noun Spying directed toward discovering the secrets of a rival manufacturer or other industrial company. It is nevertheless . Secure digital assets. ", "CIA agents have been hacking China for 11 years, security firm claims", "The CIA Hacking Group (APT-C-39) Conducts Cyber-Espionage Operation on China's Critical Industries for 11 Years", "Edward Snowden says NSA engages in industrial espionage", "Wikileaks-Enthllung: NSA soll auch franzsische Wirtschaft bespitzelt haben", "British firms told of China cyber spying", "Germany accuses China of industrial espionage", "Spying Close to Home: German Intelligence Under Fire for NSA Cooperation - SPIEGEL ONLINE - International", "BND und NSA: Die Chronologie des Spionageskandals Politik", "Wie die NSA europische Unternehmen ausspionierte", "Bundesverfassungsgericht - BVerfG, Beschluss des Zweiten Senats vom 13. n", "Geheimdienst-Affre: NSA jubelte BND deutsche Sphziele unter", "German Constitutional Court rules out access to NSA's 'selectors' list", "Designierter NSA-Sonderermittler: Ein Mann, 40.000 brisante Daten", "Geheimdienstaffre: Sonderermittler spricht von klarem Vertragsbruch der NSA", "The Economic Espionage Act: The Rules Have Not Changed, Competitive Intelligence Review, July/August 1998". Privacy Policy Such a practice is meant to create a competitive advantage for the party who has the information. [13] Information may be compromised via unsolicited requests for information, marketing surveys, or use of technical support or research or software facilities. These collection activities are primarily directed at obtaining information on military systems and advanced computing applications that can be used in Israel's sizable armaments industry. [79], In Operation Eikonal, German BND agents received "selector lists" from the NSA search terms for their dragnet surveillance. Industrial Espionage Definition, Meaning, Example Business Terms, Fundamental Analysis, Sectors & Industries Analysis. We've updated our Privacy Policy, which will go in to effect on September 1, 2022. A relatively new area of industrial espionage involves denying a competitor the use of their information, services, or facilities by way of computer malware, spyware, or a distributed denial-of-service attack (DDoS). [71], A 2009 report to the US government, by aerospace and defense company Northrop Grumman, describes Chinese economic espionage as comprising "the single greatest threat to U.S. In short, the purpose of espionage is to gather knowledge about one or more organizations. Social media is a new frontier for industrial espionage and its full impact and utility are still being measured. The embezzler faxed 14 pages of Coca-Cola documents and received a wire transfer shortly after. Brazil's President Dilma Rousseff stated that it was tantamount to industrial espionage and had no security justification. While most people with only a limited knowledge of espionage may merely view industrial espionage as simple corporate theft, it actually has far more serious consequences than basic thievery. Espionage is the process of obtaining information that is not normally publicly available, using human sources (agents) or technical means (like hacking into computer systems). This espionage can come from domestic or foreign companies, because the world of corporate espionage is both varied and widespread. Others, however, are laughably low-tech. The British attempted to rectify the deficit by trading opium to the Chinese, but encountered difficulties after the Daoguang Emperor banned the opium trade and the First Opium War broke out. A variation of this practice occurs when a competitor lures away a valuable employee with offers of more money and benefits, in the hope that the pirated worker will make his store of secrets available to his new employer. Some espionage is conducted through legal channels and some is conducted illegally. Similar acquisition activities are at work in the U.S. and the U.K. Cyber attacks. Industrial espionage is nothing new. The report, he said, "is not intended to be, and is not, a reflection of current policy or operations". Industrial society, they say, must be reorganized from top to bottom; private industry must cease. It may also be conducted by governments as they pursue economic or financial goals. Industrial Espionage Defined. The folk memory of medieval community life had been wiped out by the industrial revolution. [12] Some countries, such as Japan, have been reported to expect students to be debriefed on returning home. Define espionage. Writing in the Bulletin of the Atomic Scientists, Philip Hanson detailed a spetsinformatsiya system in which 12 industrial branch ministries formulated requests for information to aid technological development in their military programs. The reality of industrial espionage is usually much less glamorous. Collectively, these elements incent individuals and companies in technology fields to spy on each other and, if need be, to obtain information illegally in order to achieve competitive advantage. 