The bit that surprises the fuck out of me is that they're buying stuff in from China. I've never seen that - ever! They would buy expensive stuff fabbed specially in the US rather than import usually. I did a lot of work for the UK Ministry of Defence and the US Department of Defence over the years on custom silicon and FPGA work and the paranoia factor is scary. We had the layouts of everything bought in - even 74-s…
Hopefully this isn't too political for HN, but I suggest combining your surprise with the news that China was given a direct line around Wall Street to buy Treasuries directly from the USG: http://www.reuters.com/article/2012/05/21/us-usa-treasuries-... There's a relationship here.
Does Wall St. check for backdoors in hardware?