Cisco Talos linked SD-WAN key-stealing malware to infrastructure overlapping Volt Typhoon’s Silent Train network, which Lumen detailed.

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Volt Typhoon, a China-government backed hacking group that has infiltrated America’s critical infrastructure networks for years, has consistently built and dismantled ephemeral malicious infrastructure to burrow into hundreds of sensitive systems undetected, Lumen Technologies’ Black Lotus Labs said in a Wednesday report.

The covert access operation that researchers call “Silent Train” isn’t a standalone network, but rather a series of compromised small office home office (SOHO) routers, internet of things (IoT) devices and enterprise infrastructure that Volt Typhoon has rapidly rotated through since late 2023. 

The Chinese threat group has used this chain of short-lived compromised infrastructure to exploit additional vulnerabilities, including zero-days, in network edge devices and gain deeper, persistent access into victim networks, researchers said. 

“Individual chains are assembled and dismantled every day, with infrastructure continually refreshed,” Michael Horka, principal information security engineer at Black Lotus Labs, told CyberScoop. “Volt Typhoon demonstrated a repeatable capability to rebuild a new chain with different infrastructure in less than two minutes, making the number of nodes at any one moment effectively close to zero.”

Black Lotus Labs has notified hundreds of victims since it first identified Silent Train activity, including telecom providers, government entities, defense contractors, communication services, universities and IT firms. Other victims spanning critical infrastructure include organizations in the water, energy, transportation, maritime, rail, aviation and emergency services sectors.

“The ephemeral nature of the framework means our observations should not be interpreted as a complete census of Volt Typhoon activity,” said Horka, who also was the lead researcher on the report.

The nation-state group’s investment in operational security and preserving access is remarkable, according to Black Lotus Labs.

“We observed infrastructure assembled in under two minutes, sessions averaging roughly four hours, extensive cleanup, compartmentalization and continued development of new access vectors,” Horka said. “That is considerable effort devoted not even to get into their end targets, but purely to making important operations difficult to discover and trace.”

Volt Typhoon relied more heavily on Silent Train after the FBI and Justice Department disrupted the KV Botnet in early 2024, researchers said. Earlier this year, U.S. and global authorities warned about a widespread shift in Chinese hacking groups’ use of covert networks riding on compromised common devices.

The reach of those efforts is extensive and ongoing. Volt Typhoon has exploited and abused more than 27 device classes in Silent Train operations, including edge devices, enterprise management tools, identity and access management systems, networking infrastructure and other technologies. 

“The diversity matters, but the discipline matters even more,” Horka said. “Specific device types were consistently reserved for particular positions in the chain. It operated less like a collection of randomly compromised devices and more like an organized inventory of capabilities.”

The threat group has successfully compromised devices and technologies from Fortinet, Cisco, ManageEngine, Ivanti, F5, Check Point, Palo Alto Networks, ServiceNow, TP-Link, Netgear and ArcGIS, researchers said. Black Lotus Labs also observed confirmed zero-day campaigns targeting Versa Director, N-Able N-Central, Cisco Catalyst SD-WAN and VeloCloud Orchestrator. 

“The exploitation patterns, victimology, and geographic targeting observed throughout our investigation point to a sustained focus on communications, defense, government, and critical infrastructure environments of enduring strategic value,” Black Lotus Labs researchers wrote in the report. “Through repeated targeting of centralized management platforms and control-plane technologies, Silent Train shows how Volt Typhoon systematically pursues and preserves access to some of the most consequential networks in the United States.”

Silent Train’s ephemerality and operational discipline means it can’t be measured in size. These attributes also make it “fundamentally difficult to disrupt because there isn’t one network to take down,” Horka said. 

“What exists today will be completely different tomorrow,” he added. “You can try to remove individual pieces, but removing the actor’s ability to continuously rebuild them is a much harder problem to solve.”

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On July 1, the Cybersecurity and Infrastructure Security Agency (CISA) published a seven-page notice in the Federal Register that could fundamentally change how the U.S. government works with private companies to protect critical infrastructure from cyber threats and natural disasters.

