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White House memo alleges Alibaba aided Chinese military in targeting the US: Report
Alibaba has rejected the allegations, telling the newspaper: “The claims purportedly based on US intelligence that was leaked by your source are complete nonsense. This is plainly an attempt to manipulate public opinion and malign Alibaba.” The company did not respond to the FT's question on whether it has ever had a relationship with the PLA.
A White House national security memo has cited declassified intelligence alleging that Alibaba has provided technology and data support to the Chinese military for operations involving targets in the United States, the Financial Times said in a report published Friday.
The memo, which contains formerly “top secret” material, describes the tech giant as supplying the People's Liberation Army (PLA) with capabilities that Washington views as a threat to US security.
According to the FT report, the memo claims Alibaba has offered the Chinese government and the PLA access to customer data, including IP addresses, WiFi information and payment records, in addition to a range of AI-related services. It also cites intelligence suggesting that employees transferred knowledge of “zero-day” exploits to the PLA.
China capable of compromising American infra: US Intel
Alibaba has rejected the allegations, telling the newspaper: “The claims purportedly based on US intelligence that was leaked by your source are complete nonsense. This is plainly an attempt to manipulate public opinion and malign Alibaba.” The company did not respond to the FT's question on whether it has ever had a relationship with the PLA.The report comes amid heightened US scrutiny of Chinese cloud and AI firms, with senior officials warning about Beijing's ability to access or exploit sensitive American data. The memo does not specify what US targets the PLA is alleged to be focusing on. However, US intelligence assessments this year have warned that China has the capability to compromise American infrastructure in ways that could be activated during a conflict.
In March, the Office of the Director of National Intelligence highlighted an unprecedented penetration of US telecommunications networks, known as Salt Typhoon, as evidence of the “growing breadth and depth” of China's cyber operations. A US official told the newspaper that the administration “takes these threats very seriously and is working day and night to mitigate the ongoing and potential risks and effects from [cyber] intrusions that use untrusted vendors”.
The memo, dated November 1, was issued immediately after President Donald Trump met Chinese President Xi Jinping in South Korea and agreed to a one-year truce on trade curbs. The White House did not tell say whether it planned to respond directly to the activities alleged in the document. The CIA also declined to comment.
Some US lawmakers have previously urged the administration to consider action against Alibaba. John Moolenaar, the Republican chair of the House China committee, said the allegations align with long-standing concerns that Chinese companies are bound by national laws that override customer protections in any jurisdiction. “The federal government and industry must take steps to protect the American people and eliminate Chinese companies' access to our markets and innovation,” he said.
China rejects the allegation as 'distortion of facts'
In May, a group of lawmakers including Moolenaar urged the Securities and Exchange Commission to delist 25 Chinese firms, among them Alibaba, citing worries about links to the PLA and China's “military-civil fusion” strategy, which they say requires companies to share technology with the military.Cybersecurity specialists say the PLA's cyber operations have expanded beyond traditional espionage. Dennis Wilder, former head of China analysis at the CIA, said the scope of the PLA's intrusions has reached an “unprecedented” level.
“The PLA is conducting widespread and daily intrusions against US critical infrastructure, including airports, seaports and other critical transportation nodes of US forces in the Pacific, but also in the continental US,” he said, describing the activity as laying groundwork for “system destruction warfare” in the event of a conflict.
Military analysts also point to the growing reliance of armed forces globally on private technology companies for cloud services and research. General Sir Richard Barrons, a retired British commander involved in drafting the UK's 2025 Strategic Defence Review, said companies now possess much of the technology, R&D and resources that were previously the domain of militaries.
Beijing rejected the allegations outlined in the memo.
The Chinese embassy in Washington said the US was engaged in a “complete distortion of facts”, adding that China “attaches great importance to, and protects, data privacy and security in accordance with the law, and has never and will never require companies or individuals to collect or provide data located in foreign countries in violation of local laws”.
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Source: EconomicTimes
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