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Google Approached Other Companies For Support Over Attack In China (GOOG, ADBE, JNPR, RAX)

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Google Inc. (NASDAQ: GOOG) approached other companies to seek their help, drawing attention to a cyber attack from China last month, and was frustrated by their reluctance to come forward, according to Bloomberg.

Google announced this week that it was one of at least 20 companies targeted in a “highly sophisticated” computer attack and wanted others to talk about the incident. The companies refused, and Google made the announcement by itself. Since then, three other companies, Adobe Systems Inc. (NASDAQ: ADBE), Juniper Networks Inc. (NASDAQ: JNPR) and Rackspace Hosting Inc. (NYSE: RAX), have said they were targeted by cyber attacks.

The reluctance of companies to join Google in its initial announcement illustrates the pressure on them to protect their business in China, the world’s third-largest economy, said Barry James, an analyst who helps manage $2 billion at James Investment Research in Xenia, Ohio. “Companies are not going to be cutting off their nose to spite their face,” James said. “It’s an underlying problem that exists in terms of dealing with a country where they don’t necessarily follow all the same rules that we do. More experienced firms have a better grip on how to navigate that.”

 

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Posted-In: Barry James James Investment ResearchNews Global Markets Tech

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