Hackers compromised an external cloud service used by the shopping platform and may have stolen personal information from it.

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The emergency package comes after dozens of companies and government agencies were hit by unauthorized access to their systems and leaks of client data, prompting uneasiness across Japan.

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Google and an assortment of partners shut down a botnet that an approved Android device manufacturer purposefully deployed across more than 1.3 million TV set-top boxes, the company said Monday. 

Videostrong Technology Co., a China-based Android original equipment and device manufacturer, implanted a backdoor into multiple devices it sold. Those backdoors established XCPE, an expansive botnet that cybercriminals used to conduct ad fraud, steal data and route malicious traffic through residential proxy networks, according to a Google Threat Intelligence Group report.

Google took legal action to shut down the domains and servers Videostrong used to control the botnet. The company also took down command-and-control domains that more than a dozen malware families ran as modules through the XCPE backdoor, claiming it disrupted access to at least 10 million additional compromised devices from various manufacturers.

Videostrong sold Android devices with pre-installed malware for years, slipping by Google’s security tests by loading the malicious code after the device’s first boot. “The XCPE operators constantly evolved its configurations to evade Google’s pre and post-launch detections,” Charley Snyder, head of disruption operations at GTIG, told CyberScoop.

Snyder declined to say when or how Google first became aware of the approved vendor running a botnet on Android-powered devices. 

“We found this malicious software built directly into many different device models and brands over multiple years, supported by dedicated infrastructure and constantly evolving configurations to evade detection and manage their affiliates,” Google researchers wrote in the report. “We believe this campaign wasn’t an isolated rogue insider or a development oversight.”

Google banned Videostrong and any future subsidiaries from building or selling certified Android devices, and said it changed its review process to detect and stop similar activities in the future. Yet, Snyder said the company isn’t sharing specifics on these changes because it doesn’t want to provide threat actors insights that might help them circumvent these additional protections.

Most of the devices comprising the XCPE botnet were Android TV set-top boxes, but researchers also observed infected Android-based telehealth devices, karaoke machines and digital signs. 

“Without users’ knowledge or consent, infected devices were offered as a distribution mechanism for a wide array of criminal actors,” researchers wrote in the report. “This led to a variety of malicious activities being conducted on and through the devices, including ad-fraud, data exfiltration, and routing malicious network traffic through the devices.”

The botnet spanned more than 170 countries, with the largest concentration of infected devices based in Malaysia, Brazil, Iraq, Mexico and Taiwan, according to TrendAI researchers. Nearly 44,000 infected devices were based in the United States between June and October.

Google also partnered with Japan’s National Police Agency, Lumen Technologies, Human Security, Plume and Synthient to study and disrupt the botnet. 

The company said the dismantling of XCPE “seriously impacted over a dozen malicious actors,” yet it warned that the underlying market for backdoors, ad fraud and residential proxy networks are resilient and operating as an interconnected supply chain.

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The data of So-net and Plala customers in Japan was exposed, along with 54,401 email account passwords and 16 bank account records.

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Microsoft collaborated with Japanese authorities, Health-ISAC and several cybersecurity companies to dismantle an expansive, seemingly disconnected ecosystem of Chinese-language cybercrime tools and services, the company announced Wednesday.

Since the start of the year, a vast collection of customized phishing kits developed and sold by Chinese-speaking threat actors — a cluster Microsoft tracks as Storm-2990 — have delivered more than 1 billion phishing emails and SMS messages to more than 75,000 organizations globally. More than three-quarters of those malicious messages targeted Microsoft customers, the company said.

Cybercriminals purchased the phishing kits, tools and infrastructure from an interconnected network Microsoft and Japanese authorities started investigating in early 2025. The kits were used to target individuals and organizations in healthcare, financial services, logistics and IT predominantly in the United States and Japan.

Microsoft said it and Health-ISAC, working with a federal court order, seized and redirected domains that powered the underlying infrastructure of these cybercrime tools and services known as YAM Store, CoGUI and Iron Man. 

The company said it also disabled more than 20,000 accounts connected to YAM Store and continues to disrupt the operation by removing infrastructure hosted on its services and blocking more than 100,000 domains used for impersonation and fraud.

“Most people have opened their messages to find a suspicious alert urgently telling them that a package cannot be delivered, a toll remains unpaid, a bank account needs attention, or a tax bill is overdue. The details may change, but the goal is the same: to get someone to click, share personal information, or pay,” Steven Masada, general counsel and general manager of Microsoft’s Digital Crimes Unit, wrote in a blog post.

