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10:00 AM ET, Monday, August 7, 2023

The Cipher Brief curates open source information from around the world that impacts national security. Here's a look at today's headlines, broken down by region of the world:  

In the Americas

US Sends Four Destroyers to Monitor Russian-Chinese Naval Patrol Near Alaska.  U.S. officials say that a combined Russian and Chinese naval force patrolled near the coast of Alaska last week. Experts said that this appeared to be the largest flotilla to ever approach American shores. According to U.S. officials, a total of eleven Russian and Chinese ships sailed near the Aleutian Islands, never entered U.S. territorial waters, and have since left. The flotilla was reportedly shadowed by four U.S. destroyers and a P-8 Poseidon aircraft.  A U.S. defense official said that in addition to the American maritime patrol and reconnaissance aircraft, the USS John S. McCain, USS Benfold, USS John Finn, and USS Chung-Hoon were the vessels that responded to the flotilla.  Brent Sadler, a retired Navy Captain and research fellow at the Heritage Foundation said that this exercise was “a historical first” and that “given the context of the war in Ukraine and tensions around Taiwan, this move is highly provocative.”  A U.S. Northern Command (NORTHCOM) spokesman confirmed the joint Russian and Chinese exercise but did not specify the precise location or the number of vessels. NORTHCOM added that “air and maritime assets under our commands conducted operations to assure the defense of the United States and Canada. The patrol remained in international waters and was not considered a threat.”  Senator Dan Sullivan of Alaska, a member of the Armed Services Committee, hailed the robust response to the patrol by the U.S. military and noted that the joint exercise was a reminder that the U.S. has entered “a new era of authoritarian aggression.”  The U.S. response to the latest naval patrol contrasts an earlier response in September when only one U.S. Coast Guard cutter shadowed a flotilla of seven Russian and Chinese ships near the Aleutians.  The Russian embassy did not respond to a request for comment and a spokesperson for the Chinese Embassy said that the patrol was not “targeted at any third party and has nothing to do with the current international and regional situation.”  These actions come as U.S. officials have been closely monitoring signs of increased cooperation in all domains between Beijing and Moscow.  Wall Street Journal Al Jazeera

US Declines to Invoke POW Status for U.S. Soldier in North Korea.  A U.S. official told Reuters that the U.S. has declined to classify Army Private Travis King as a prisoner of war (POW) after he crossed into North Korea last month, where he has likely been taken into North Korean custody.  The decision means that King might not be covered by the protection entitled to POWs under the Geneva Convention and complicates the situation given the U.S. military’s commitment to leave no soldier behind enemy lines.  It is an open question on whether to classify King as a POW since he is an active-duty soldier, and the U.S. and North Korea are technically still at war.  Speaking on the condition of anonymity, officials said that factors including King’s decision to cross the border of his own free will and in civilian attire appear to disqualify him from POW status.  The Pentagon declined to comment on the POW status issue but said it is working through all available channels to bring King back home.  The Pentagon also stressed that “Private King must be treated humanely in accordance with international law.”  Another official speaking on the condition of anonymity said that the U.S. still has the option to declare King a POW and that his status might change as the U.S. continues to learn more about his case.  Reuters

Canada Suspends Assistance to Niger Following Coup. The Canadian federal government announced on Saturday that it is suspending direct development assistance to the Niger government following the coup that ousted the country’s democratically elected president and government.  Canadian Foreign Affairs Minister Melanie Joly added that Canada supports ECOWAS mediation efforts to resolve the crisis.  Other Western countries, including the U.S. and Germany, have also suspended aid for Niger in response to the coup.  Reuters

Western Europe

European Carriers Suspend Some West African Flights Amid Niger Crisis.  Several European carriers suspended flights and reported disruptions across Africa following Niger’s closure of its airspace as part of preparations for a response from the West African bloc ECOWAS over the country’s coup.  The disruption adds to African airspace impacted by closures and disruptions over Libya and Sudan.  Air France suspended flights to Ouagadougou in Burkina Faso and Bamako in Mali until August 11, and Lufthansa and Brussels Airlines report hours-long delays for rerouted flights.  Analysts say the disruptions will not have major impacts, likely only affecting regional travel from Europe to Nigeria and South Africa and the Gulf of Ethiopia to West Africa.   Reuters 

