Feeds

Chinese spy scare sours Australia's plans for nationwide broadband

Huawei's alleged ties to PLA under fire again

Build a business case: developing custom apps

Possible involvement of the Chinese networking firm Huawei Technologies in building Australia's national broadband network has security agencies fearing red espionage.

A report Tuesday by The Australian said the country's security officials plan to "closely examine" a frontrunner bid to build the network from Australia's number two telecom provider Singtel Optus based on its connections with Huawei.

Optus confirmed it's been working with Huawei in tests for the network, but wouldn't say if the vendor is involved with the final bid.

Huawei's government contract work outside China is a magnet for cyber-espionage concerns. The Shenzen-based firm was founded by former People's Liberation Army office Ren Zhengfei, leading some to publicly question whether the firm is receiving orders from Beijing to help infiltrate foreign national security networks.

The company responded Thursday by calling the espionage claims "ludicrous and inaccurate," CNET News reports. "Huawei is privately held and 100 percent owned by its employees, administered through an employee share ownership plan. No other organization, including the government, army, or business hold stakes in Huawei."

Australia opposition communications spokesman Nick Minchin called Huawai's business ties to Optus "potentially very concerning."

The China scare previously killed a proposed joint buyout of 3Com by private equity shop Bain Capital and Huawei. Some US officials accused the Chinese firm of wanting to get it's hands on 3Com's TippingPoint unit, which sells intrusion prevention technology to the government.

At the time, Huawai's chief marketing officer said the accusations were "bullshit" -- although the company later released the more courtly response of being "very disappointed." The $60m deal was ultimately scrapped after several months of concessions failed to assuage US security concerns.

In 2005, India also scrapped Huawei's plans to construct a manufacturing unit in the country, citing "security issues." ®

The essential guide to IT transformation

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
So, Apple won't sell cheap kit? Prepare the iOS garden wall WRECKING BALL
It can throw the low cost race if it looks to the cloud
EE accused of silencing customer gripes on social media pages
Hello. HELLO. Can EVERYTHING EVERYWHERE HEAR ME?!
Time Warner Cable customers SQUEAL as US network goes offline
A rude awakening: North Americans greeted with outage drama
Shoot-em-up: Sony Online Entertainment hit by 'large scale DDoS attack'
Games disrupted as firm struggles to control network
BT customers face broadband and landline price hikes
Poor punters won't be affected, telecoms giant claims
Netflix swallows yet another bitter pill, inks peering deal with TWC
Net neutrality crusader once again pays up for priority access
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.