A confidential memo from the White House claims that Alibaba, the Chinese e-commerce giant, is aiding the Chinese military with cyber operations aimed at the U.S., according to a report by The Financial Times.
The FT reviewed the documents, which allege that Alibaba has granted the People’s Liberation Army access to customer information and shared insights on critical vulnerabilities in its software.
The FT couldn’t independently verify the information in the memo.
In response, Alibaba dismissed the allegations, stating they are “complete nonsense.”
The company further claimed that this narrative is an attempt to mislead the public and tarnish Alibaba’s reputation.
An Alibaba spokesperson told the Post that the article’s claims are entirely false.
While questioning the motivations behind the anonymous leaks, the spokesperson noted that the FT itself acknowledged it couldn’t verify the claims.
Alibaba accused the source of the leak of trying to jeopardize President Trump’s recent trade agreement with China.
The memo reportedly suggests that the Chinese government had access to sensitive user data, such as IP addresses and payment histories.
It also claims that Alibaba employees were informed about critical software flaws, termed “zero-day” exploits, that had yet to be addressed by developers.
When asked if Alibaba had collaborated with the People’s Liberation Army, the company did not immediately respond.
Neither the White House nor the CIA offered any comments to the FT. This memo was dated November 1, just after Trump and Xi had a meeting in South Korea, where they agreed to a temporary halt on trade restrictions.
The Chinese embassy in Washington called the memo’s assertions a “complete distortion” and maintained that China wouldn’t compel companies to gather overseas data in violation of local laws.
The memo didn’t detail which U.S. sites or systems the PLA might target, but earlier warnings from the Director of National Intelligence indicated that China posed a threat to U.S. infrastructure.
This concern is tied to the “Salt Typhoon” cyber campaign that is seen as a significant breach of U.S. telecommunications systems.
Dennis Wilder, a former senior China analyst at the CIA, mentioned that the PLA’s cyber espionage efforts have escalated to “unprecedented” levels, stating that they routinely access vital U.S. infrastructure.
He remarked on the PLA’s objectives, suggesting they aim to prepare for potential military conflicts.
These claims illustrate the growing apprehension in Washington regarding the relationships between Chinese technology firms and the military.
U.S. officials have highlighted China’s strategy of “civil-military fusion,” which mandates that private firms share technological advancements with the PLA.
Congressman John Moolener, who chairs the Select Committee on Strategic Competition with the Chinese Communist Party, emphasized the need for protective measures for Americans, suggesting that Chinese companies should be barred from American markets.
This isn’t the first time such concerns have arisen—during May, Moolener and others urged the SEC to halt the listing of 25 Chinese companies, including Alibaba, over suspected ties to the military.