17. The drop took place and shortly after, all three -- the woman who had worked for Coca-Cola and the two ex-cons -- were arrested. Information may be stolen in transit, in taxis, at airport baggage counters, baggage carousels, on trains and so on. Synonyms and Definition Contents [ hide] Industrial Espionage. noun 16 1 The practice of spying or of using spies to obtain secret information, especially regarding a government or business. The target of an investigation might be a trade secret, such as a proprietary product specification or formula, or information about business plans. [49], In 1848, the British East India Company broke Qing China's global near-monopoly on tea production by smuggling Chinese tea out of the nation and copying Chinese tea-making processes. Corporate espionage is also known as industrial espionage, economic espionage or corporate spying. [18] Protests by those such as ironworkers in Sheffield and steelworkers in Newcastle,[clarification needed] about skilled industrial workers being enticed abroad, led to the first English legislation aimed at preventing this method of economic and industrial espionage. [53] France accused the U.S. of attempting to sabotage its high tech industrial base. Employee retention is the organizational goal of keeping productive and talented workers and reducing turnover by fostering a A hybrid work model is a workforce structure that includes employees who work remotely and those who work on site, in a company's CRM (customer relationship management) analytics comprises all of the programming that analyzes data about customers and presents Conversational marketing is marketing that engages customers through dialogue. In that case, they might search wastebaskets or copy files or hard drives of unattended computers. The two decided to bring in a third person -- a white-collar embezzler who had done time with the other ex-con. Companies can secure and monitor headquarters buildings and field offices. Economic espionage is foreign power-sponsored or coordinated intelligence activity directed at the U.S. government or U.S. corporations, establishments, or persons, designed to unlawfully or . Pub. However, industrial espionage seemed to pick up in frequency in the latter half of the sixteenth century and the birth of the United States. [17] Attributed to Britain's emergence as an "industrial creditor", the second decade of the 18th century saw the emergence of a large-scale state-sponsored effort to surreptitiously take British industrial technology to France. Companies with loose security controls and checkpoints over their IP and digital assets also are susceptible to a cyber attack or cyberespionage from an outside bad actor who has penetrated their network to steal information and gather intelligence. The offers that appear in this table are from partnerships from which Investopedia receives compensation. This is the job of the spy (espionage agent). Any company contemplating the sale or use of its products to countries outside of the U.S. should apply for patents in those countries, as well as in the U.S., because there is no such thing as a universal international patent. In order to catch up with technological advances of European powers, the US government in the eighteenth and nineteenth centuries actively encouraged intellectual piracy.[20][21]. Industrial espionage can be divided into two types. [24], The Soviet military was recognised as making much better use of acquired information than civilian industries, where their record in replicating and developing industrial technology was poor. [34], Former CIA Director James Woolseyacknowledgedin 2000 that the United States steals economic secrets from foreign firms and their governments "with espionage, with communications, with reconnaissance satellites". Industrial espionage has grown with the help of the internet and lax cybersecurity practices. [13], The rise of the Internet and computer networks has expanded the range and detail of information available and the ease of access for the purpose of industrial espionage. Companies should carefully screen people before hiring them. Browse the use examples 'industrial espionage' in the great English corpus. (a). The use of computers for espionage increased rapidly in the 1990s. At the same time, technology moves rapidly in active markets. Energy power systems, doing jobs like monitoring power grids or water flow, once isolated from the other computer networks, were now being connected to the internet, leaving them more vulnerable, having historically few built-in security features. technology may never get advanced. Dictionary.com Unabridged In recent years, economic or industrial espionage has taken on an expanded definition. [81] After the revelations made by whistleblower Edward Snowden, the BND decided to investigate the issue whose October 2013 conclusion was that at least 2,000 of these selectors were aimed at Western European or even German interests which has been a violation of the Memorandum of Agreement that the US and Germany signed in 2002 in the wake of the 9/11 terror attacks. Military-Industrial Commission of the USSR, European Aeronautic Defence and Space Company, NSA investigative committee in German parliament, Genetically modified maize Corporate espionage, "Unusual suspects: Cyber-spying grows bigger and more boring", "What are the advantages of using a computer? An industrial spy may be an insider threat, such as an individual who has gained employment with the company for the purpose of spying or a disgruntled employee who trades information for personal gain or revenge. Some large retail chains, for example, employ corps of agents to check on prices and products of competitors by comparative shopping. The report did not show any actual occurrence of U.S. conducted industrial espionage, and when contacted the Director of