President Donald Trump signed a national security presidential memorandum on Wednesday that for the first time authorizes American private companies to conduct offensive cyber operations under the direction of the US government, marking a dramatic shift in decades of cybersecurity policy.
The memorandum, titled “Expanding Capabilities to Combat Transnational Cyber-Enabled Crime,” directs federal agencies to “leverage the capability and innovation of the private sector to help conduct these cyber operations under the direction, control and authority of the US government.” The memo specifically targets foreign Cyber-Enabled Transnational Criminal Organizations (CE-TCOs), which the White House called a growing threat to American citizens, businesses, and national security.
The policy authorizes two categories of operations: Cyber Surveillance Operations and Cyber Effects Operations. Under this framework, private-sector firms would be permitted to gather intelligence on and disrupt foreign criminal hacking networks, roles traditionally reserved exclusively for government agencies like the NSA and US Cyber Command.
Bloomberg reported that the move represents a sharp departure from cybersecurity policy across both Republican and Democratic administrations, which had confined offensive cyber operations to government entities. The Trump administration has framed the shift as necessary because the scale and sophistication of transnational cybercrime now exceeds the capacity of federal agencies acting alone.
The memo builds on Executive Order 14390, signed in March 2026, which first directed the federal government to take various actions to combat cyber-enabled crime harming American citizens. Wednesday’s memorandum expands that effort by formally incorporating private-sector capabilities into the offensive cyber toolkit.
Privacy advocates and former officials have raised concerns about the implications of outsourcing government-directed cyber operations to private companies. Questions remain about oversight mechanisms, accountability frameworks, and the potential for mission creep beyond targeting transnational criminal organizations into broader surveillance or offensive operations.
The White House memo requires coordination through the National Security Advisor and the National Cyber Director, establishing a chain of command intended to maintain government control over privately executed operations. The administration argues that American private-sector firms possess some of the most advanced cybersecurity capabilities in the world and that restricting their participation puts the United States at a disadvantage against well-resourced criminal networks operating from jurisdictions beyond traditional law enforcement reach.
Sources: The Guardian, The White House, Bloomberg
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