGU whose leadership was already under strain,” notes Science. The complaint exacerbated existing leadership issues within EGU, particularly surrounding President Irina Artemieva, who was seen as problematic by some executives due to her affiliations and actions. Science notes that she’s “affiliated with Germany’s GEOMAR Helmholtz Centre for Ocean Research Kiel but is also paid by the Chinese Academy of Geological Sciences to advise it on its geophysical research.”

Artemieva forwarded the complaint via email to the DDE President to get his view, but forgot to delete the name attached to it, leading to a breach of confidentiality. This incident, among other leadership disputes, culminated in her dismissal and the elevation of Peter van der Beek to president. During the DDE session at the EGU meeting, van der Beek’s enforcement actions against Chinese scientists and session attendees led to allegations of “harassment and discrimination.”

“Seeking to broker a peace deal around GeoGPT,” IUGS’s president and another former EGU president, John Ludden, organized a workshop and invited all parties to discuss GeoGPT’s governance, ongoing negotiations for licensing deals and alternative AI models for GeoGPT’s use.

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Michelle Lewis reports via Electrek: The world’s largest solar farm, in the desert in northwestern Xinjiang, is now connected to China’s grid. The 3.5-gigawatt (GW), 33,000-acre solar farm is outside Urumqi, Xinjiang’s capital. The state asset regulator’s website cited the Power Construction Corp of China and said it came online on Monday. The solar farm will generate about 6.09 billion kilowatt hours (kWh) of electricity annually. Assuming an EV consumes about 3,000 kWh per year, 6.09 billion kWh could power 2.03 million EVs annually.

The world’s largest solar farm in Xinjiang is part of China’s megabase project, a plan to install 455 GW of wind and solar. The megabase projects are sited in sparsely populated, resource-rich areas and send their generated energy to major urban centers, such as on China’s eastern seaboard. China now boasts the three largest solar farms in the world by capacity. The Ningxia Tenggeli and Golmud Wutumeiren solar farms, each with a capacity of 3 MW, are already online.

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Apple is offering discounts of up to $318 on select iPhone models in China, hoping to “defend its position in the high-end smartphone market, where it faces increasing competition from local rivals such as Huawei,” reports Reuters. From the report: The increased competitive pressure on Apple comes after Huawei last month introduced its new series of high-end smartphones, the Pura 70, following the launch of the Mate 60 last August. Apple’s previous discounting effort in February appears to have helped the company mitigate a sales slowdown in China. Apple’s shipments in China increased by 12% in March, according to Reuters’ calculations based on data from the China Academy of Information and Communications Technology (CAICT). This marks a significant improvement from the first two months of 2024, when the company experienced a 37% slump in sales.

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An anonymous reader shared a report this week from Reuters:

The U.S. Department of Commerce is reviewing the national security implications of China’s work in open-source RISC-V chip technology, according to a letter sent to U.S. lawmakers…

The technology is being used by major Chinese tech firms such as Alibaba Group Holding and has become a new front in the strategic competition over advanced chip technology between the U.S. and China. In November, 18 U.S. lawmakers from both houses of Congress pressed the Biden administration for its plans to prevent China “from achieving dominance in … RISC-V technology and leveraging that dominance at the expense of U.S. national and economic security.”

In a letter last week to the lawmakers that was seen by Reuters on Tuesday, the Commerce Department said it is “working to review potential risks and assess whether there are appropriate actions under Commerce authorities that could effectively address any potential concerns.”

But the Commerce Department also noted that it would need to tread carefully to avoid harming U.S. companies that are part of international groups working on RISC-V technology.

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An anonymous reader quotes a report from The Register: Huawei plans to expand its native HarmonyOS smartphone platform worldwide, despite coming under US-led sanctions that have deprived it of access to key technologies. “We will work hard to build up the HarmonyOS app ecosystem in the China market first, then, from country to country, we will start gradually pushing it out to other parts of the world,” Huawei’s rotating chairman Erik Xu told attendees at its 21st Analyst Summit in Shenzhen last week. Part of this process will involve porting apps to HarmonyOS and encouraging other app developers to code for the platform.

“In the China market, Huawei smartphone users spend 99 percent of their time on about 5,000 apps. So we decided to spend 2024 porting these apps over to HarmonyOS first in our drive to truly unify the OS and the app ecosystem. We are also encouraging other apps to be ported over to HarmonyOS,” Xu said. According to Huawei’s rotating chairman, more than 4,000 of those apps are already in the process of being transferred, and the company is “communicating with developers” on the 1,000 or so apps that remain. “This is a massive undertaking, but we have broad support in the industry and from many app developers,” he claimed. “Once we have these first 5,000 Android apps — and thousands of other apps — up and running on HarmonyOS, we will have a real HarmonyOS: a third mobile operating system for the world,” Xu said. That number could reach up to 1 million apps in the future, he claimed. According to Counterpoint Research, HarmonyOS accounted for 4 percent of global market share in the fourth quarter of 2023, and exceeded 16 percent market share in China. That makes it the third largest mobile OS by handset sales, behind Android and iOS.

It remains to be seen whether there will be much of a market for HarmonyOS outside of China, given the current sanctions and sour US/EU-China relations.

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