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Foxconn confirms cyberattack after ransomware crew claims it stole confidential Apple, Nvidia files

The Nitrogen ransomware gang breached Foxconn's North American operations, exfiltrating an alleged 8 TB of confidential data from major clients including Apple and Nvidia. Notably, Coveware research indicates a programming flaw in the gang's VMware ESXi-targeting malware renders its decryptor ineffective, making ransom payments futile for data recovery. Foxconn has activated its incident response and reports affected factories are resuming normal production.
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Foxconn, a critical supplier for major hardware companies like Apple and Nvidia, on Tuesday confirmed a cyberattack affecting its North American operations after the Nitrogen ransomware gang listed the electronics manufacturer on its data leak site. “Some of Foxconn's factories in North America suffered a cyberattack,” a Foxconn spokesperson told The Register. “The cybersecurity team immediately activated the response mechanism and implemented multiple operational measures to ensure the continuity of production and delivery. The affected factories are currently resuming normal production.” Nitrogen ransomware criminals on Monday claimed to have breached the Taiwan-based company and stolen 8 TB of data comprising more than 11 million files. The miscreants say the leaks include confidential instructions, internal project documentation, and technical drawings related to projects at Intel, Apple, Google, Dell, and Nvidia, among others. Foxconn declined to confirm that these - or any - customers’ information was hoovered up in the digital intrusion. Nitrogen, which has been around since 2023, is believed to be one of the various ransomware offshoots that borrowed code from the leaked Conti 2 builder. And, in what may be very bad news for its latest victim, even paying the ransom demand may not guarantee recovery of encrypted files. In February, Coveware researchers warned that a programming error prevents the gang's decryptor from recovering victims' files, so paying up is futile. The finding specifically concerns the group's malware that targets VMware ESXi. This isn’t the first time Foxconn has been targeted by ransomware gangs. In 2024, LockBit claimed to have infected Foxsemicon Integrated Technology, a semiconductor equipment manufacturer within the Foxconn Technology Group. The same criminal crew also hit a Foxconn subsidiary in Mexico in 2022. ®

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