THREAT OPS › Threat News › China-Based Artificial Intelligence Companies Conducting Industrial-Scale Distillation Campaigns Against U.S. AI Companies
China-Based Artificial Intelligence Companies Conducting Industrial-Scale Distillation Campaigns Against U.S. AI Companies
<h2><strong>Executive summary</strong></h2> <p>China-based artificial intelligence (AI) companies are conducting systematic extraction of proprietary functionalities and capabilities of U.S. AI companies’ models through industrial-scale knowledge distillation campaigns that form the core—not merely a supplement—of their AI development strategy. While “distillation” is recognized as a legitimate an
MITRE ATT&CK techniques
- Acquire InfrastructureT1583
- Artificial IntelligenceT1588.007
- Acquire InfrastructureAML.T0008
- Extract AI ModelAML.T0024.002
- AI Model Inference API AccessAML.T0040
- Verify AttackAML.T0042
- Manual ModificationAML.T0043.003
- External HarmsAML.T0048
- Financial HarmAML.T0048.000
- LLM Prompt InjectionAML.T0051
- LLM JailbreakAML.T0054
- LLM Prompt CraftingAML.T0065
Indicators of compromise
- https://csrc.nist.gov/pubs/ai/100/2/e2025/finalurl
- https://arxiv.org/pdf/2412.19437url
- https://www.anthropic.com/news/detecting-and-preventing-distillation-attacksurl
- https://nvlpubs.nist.gov/nistpubs/ai/NIST.AI.100-2e2025.pdfurl
- https://assets.bwbx.io/documents/users/iqjWHBFdfxIU/rRmql_jJcxb4/v0url
- https://the-decoder.com/how-chinas-gray-market-sells-claude-tokens-at-a-fraction-of-the-price/url
- https://www.whitehouse.gov/presidential-actions/2026/06/national-security-presidential-memorandum-nspm-11/url
- https://www.ic3.gov/url
- cybersecurityreports@nsa.govemail
- dib_defense@cyber.nsa.govemail
- mediarelations@nsa.govemail
- contact@cisa.dhs.govemail
Original source: https://www.cisa.gov/news-events/cybersecurity-advisories/aa26-251a