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US Intelligence has conducted an 11-month investigation into Chinese companies Huawei and ZTE, concluding that both should be shut out of the US market.

In a document, composed by the U.S. House of Representatives’ Intelligence Committee, both Huawei and ZTE are said to pose a serious espionage threat, both to individual consumers privacy and to the national security of the US.

"(Huawei and ZTE) cannot be trusted to be free of foreign state influence and thus pose a security threat to the United States and to our systems," the document reads.

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Posted: 2012-10-09 17:23:40
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I've always imagined this type of scenario, hidden technology in exported hardware. What is to stop any hardware component being shipped with hidden malicious capability.
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Posted: 2012-10-09 20:43:26
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I just thought this could be possible in movies. But this investigation took them 11 months, which means that they had a hunch.

But as they stated, they are not sure whether this is for mobiles phones or the other communication devices.

I wonder what would the real reason be.
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Posted: 2012-10-09 20:57:54
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This story is complete bull. Its American propaganda and their policies to the world. I just hate dodgy politics!!

Ok just for the record, I currently work for 2degrees, a cell network here in NZ and currently all the cell networks here and in Australia use either Huawei, ZTE or Ericsson. Huawei and ZTE are a much better alternative to the network provider because they are cheaper and everything is made in China. They also offer good product support. So in my mind this is just America trying to claim some of their own telecoms brands to provide their networks instead of China. I think America really needs to wake up, China are the worlds biggest mass producer & exporter not them.

I wouldnt be surprised the next scheme from America is Apple to jump on the band wagon. If anyone remembers, Steve Jobs had a vision to get Apple to provide cellular services. I personally think it will be a disaster, with already a closed eco system in place with their software imagine what would happen if they got control of cell services. They would charge heaps on any other network wanting to use their sites, it would only be restricted to Apple devices, the list goes on. The reason America would want this to happen is to create jobs, unfortunately America and Europe have had it too good for too long. Some greed and basically have away too comfortable lifestyle. The last thing I will mention is America is way behind in the tech department. Yes Microsoft are huge but they have dropped off a bit but with their adaptive attitiude it could work out for them.

Im not a financial or economist at all but I know things arent right with this story. I just feel sorry for some American people who are dictated by Apple or Samsung and not allowed to have choice in their market because their cell networks lock them in!

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Posted: 2012-10-09 21:54:13
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Yes I imagine it's propaganda.
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Posted: 2012-10-09 22:55:00
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This stinks of something more than what America claims, Huawei and ZTE are bein helped by the Chinese government, and the US Gov. hates this, much like how some are hating on the Korean gov. subsidising Hyundai cars. IMO, America are just being bullies again, they dont like it when they are not in control.
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Posted: 2012-10-09 22:59:55
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I'm not saying it is true but we can't deny that industrial espionage does actually go on. I wouldn't rule stuff like this out, no matter who the perpetrator is.
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Posted: 2012-10-10 00:45:12
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Have read a report somewhere last night that the Whitehouse found no evidence of this afterall.
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Posted: 2012-10-18 15:04:00
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There is not much the US can do about this. They can purchase from other companies of course, such as Huawei and ZTE biggest competitors Ericsson and Alcatel-Lucent. The problem is that Ericsson's largest supplier of hardware is Ericsson Panda Communications in Nanjing, China and that one thirds of Alcatel-Luncent's hardware comes from Shanghai Bell. Five out of Nokia Siemens Networks 10 production plants are located in China and one fourth of Ciscos production happens in China. Why isn't the US going after these companies? You could argue that much of the hardware and software design in these companies are done outside China of course and that this prevent the Chinese from adding hidden back-doors into products from Ericsson, Alcatel-Luncent or Nokia.

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Posted: 2012-10-18 15:39:25
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So the cold war between China and the US has reached the tech segment. Interesting... And sad!
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Posted: 2012-10-18 17:37:23
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