A report from Bloomberg today claims that China implanted spy chips into servers used by Apple, Amazon, U.S. government contractors, a major bank, and others.The security breach was allegedly discovered during Amazon's evaluation of Elemental Technologies as a potential acquisition target. Elemental makes software for compressing large video files and sells powerful servers assembled by Supermicro that run the software. Its servers can be found in Department of Defense data centers, CIA drone operations, and on Navy warships.
After an initial security audit, Amazon uncovered some issues and had Elemental send a few servers to a third party company in Ontario, Canada for analysis. Nestled on the servers' motherboards, testers found a tiny microchip about the size of a grain of rice that wasn't part of the original design. Amazon reported the discovery to U.S. authorities and a top-secret investigation was launched.
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