Central & Eastern Europe

Russian Shelling Kills Three in Kherson, Kharkiv.  Ukrainian officials report that Russian shelling killed two people in the border zones of the Kharkiv region and at least one woman in Kherson on Monday.  Kherson Governor Oleksandr Prokudin reported several hours of shelling starting at midnight, including in the city of Kherson.  The Ukrainian military said that Russian forces have increased the number of attacks in the Kharkiv region, parts of which are adjacent to the front lines.  Al Jazeera Reuters

Ukraine Touts Air Defenses Success After Russian Missile, Drone Attacks.  Ukrainian President Volodymyr Zelensky said on Sunday that Ukraine is seeing “significant results” from advanced air defense systems it has received from Western partners, especially U.S. Patriot and German IRIS-T systems.  Zelensky said that the systems have allowed Ukraine to shoot down “a significant part” of Russia’s missile and drone attacks over the past week, including 65 various missiles, 178 assault drones, including 87 Shahed drones.  In a major countrywide assault early Sunday, Ukraine’s air force said it intercepted at least 30 of 40 cruise missiles and all 27 Shahed drones launched by Russia.  Reuters Deutsche Welle 

Russia and Ukraine Confirm Kyiv Struck Chonhar Bridge to Crimea. Ukrainian armed forces and Moscow-appointed officials said that Ukraine on Sunday targeted and damaged the Chonhar road bridge, which connects Crimea and the mainland of Ukraine, in addition to a smaller bridge linking the peninsula’s northeastern coast to the town of Henichesk. Sergei Aksyonov, the Russia-backed head of Crimea, announced on Telegram, that Ukraine had “launched a missile strike in the area of the Chonhar bridge in the north of Crimea". He said that the surface of the road was damaged and that repairs had begun, though traffic had to be diverted. Moscow-appointed Kherson regional governor Vladimir Saldo said a Storm Shadow missile was involved in the strike on the Chonhar bridge. The Armed Forces of Ukraine Strategic Communications Directorate said that the strikes left the Henichesk bridge weakened and sagging and damaged the road surface of the Chonhar bridge. Reuters could not confirm the reports of damage on the bridges. According to Saldo, Ukrainian shelling reportedly injured a civilian driver, as well as damaging a village school and a gas pipeline that runs alongside the Henichesk bridge. Reuters Jerusalem Post

Black Sea Battle Intensifying as Ukraine Uses Sea Drones.  A Ukrainian maritime drone packed with explosives struck a Russian oil tanker on Saturday near a bridge linking annexed Crimea to Russia. Ukrainian intelligence stated that the drone was carrying 450 kg of explosives when it hit the vessel which was reportedly transporting fuel for the Russian military. This was the second strike of a Russian ship at sea last week. The attack coincides with a new directive from Kyiv that was announced on Friday warning that six Russian Black Sea ports and the waters surrounding them would be considered “war risk” areas until further notice. This comes after another maritime drone attacked Russia’s naval base at Novorossiysk damaging a warship on Friday.  Reuters Wall Street Journal New York Times

JPMorgan Stops Processing Russian Grain Payments.  U.S.-based bank JPMorgan said Friday that it has stopped processing payments for the Russian Agricultural Bank.  JPMorgan previously handled some Russian grain payments over the past few months as part of U.S. reassurances to get Russian grain and fertilizer to global markets.  The Russian Foreign Ministry confirmed that this cooperation has stopped.  Russia had previously said that the work with JPMorgan was not a viable alternative to reconnecting the Russian Agricultural Bank to the SWIFT global bank payment system, which was one of Moscow’s demands for it to renew the Black Sea grain deal.  Reuters

