Hiro sits down to breakfast with a man with a glass eye. This man (who never introduces himself) tells Hiro that things are going according to plan.
They're herding the Russians toward the dock at the moment. Hiro is also part of this plan: the Mafia has been using Y.T. to spy on him.
The man with the glass eye blows up the boat that the Russians are heading for, and then a chunk of the dock for good measure. Gurov and his remaining men are herded onto a small boat that the Kowloon is towing.
The plan is to let the Russians freeze for a while, and then interrogate them.
Hiro finally asks what they want with him. Glass-eye says they're all part of Lagos's gang, and Lagos had a bunch of ideas about information flow and viruses, so he was looking for a buyer.
Rife was employing tons of programmers, and he obsessed over the fear that they were stealing his data.
When Lagos and Rife started dealing together, Rife wanted the viruses Lagos had researched, viruses that wiped out the intellectual elite of ancient Sumer.
Rife took these ideas from Lagos and started working on them, but after he got some intel on what Rife was up to, Lagos started to worry. So he got in touch with Juanita, and Mr. Lee, as well as some other big players. Yay for teamwork.