US Warns Space Industry About IP Theft From Foreign Intelligence
U.S. national security agencies recently warned the American space industry about increasing risks of theft from foreign intelligence services, saying companies need to be vigilant to protect their technology, data and intellectual property. A joint alert issued this month by the FBI, the National Counterintelligence and Security Center and the Air Force includes a list of red flags that may signal IP theft from foreign intelligence bodies and explains how the space industry can mitigate those risks.
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The agencies said foreign intelligence bodies recognize the “importance of the commercial space industry to the US economy and national security,” and view American innovation within the sector “as valuable opportunities to acquire vital technologies and expertise.” The government said it’s most commonly seeing IP theft through cyberattacks, strategic investments -- such as joint ventures and acquisitions -- and the targeting of “key supply chain nodes.”
The joint alert said U.S. space companies may be targeted by foreign intelligence if they’re experiencing:
- Unusually high cyber activity from unknown parties
- Requests to visit your company from unknown or foreign entities
- Probing questions about sensitive, internal and proprietary information
- Elicitation at industry conferences
- Unsolicited offers to establish joint ventures with companies tied to foreign governments or state-owned enterprises
- Attempts to recruit your company’s technical experts
- Acquisition or investment efforts by foreign companies via wholly owned subsidiaries registered in third countries designed to hide the parent company’s connections.
The agencies recommended several measures to mitigate those risks, including developing an “anomaly” log to track incidents and spot “malicious trends against your organization”; establishing vetting and oversight for employees with sensitive positions or access; fostering an “enterprise-wide security posture” at your company; identifying the “crown jewels” that are “key to your company’s competitiveness”; and developing “strategies to prevent or mitigate their loss.”
Firms should also be conducting “robust due” diligence on their suppliers; incorporating security requirements into third-party contracts and monitoring compliance throughout the lifecycle of the contract; familiarizing themselves with host country laws and regulations surrounding data; conducting due diligence on any investors; and building “resilience and redundancy into your operations.”
The alert said these foreign intelligence activities can help their host countries in “leapfrogging” innovation taking place in the U.S. that costs American space firms “substantial time and resources to generate.” It also harms the U.S. commercial space sector by “causing losses of revenue and global market competitiveness.”
Companies that suspect they have been targeted should contact the private sector coordinator at their local FBI field office, the alert said. The Air Force Office of Special Investigation also is accepting tips.