“These messages are relentless,” he added. “Delete and block one, and another takes its place. Ignore them, and more will follow. Fall for one, and the floodgates open. What appears to be a simple scam message is often the visible end of a much larger transnational cybercriminal operation.”

The phishing kids included templates impersonating legitimate brands that cybercriminals used to facilitate high-volume campaigns. Researchers said similar infrastructure and overlapping activity suggested the tools shared development origins, code reuse or close collaboration among developers.

Microsoft said cybercriminals used the phishing kits to steal credentials, financial data and abuse the device code authentication process to obtain authentication tokens and access compromised accounts. Researchers said cybercriminals primarily used the tools for financial fraud, typically using stolen payment data to make fraudulent purchases of high-end goods or transactions on legitimate financial platforms. 

Resecurity, which aided the investigation, gained access to Iron Man’s infrastructure and found 2,360 phishing templates impersonating banks, retailers, healthcare providers, transportation authorities, police departments and government agencies across 130 countries. Cloudflare, Oracle, Proofpoint and TRM Labs also provided research and investigative support.

“What began with scam activity targeting people and organizations in Japan led investigators to an underground service economy supplying criminals around the world,” Masada wrote. 

“YAM Store, CoGUI and Iron Man are only part of that larger criminal network, but disrupting them makes it harder for criminals to obtain the accounts, tools and infrastructure they rely on,” he added. “The scam message is often the only part victims see. The businesses behind it are what make it possible.”

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The Justice Department and FBI announced that they had seized two hacking tools connected to the Chinese government-linked group Flax Typhoon and a China-based company that the U.S. government has repeatedly taken action against, including with a new multi-agency advisory Thursday.

The domain name seizures were meant to deny hackers access to the vulnerability scanning tool Microscan and the spearphishing tool FishHub created by the Chinese firm Integrity Technology Group, which the United States sanctioned last year. The U.S. government in 2024 also made the company the focus of a takedown operation, saying it was behind a massive botnet.

Authorities were granted the court-authorized seizures in the Western District of Pennsylvania, the FBI and DOJ announced Thursday in unsealing documents in the case.

U.S. agencies paired the announcement of the seizures with an advisory from the FBI, Cybersecurity and Infrastructure Security Agency and National Security Agency.

“Chinese government-linked cyber threat actors, enabled by the Integrity Technology Group, are combining automated scanning tools, large-scale botnets, and hands-on exploitation techniques to target and steal sensitive data from organizations worldwide, including U.S. critical infrastructure sectors,” the advisory reads. “These actors exploit vulnerabilities by using scanning tools, cross-site scripting attacks, and password spraying on Microsoft Exchange servers, while establishing persistence through VPN software and exfiltrating emails and credentials using scripts.”

Similar to previous allegations, law enforcement said Integrity Tech leaned on a Mirai-variant botnet of internet-of-things devices, in this case to facilitate Microscan.

Microscan targets have included a South Carolina power company, airports in Japan and Poland, critical infrastructure companies and universities in Taiwan and others, according to the FBI and DOJ. Victims of FishHub, which downloads malware on their networks after gaining access through spearphishing, include Taiwanese universities.

“Chinese government-affiliated actors continue to position themselves within critical infrastructure networks, including operational technology (OT) systems, with the aim of disrupting critical functions at a future time of their choosing,” said Chris Butera, acting executive assistant director for cybersecurity at CISA. 

“Under the FBI Cyber Strategy, we pursue both the actors who threaten critical infrastructure and the enterprises that support them,” said Brett Leatherman, head of the FBI’s Cyber Division. “Integrity Technology Group, a China-based company with ties to the Chinese government, is one of those enterprises, acquiring or developing cyber tools and hosting infrastructure for actors targeting networks worldwide.”

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The individual was detained in May and has been extradited to Germany to face hacking charges.

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North Korean hackers are infiltrating tens of thousands of job seekers’ computer networks by posing as prospective employers, such as artificial intelligence firms, to steal sensitive information and millions of dollars worth of cryptocurrency, U.S. and allied governments warned Friday.

The security agencies behind the alert, attributed the group, known as WaterPlum or Contagious Interview, as operating under the 313 General Bureau of the Munitions Industry Department subordinate to the Central Committee of the Workers Party of Korea. The efforts dovetail with those of North Korean IT workers.

“WaterPlum actors pose as prospective employers to target software developers and IT professionals worldwide under the pretext of attractive job opportunities,” the agencies wrote. “They often impersonate legitimate Artificial Intelligence (AI), cryptocurrency, or Non-Fungible Token (NFT) companies and have also used recruiting services.”

