Telecom in an Era of Rising Cybersecurity Threats

28 April 2025 | IPv4 Blog

Telecom Providers are a Target

In April 2024, the Federal Communications Commission (FCC) fined several major U.S. wireless carriers a total of $196 million for mishandling customer location data and failing to implement reasonable cybersecurity measures. Later that year, T-Mobile agreed to a $31.5 million settlement following a series of data breaches—half earmarked to bolster its cybersecurity systems, and half paid as a civil penalty.

The telecom industry is now a top target for increasingly sophisticated cyber threats. Recent high-profile attacks and data breaches have exposed serious vulnerabilities. As a result, telecom providers are facing greater regulatory scrutiny, costly fines, service disruptions, and reputational damage.

At the same time, rising global tensions—from the war in Ukraine and conflict in the Middle East to growing friction between Taiwan and China—are fueling concerns about state-sponsored cyberattacks. These threats are no longer hypothetical. Given telecom’s critical role across nearly every industry, its stability is now a key component of national security.

Espionage and sabotage

In 2024, at least nine telecom providers, including AT&T and Verizon, were reportedly breached by Chinese hackers tied to the Salt Typhoon espionage campaign. The attack sought access to sensitive customer data, intellectual property, and confidential communications—particularly those of political figures. The threat extends beyond information theft: experts warn that such actors could potentially disable ports, power grids, and other key U.S. infrastructure.

The physical components of telecom networks are also under threat. Undersea internet cables, data centers, and energy nodes are increasingly vulnerable to sabotage. Recent incidents have involved vessels linked to Russia and China damaging transoceanic cables—tactics consistent with hybrid warfare strategies that offer plausible deniability.

As the threat landscape evolves, so must your defenses. RSM’s cybersecurity and data privacy consultants help organizations identify specific vulnerabilities, integrate security into business operations, and make smarter risk-based decisions. A proactive approach can protect your customers, operations, and brand reputation.

Telecom in an Era of Rising Cyber Threats

Bar chart showing sharp increases in U.S. internet crime complaints and financial losses from 2019 to 2023, based on FBI data.

The number and complexity of cyberattacks has surged over the past five years. The FBI’s Internet Crime Complaint Center received an average of 758,000 complaints per year from 2019 to 2023. In 2023 alone, reported losses totaled $12.5 billion.

Data breaches have seen the steepest rise, both in frequency and cost. For telecom providers, protecting customer data is not only a regulatory imperative—it’s a competitive differentiator. In a highly saturated market, consumer trust is critical. Customers want assurance that their information is secure. A breach can jeopardize long-term loyalty and revenue.

Regulatory changes

Historically, telecom companies have not faced the same level of mandatory cybersecurity requirements as sectors like finance and healthcare. But that’s changing. In response to the Salt Typhoon attacks, the FCC introduced new rules in January 2025 requiring carriers to secure their networks against unauthorized access and to certify the existence of a formal cybersecurity risk management plan.

Several federal programs have also introduced cybersecurity requirements:

Broadband Equity, Access, and Deployment (BEAD) Program (2021): Requires telecom projects to include cybersecurity and supply chain risk management plans in line with Executive Order 14028 and NIST guidance.
Secure and Trusted Communications Networks Act (2019): Pressures providers to remove and replace equipment from vendors such as Huawei and ZTE to reduce foreign surveillance and interference risks.

As geopolitical tensions rise and trade disputes intensify, telecom companies face a growing risk of unconventional, state-sponsored cyberattacks. The nation’s telecommunications infrastructure is a high-value target—and defending it is a shared responsibility between the public and private sectors.

Consequentially, telecom leaders must act decisively. That means investing in modern cybersecurity infrastructure, establishing comprehensive risk management strategies, and staying ahead of emerging threats. In this environment, preparedness isn’t optional—it’s a strategic imperative.

Key takeaways:

Cyberattacks and data privacy breaches can trigger costly fines and damage brand reputation.
Telecommunications networks are a top target for foreign adversaries.
Proactive cybersecurity strategies are essential for telecom providers.

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Tags: cyber threats, cyber-crime, cybersecurity, Federal Communications Commission, Hacking, Network Security,