US, allies accuse China of global hacking spree

The United States, NATO and other allies on Monday formally accused China of hacking into Microsoft's Exchange Server - a malicious cyber attack disclosed earlier this year affecting email software used by U.S. government agencies and the world’s largest companies - marking the first time the NATO alliance has signed onto an official condemnation of China's cyber activities.

The U.S. was joined by the European Union, Britain, Australia, Japan, New Zealand and Canada to level the allegations, opening a new area of tensions with the Chinese government, which they say employed contract hackers as part of a global hacking campaign.

In a statement released on Monday, U.S. Secretary of State Anthony Blinken said: "The United States and countries around the world are holding the People’s Republic of China accountable for its pattern of irresponsible, disruptive, and destabilizing behavior in cyberspace, which poses a major threat to our economic and national security."

The U.S. Justice Department said it had charged four Chinese nationals - three security officials and one contract hacker - in a roughly 7-year, global hacking campaign aimed at dozens of companies, universities and government agencies around the world, targeting trade secrets in industries including aviation, defense, healthcare and biopharmaceuticals - information that would significantly benefit Chinese companies and businesses.

The Chinese Embassy in Washington did not immediately respond to a request for comment.

U.S. officials cybersecurity experts said they were shaken by the scale and volume of the incident, totaling thousands of potential U.S. victims.

A senior Biden administration official told Reuters that U.S. concerns about China's cyber activities have been raised with Chinese authorities, and added: "We're not ruling out further action to hold the PRC accountable."