The FBI and the US Cybersecurity and Infrastructure Security Agency (CISA) on Wednesday issued a warning that the breach, initially discovered late last month, has since uncovered a wide-reaching and serious cyber espionage operation.
Investigators now believe that a cyberattack on US telecommunications systems, initially thought to be targeting American presidential campaigns, is much more extensive. It is likely part of a broader effort by China to conduct widespread surveillance on the United States, as reported by Voice of America.
In a statement, the two agencies confirmed that their investigation has revealed Chinese-affiliated hackers infiltrated the networks of several US telecommunications companies, potentially gaining access to a vast amount of sensitive data. Furthermore, the hackers appear to have successfully copied information that was requested by US law enforcement through court orders.
"We expect our understanding of these compromises to grow as the investigation continues. We encourage any organization that believes it might be a victim to engage with its local FBI field office or CISA," the FBI and CISA said.
The report further stated that the two agencies first revealed they were investigating a breach of US telecommunications systems in late October, just under two weeks before voters across the country went to the polls for the national elections.
The announcement of the breach came after a report by The New York Times, which suggested that Chinese hackers had infiltrated telecommunications networks to target the campaign of President-elect Donald Trump, including phones used by both Trump and Vice President-elect JD Vance.
The Trump campaign confirmed the breach in a statement to VOA. Additionally, a source familiar with the investigation informed VOA that individuals connected to Vice President Kamala Harris's campaign were also targeted.
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At the time, the Chinese Embassy in Washington rejected the US hacking accusations as disinformation, asserting that the US was "the origin and the largest perpetrator of cyberattacks."
On Thursday, embassy spokesperson Liu Pengyu dismissed the latest US statements as disinformation. "China firmly opposes the US's smear attacks against China without any factual basis," he said in an email. "We hope that relevant parties will adopt a professional and responsible attitude when characterizing cyber incidents, basing their conclusions on sufficient evidence rather than unfounded speculation and accusations."
US intelligence agencies had been warning for months that foreign adversaries were employing a mix of cyberattacks and influence operations to interfere with the US presidential election on November 5. Furthermore, reports from private cybersecurity firms highlighted a notable increase in activity by groups associated with Russia, China, and Iran.
All three countries have consistently denied allegations of interfering in elections. US agencies, including CISA and the FBI, have long cautioned that China-linked hackers have infiltrated US computer systems and networks, sometimes remaining undetected for years.
The China-based group, known as Volt Typhoon, has been "setting the stage for potential destructive cyberattacks that could threaten the physical safety of Americans," according to an advisory released in February.
"What we've found to date is likely the tip of the iceberg," CISA Director Jen Easterly said in a statement at the time.