Asia & Oceania

Philippines Accuses China of Using Water Cannon on Philippine Boats in South China Sea.  The Philippine government has accused China’s coastguard of using a water cannon on a Philippine military supply boat in the South China Sea.  Philippine military and coast guard officials claim the incident occurred on Saturday near the Second Thomas Shoal, where a handful of Philippine troops live on a WWII era ship.  The officials say that a Chinese coast guard ship approached two chartered supply boats, escorted by Philippine coast guard ships, and used a powerful water cannon to block the boats from delivering supplies to the Philippine troops.  It is unclear if anybody was injured during the confrontation. China Coast Guard spokesperson Gan Yu responded to the allegations stating China has “indisputable” sovereignty over the Spratly Islands and their adjacent waters, including the Second Thomas Shoal. Gan added that Beijing urges Manila to “immediately stop its infringing activities in these waters.”  Jonathan Malaya, a senior Philippine National Security Council official, responded on Monday by saying the Philippines will never abandon the Second Thomas Shoal and has the right to supply its troops there.  Al Jazeera Reuters

Pakistani Court Sentences Former PM Khan to Three Years in Jail for Corruption.  A Pakistani court in Islamabad found former Prime Minister Imran Khan guilty of graft and sentenced him to three years in prison.  The court found Khan guilty of illegally selling state gifts worth more than 140 million Pakistani rupees ($635,000) during his tenure as premier between 2018-2022.  Police confirmed Khan was arrested at his residence in Lahore after the verdict was announced and that he will be transferred to Islamabad.  His conviction could eliminate Khan from running in upcoming national elections in November.  Reuters Deutsche Welle

Middle East & Northern Africa

Saudi Arabia Hosts Ukraine War Talks.  Senior officials from over 40 countries — including the US, China, and India — held talks in Jeddah, Saudi Arabia on Saturday aimed at establishing key principles for a peaceful resolution to Russia’s war in Ukraine.  Ukrainian President Volodymyr Zelensky said that the meeting brought together “different continents, different political approaches to world affairs” that are “united by the priority of international law.”  The two-day meeting was part of a diplomatic effort by Ukraine to build support amongst Global South countries for Ukraine as they have largely been reluctant to choose sides.  Much focus is on China given its close ties with Russia.  China’s foreign ministry said the talks helped “to consolidate international consensus” and said Beijing will continue to push its peace proposal and “accumulate mutual trust,” without elaborating.  Moscow said that the talks were a failure, with Russian Deputy Foreign Minister Sergei Ryabkov saying the dialogue was a “reflection of the Wests’ attempt to continue futile, doomed efforts to mobilize the international community, and more precisely, the Global South” in support of Ukraine’s peace plan.  Reuters France24 New York Times

Israeli Missile Hits Damascus, Kills Four Syrian Soldiers.  Four Syrian soldiers are dead following an Israeli missile attack in the Syrian capital of Damascus, according to Syrian state media. According to an unnamed military source, a series of missiles were fired around 2 am in the direction of the Syrian occupied Golan Heights. The Syrian air defense systems were able to intercept and down several other missiles. The attack wounded 4 additional soldiers and caused significant material damage. Israel did not respond to a request for comment on the situation but the attack comes amid increased efforts by Israel to target what it says are Iran-linked targets inside of Syria.  Reuters

Saudi Arabia Urges Citizens to Leave Lebanon.  The Saudi embassy in Lebanon advised its citizens to leave Lebanese territory and avoid approaching areas where there had been armed clashes.  The kingdom did not specify which areas to avoid within Lebanon and stressed “the importance of adhering to the Saudi travel ban to Lebanon.”  Kuwait stopped short of asking its citizens to leave but also issued a travel advisory about Lebanon on Saturday, advising its citizens to stay vigilant and “avoid areas of security disturbances.”  Last week, the U.K. updated its travel guidelines for Lebanon and advised against “all but essential travel” to parts of the country’s south near the Palestinian refugee camp of Ain el-Hilweh.  These warnings come amid fighting at the camp between Palestine’s Fatah and Islamist factions.  Reuters

Iran Boosts Navy Personnel With Missiles, Drones.  Iranian news agencies on Saturday reported that Iran has equipped its Revolutionary Guard’s Navy with drones along with several hundred cruise and ballistic missiles with a range of 300-1,000 km. Revolutionary Guards’ Navy Commander Alireza Tangsiri stated on Iranian State TV on Saturday that the new missiles had better precision as well as longer range. Iranian armed forces spokesperson Brigadier General Abolfazl Shekarchi referenced the US offer to put guards on commercial ships stating that the region’s countries are “capable of ensuring Persian Gulf security.”  Reuters 

