How Nebraska Is Protecting its Critical Infrastructure from CCP Infiltration: Michael Lucci
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China has a national intelligence law.
It's their 2017 national intelligence law.
You must engage in espionage on behalf of the party state when asked to do so.
So any Chinese company that's involved in work here, collecting data here, maybe they're putting cameras on critical infrastructure.
We just heard from DHS that there are 12,000 Chinese cameras on critical infrastructure across the United States.
DHS notified us of this because they're worried about the espionage risk.
They're worried about that data being sent back to China.
There are batteries being connected to cars in critical infrastructure.
There are laser sensors.
Many of these products are actually sanctioned or blacklisted in some way by our federal government.
There are DNA sequencing devices.
These are all being sold and used in hospital facilities, research facilities, state and local governments, even though the federal government's saying There's some bad stuff going on here.
They just keep conducting business, selling that product in through what we call brute force economics, where they overproduce a product in order to wipe out American and allied competitors for that product.
One thing that comes to mind are patient monitors.
So tell me about that.
Yeah, so for someone who's in this every day looking at these technological risks, this headline even shocked me.
So this was put out two or three weeks ago.
By our FDA and our cybersecurity agency at the federal level, the headline itself is quite scary.
It just says CONTAC has a backdoor.
CONTAC is a provider of patient monitors.
So it's the healthcare monitor that might sit next to a hospital bed with your blood pressure, with your pulse, your oxygenation levels.
And according to our federal government in this release, that data is all going back to one place in China.
Who knows how many Health care data privacy laws that violates in itself.
But furthermore, that they can execute code on those devices, meaning they can make your blood pressure say something that it's not.
So if you're at 125 over 80, they might execute code to make it say 160 over 110.
And all of a sudden, your emergency room physician thinks that he or she's dealing with a very different situation because they're getting Poor information on your vital signs.
So that headline, which came out of our federal government, is extraordinary shocking.
That they would be selling anything that we care about into the healthcare system is a problem.
But really, we shouldn't be allowing them to sell anything into the United States that connects to the Internet.
They have laws that require those companies to engage in espionage.
So why are we letting them sell connected devices of any type into the United States?
I want to touch on a few pieces of critical technology that I've covered on the show before.
For example, these large high-voltage transformers, which from what I understand are only produced in China now and are installed all across the U.S. grid, creating vulnerabilities.
What's the status of that?
Well, in 2020, I believe it was, President Trump's team intercepted one of these transformers and began inspecting it.
My best understanding is that they did find some things that they don't like.
Power producers and distributors have been trying to get off of that Chinese transformer, but they're still coming in, is my understanding.
And there are very few global competitors for producing power transformers.
So we have a deep dependence on technologies like that, that we rely on for everyday life that if they install back doors into those pieces of technology, like they've done with port cranes, like they've done with drones, healthcare
monitors, they can make life very difficult all across the country.
And so this is an economic strategy for them that really has military undertones to it.
They could do military work in the Pacific.
And just wreak havoc here in the United States.
And so that makes it difficult for us to project power anywhere.
So the homeland security, the homeland needs to be secured.
We have to have strategic space here in the United States in our hemisphere.
If we're under pressure here, then we're not able to project power to help free countries elsewhere.
They're trying to invade our homeland.
And they're trying to develop the capacity, and they likely have developed the capacity, to make life very difficult, to create crises within the United States, whether it's power, whether it's wastewater treatment, whether it's telecommunications.
They want the capacity to create problems here, if and when they decide to go attack Taiwan.
You know, some years ago I had, who's now the FCC Commissioner, Brendan Carr, on the show, talking about exactly this issue.
There were rip and replace laws that were passed.
But in the end, it took a long time.
And in some cases, I don't think they were actually ever replaced because there wasn't a plan to actually complete the project in the first place.
Are you aware of this situation?
There's one place where it's about getting done.
That's the stay in Nebraska.
That's because state lawmakers and the governors came together and said this stuff needs to get out immediately.
So yes, President Trump in his first term It is going very slowly, to say the least.
Now, in some areas of the country, this is really a crisis.
And the reason why Nebraska moved on this, Governor Pillen and Senator Elliott Bostar have teamed up to lead on a lot of these issues.
That equipment surrounds our nuclear missile silos in western Nebraska, also in eastern Colorado, southeast Wyoming.
We have a fleet of nuclear missile silos out there.
They're surrounded by Huawei equipment.
If you go on Google Earth and you can zoom in on where the missile silos are, you can go not very far and find Huawei radio transponders.
There was some data released information released in a report in 2022, where our intelligence agencies assessed that they could likely disrupt the communications around our nuclear missile silos.
There's also strategic command in Nebraska, very sensitive information being transmitted there.
And so that's why the Nebraska team came together and said that needs to come out immediately.
And they've really You know, you've used Nebraska as a bit of a model state.
So this isn't the only area where Nebraska has committed itself to basically removing the Chinese Communist Party's technologies and perhaps other areas of influence.
Describe that to me a little more.
So, Nebraska, what's really unique here is you have this tremendous Democrat leader and a tremendous Republican leader being the governor who came together and just pushed hard into these issues.
What I just described on getting the Huawei equipment out of the state of Nebraska, state armor didn't exist when they were executing on that really critical problem.
We actually adopted what they did, and we started taking it to other states in various forms.
But it was obviously a signal in this state.
These folks are very serious about taking on these problems.
And so, you know, we just started meeting.
I actually met Senator Bostar testifying in Nebraska on tax policy and sort of got to know him through that.
It was only later that I saw he was doing these great things on combating the Chinese Communist Party.
So Senator Bostar won our Lawmaker of the Year Award for 2024.
He enacted what we call a Pacific Conflict Stress Test, which is an audit of critical infrastructure.
It's an audit of state supply chains.
It's an audit of state financial holdings.
And it asked the question, if China goes to attack Taiwan, what is going to happen here in the state of Nebraska?
How do we mitigate that today?
How do we get our pensions out of China?
How do we get our supply chains to be less dependent on their technologies or not dependent on their technologies?
How do we harden critical infrastructure before that day comes?
And they're already executing on some of it on the telecommunications, but they're moving the ball forward on other areas of that.
They're blocking procurement of Chinese technologies.
They're kicking China off their land.
They did that all in 2024.
They're blocking their laser sensors.
So they did all that type of work.
And they're coming back for, I guess, a trilogy this year.
They have this huge package of awesome legislation.
They want to register foreign agents from the bad guy countries, from the foreign adversaries.
They want to punish crimes that are done on behalf of foreign governments differently than how we punish if it's just a couple of Americans.
And they want to get China's genomic sequencing devices out of the state of Nebraska entirely.
They also say no tax credits for foreign adversary companies, and they're fixing some other problems as well.
It looks like they want to do a broader pension divestment this year as well.
So you have this team in Nebraska, Governor Pill and Senator Bostar, and they just keep pushing the best solutions.
As states go, you know, this inspires competition.
And so we're seeing other states look at what Nebraska's doing and saying,"I want to match that.