Analysts in China are quick to dismiss claims that 1,300 computers in 100+ countries have been compromised and have become part of an espionage network called GhostNet, apparently based in China.

Researchers only discovered GhostNet after computers within the Dalai Lama's office were compromised.

"This is purely another political issue that the West is trying to exaggerate," said Song Xiaojun, a Beijing-based strategy and military analyst.

Zhu Feng, an instructor at Peking University, also added: "Cyber security has been a global issue, but this time those who see China as an emerging threat again have picked the subject as a new weapon."

The hacked computers include machines at NATO, official governments and even embassies.  They have all been infected with software that lets hackers take over their systems.

Scary factoid: The GhostNet system can not only invade your computers files, but can also see and hear you while you are using it, according to a Canadian report.

"GhostNet is capable of taking full control of infected computers, including searching and downloading specific files, and covertly operating attached devices, including microphones and web cameras," the report says.

We, of course, still recommend Kaspersky Anti-Virus as our defense mechanism of choice against this threat.

Smile!  You could be on GhostNet Camera!

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