October 28, 2014 by ...
Informative eight minute video here. The two speakers discuss the dangers of The Indian Airforce using Xiaomi phones. Obviously It is not in India’s best interest to have data of their airforce personnel owned by Xiaomi, a Chinese firm. This danger is compounded by the fact that China has been increasingly pugnacious with all of its neighbors, including India. Aside from this, Lei Jun, Xiaomi’s founder, sits on the communist National People’s Congress. It takes little mental math to figure out where his loyalties lay.
Another two points the speakers bring up are that India, like all countries, should have IT self sufficiency, especially for their military. If those guys are relying on and or using Gmail before a battle, then the war is already lost. On a related note, they say how China is a bigger threat in terms of hacking than Pakistan. If this is true then it makes Xiaomi an even bigger threat. The reason is that Shenzhen, where Xiaomi is located, is littered with hackers. Not the ‘Beijing heavyweights’ but something worse. That area is where most of cell phone and telco kit is made and industrial espionage hacking abounds.
The StarN9500 was produced there and it shipped with malware built in. The minute the phone was on it was collecting data. This data was then shipped back to its overlords in China. Beijing has not caught the manufacturer, or at least refuses to tell us who it was. Any company responsible for so much theft and yet still unpunished, must have great guanxi to be protected like that.
Another Chinese company shipped inventory scanners which also had built in malware. These devices not only tracked but also stole sensitive planning and inventory data. Some of the malware was robust enough to burrow into companies financials and report that back to China on a nightly basis.
Of course no one knows if this was government sponsored theft, but educated guesses can be made. It is a fact that Beijing declares pillar industries which it seeks to boost. It is also a fact that China-based hacking on all these industries has increased dramatically. With telecommunications being a pillar industry of China, it is safe to assume that the CCP and Chinese telcos are walking in lockstep.