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After Chinese Attack on US Telecom, Maybe We Will See Legislation

After the entire US Senate was briefed this week about the Chinese attack called Salt Typhoon on US and other telecom and Internet carriers, the feds are trying to figure out what to do.

This is going to be the job of the next administration because I doubt Congress can create a solution in the next 30 days not counting time off for Christmas.

Several Senators made public statements after the briefing like “the extent and depth and breadth of Chinese hacking is absolutely mind-boggling”. Very profound.

Senator Rick Scott criticized the lack of answers on preventative measures, stating that Congress may not be able to address the issue until next year. That is actually accurate, in part because there are no simple answers and answers that might possibly work will face severe push back.

The Senate Commerce subcommittee has planned a hearing on December 11.

While, historically, Republican lawmakers have been worried about political bias on Facebook and others, maybe both sides can work together on this one.

One group that took action is the Consumer Financial Protection Bureau. They banned the use of mobile phones for work by both employees and contractors. I am sure there is no negative productivity as a result of that decision. On the other hand, given that it is apparent that the carriers cannot protect their networks, it may be a reasonable answer – at least for now.

Given the incoming administration’s desire to eliminate federal government agencies and regulations, any answer may be a challenge. Incoming FCC Chair Brendan Carr vowed to prioritize network security. Of course, under current law, the FCC has almost no power to do that. Unless we create more laws and regulations that would allow them to do that. Sounds like a bit of a catch-22.

In fairness, the breach underscores the broader risk to the $800 billion cloud and telecom sector. If that goes boom, expect a depression like we have never seen, so Congress may be forced to do something.

If you expect the industry to handle this voluntarily and consistently, I have a bridge to offer you, cheap, in Brooklyn. The only possible way is through laws with harsh penalties. A million dollar fine to a multi-billion dollar company is a rounding error.

China, of course, says it is not them. Calls it disinformation. I don’t think anyone in Congress believes that line.

The next administration is going to have some challenges. It remains to be seen if they can actually come up with a solution, given their election promises to dismantle the government.

Stay tuned.

Credit: CSO Online

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