White House Memo Accuses Alibaba of Aiding Chinese Military Cyber Operations

A newly disclosed White House memo has ignited major controversy by alleging that Chinese technology conglomerate Alibaba secretly supported the Chinese military’s cyber and intelligence operations targeting the United States. The claims, based on declassified high-level intelligence and first reported by the Financial Times, add fresh pressure on Washington’s already strained technology relationship with Beijing.

According to the memo, US intelligence agencies believe Alibaba provided the People’s Liberation Army with access to a range of sensitive information and digital capabilities, including customer metadata, AI-powered tools and details of zero-day software vulnerabilities. Officials see these alleged transfers as granting the PLA potential advantages in cyber activities that could directly threaten American national security interests.

The memo asserts that Alibaba’s cloud and data services enabled access to IP addresses, WiFi patterns, payment records and AI-enhanced analytics. Intelligence officials also highlighted instances where Alibaba employees allegedly shared knowledge of undisclosed software flaws — the sort of vulnerabilities that can be weaponised in cyberattacks. While US officials acknowledged they could not definitively confirm every detail in the memo, they stressed that the allegations align with broader concerns surrounding China’s technology sector.

A senior US official cited by the FT said the administration views the risks as serious and is intensifying efforts to contain cyber intrusions initiated through “untrusted vendors.” The findings appear to reinforce Washington’s long-standing fears that Chinese tech firms could be leveraged by Beijing’s military apparatus to undermine US networks.

Alibaba forcefully rejected the accusations, calling them baseless and politically motivated. In a statement, the company described the allegations as “completely false” and questioned the intent behind the leak. Alibaba argued that the information appeared designed to disrupt the atmosphere surrounding the latest US–China trade negotiations.

Beijing also issued a strong response. The Chinese embassy in Washington condemned the claims as fabricated and irresponsible, accusing the US of distorting facts without evidence. A spokesperson stated that China “firmly opposes” the accusations and dismissed them as another example of American overreach in its technology policies.

The White House declined to offer further comment, leaving the memo to speak for itself. The controversy, however, is expected to intensify political calls for expanded restrictions on Chinese cloud, AI and data companies operating in or around US infrastructure.

With growing bipartisan pressure and rising anxieties over cyber vulnerabilities, this memo may significantly accelerate Washington’s push to restructure how US networks interact with foreign technology providers.