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Microsoft mentioned it’ll stop utilizing China-based laptop engineering groups for work on Pentagon cloud techniques and different labeled techniques after an investigation this week led to nationwide safety considerations on the highest ranges over a program that Microsoft has used since 2016.
A ProPublica report launched Tuesday accused Microsoft of permitting China-based engineers to help with Pentagon cloud techniques with insufficient guardrails in an effort to scale up its authorities contracting enterprise.
The report received the eye of GOP lawmakers and the Trump administration, with Protection Secretary Pete Hegseth insisting Friday that international engineers from “any nation … ought to NEVER be allowed to keep up or entry DOD techniques.” He added that the Protection Division could be “trying into this ASAP.”
After Hegseth’s indication that the Pentagon could be trying into the matter, Fox Information Digital reached out to Microsoft, which responded that it will be ceasing its use of China-based laptop engineers offering help to delicate Protection Division cloud “and associated” providers.
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Pete Hegseth addressed Microsoft safety considerations. (AP Picture/Rick Rycroft; Philip Fong/AFP by way of Getty Photographs; Omar Havana/Getty Photographs)
“In response to considerations raised earlier this week about U.S.-supervised international engineers, Microsoft has made adjustments to our help for U.S. authorities prospects to guarantee that no China-based engineering groups are offering technical help for DOD authorities cloud and associated providers,” Frank Shaw, chief communications officer at Microsoft, mentioned.
“We stay dedicated to offering probably the most safe providers doable to the U.S. authorities, together with working with our nationwide safety companions to judge and modify our safety protocols as wanted.”
The ProPublica report launched earlier this week, which spurred Microsoft’s motion, cited present and former staff and authorities contractors who labored on a cloud computing program deployed by Microsoft in 2016. This system, meant to fulfill federal contracting laws, used a system of “digital escort” chaperones for world cybersecurity officers, akin to these primarily based in China, meant to create a safety buffer in order that they will work on company computing techniques. DOD tips require that folks dealing with delicate information be U.S. residents or everlasting residents.
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The flags of america and China flutter on the Fairmont Peace Lodge April 25, 2024, in Shanghai, China. (Wang Gang/VCG by way of Getty Photographs)
In response to sources who spoke to ProPublica, together with some who had intimate familiarity with the hiring course of for the $18-per-hour “digital escort” positions, the tech staff being employed to do the supervising lacked the sufficient tech experience to stop a rogue Chinese language worker from hacking the system or turning over labeled data to the CCP.
The sources elaborated that the escorts, typically former army personnel, had been employed for his or her safety clearances greater than their technical talents and sometimes lacked the abilities to judge code being utilized by the engineers they had been supervising.
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Microsoft used its escort system to deal with delicate authorities data that falls under “labeled,” the ProPublica report indicated. That features “information that entails the safety of life and monetary break.” On the Protection Division, the information is categorized as “Impression Degree” 4 and 5, which ProPublica reported consists of supplies straight supporting army operations.
Folks in China are ruled by sweeping legal guidelines compelling authorities cooperation with information assortment efforts.

The Pentagon in Arlington, Va. (Workers/AFP by way of Getty Photographs)
Earlier than Microsoft’s announcement Friday that it will be ceasing its use of China-based engineers for delicate Protection Division packages, the corporate defended its “digital escort” program, noting all personnel and contractors with privileged entry should move federally permitted background checks. The corporate additionally pointed to a response from the Protection Info Methods Company, which mentioned that “digital escorts” are used “in choose unclassified environments.”
“For some technical requests, Microsoft engages our group of world subject-matter consultants to offer help by approved U.S. personnel, according to U.S. authorities necessities and processes,” an organization spokesperson instructed Fox Information Digital Tuesday. “In these cases, world help personnel don’t have any direct entry to buyer information or buyer techniques.”
The spokesperson added on the time that Microsoft adheres to the federal safety necessities outlined by the Protection Division and the Federal Threat and Authorization Administration Program established in 2011 to handle the dangers related to shifting from solely government-controlled servers to cloud-based computing.
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“We set up layers of mitigation on the platform degree with safety and monitoring controls to detect and stop threats. This consists of approval workflows for system adjustments and automatic code critiques to shortly detect and stop the introduction of vulnerabilities,” the spokesperson mentioned. “This manufacturing system help mannequin is permitted and recurrently audited by the U.S. authorities.”
Fox Information Digital reached out to the Pentagon to inquire whether or not Microsoft’s motion adjustments its deliberate investigation however didn’t obtain a response by publication time.