Private companies are increasingly becoming targets for foreign intelligence agencies. These agencies often operate with long-term goals, collecting and exploiting information to serve their strategic objectives. Companies across size and industry hold assets that are valuable not only to competitors but also to foreign states seeking to gain an advantage.

This report outlines why private companies are targets and provides actionable recommendations for protecting against these sophisticated threats.

Why Private Companies Are Targets

1. Theft of Proprietary Information and Technology

One of the most common motivations for targeting private companies is to steal intellectual property, trade secrets, and innovative technologies. State-sponsored actors often focus on businesses developing cutting-edge solutions in areas such as renewable energy, defense, and advanced manufacturing. These stolen assets allow nations to accelerate domestic industries or strengthen military capabilities without the time and cost of research and development.

In some countries, such as China, the relationship between national intelligence agencies and private companies is particularly close, with intelligence agencies acting as tools to advance the competitive positions of state-linked or strategically important firms. For example, proprietary information stolen from foreign competitors may be used to bolster the market position of domestic firms or fast-track technological advancements.

The case of DeepSeek, an advanced AI-powered surveillance and data-gathering tool allegedly connected to Chinese intelligence, highlights how these practices can pose significant challenges for global companies.

2. Financial Motivation

Economically constrained or sanctioned states frequently target companies through ransomware attacks, fraud, and cryptocurrency theft to generate revenue. These activities fund government programs, military development, or other strategic goals. Companies holding financial data or conducting high-value transactions are particularly attractive to these threat actors.

3. Strategic Influence and Decision-Making Access

Private companies often hold insights or connections that foreign intelligence agencies can use to influence policy or decision-making. Organizations with ties to regulatory bodies, industry groups, or critical supply chains may unknowingly provide entry points for shaping strategic outcomes. Even companies not directly involved in political processes can be leveraged to gather intelligence or gain influence over broader systems.

4. Critical Infrastructure and Strategic Industries

Certain industries are especially attractive to intelligence agencies because of their significance to economic and national stability. Energy companies, for example, may be targeted for competitive intelligence, insights into production capabilities, or vulnerabilities in critical infrastructure. Disrupting or exploiting these industries can yield significant advantages for foreign nations, whether through economic leverage or weakening national preparedness.

5. Long-Term Information Gathering

National intelligence agencies often collect information with no immediate goal, targeting not only major organizations but also smaller companies, supply chain partners, or seemingly low-value entities to gain indirect access to larger systems or industry-wide insights. These long-term strategies highlight the persistence and adaptability of state-sponsored actors, who often operate with patience and sophistication.

Recommendations for the Private Sector

1. Identify and Assess Risks

Conduct regular risk assessments to understand what makes your company a potential target. Identify critical assets such as trade secrets, intellectual property, key relationships, and financial data that may attract the interest of state-sponsored actors.

2. Build a Holistic Security Posture

To counter state-sponsored threats, companies must address both external and internal risks. Invest in advanced cybersecurity measures such as intrusion detection, endpoint protection, and threat intelligence, and ensure systems are updated regularly. Robust access controls and employee training are essential to reducing vulnerabilities, as human error remains a common entry point for attackers.

Equally important is mitigating insider threats, both intentional and accidental. Monitor for unusual access patterns, enforce strict controls, and establish protocols for reporting suspicious activity. A strong culture of security awareness across the organization is critical to managing these risks effectively.

3. Protect Supply Chains, Partners and Customers

Ensure that third-party suppliers, partners, and customers adhere to stringent security standards, as weaknesses in these relationships can be exploited as indirect access points to your organization. Regularly assess and audit the security practices of all external stakeholders and implement robust Know Your Customer (KYC) protocols to identify and mitigate potential risks on the demand side. A comprehensive approach to securing both supply and demand chains is essential for minimizing vulnerabilities.

Conclusion

Private companies are valuable targets for national intelligence agencies due to their intellectual property, financial assets, and strategic importance. These threats are sophisticated, persistent, and often long-term in nature. Companies of all sizes can protect and improve their competitive edge by proactively identifying threats and implementing tailored defenses. By doing so, companies will both safeguard their own assets and contribute to society's resilience against foreign interference.

Preparation and vigilance are critical in an era where the private sector is increasingly on the frontlines of state-sponsored intelligence operations.