Over the last few months, Chinese telecom equipment manufacturers like Huawei and ZTE have been the subjects of attack in US Congressional Reports. According to the reports, these companies have grown notorious for suspicious behavior of their equipment, as reported by both employees and customers. The Congressional report urges American companies to stop doing business with Huawei and ZTE, and urges network providers to seek other vendors. Although there are no solid proofs being released here, the Congressional Reports probably suggest possibilities of spying on communication and threats to vital equipment.
Following the Huawei ban from the US Government, and the Australian Government, recently, the Canadian Government has taken a stern step to exclude Huawei from a national networking project. The Canadian Prime Minister Stephen Harper’s spokesman, explained it as,
Canada has invoked a national security exception to let it discriminate, without violating international trade obligations, against companies deemed as too risky to be involved in putting together the network for carrying government phone calls, emails and data center services.
Huawei is the world’s largest manufacturer of telecom equipment, and ZTE is the fifth largest. Both of them have rejected any affiliation with the Chinese Government and the Chinese Government has also rejected these Congressional Report claims as being “groundless accusations”. A sweet cyber-warfare is brewing here, and China is already notorious for its cyber-warfare policy. This entire incident will leave a bad taste in the mouth Huawei customers worldwide which will eventually be bad for their business.