Today’s Cache | HPE discloses Russian hack; Musk foresees Chinese EV dominance; Riot Games to cut 11% jobs”

Hewlett Packard Enterprise (HPE) reveals a security breach by suspected state-backed Russian hackers.
| Photo Credit: REUTERS

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HPE reveals cyber intrusion by suspected Russian state-backed hackers

Hewlett Packard Enterprise (HPE) reveals a security breach by suspected state-backed Russian hackers, targeting its cloud-based email system. The disclosure, made in a Securities and Exchange Commission filing, indicates that the intrusion was detected on January 12, with HPE pointing to Cozy Bear, a unit of Russia’s SVR foreign intelligence service, as the likely culprit.

This revelation aligns with Microsoft’s recent report of a similar breach on the same date, attributing it to Cozy Bear as well. HPE states that the threat actor accessed and exfiltrated data from a subset of mailboxes since May 2023, affecting cybersecurity, go-to-market, and business segments. The compromised email boxes were using Microsoft software, marking another cybersecurity challenge for the tech industry.

Musk predicts Chinese EV dominance amid trade barriers

Elon Musk, Tesla’s CEO, issues a stark warning about the potential dominance of Chinese automakers, asserting they could ‘demolish’ global competitors without trade barriers. This concern surfaces as BYD, supported by Warren Buffett, outpaces Tesla as the leading EV company worldwide, propelled by its cost-effective models and diverse portfolio. Musk acknowledges Chinese car companies as exceptionally competitive and predicts significant global success, contingent on trade barriers.

However, he cautions that in the absence of such barriers, they could outperform most global counterparts. Musk’s apprehension stems from a previous price war aimed at mitigating high borrowing costs, impacting Tesla’s margins. He now signals a cautionary note, indicating that Tesla is approaching the ‘natural limit of cost reduction’ for its existing lineup.”

Riot Games announces 11% workforce cut

Riot Games unveils a strategic restructuring initiative, set to reduce its global workforce by 11% or approximately 530 roles, following substantial growth since 2019. The move addresses the challenges arising from the company’s evolution into a diverse multi-game entity, where unsustainable costs and modest returns prompted the need for realignment.

Focusing on aspects that generate optimal player value, Riot Games aims to enhance its trajectory and streamline operations. The impact extends beyond core development teams, affecting various departments. A transparent communication process has been initiated, involving global emails notifying employees of potential impacts, followed by individual meetings with senior leaders within 48 hours. Departing employees will receive a comprehensive compensation package, encompassing severance pay, cash bonuses, ongoing health benefits, and additional funds for future expenses.

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