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China and CybersecurityEspionage, Strategy, and Politics in the Digital Domain$
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Jon R. Lindsay, Tai Ming Cheung, and Derek S. Reveron

Print publication date: 2015

Print ISBN-13: 9780190201265

Published to Oxford Scholarship Online: April 2015

DOI: 10.1093/acprof:oso/9780190201265.001.0001

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From Exploitation to Innovation

From Exploitation to Innovation

Acquisition, Absorption, and Application

Chapter:
(p.51) Chapter 3 From Exploitation to Innovation
Source:
China and Cybersecurity
Author(s):

Jon R. Lindsay

Tai Ming Cheung

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780190201265.003.0003

The rising tide of Chinese cyber espionage has prompted deepening concern in the United States and around the world. Espionage does not translate simply into innovation, however, but rather must be processed by a complex network of government and industrial organizations and translated into successful performance against competitors. Inefficiencies throughout the entire intelligence-to-innovation process can erode the value of stolen data. This chapter provides a framework for understanding illicit acquisition, institutional absorption, and competitive application and then evaluates China’s efforts to overcome the obstacles in each step. But there are reasons to be skeptical that China’s impressive cyber exploitation campaign delivers a meaningful strategic advantage. Overreliance on economic espionage, moreover, may become an impediment in China’s quest to become a leading industrial superpower.

Keywords:   industrial espionage, economic espionage, advanced persistent threat, cyber exploitation, innovation, Chinese industry, China, cybersecurity

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