Microsoft Corporation has announced a significant policy shift that will prohibit engineers based in China from contributing to its work on cloud computing systems maintained for the United States Department of Defense (DoD). This decision comes after a report by investigative outlet ProPublica raised substantial national security concerns.
The report, published earlier this week, revealed that Microsoft had been relying on China-based engineering teams to assist with technical maintenance for sensitive government cloud systems utilized by the Pentagon.
While Microsoft had previously stated that these engineers operated under the supervision of “digital escorts“—U.S. citizens holding security clearances—the watchdog group alleged that these escorts frequently lacked the necessary technical expertise to effectively monitor the foreign workers.
These revelations quickly drew criticism from senior U.S. officials, including Secretary of Defense Pete Hegseth, who took to social media platform X (formerly Twitter) to condemn the practice.
“Foreign engineers — from any country, including of course China — should NEVER be allowed to maintain or access DoD systems,” Hegseth emphatically stated.
In a statement issued on Friday, Frank X. Shaw, Microsoft’s Chief Communications Officer, confirmed the company had taken steps to address the situation.
Shaw noted, “In response to concerns raised earlier this week about US-supervised foreign engineers, Microsoft has made changes to our support for US Government customers to assure that no China-based engineering teams are providing technical assistance for DoD Government cloud and related services.”
Microsoft, a leading cloud service provider contracted by various U.S. federal agencies, including the Department of Defense, had previously employed an internal supervision model for international engineers working on government-related infrastructure. However, experts have warned that such arrangements could pose national security vulnerabilities, particularly when involving countries with adversarial relations with Washington.
This development unfolds amid heightened U.S.-China tensions surrounding technology, cybersecurity, and espionage, with both nations imposing stricter controls on cross-border digital cooperation. It also contributes to the ongoing debate over how U.S. tech giants navigate the balance between global workforce distribution and crucial national security obligations.
While Microsoft has not disclosed the number of engineers involved or the commencement date of the practice, the company stressed that these recent changes are part of an evolving effort to bolster compliance with federal standards and safeguard critical infrastructure.