Additionally, “Some WaterPlum actors also operate as North Korean IT workers performing web system design and development tasks on corporate web systems for clients,” read the alert from agencies in Japan, Australia and Germany, alongside the FBI and the Department of Defense’s Cyber Crime Center.

They’ve used the stolen information to fuel other operations, and the overlap between WaterPlum and North Korean IT workers is substantial, the agencies said.

“WaterPlum actors and North Korean IT Workers used the same IP addresses when accessing laptop farms, using cloud-sourcing services, and applying for positions at the Japanese cryptocurrency exchange,” they wrote.

Collectively, WaterPlum has infected more than 30,000 devices in more than 100 countries, targeting IT professionals in Japan, the United States, Europe and other nations. Its operations have transferred the equivalent of nearly $11 million of cryptocurrency from over 7,000 crypto wallets to North Korea, according to the alert.

The law enforcement agencies said they have had some success tackling the group, but are seeking further cooperation and released details in the alert about WaterPlum’s tactics, techniques and procedures.

“For the first time in Japan, authorities successfully identified, investigated, and dismantled a ‘laptop farm’ operated by an enabler in Japan,” the alert reads. “Japanese authorities obtained evidence this cyber actor group transferred several hundred million Japanese yen in cryptocurrency to foreign locations outside of Japan. The FBI continues to identify and prosecute US-based actors providing illicit facilitation services to North Korean IT workers.”

The warning comes as the Multilateral Sanctions Monitoring Team, an international panel overseeing UN sanctions against North Korea, released a report exposing thousands of North Korean nationals employed in industries around the world.

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A cybersecurity working group at the G7 is urging governments to accelerate defenses against quantum computers that could break some existing forms of public key encryption.

The working group’s report, prepared in June at the G7 Summit in France, said organizations “can no longer afford to postpone” work transitioning critical systems and data to “post-quantum” forms of encryption.

“The quantum threat remains off the radar for many organizations and not properly resourced, with other security concerns taking precedence,” the working group report said. “Yet, a successful and collective transition to PQC can only be achieved if organizations understand that the quantum threat is an economic and business risk, and not merely a cryptographic risk.”

Instead, leaders in government and industry “must reframe the quantum threat from a distant future problem to a near-term threat that demands action across all sectors, not just critical infrastructure.”

The report acknowledged uncertain timelines for quantum computers, but identified that threats like harvesting current sensitive, encrypted data to decrypt it in the future do exist today.

The report also warned that quantum computers could compromise authentication and assurance mechanisms—by forging trusted data or stealing confirmation— jeopardizing secure communications and legal contracts.

The working group’s conclusions are largely in line with what governments have been recommending for years, urging industry to inventory and prioritize their critical systems and shift over to newer, “post-quantum cryptography” encryption algorithms.

These encryption algorithms, originally designed by independent cryptographers and vetted by the National Institute for Standards and Technology and National Security Agency, will be used to protect the government’s own systems and data from cybercriminals and foreign governments.

The Trump administration recently issued an executive order directing agencies to boost the domestic quantum industry and move up internal timelines for migrating to PQC encryption from 2035 to 2030. Google, a potential industry bellwether, and other companies have opted to move their own migration timelines to 2029.

But while that work has proceeded on schedule in some areas, like the federal government and the highly regulated financial sector, it has lagged in other industries where owners and operators feel they have more immediate concerns than quantum computers.

“We acknowledge that transitioning to PQC is not a problem for individual organizations to solve in isolation, but rather a collective transition that can only be achieved with early engagement, coordinated planning and informed decision making across the public and private sectors,” the working group wrote.

While often referred to as “Post-Quantum” encryption, the reality is more complex. Cryptographers believe the algorithms selected by NIST and NSA will stand up to attacks from a quantum computer, but since one doesn’t exist today, designing cryptographic protections against it requires some guesswork and mathematical estimation.

Estimates can be wrong, or overlook the entire cryptographic attack surface. Some NIST-selected algorithms have already been broken with traditional computers or AI. That’s why the agency backs multiple algorithms and concepts like “crypto-agility,” allowing organizations to quickly switch between them.

The G7 report was signed by the U.S. Cybersecurity and Infrastructure Security Agency (CISA), the UK’s National Cyber Security Centre (NCSC), The French Cybersecurity Agency (ANSSI), Germany’s Federal Office of Information Security (BSI), Canada’s Communications Security Establishment (CSE), Japan’s National Cybersecurity Office (NCO) and Italy’s National Cybersecurity Agency (ACN).

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