Confidential memo accuses Alibaba of aiding Chinese military against US

 November 16, 2025

Brace yourself for a tech scandal with geopolitical stakes that could rival a blockbuster spy thriller. A leaked White House document has dropped a bombshell, accusing Chinese tech behemoth Alibaba of collaborating with Beijing’s military to conduct cyber operations targeting American interests. This isn’t just a corporate dust-up; it’s a wake-up call about national security.

The crux of the story is a classified memo, reviewed by the Financial Times, claiming Alibaba handed over sensitive customer data and software flaws to the People’s Liberation Army (PLA) for use against the US, as New York Post reports.

Dated earlier this month, the memo specifically alleges that Alibaba shared IP addresses, WiFi information, and payment records with the PLA. It also accuses company employees of passing along unpatched software vulnerabilities, known as “zero-day” exploits, which could be weaponized for cyber intrusions. The Financial Times noted, however, that these claims remain unverified by independent sources.

Unpacking the White House Memo Claims

The timing of this leak raises eyebrows, coming on the heels of a trade truce between President Trump and Chinese President Xi Jinping at a recent meeting in South Korea. Could this be a calculated move to derail diplomatic progress, or is it a genuine red flag about China’s tech giants?

Alibaba, for its part, has come out swinging, dismissing the accusations as pure fiction. “This malicious PR operation clearly came from a rogue voice looking to undermine President Trump’s recent trade deal with China,” a spokesperson told The Post. Well, if it’s a PR stunt, it’s a costly one—trust in global tech firms doesn’t come cheap.

The Chinese embassy in Washington echoed Alibaba’s denial, labeling the memo’s assertions a “complete distortion of facts.” They insist Beijing doesn’t pressure companies to flout data privacy laws. Yet, given China’s track record on military-civil fusion policies, many in the US remain skeptical of such assurances.

Cyber Threats and National Security Concerns

Adding fuel to the fire, US officials have long warned about China’s capacity to disrupt critical American infrastructure. The ongoing “Salt Typhoon” cyber campaign, identified as a major breach of telecommunication networks, is a stark reminder of these vulnerabilities. The memo, though vague on specific targets, aligns with broader fears of digital espionage.

Dennis Wilder, a former senior CIA analyst, didn’t mince words about the PLA’s activities. “The PLA is conducting widespread and daily intrusions against US critical infrastructure, including airports, seaports and other critical transportation nodes of US forces in the Pacific, but also in the continental US,” he stated. That’s not just hacking—it’s a blueprint for chaos in a potential conflict.

Wilder also introduced a chilling term for the PLA’s alleged goal: “system destruction warfare.” If true, this strategy suggests a focus on crippling America’s logistical backbone during a crisis. It’s the kind of foresight that should keep policymakers up at night.

Alibaba’s Defense and Political Backlash

Alibaba isn’t taking these accusations lying down, questioning the credibility of the anonymous leak. The company argues the Financial Times itself admitted to lacking corroboration for the memo’s claims. This defense might resonate with those wary of unverified leaks, but it doesn’t erase the underlying unease about tech ties to authoritarian regimes.

The White House and CIA have stayed mum on the matter, leaving room for speculation. Meanwhile, concerns about China’s military-civil fusion policy—where private firms are obligated to support the PLA—continue to grow among US officials. It’s a structural issue that no amount of corporate denials can fully dismiss.

Rep. John Moolenaar, chairman of the House Select Committee on US-China competition, has been vocal about tightening the screws on Chinese firms. Earlier this year, he and other lawmakers pushed the SEC to delist 25 companies, including Alibaba, from US stock exchanges over suspected military connections. That’s a bold move, signaling zero tolerance for perceived security risks.

Broader Implications for US-China Relations

The broader context here is a cyber chess game between two superpowers, with American infrastructure like airports and seaports allegedly in the crosshairs. Wilder’s warnings about the PLA’s unprecedented espionage levels aren’t abstract—they’re a call to shore up defenses now, not later.

For conservatives, this saga underscores the dangers of unchecked globalization and overreliance on foreign tech. While progressive voices might cry foul over “xenophobia,” the reality is that national security isn’t a partisan issue—it’s a survival issue. Let’s hope this memo, verified or not, sparks a serious debate on protecting American innovation.

Ultimately, whether Alibaba is a pawn or a player in Beijing’s strategy remains unclear, but the stakes couldn’t be higher. As trade deals and diplomatic handshakes unfold, the US must keep its digital guard up. After all, in the world of cyber warfare, a handshake can hide a dagger.