National Intelligence office responded with, "the United Statesunlike our adversariesdoes not steal proprietary corporate information to further private American companies' bottom lines", and that "the Intelligence Community regularly engages in analytic exercises to identify potential future global environments, and how the IC could help the United States Government respond". [76] A summary was also posted on the secure website of the Centre for the Protection of the National Infrastructure, accessed by some of the nation's 'critical infrastructure' companies, including 'telecoms firms, banks and water and electricity companies'. The first and most common actively seeks to gather intelligence about a company or organization. Industrial Espionage. Industrial Espionage Only Occurs Through Hacking All the usual methods for hacking and breaches are employed in espionage attacks, of course. Industrial Espionage. However, technology is one of the most targeted industries. In short, the purpose of espionage is to gather knowledge about one or more organizations. Two members of the embassy staff had been expelled for espionage. [38][39], Israel has an active program to gather proprietary information within the United States. When you visit the site, Dotdash Meredith and its partners may store or retrieve information on your browser, mostly in the form of cookies. Modified entries 2019 by Penguin Random House LLC and HarperCollins Publishers Ltd Word origin Pub. In other cases, foreign students attend U.S. universities to acquire knowledge, and U.S. professors are enticed to accept assignments in other countries in exchange for sharing or teaching what they know. In certainand more unlikelycases, individuals may break into a company facility to steal documents, computer files, or pick through a company's trash for valuable information. Related to foreign industrial espionage. Shortly after the first exchange, the woman at Coca-Cola stole some classified paperwork and a product under development and had the embezzler approach the Pepsi exec again for more money. An employer who discovers that his trade secrets have been adopted by a competitor usually takes legal steps to prevent further invasions of his commercial privacy. [47] Concerned about the possibility of hackers taking advantage of this previously unknown weakness in Internet Explorer, the governments of Germany and, subsequently France, issued warnings not to use the browser. Industrial espionage may also involve bribery, blackmail, and technological surveillance. [73], According to Edward Snowden, the National Security Agency spies on foreign companies. It helps corporations understand the competitive landscape as well as any and all challenges it may present. nounindustrial espionage the stealing of technological or commercial research data, blueprints, plans, etc., as by a person in the hire of a competing company. Competitors frequently try to hire away employees from companies to gain access to information the employees have acquired on the job. This type of espionage is open to anyone and is perfectly legal. While every effort has been made to follow citation style rules, there may be some discrepancies. [64] Critics pointed to what was alleged to be a lax attitude to the intellectual property of foreign businesses in China, letting them operate but then seeking to copy or reverse engineer their technology for the benefit of Chinese "national champions". One of the most effective ways to gather data and information about a targeted organization is by infiltrating its ranks. It is advisable to hire an outside audit firm on an annual basis to review corporate physical and cybersecurity, as well as employee policies and practices. industrial espionage n (Commerce) attempting to obtain trade secrets by dishonest means, as by telephone- or computer-tapping, infiltration of a competitor's workforce, etc Collins English Dictionary - Complete and Unabridged, 12th Edition 2014 HarperCollins Publishers 1991, 1994, 1998, 2000, 2003, 2006, 2007, 2009, 2011, 2014 Translations Economic or industrial espionage takes place in two main forms. The DOJ and FBI have recently been sponsoring conferences and meetings with the private sector, academia and others on how to better protect U.S IP assets. Industrial espionage is the covert, and sometimes illegal, practice of investigating competitors to gain a business advantage. While that definition may not sound very glamorous, it . Some information was gathered to compare Soviet technological advancement with that of their competitors. This included Chinese interests linked to the military, which invested in cutting-edge Swedish semiconductor startups. Yue previously filed lawsuits against Symantec Corporation for a similar theft. [89] It may include activities such as examining newspaper articles, corporate publications, websites, patent filings, specialised databases, information at trade shows and the like to determine information on a corporation. Work with others to prevent industrial espionage. [56], In April 2009, Starwood accused its rival Hilton Worldwide of a "massive" case of industrial espionage. Industrial espionage, economic espionage, corporate spying or corporate espionage is a form of espionage conducted for commercial purposes instead of purely national security. Copyright 1999 - 2022, TechTarget The latter, also called corporate intelligence, is the legal gathering of public information