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Pentagon: China Is Source of Cyber Concern: Some of the targeted intrusions of computer systems around the world—including US government-owned networks—in 2010 "appear to have originated" within China, according to the Pentagon's new report to Congress on Chinese military developments. "These intrusions were focused on exfiltrating information," states the report. "Although this alone is a serious concern, the accesses and skills required for these intrusions are similar to those necessary to conduct computer network attacks." The report notes that China "has made steady progress in recent years" to develop its offensive cyber warfare capabilities, just as it has expanded the two other areas of its military that are global in nature: nuclear and space forces. "We have some concerns about some of the things that we've seen, and we want to be able to work through that with China," Michael Schiffer, deputy assistant secretary of defense for East Asia, told reporters Aug. 24 when discussing the cyber issues highlighted in the report. (China report; caution, large file.) (Schiffer transcript) (See also Operation Shady RAT and Weapon Design May Have to Change after Cyber Attack.)