Australia’s intelligence agency has raised alarms over alleged attempts by Chinese hackers to infiltrate the nation’s critical infrastructure, including telecommunications networks. In a recent address to a business forum in Melbourne, Mike Burgess, the director general of the Australian Security and Intelligence Organisation (ASIO), highlighted the escalating threat of “high-impact sabotage” posed by these cyber activities.
Burgess specifically named two hacking units, Salt Typhoon and Volt Typhoon, which he claimed are linked to the Chinese government and military. These groups have previously targeted the United States, according to Burgess, who emphasized the gravity of the threat now facing Australia.
Espionage and Sabotage: A Growing Threat
During his speech, Burgess detailed the operations of Salt Typhoon, describing their intent as espionage. “Salt Typhoon’s intent was espionage – they penetrated the United States’ telecommunications system to gain access to the nation’s communications through a strategic spying operation,” he said.
He further warned of Volt Typhoon’s activities, which aim to compromise critical infrastructure networks in the U.S. to “pre-position for potential sabotage.” Burgess noted that similar probing activities have been observed in Australia, although he did not specify which units were involved or if any breaches had occurred.
“Once access is gained – the network is penetrated – what happens next is a matter of intent, not capability,” Burgess stated, highlighting the potential for severe disruption.
Implications for Australia and Its Allies
The threat extends beyond telecommunications, with targeted assets among Western allies including transport, water, and energy networks. The Chinese embassy was contacted for a response but has yet to comment.
The infiltration of U.S. telecommunications systems by Salt Typhoon last year was labeled as the worst hack in American history. It compromised dozens of telecom companies and exposed data of senior political figures, including then-president-elect Donald Trump and vice-president JD Vance.
Earlier this year, Burgess estimated that “espionage-enabled sabotage of critical infrastructure” could cost the Australian economy over $1 billion, with potential losses escalating to $6 billion if disruptions lasted a week.
Economic and Security Concerns
Burgess also revealed previously unreported espionage instances targeting Australian corporations. He accused unnamed “nation state hackers” of stealing commercially sensitive information from a major exporter, granting competitors an upper hand in contract negotiations.
“In another case, they stole the blueprints of an Australian innovation and mass-produced cheap knock-offs that nearly bankrupted the innovator,” Burgess said, illustrating the economic ramifications of such cyber activities.
In a related incident, a visiting academic with foreign government ties allegedly breached a restricted technology laboratory, filming its contents without authorization.
Broader Security Challenges
Beyond cyber threats, Burgess addressed a rise in anarchist and revolutionary extremism, often targeting industries. Since October 2023, anti-Israel activists have increasingly employed disruptive tactics, including arson, vandalism, and violent protests against companies accused of supplying weapons components.
“Rapid advances in technology are incubating and accelerating these security concerns,” Burgess warned, underscoring the evolving nature of threats in the digital age.
As Australia grapples with these multifaceted security challenges, the need for robust defenses and international cooperation becomes ever more critical. The ASIO’s revelations serve as a stark reminder of the vulnerabilities inherent in modern infrastructure and the potential consequences of cyber warfare.