by examining corporate publications, websites, and patent filings in order to determine a corporation's activities. The embezzler wrote the infamous letter to the Coke exec, outlining the classified information he wanted to sell, and within two weeks, he received a response from a PepsiCo employee. And you probably already know this if you work in industries such as manufacturing, pharmaceuticals, and chemicals. [77] One security expert warned about the use of 'custom trojans,' software specifically designed to hack into a particular firm and feed back data. Newer forms of malware include devices which surreptitiously switch on mobile phones camera and recording devices. [90] The compilation of these crucial elements is sometimes termed[by whom?] . Spying involving corporations is known as industrial espionage . Infiltrating Chinese tea-making facilities, Fortune recorded the Chinese process for creating tea and smuggled tea leaves and seeds back to the East India Company. [10] Such apparent behavior has been the focus of numerous industrial espionage cases that have resulted in legal battles. Software now exists on virtually every network, hardware and software platform that can monitor employee activity such as access to specific data repositories, applications, and edge or portable devices. As well as orchestrating espionage on commercial organizations, governments can also be targets for example, to determine the terms of a tender for a government contract. Industrial espionage is the covert, and sometimes illegal, practice of investigating competitors to gain a business advantage. [26][27] He revealed information about industrial espionage conducted by the ring, including the fact that Russian agents had obtained details of Concorde's advanced electronics system. : a rapid major change in an economy (as in England in the late 18th century) marked by the general introduction of power-driven machinery or by an important change in the prevailing types and methods of use of such machines Examples of industrial revolution in a Sentence It is safe to say that industrial espionage was born along with industry and corporations. Employee risks are significant because many industrial espionage and spying acts are perpetrated by disgruntled or opportunistic employees who commit theft of trade secrets or valuable information to use on their next jobs or to take to the open market for sale. The term industrial espionage refers to covert, unethical, and, in many cases, illegal spying practice concentrated on gaining secret or confidential information, such as trade secrets, etc., with further commercial or financial gain possibilities. [16], Historical accounts have been written of industrial espionage between Britain and France. Definition: Stealing and/or trading valuable information from another company or person to use it for your benefit. Industrial-espionage as a noun means The use of clandestine methods to acquire secret information for commercial advantage.</a.. Secondly, a competitor or foreign government seeks information to advance its own technological or financial interest. It may include the acquisition of intellectual property, such as information on industrial manufacture, ideas, techniques and processes, recipes and formulas. Outsourced industrial producers may ask for information outside the agreed-upon contract. Industrial espionage is conducted by companies for commercial purposes rather than by governments for national security purposes. Industrial espionage has long been a proverbial thorn in the side of commercial businesses. If the other country is an enemy, espionage may be treason, which involves aiding an enemy. [43], Computers have become key in exercising industrial espionage due to the enormous amount of information they contain and the ease at which it can be copied and transmitted. The U.S. company's business in that country was undercut, so it attempted to sue its client. That espionage and sabotage (corporate or otherwise) have become more clearly associated with each other is also demonstrated by a number of profiling studies, some government, some corporate. industrial espionage translation in English - English Reverso dictionary, see also 'industrial action',industrial estate',industrial park',industrial relations', examples, definition, conjugation Check out the pronunciation, synonyms and grammar. Learn the definition of 'industrial espionage'. Google claimed at least 20 other companies had also been targeted in the cyber attack, said by the London Times, to have been part of an "ambitious and sophisticated attempt to steal secrets from unwitting corporate victims" including "defence contractors, finance and technology companies". Do Not Sell My Personal Info, Saudi Arabia was victimized by a cyber attack, SolarWinds cyber attack is grave 'risk' to global security, Cyber espionage group behind SingHealth attack, Industrial espionage group hacked Apple, Facebook, Microsoft, Researches reveal the cyber campaign that built China's new airliner, Responding Effectively to the Chinese Economic Espionage Threat, Amazon Elastic Container Service (Amazon ECS), pay-as-you-go cloud computing (PAYG cloud computing), CRM (customer relationship management) analytics. The methods used to conduct such espionage. One of the reasons why corporations engage in industrial espionage is to save time as well as huge sums of money.
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