Feeds

US govt asks Huawei and ZTE for more answers

Dumping allegations added to security questions

Application security programs and practises

US House of Representatives Intelligence Committee chair, congressman Mike Rogers, has turned yet another blowtorch onto Chinese vendors Huawei and ZTE, alleging that the Chinese government is subsidizing the price of kit they sell in America.

The committee has been investigating allegations of close ties between the Chinese government and both Huawei and ZTE since November and discussing the possible introduction of legislation that would deal with any related national-security threat.

Australian and New Zealand government officials have been in discussions with the panel’s investigators, in addition to representatives from the UK and Canadian markets, according to Committee panel chairman, US congressman Mike Rogers.

Earlier in this year in Australia, Huawei was excluded from bidding for any NBN Co contracts due to murky security concerns.

He has raised concerns that the Chinese vendor’s gear could be designed to make it easier to steal information, spy on US companies and government agencies or "establish the ability to do cyber attacks," Rogers told a Bloomberg Government conference in Washington.

Speculation includes claims that the Chinese government is subsidising Huawei and ZTE products in a bid to secure international market share. Rogers contended that the Chinese gear is subsidized "so it can be multiple times cheaper than any local competitor."

“This is going to be a huge problem that we’re going to have to get a handle on very quickly,” he said.

The committee aims to complete a classified and unclassified report by late US summer, covering any potential US security threat from the Chinese vendors.

Rogers said the findings would assist US telecommunication companies "to make the right decision and allow us to go forward with appropriate legislation as required."

Earlier this month, the panel issued letters to senior executives at Huawei and ZTE requesting detailed disclosure about Chinese government relations and their international pricing strategies. The letters,sent on June 12 gave the companies three weeks to respond.

The letters include requests for deeper detail about the companies’ history, strategy, connections to the government of China and the Chinese Communist Party, and whether they can truly act as private companies.

“I remain concerned about the national security threat posed by the potential expansion of Huawei and ZTE into our telecommunications infrastructure, We must get to the bottom of these issues before the companies have further access to our market. I trust both Huawei and ZTE will respond fully and completely in a timely fashion,” Rogers said. US House Intelligence Committee members also conducted face to face meetings with Huawei and ZTE execs in Hong Kong last month.

Huawei and ZTE continue to vigorously deny all claims. ®

Eight steps to building an HP BladeSystem

More from The Register

next story
Sysadmin Day 2014: Quick, there's still time to get the beers in
He walked over the broken glass, killed the thugs... and er... reconnected the cables*
Apple fanbois SCREAM as update BRICKS their Macbook Airs
Ragegasm spills over as firmware upgrade kills machines
SHOCK and AWS: The fall of Amazon's deflationary cloud
Just as Jeff Bezos did to books and CDs, Amazon's rivals are now doing to it
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
EU's top data cops to meet Google, Microsoft et al over 'right to be forgotten'
Plan to hammer out 'coherent' guidelines. Good luck chaps!
US judge: YES, cops or feds so can slurp an ENTIRE Gmail account
Crooks don't have folders labelled 'drug records', opines NY beak
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Manic malware Mayhem spreads through Linux, FreeBSD web servers
And how Google could cripple infection rate in a second
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
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.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.