Sub Saharan Africa

Niger Closes Airspace amid standoff with West African Bloc after Rejecting Deadline to Reinstate President.  Niger on Monday was awaiting a response from the leaders of the West African regional bloc ECOWAS after rejecting a deadline set by the group to reinstate ousted President Mohamed Bazoum on Sunday.  A junta representative warned on national television that “Niger's armed forces and all our defense and security forces, backed by the unfailing support of our people, are ready to defend the integrity of our territory.”  The representative also claimed there has been a pre-deployment of troops in two Central African nations readying for an intervention into Niger.  In a sign of potential conflict, the junta announced on Sunday that Niger’s airspace is closed until further notice.  ECOWAS said it will respond to the situation soon.  The French foreign ministry said on Saturday that it supports efforts by ECOWAS to ensure the Niger military coup fails, with French Foreign Minister Catherine Colonna saying that the bloc's warning of intervention is “credible.”  Russia, which has significantly increased its footprint in the Sahel region, said that foreign intervention would not resolve the crisis. Benin and Germany have called for further diplomacy to defuse the situation, and Italy has specifically called on ECOWAS to extend its deadline for the reinstatement of the ousted Niger government.  Al Jazeera Associated Press France24 Reuters 

Cyber & Tech

CISA Three-Year Strategic Plan Focuses on Near-Term Threats, Hardening Defenses.  CISA on Friday released its 2024-2026 strategic plan that will help guide internal decision-making and operational planning while engaging stakeholders in implementing the agency’s plans and priorities.  According to the announcement, CISA’s strategy has three major goals:  to increase the difficulty for adversaries targeting U.S. and allied systems by addressing immediate threats; to harden defenses through strong security and resilience practices to reduce damaging intrusions; and to pursue “security at scale” by prioritizing cybersecurity safety and enlisting technology providers to apply “secure-by-design” principles and transparency practices so that customers understand the risks of using digital products and services.  CISA’s strategy follows on the release of the National Cyber Director’s Cyber Workforce and Education Strategy and the White House National Cybersecurity Strategy in March and implementation plan in July.  SCMagazine CyberScoop

North Korean Hackers Breach Russian Missile Maker.  Analysis by security researchers have found that the Lazarus hacking group, which is linked to the North Korean government, breached computer systems at top Russian missile maker NPO Mashinostroyeniya (NPO Mash) for at least five months last year through secretly installed digital backdoors.  Technical data shows that the intrusion began in late 2021 and lasted until IT engineers detected the breach in May 2022.  Researchers at cybersecurity firm SentinelOne first discovered the compromise and said that it targeted the company’s IT environment, which allowed hackers to access email traffic, jump between networks and extract data.  Reuters says it is unclear if information was stolen during the intrusion.  Pyongyang announced developments in its ballistic missile program in the months after the breach, though it is unclear if this was related to the hack.  Experts said the incident demonstrates that North Korea is even willing to target allies to acquire critical technologies.  NPO Mash, Russia’s embassy in Washington and North Korea’s mission to the UN did not respond to requests for comment.  NPO Mash is a lead developer of hypersonic missiles, satellite technologies, and newer generation ballistic armaments — which experts say are all areas of interest for Pyongyang as it develops an intercontinental ballistic missile.  Reuters

Iraqi Communication Ministry Blocks Telegram for Leaks of Official, Personal Data.  Iraq’s Communications Ministry has blocked the Telegram messaging app over leaks of official information and personal data by some of its channels.  Telegram is a popular tool in Iraq not only for messaging but also as a source of news and content-sharing.  The Iraqi ministry said Telegram did not respond to the government’s request that it shut down channels that “leak the data of the official state institutions and the personal data of citizens.”  Some Telegram channels reportedly contain personal data including Iraqi names, addresses, and family relationships.   In a statement, the Iraqi ministry noted “its respect for citizens' rights to freedom of expression and communication, without prejudice to the security of the state and its institutions.”  Telegram did not respond to Reuters request for comment.  Reuters

