The Attack on Luxury Brands: A case study of the weaponization of the online ecosystem by China

CRC
7 days ago
2 min read

The Attack on Luxury Brands:

A case study of the weaponization of the online ecosystem by China

At the CRC, we primarily study digital hostile influence in three realms: military, sociopolitical, and economic. A clear distinction is usually tricky to draw in our field since these areas frequently intersect and overlap. While the methodologies and even the perpetrators may be similar, the stakeholders and, therefore, defensive strategies can differ. A ministry of defense monitoring an enemy’s propaganda will have different objectives than a government body entrusted with protecting an election, a corporation, or an entire industry under attack.

Hostile influence campaigns (HICs) have predominantly been associated with the military and socio-political realms, but a massive shift has occurred in recent years. Using the same mixed bag of fake users, sock puppets, fake websites, cyber-attacks, and real influencers – to name but a few – companies and even entire industries are being attacked. Adding to this phenomenon is the “offensive ecosystem”, which has led to a privatization of influence operations. At the forefront of this trend was the Internet Research Agency, a private company that ran influence operations on behalf of the Russian government. Many more companies like the SDA, which is linked to the ongoing Doppelganger campaign (For more information, please see our article: Doppelganger in Germany), followed suit. These influence mercenaries apply methodologies that in the past were predominantly in the domain of governments and readily sell their services to anyone for the right price. This leads to an explosive mix of malign governments, influence mercenaries, and scrupulous influencers, which with ease can set their cross hairs on anyone.

China is steadily moving to the forefront regarding using the online ecosystem to strengthen its position and attack its perceived enemies. Our latest research examines a nefarious attack on the French luxury industry that should be a stark warning to all industries and corporations of how the threat landscape in the economic realm is rapidly evolving. This attack needs to be seen within the context of the ongoing geopolitical turmoil and how China is increasingly positioning itself against “the West” in general and the US more specifically. The weaponization of platforms such as TikTok and networks of influencers, paired with an increasing willingness of China to put them to use, is a deeply disconcerting trend. This time, “only” the luxury industry was targeted. It would be naïve not to see this as a warning shot and a flexing of the muscles of an increasingly scrupulous adversary.

I would also like to thank Intercept9500, which graciously took over a pivotal role in this joint research project and whose team stood by our side every step of the way. While we admittedly felt glamorous working on this project, it left us with a feeling of unease, but see for yourself.

Florian Frank

Director of the CRC

[Find the Report here]