The Battle Over Huawei (II)

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BERLIN/WASHINGTON/BEIJING (Own report) – Strong criticism is coming from Germany’s business community, as the German government prepares to exclude the Chinese company Huawei Technologies from the development of Germany’s 5G network. According to media reports, the government tender for the 5G will be formulated in such a way that Huawei cannot apply. This is based on allegations of espionage by US intelligence services, for which, not a single piece of evidence has been presented anywhere in the world. The Trump administration is seeking to shut Huawei and other Chinese high-tech companies out of the US market, to drive them bankrupt. The US is calling on its allies to join; and in mid-December, a US delegation visited Germany’s foreign ministry to apply pressure. This aggression is aimed at halting China’s ascendance. Protest is being raised from Germany’s business community: Huawei is leading in 5G technology and a functioning 5G network is imperative for using state-of-the-art technologies of the future. Managers warn that excluding Huawei would mean higher costs and a painful setback in Germany’s 5G development.

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The Battle over Huawei

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BERLIN/WASHINGTON/BEIJING (Own report) – With the USA escalating its measures against Huawei Technologies, Berlin is faced with deciding whether to continue its cooperation with that Chinese telecommunications company. Until now, the competent German administrations have been considering cooperating with Huawei for the development of the important 5G mobile communications standards. With its experience, the Chinese company could reliably set up the German network rather quickly and at favorable costs. For German business, it is of utmost importance not to fall behind even further in the development of future state-of-the art technologies. Washington, however, is pushing for the Chinese company to be excluded. The Trump administration – without any evidence, according to experts – is accusing it of having close ties to the Chinese government and intelligence agencies. Washington is indeed seeking to damage Huawei seriously – the world’s largest network provider and second largest smartphone producer – to halt China’s ascendance. Berlin must decide whether it wants to join that battle against Huawei in the economic war against Beijing.

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China Industrial Policy Seeks to Steal ‘Crown Jewels’ of U.S. Tech

Xi Jinping

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White House exposes Chinese economic aggression

China’s government is using a multi-pronged strategy to systematically steal advanced American technology as part of economic aggression against the United States, according to a White House report.

The report, based in part on declassified intelligence from the Pentagon and intelligence agencies, provides some of the first public details on China’s industrial policies that have produced the world’s second largest economy, often at the expense of American companies. Continue reading

Facebook shared user data with Chinese firm despite warnings by US intelligence

Huawei

 

The online social media company Facebook shares data about its users with a Chinese telecommunications company that has been flagged in United States government reports as a threat to security. The New York Times revealed on Tuesday that Facebook has been routinely giving access to the private data of its users to four Chinese companies since at least 2010. The paper said that the data-sharing agreement with Lenovo, Oppo, TCL, and Huawei Technologies, has its roots in 2007. That was the year when Facebook began an effort to entice cell phone hardware and software manufacturers to include Facebook-friendly apps and features in their products. As part of the agreement, Facebook gave cell phone manufacturers access to its users’ private data, including “religious and political leanings, work and education history and relationship status”, said the Times. Continue reading

Australia concerned about Chinese firm’s involvement in undersea cable project

 

Australia has expressed concern about a plan by a Chinese telecommunications company to provide high-speed Internet to the Solomon Islands, a small Pacific island nation with which Australia shares Internet resources. The company, Huawei Technologies, a private Chinese venture, is one of the world’s leading telecommunications hardware manufacturers. In recent years, however, it has come under scrutiny by Western intelligence agencies, who view it as being too close to the Communist Party of China. Continue reading

Pentagon Links Chinese Cyber Security Firm to Beijing Spy Service

Joint Staff warns of cyber espionage dangers

A Chinese cyber security firm is covertly working with Beijing’s Ministry of State Security intelligence service in conducting cyber espionage operations, according to Pentagon intelligence officials.

The company known as Boyusec, officially the Bo Yu Guangzhou Information Technology Co., is also working with China’s global telecommunications company Huawei Technologies, which has been identified by U.S. intelligence agencies as linked to the Chinese military. Continue reading

China the world’s ‘most sophisticated’ hacker, says Google’s Eric Schmidt

As long as the United States remains unwilling to fight fire with fire on some fronts, especially cyber warfare, expect things to get much worse — such as one day shutting down banks and grinding the economy to a halt.

China’s state-sanctioned cybercrime is a global “menace” according to Eric Schmidt, Google’s executive chairman, as he predicts a revolution in the country in the coming decades in his latest book.

“The disparity between American and Chinese firms and their tactics will put both the government and the companies of the United States at a distinct disadvantage,” because “the United States will not take the same path of digital corporate espionage, as its laws are much stricter (and better enforced) and because illicit competition violate the American sense of fair play,” the book claims. Continue reading

Restrict China, protect Canada

Spying has been in the news of late. It’s the 50th anniversary of the James Bond franchise hitting the silver screen, a Canadian naval officer pleaded guilty last week to selling military secrets to Russia, and the U.S. House of Representatives’ intelligence committee warns Chinese state-owned companies shouldn’t be allowed to own firms in highly sensitive sectors of our economies, for fear of corporate espionage.

The committee warned last week that Huawei Technologies and ZTE Corp., two Chinese-based telecommunications giants, should be expelled from the U.S. market to minimize the risk of spying. Continue reading

Beijing’s Backdoors

Senior members of the House Intelligence Committee said on Thursday that two Chinese telecommunications companies are helping Chinese intelligence by providing access to data moved on computer and network equipment sold to governments and companies around the world.

Rep. Michael Rogers, chairman of the House Permanent Select Committee on Intelligence, said Huawei Technologies Co. and ZTE Corp. could be compelled to assist China’s government if asked for data that passes through the company’s network routers. Furthermore, malicious code could be inserted in the companies’ software and exploited by China’s government, he said during a committee hearing.

Rogers (R., Mich.) warned that computer equipment is vulnerable to “backdoors and malicious” code that can be inserted by foreign countries.

According to U.S. officials, both Huawei and ZTE have close ties to the Chinese government and military.

In one case, according to other U.S. officials, China several years ago sold counterfeit routers disguised as Cisco Systems routers to the Pentagon. The equipment was found to be transmitting signals as part of an apparent intelligence-gathering effort. The counterfeit routers were eventually traced to China.

Full article: Beijing’s Backdoors (Washington Free Beacon)