Previous All Posts Next

Chinese Spy Chips Found on US Server Hardware

Posted: October 5, 2018 to Cybersecurity.

Tags: Data Breach, Malware, Cloud Security

This is something I've been contemplating for a good 20 years. I hate to see my suspicions borne out. As it turns out, China has been putting rice-sized surveillance chips on motherboards manufactured in the country. Since the chips are so small they don't contain a lot of information, but it's enough to allow Chinese hackers to create secret connections to networks that can send and receive information and alter the systems the chip is attached to. The list of companies and institutions affected by the espionage is extensive and includes Amazon, Apple, a major bank, intelligence agencies, and the military. It was almost a stroke of luck that these microchips were even discovered. Three years ago, Amazon was considering buying Elemental Technologies, a company that compresses videos for streaming for things like intelligence agency drones to Space Station communications. During the due diligence, Amazon was inspecting motherboards used by Elemental. The motherboards were built by a company based in San Jose called Supermicro. It's during this inspection that the spy chip was discovered. Amazon then reported the chip to authorities, who started a years-long secret probe that determined the chips had been inserted during their manufacturing in China, though China's Ministry of Foreign Affairs has denied involvement.

Related Resources

Learn more about how Petronella Technology Group can help:

Need help implementing these strategies? Our cybersecurity experts can assess your environment and build a tailored plan.
Get Free Assessment
Explore Our Services
Cybersecurity AI Services Compliance HIPAA CMMC Managed IT

Related Articles

NIST CSF 2.0: What Changed, Why It Matters, and How to Update Your Cybersecurity Program [Video + Guide] NIST CSF 2.0: What Changed, Why It Matters, and How to Update Your Cybersecurity Program [Video + Guide] Incident Response Planning: Build a Cyber Incident Response Plan That Actually Works in 2026 [Video + Guide] Incident Response Planning: Build a Cyber Incident Response Plan That Actually Works in 2026 [Video + Guide] Email Security for Business: Stop Phishing, BEC, and Email-Based Attacks Before They Cost You Millions [Video + Guide] Email Security for Business: Stop Phishing, BEC, and Email-Based Attacks Before They Cost You Millions [Video + Guide] Network Segmentation Guide: How to Contain Breaches and Protect Critical Systems with Proper Network Design [Video + Guide] Network Segmentation Guide: How to Contain Breaches and Protect Critical Systems with Proper Network Design [Video + Guide]

About the Author

Craig Petronella, CEO and Founder of Petronella Technology Group
CEO, Founder & AI Architect, Petronella Technology Group

Craig Petronella founded Petronella Technology Group in 2002 and has spent more than 30 years working at the intersection of cybersecurity, AI, compliance, and digital forensics. He holds the CMMC Registered Practitioner credential (RP-1372) issued by the Cyber AB, is an NC Licensed Digital Forensics Examiner (License #604180-DFE), and completed MIT Professional Education programs in AI, Blockchain, and Cybersecurity. Craig also holds CompTIA Security+, CCNA, and Hyperledger certifications.

He is an Amazon #1 Best-Selling Author of 15+ books on cybersecurity and compliance, host of the Encrypted Ambition podcast (95+ episodes on Apple Podcasts, Spotify, and Amazon), and a cybersecurity keynote speaker with 200+ engagements at conferences, law firms, and corporate boardrooms. Craig serves as Contributing Editor for Cybersecurity at NC Triangle Attorney at Law Magazine and is a guest lecturer at NCCU School of Law. He has served as a digital forensics expert witness in federal and state court cases involving cybercrime, cryptocurrency fraud, SIM-swap attacks, and data breaches.

Under his leadership, Petronella Technology Group has served 2,500+ clients, maintained a zero-breach record among compliant clients, earned a BBB A+ rating every year since 2003, and been featured as a cybersecurity authority on CBS, ABC, NBC, FOX, and WRAL. The company leverages SOC 2 Type II certified platforms and specializes in AI implementation, managed cybersecurity, CMMC/HIPAA/SOC 2 compliance, and digital forensics for businesses across the United States.

CMMC-RP NC Licensed DFE MIT Certified CompTIA Security+ Expert Witness 15+ Books
Related Service
Protect Your Business with Our Cybersecurity Services

Our proprietary 39-layer ZeroHack cybersecurity stack defends your organization 24/7.

Explore Cybersecurity Services
Previous All Posts Next
Free cybersecurity consultation available Schedule Now