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<v Speaker 1>High listeners ting here hacking through the latest circuitry on

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<v Speaker 1>Beijing bites. Buckle up, because the last two weeks in

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<v Speaker 1>the US to China tech war have been a wild ride.

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<v Speaker 1>Think cyber shootouts, regulatory curve balls, and a few AI

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<v Speaker 1>bombshells big enough to shake Wall Street. Let's dive right

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<v Speaker 1>into the action. Top of the headlines. Italian police just

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<v Speaker 1>arrested sho ze Way, a notorious Chinese hacker, at the

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<v Speaker 1>U S government's request. Shu and his cohort Zang Yu,

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<v Speaker 1>are accused of unleashing the infamous Hafnium aka silk Typhoon

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<v Speaker 1>hacks on Microsoft Exchange servers. This wasn't your run of

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<v Speaker 1>the dash millimeter phishing attempt. We're talking breaches at over

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<v Speaker 1>sixty thousand US entities, targeting everything from COVID nineteen research

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<v Speaker 1>at top universities to sensitive business email troves. US authorities

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<v Speaker 1>say the Chinese Ministry of State Security directly orchestrated some

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<v Speaker 1>of these attacks, and the trail sale goes through Shanghai

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<v Speaker 1>Power Rock Network shoes employer. The DOJ sees this is

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<v Speaker 1>a win, but Google's John Holtquest warns, with dozens of

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<v Speaker 1>teams still out there. This won't slow the cyber espionage treadmill,

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<v Speaker 1>though it might make the next shoe think twice. Meanwhile,

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<v Speaker 1>the US just went defcon too on advanced chip exports.

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<v Speaker 1>In Nvidia's H one hundred and AMD's mi I three

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<v Speaker 1>hundred x GPUs were already China nogos, but now the

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<v Speaker 1>US Commerce Department is extending licensing requirements to Malaysia and Thailand.

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<v Speaker 1>Why Chinese firms like deep Seek have been using shell

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<v Speaker 1>companies there to skim chips despite embargoes. Malaysia's Trade Minister

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<v Speaker 1>Tenkuzafru Lasease even set up a task force to audit

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<v Speaker 1>every in Nvidia GPU shipment. Imagine digital customs officers with

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<v Speaker 1>x ray vision. Singapore too is prosecuting middlemen for shipping

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<v Speaker 1>three hundred and ninety million dollars in chips to deep

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<v Speaker 1>leaving the whole Southeast Asian supply chain jumpy. This is

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<v Speaker 1>the tech version of whack dasher dash Mall regulators plug one,

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<v Speaker 1>leak another spring somewhere else. If you're wondering how all

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<v Speaker 1>this regulatory crossfire is hitting industry, look no further than

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<v Speaker 1>the AI sector. Deep Seek's budget friendly, high performing AI

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<v Speaker 1>models sparked a trillion dollar market panic in the US

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<v Speaker 1>back in January, with tech stocks briefly in free fall.

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<v Speaker 1>Washington responded by evaluating deep Seek for national security risks,

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<v Speaker 1>while Beijing quietly sees the passports of Deep Seek's top

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<v Speaker 1>engineers and not so on to way of saying you're

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<v Speaker 1>not leaving any time soon. Copyright is now the new battleground,

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<v Speaker 1>as US lawmakers weigh rules that could hamper American AI

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<v Speaker 1>labs more than Chinese ones, since Beijing has zero qualms

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<v Speaker 1>about hoovering up copyrighted US data for training Let's not

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<v Speaker 1>forget policy. The US Department of Justice's Data Secureuity Program

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<v Speaker 1>kicks in tomorrow, July ninth, enforcing the toughest rules yet

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<v Speaker 1>on international data transfers, especially to China and other countries

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<v Speaker 1>of concern. Tech companies scrambling to comply could face severe

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<v Speaker 1>penalties if they slip up now that the ninety day

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<v Speaker 1>grace period is over zooming out. Experts at UBS predict

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<v Speaker 1>that with the US China trade truce expiring in August,

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<v Speaker 1>stricter penalties could further split global tech markets, rewarding compliant

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<v Speaker 1>Western firms and squeezing those reliant on Chinese demand. If

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<v Speaker 1>that's not enough, new FEOC rules deny US energy tax

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<v Speaker 1>credits to projects using too much Chinese content, tightening the

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<v Speaker 1>financial vice on tech imports. So where does this all lead?

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<v Speaker 1>Strategic decoupling is accelerating and both sides are doubling down.

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<v Speaker 1>For the US, that means more export controls, comply crackdowns,

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<v Speaker 1>and polythy innovation. For China, it's about turbocharging domestic alternatives,

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<v Speaker 1>outflanking sanctions, and occasionally playing a little global chess with

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<v Speaker 1>its hacker pawns. That wraps another bite sized burst of

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<v Speaker 1>the US to China tech rivalry. Thanks for tuning in, listeners,

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<v Speaker 1>don't forget to subscribe for your next slice of cyber intrigue.

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<v Speaker 1>This has been a quiet please production. For more check

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<v Speaker 1>out quiet please dot ai