The CIA says hackers have compromised foreign utility companies

WASHINGTON — In a rare public warning to the power and utility industry, a CIA analyst last week said cyber attackers have hacked into the computer systems of utility companies outside the United States and made demands, in at least one case causing a power outage that affected multiple cities.

“We do not know who executed these attacks or why, but all involved intrusions through the Internet,” Tom Donahue, the CIA’s top cybersecurity analyst, said Wednesday at a trade conference in New Orleans.

The audience was made up of 300 U.S. and international security officials from the government and from electric, water, oil and gas companies, including BP, Chevron and the Southern Co.

“We suspect, but cannot confirm, that some of the attackers had the benefit of inside knowledge,” Donahue said. He did not specify where or when the attacks took place, their duration or the amount of money demanded. Little said the agency would not comment further.

The remarks come as cyber attackers have made increasingly sophisticated intrusions into corporate computer systems, costing companies worldwide more than $20 billion each year, according to some estimates.

Cyber extortion is a growing threat in the United States, and attackers have radically increased their take from online gambling sites, e-commerce sites and banks, which pay the money to prevent sites from being shut down and to keep the public from knowing their sites have been penetrated, said Alan Paller, research director at the SANS Institute, the cybersecurity education group that sponsored the meeting.

“The CIA wouldn’t have changed its policy on disclosure if it wasn’t important,” Paller said. “Donahue wouldn’t have said it publicly if he didn’t think the threat was very large and that companies needed to fix things right now.”

Over the past year to 18 months, there has been “a huge increase in focused attacks on our national infrastructure networks, … and they have been coming from outside the United States,” said Ralph Logan, principal of the Logan Group, a cybersecurity firm.

It is difficult to track the sources of such attacks, because they are usually made by people who have disguised themselves by worming into three or four other computer networks, Logan said. He said he thinks the attacks were launched from computers belonging to foreign governments or militaries, not terrorist groups.

Over the past 10 years, electric utilities, pipelines, railroads and oil companies have used remotely controlled and monitored valves, switches and other mechanisms. This has resulted in substantial savings in man power and other costs.

But to do that, the companies have installed wireless Internet connections to link the devices to central offices.

“In the past, if they wanted to go out and read a gauge on a gas well, for example, they would have to send a technician in his vehicle; he would drive 100 miles and physically read the gauge and get back in his truck,” Logan said. “Now they can read it from headquarters. But it allows attackers a gateway into the system.”

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Local News

Logo for news use featuring Snohomish County, Washington. 220118
Health officials: Three confirmed measles cases in SnoCo over holidays

The visitors, all in the same family from South Carolina, went to multiple locations in Everett, Marysville and Mukilteo from Dec. 27-30.

Dog abandoned in Everett dumpster has new home and new name

Binny, now named Maisey, has a social media account where people can follow along with her adventures.

People try to navigate their cars along a flooded road near US 2 on Wednesday, Dec. 10, 2025, in Sultan, Washington. (Olivia Vanni / The Herald)
Temporary flood assistance center to open in Sultan

Residents affected by December’s historic flooding can access multiple agencies and resources.

Logo for news use featuring the Tulalip Indian Reservation in Snohomish County, Washington. 220118
Teens accused of brutal attack on Tulalip man Monday

The man’s family says they are in disbelief after two teenagers allegedly assaulted the 63-year-old while he was starting work.

A sign notifying people of the new buffer zone around 41st Street in Everett on Wednesday, Jan. 7. (Will Geschke / The Herald)
Everett adds fifth ‘no sit, no lie’ buffer zone at 41st Street

The city implemented the zone in mid-December, soon after the city council extended a law allowing it to create the zones.

A view of the Eastview development looking south along 79th Avenue where mud and water runoff flowed due to rain on Oct. 16, 2025 in Snohomish, Washington. (Olivia Vanni / The Herald)
Eastview Village critics seek appeal to overturn county’s decision

Petitioners, including two former county employees, are concerned the 144-acre project will cause unexamined consequences for unincorporated Snohomish County.

Snohomish County commuters: Get ready for more I-5 construction

Lanes will be reduced along northbound I-5 in Seattle throughout most of 2026 as WSDOT continues work on needed repairs to an aging bridge.

Logo for news use featuring the municipality of Snohomish in Snohomish County, Washington. 220118
Snohomish man held on bail for email threat against Gov. Ferguson, AG Brown

A district court pro tem judge, Kim McClay, set bail at $200,000 Monday after finding “substantial danger” that the suspect would act violently if released.

Kathy Johnson walks through vegetation growing along a CERCLA road in the Mt. Baker-Snoqualmie National Forest on Thursday, July 10, 2025 in Granite Falls, Washington. (Olivia Vanni / The Herald)
Activism groups to host forest defense meeting in Bothell

The League of Women Voters of Snohomish County and the Pacific Northwest Forest Climate Alliance will discuss efforts to protect public lands in Washington.

Debris shows the highest level the Snohomish River has reached on a flood level marker located along the base of the Todo Mexico building on First Street on Friday, Dec. 12, 2025 in Snohomish, Washington. (Olivia Vanni / The Herald)
SnoCo offers programs to assist in flood mitigation and recovery

Property owners in Snohomish County living in places affected by… Continue reading

Federal agents say they’ve dismantled drug ring in Marysville

On Wednesday, the Border Patrol chief announced multiple arrests in connection with an alleged drug and firearms trafficking ring.

Snohomish County unemployment reaches 5.1%

It’s the highest level in more than three years.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.