FBI Investigates Cyberattack Impacting Multiple Healthcare Facilities in Eastern U.S. The FBI is investigating a cyberattack that began last Thursday on a hospital network based in California with facilities in the eastern United States.  The Eastern Connecticut Health Network, an affiliate of parent company Prospect Medical, reported on its website that a medical imaging center, an urgent care facility and an outpatient blood-draw center, among others, would be closed until further notice.  Prospect Medical operates hospitals in California, Connecticut, Pennsylvania, and Rhode Island and a network of 166 outpatient clinics and centers. Prospect did not provide any details on the nature of the cyberattack but noted in a statement that on learning of the data security incident, it took systems offline “to protect them and launched an investigation with the help of third-party cybersecurity specialists.”  The FBI is working directly with impacted hospitals to address the disruptions.  Prospect Medical facilities elsewhere in Connecticut, and in Rhode Island and Pennsylvania also reported system disruptions.  No threat actor has claimed responsibility for the cyberattack.  The Record notes that the attack on Prospect Medical is similar to several others that have taken place in the last year, including a ransomware attack in October on CommonSpirit Health, one of the largest nonprofit health care systems in the U.S.  New York Times The Record

U.S. Embassies Use of Outdated Software Increases Breach Vulnerabilities.  According to a draft GAO report, the State Department operates outdated software at many of its overseas missions and lacks skilled cybersecurity personnel to protect critical networks.  The GAO analysis, which is still being finalized, found that U.S. embassies are using legacy systems that are vulnerable to hacker attacks.  The report also notes that many State Department posts not only lack chief information security officers but have no cybersecurity personnel at all on staff.  According to Politico, the GAO developed the report before the revelation in July of Chinese compromises of U.S. email accounts, including high-level State Department officials.  Vahid Behazadan, a computer science professor at the University of New Haven, said that Embassy use of outdated systems like WindowsXP, which Microsoft stopped updating years ago, “is a huge problem in my opinion, if that’s true of course.”  He added, “if no other provider is available to provide the patch, then the attackers can walk right in.”  The State Department told Politico that it “maintains one of the most robust platforms in the federal government to identify malicious cyber activity.”  The State Department’s Bureau of Cyberspace and Digital Policy has been increasing the number of diplomats undergoing cybersecurity training. Nathaniel Fick, the ambassador at large for Cyberspace and Digital Policy, recently said the bureau has the goal of having trained “cyber and digital policy staff members in every mission in the world that matters in the next couple of years, in the next two years.”  The GAO is expected to complete its report this fall.  Politico

China Stymied in AI Race as Western Advances Continue To Widen Chip Gap.  Chip sector analysts and industry sources project increasing difficulties for China’s goal of becoming a self-sufficient world-level chip manufacturer as U.S. sanctions complicate Beijing’s path forward, especially for its development of large AI models.  The gap is widening as advances in generative AI accelerate among Western developers and providers.  As the South China Morning Post notes, leading Chinese firms Yangtze Memory Technologies Corporation and ChangXin Memory Technologies cannot sustain their catch-up efforts due to the U.S. export restrictions.  This is in contrast with U.S.-based Micron Technology, which last month announced samples of its high-bandwidth memory 3 (HBM3) Gen2 die to support generative AI applications.  Korea-based Samsung Electronics last month announced completion of the GDDR7 DRAM for AI applications, with expected development of high-bandwidth memory next year to meet growing demand in AI applications.  Samsung’s national rival, SK Hynix, is also set to double its HBM production next year for AI servers.  Ni Guangnan, a Chinese semiconductor expert, said at a Nanjing conference in July that China’s storage capacity shortcomings would hinder the country from making the most of its massive data resources in AI development.  While Chinese big tech giants Baidu and Alibaba focus on developing generative AI models, Ni said the importance of data storage in China is often given less attention due to the primary focus on computing power.  Top-tier AI server GPUs primarily use high-bandwidth memory (HBM), a type of advanced DRAM optimized for AI innovation that is manufactured only by Micron, Samsung and SK Hynix.  South China Morning Post

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