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Computers in China Sold Pre-Installed With Malware, Says Microsoft

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Published: Friday, 14 Sep 2012 | 11:17 AM ET
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Technology Editor, CNBC.com

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Computer Virus

Microsoft has discovered new computers in China are coming preinstalled with software that is embedded with malware, the company said on its company blog.

The tech giant claims it discovered that retailers in China were selling computers that were installed with counterfeit Windows software and the fake software was corrupted with malware.

Cybercriminals took advantage of unsecure supply chains to install the harmful software, the company said.

A supply chain becomes unsecure when distributors or resellers receive or sell products from unauthorized sources.

Microsoft called its discovery “disturbing,” and warned consumers to be cautious of deals that seem to good to be true.

The company found that 20 percent of the PCs researchers bought from unsecure supply chains were infected with preinstalled malware. The malware was especially dangerous because it could be spread easily via removable devices, like USB drives.

The company's investigation, called "Operation b&0," led to the shutdown of the harmful system that was connected to the computers and infecting them with "Nitol," the malware that was coming preinstalled on the computers.

email: tech@cnbc.com

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Microsoft has uncovered new computers in China are coming preinstalled with software that is embedded with malware, the company said on its company blog.
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  • Editor of CNBC.com's Tech Section, always plugged in and yet also wireless.

  • Working from Los Angeles, Boorstin is CNBC's media and entertainment reporter and author of CNBC.com's "Media Money" blog.

  • Fortt is CNBC's technology correspondent, working from CNBC's Silicon Valley bureau and contributes to "Tech Check" on CNBC.com.