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US accuses China of violating bilateral anti-hacking agreement

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Former U.S. President Barack Obama (R) shakes hands with Chinese President Xi Jinping during a state arrival ceremony on the south lawn of the White House grounds September 25, 2015 in Washington, DC.

Win McNamee | Getty Images News | Getty Images

Former U.S. President Barack Obama (R) shakes hands with Chinese President Xi Jinping during a state arrival ceremony on the south lawn of the White House grounds September 25, 2015 in Washington, DC.

China has been violating an agreement with the United States aimed at stopping cyber espionage through the hacking of government and corporate data, a senior U.S. intelligence official said on Thursday.

When asked if China was violating the 2015 agreement between then President Barack Obama and Chinese President Xi Jinping, National Security Agency official Rob Joyce said: “We think they are.”

But he added that the quantity and number of attacks had dropped “dramatically” since the agreement.

“While it’s not black and white, (China) met the agreement or they didn’t meet the agreement, it’s clear that they are well beyond the bounds today of the agreement that was forged between our countries,” Joyce said.

In September 2015, Obama announced he had reached a “common understanding” with Xi on curbing economic cyber espionage, but threatened to impose U.S. sanctions on Chinese hackers who persist in committing cyber crimes.

The two leaders said they agreed that neither government would knowingly support cyber theft of corporate secrets or business information.

The agreement, however, stopped short of any promise to refrain from traditional government-to-government cyber spying for intelligence purposes.

That could include the massive hack of the U.S. federal government’s personnel office this year that compromised the data of more than 20 million people. U.S. officials have traced that back to China, but have not said whether they believe the Chinese government was responsible.

The United States and China will hold a delayed top-level security dialogue on Friday, the latest sign of a thaw in the countries’ strained relations amid an ongoing trade row ahead of a planned meeting between U.S. President Donald Trump and Chinese President Xi at the Group of 20 summit meeting in Argentina at the end of November.

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Venezuela’s Nicolas Maduro gives American diplomats 72 hours to leave

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Venezuelan President Nicolas Maduro said on Wednesday he was breaking diplomatic relations with the United States, after the Trump administration recognized opposition leader Juan Guaido as the South American country’s interim president.

Speaking to supporters outside the Miraflores presidential palace in Caracas, socialist leader Maduro said he would give U.S. diplomatic personnel 72 hours to leave Venezuela, which is suffering from a hyperinflationary economic collapse.

Earlier Wednesday, the Trump administration ratcheted up pressure on Maduro on Wednesday, announcing U.S. recognition of Guaido as interim president and signaling potential new sanctions against its vital oil sector.

With street protests against Maduro underway across Venezuela, Trump said the United States recognized Guaido, head of the opposition-controlled Congress, as the country’s leader and called socialist Maduro’s government “illegitimate.”

“I will continue to use the full weight of United States economic and diplomatic power to press for the restoration of Venezuelan democracy,” Trump said in a statement, encouraging other governments in the Western Hemisphere to also recognize Guaido.

The administration had been waiting to issue its announcement after Guaido had been sworn in as the country’s temporary president on Wednesday, people familiar with the matter told Reuters.

Venezuelan opposition sympathizers had been urging Guaido to assume the presidency since Maduro was inaugurated to a second term on Jan. 10 following a widely boycotted election last year that the United States and many other foreign governments described as a fraudulent.

Guaido, a newcomer on the national scene who was elected to head Congress on Jan. 5, had said earlier he was willing to replace Maduro if he had the support of the military, with the aim of then calling for free elections.

U.S. officials in recent days had stated openly that Maduro no longer had a legitimate claim on power.

This story is developing. Please check back for updates.

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UAE favors global cooperation amid China’s rising tech dominance

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The United Arab Emirates (UAE) is not worried about China’s rising dominance in the technology sector, according to the country’s artificial intelligence minister.

It comes at a time of widespread concern over Chinese tech giant Huawei. The world’s largest telecom equipment maker is facing restrictions from several national governments, amid heightened fears its products could be used for spying.

Huawei has always insisted it follows regulations wherever it operates.

“We are a very collaborative country, we have worked with everyone from everywhere on earth,” the UAE’s Omar bin Sultan Al Olama told CNBC’s Hadley Gamble at the Word Economic Forum (WEF) in Davos on Wednesday.

“I believe that every country has something for us to learn from, every country has an angle that we can work with them on. I also believe that there needs to be a continuous global dialogue on how we can leverage technology (and) how we can work together,” he added.

China has openly declared its intent to become a world tech leader over the next decade, investing hundreds of billions of dollars in technologies like AI and autonomous vehicles.

Several western governments have expressed concerned about ties between tech giant Huawei and the Chinese government.

“We need to ensure that the playground globally for every citizen anywhere on earth is a fair playing field,” Al Olama said.

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German minister Spahn says Berlin will invest to overcome economic issues

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Germany will take a new approach to its economic policy amid “struggles” and “headwinds,” the country’s health minister told CNBC Wednesday in Davos.

There are growing concerns about the state of the German economy after some recent disappointing data prompted fears of a recession. Earlier this month, the Federal Statistics Office said that Germany grew 1.5 percent in 2018. In 2017, it grew 2.2 percent. The recent numbers showed the weakest growth rate in five years.

“We are still in a very, very good shape economically,” Jens Spahn, minister of health for Germany told CNBC at the World Economic Forum.

“As always after very good years there might be some struggles, some headwinds ahead. And that is what we see right now,” Spahn, who previously worked in the German finance ministry said.

“Now actually we need to support growth…we want to cut taxes, for example, we want to invest more in infrastructure, into the digitization of the society, broadband, 5G, and the health sector,” he added.

Over the last couple of years, Germany has been criticized for its budget surplus at a time when the rest of Europe was struggling. There were repeated calls, including from the International Monetary Fund (IMF), arguing that Berlin should spend more.

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