The notice, “Establishment of the Alliance of National Councils for Homeland Operational Resilience – Critical Infrastructure (ANCHOR-CI),” details a new framework for CISA to build councils that let private partners advise the government on cybersecurity and critical infrastructure issues. This replaces the 20-year framework that the federal government used to work with critical infrastructure partners, formerly known as the Critical Infrastructure Partnership Advisory Council (CIPAC). For at least the next two years, ANCHOR-CI will dictate how the government and industry collaborate to protect critical infrastructure.

When former Homeland Security Secretary Kristi Noem terminated CIPAC in March of last year, Congress and private-sector partners objected immediately. The damage was real. The 16 sector-coordinating councils (SCCs), that brought together private partners from each critical infrastructure sector lost their legal mechanism to meet with the federal government. They could no longer advise and provide group consensus to their federal counterparts without triggering laws that CIPAC exempted. To be sure, CISA still had the Joint Cyber Defense Collaborative. Department of Energy had the Energy Threat Analysis Center. The National Security Agency had the Cybersecurity Collaboration Center. But none, however, replaced what the SCC ’s did: stand as steady forums where industry and government hashed out how to best assist critical infrastructure owners and operators.

Not that the SCCs were flawless. I worked with or alongside SCCs for more than a decade, most recently at CISA, and I am familiar with their shortcomings. SCC membership could be stagnant. The quality of recommendations to the government varied.  New members faced barriers based on each sector’s rules.

The core problem was how the model locked each sector in. DHS built SCCs in an era when critical infrastructure risks were looked at through a sector-specific lens: energy, transportation, water, communications, and so on. Today’s cyber threats jump across these sectors. A vulnerability in a cloud service provider or industrial software platform can harm hospitals, pipelines, manufacturers, water utilities, and financial institutions simultaneously.

To see why ANCHOR-CI works better than the CIPAC structure, we need to go back 20 years and understand what CIPAC was trying to do. Congress didn’t codify CIPAC into law. Instead, Congress authorized DHS to establish advisory committees exempt from the Federal Advisory Committee Act (FACA). This exemption let the federal government and SCCs hold private meetings without public notice, convene quickly without complying with FACA procedural requirements, pick members based on expertise rather than balanced public representation, and skip FACA’s public recordkeeping requirements. (But these FACA exemptions do not exempt records from the Freedom of Information Act, a common misconception.)

ANCHOR-CI carries this power forward. Crucially, ANCHOR-CI end the siloed, sector-by-sector approach by creating four types of councils: Critical Infrastructure Sector Councils; Cross-Sector Councils; Critical Infrastructure Industry Councils; and Regional Coordinating Councils.

Critical Infrastructure Sector Councils: These are basically the old SCCs, but with a change in power.  The CISA director now approves or removes any council member directly.

Cross-Sector Councils: These councils matter most. Specifically, they tackle “current and emerging threats, interdependencies, or other issues impacting multiple critical infrastructure sectors or industries.” Examples might include councils on countering unmanned aerial systems, AI threats, or reducing dependence on foreign supply chains. CISA could also revive and expand the Space Systems Critical Infrastructure Working Group.

Critical Infrastructure Industry Councils: Like cross-sector councils but designed for issues that span sectors in ways that don’t fit neatly into a given sector. After Volt Typhoon—a Chinese campaign that installed malicious malware in critical infrastructure—CISA could establish an Operational Technology council with original equipment manufacturers, software providers, and critical infrastructure owners to address and stop the threat.

Regional Coordinating Councils: CISA says these will help state and local governments tackle regional risks. What that means in practice is unclear. CISA could create 10 councils tied to 10 regional offices. Or it could create councils focused on real regional risks: preparing for the Cascadia subduction zone in the Pacific Northwest, droughts in the Southwest, or hurricane in the South and Mid-Atlantic.

In the end, like any policy, success hinges on how CISA carries it out. If CISA runs ANCHOR-CI thoughtfully and with transparency, it could become the biggest upgrade in of public-private cybersecurity collaboration work in two decades.

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