US Treasury Department Hacked: What We Know [Video]

Chinese hackers gained remote access to several U.S. Treasury Department workstations and unclassified documents by exploiting vulnerabilities in a third-party software provider in what the agency on Monday called a “major cybersecurity incident.”

Why It Matters

Hacking competitions in China have surged over recent years, supported by strong government backing and rising public interest, raising alarm in the U.S., where officials are warning that the widening cyber skills gap is placing America at a strategic disadvantage and posing national security risks.

China has made great strides since President Xi Jinping‘s call for the nation to become a “cyber powerhouse” a decade ago. University programs in cybersecurity have been standardized, a National Cybersecurity Talent and Innovation Base capable of certifying 70,000 cybersecurity experts per year was established and the hacking competitions—many touting their alignment with Xi’s “powerhouse” ambition—have proliferated.