Private companies under the direct control and oversight of the federal government will be able to conduct offensive cyber operations aimed at disrupting criminal organsations that target Americans, according to a National Security Presidential Memorandum signed by US President Donald Trump and released Wednesday.
The memo, which will create a new programme run by the Department of Homeland Security, marks a significant shift for the US where such operations are usually carried out by the government. The programme will be overseen in coordination with the Justice Department.
For months, the Trump administration has been laying the groundwork for private-sector firms to legally conduct offensive cyber operations. The idea is highly polarising due to fears that such activities could lead to unintended consequences and escalation. Advocates argue that tapping a larger pool of professionals would expand the country’s ability to counter cyber threats.
The move is about granting “cyber letters of marque,” said Ari Redbord, head of government affairs at the blockchain intelligence firm TRM Labs, referring to a 19th century government licence that allowed privately owned ships to attack pirates and other designated threats.
The federal government’s partners would be able to conduct surveillance operations and cyber attacks against “foreign cyber-enabled transnational criminal organisations,” the memo said.
To qualify for the programme, companies will have to maintain a bond or escrow of at least US$1 million that will be forfeited if they don’t comply with contractual agreements.
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