A year ago, when a Time Magazine reporter told Tan Dailin that he’d been identified as someone who may have hacked the Pentagon, he gasped and asked, “Will the FBI send special agents out to arrest me?”

The answer, it turns out, was, “No, the Chinese government will.”

Dailin, better known in Chinese hacker circles as Withered Rose, was reportedly picked up last month in Chengdu, China, by local authorities. He is now facing seven years in prison under a new Chinese cybercrime law that was passed in late February.

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It’s a great deal, if you’re a spammer.

You pay US$700 to use a server in China that lets you send all the spam you like. It’s called bulletproof hosting, and to the people who fight spam and cybercrime it’s becoming a big problem.

Cybercriminals use these services not just to host servers, but also to register Internet domain names that they use for spam and online attacks. In a three-month period this year, researchers at the University of Alabama at Birmingham traced more than 22,300 domains, all used to send online pharmaceutical spam, to just six bulletproof computers hosted in China, ….

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