US officials recently announced they will ban technological products from Huawei, ZTE and Hikvision over fears of unacceptable spying. This has been an ongoing concern of the US government for some time. The decision to ban technology products from these three companies is a step towards protecting the security and privacy of US citizens.
This article will explore why the US government has taken this action and what it means for those who use these products.
Background on Huawei
Huawei Technologies Co. Ltd. is a leading global ICT solution provider and one of the world’s largest telecommunications equipment providers, with headquarters in Shenzhen, China and operations in 170 countries worldwide. Founded in 1987 by Ren Zhengfei, a former People’s Liberation Army engineer, Huawei was built as an information technology firm to facilitate China’s telecommunications industry and enabling technology.
Since then, Huawei has become one of the largest technology companies in the world and is involved in creating a wide range of advanced technology products and services such as 5G mobile networks, autonomous vehicle systems, AI-based cloud systems and ‘smart cities’. It is also the world’s largest supplier of telecommunications equipment by market share — ahead of Ericsson, Nokia Solutions & Networks and ZTE — with revenues surpassing US$108bn (2019).
However, US government officials have long been concerned about Huawei’s ties to the Chinese government — especially considering Chinese laws require all organizations to cooperate with state intelligence efforts if asked. In May 2019, US President Donald Trump signed an executive order designed to protect domestic communications networks from foreign adversaries who pose “unacceptable risks” for spying activities. This effectively banned companies like Huawei from doing business with American firms or installing their equipment within US networks due to fears that this would provide Beijing with potential access points into these networks for espionage activities — effectively blacklisting them from many countries that maintain close security ties with the United States. The order also extended regulations for other Chinese firms including ZTE Corporation and HIKVISION Digital Technology Co., Ltd., both of which are accused by officials of being front companies for China’s industrial espionage apparatus.
US Government concerns
The US government has long been concerned about the potential national security risks posed by telecom equipment and video surveillance technology sourced from Chinese tech giants Huawei, ZTE and Hikvision. These companies are assessed to be susceptible to exploitation from the Chinese government, which could allow them access to sensitive data on American citizens.
In response to these concerns, the US Department of Commerce in 2019 put restrictions on Huawei Technologies which prevents it from buying certain American-made materials and prohibits it from buying components directlyfrom American suppliers. Additionally in 2020, The Trump administration issued sanctions against two of China’s largest tech companies—Huawei and ZTE. As a result, both companies will be subject to further limitations on their abilities to purchase components sourced in the United States.
Recently, President Donald Trump issued an executive order banning the use of any technology or services originating from foreign countries deemed by US officials as potential threats against US security or foreign policy interests. This order extends beyond just Huawei and ZTE to include video surveillance companyHikvision, thereby prohibiting US governmental entities from purchasing ―or otherwise using any equipment, system or service that utilizes telecommunication services or equipment produced by these particular designees or a subsidiary of such designees”.
US officials have long worked towards thwarting espionage efforts presented by Chinese tech companies as growing evidence related to their activities has come forth. In April 2021 The House Intelligence Committee released a report “National Security Consequences of the Exploitation of Vulnerabilities in U.S Telecommunications Networks and Equipment” which detailed how not only are these firms exploiting vulnerabilities available through their own technologies source code but also issuing numerous cyberattacks on Western Networks which could threaten various aspects of commerce including trade secrets an intellectual property inherent therein. These restrictions should still be considered when choosing telecommunications services for any business. Evaluating counterparties that do not pose a security risk is essential for protecting organizations beyond just governmental agencies.
US government bans Huawei, ZTE and Hikvision tech over ‘unacceptable’ spying fears
In a tense moment for US-China relations, the US government has banned Chinese tech companies Huawei, ZTE and Hikvision.
The ban responded to what the US officials viewed as unacceptable risks of spying and cyber espionage. This move ends a long period of worry among American officials and marks a significant shift in global tech policy.
Reasons for the Ban
The United States government has recently announced a ban on the use of technology from the Chinese companies Huawei, ZTE and Hikvision due to “unacceptable risks” of foreign espionage. The US is concerned about the close ties between these Chinese companies and the Chinese government, which could lead to potential security risks if these tech companies were used in US infrastructures or products.
There are several reasons as to why the US government has chosen to go through with this ban, some of which include:
1. Potential for Foreign Spying: Given their close ties with the Chinese government, there is concern that Huawei, ZTE or Hikvision could be used by foreign governments as a tool for spying or other malicious activity. At the same time, they maintain a presence in US infrastructures and products.
2. Impact on National Security: By blocking access to cutting-edge AI technology and telecom networks equipment developed or supplied by Huawei or its associated supplier networks, the United States can better protect its national security interests.
3. Cyber-security Guidelines: The new restrictions will also require any companies doing business with either Huawei, ZTE or Hikvision in any capacity-such as but not limited to purchases and collaborations-to comply with cyber security guidelines set forth by the Department of Commerce. This includes strict auditing protocols to keep US intellectual property secure from foreign interference or exploitation.
4. Businesses Affected: This new legislation affects businesses in both public and private sectors including internet service providers (ISPs), governmental divisions providing telecommunications services, defence contractors using potentially affected components in transmissions lines used for military communications and any other entities attempting to use either Huawei or its subsidiaries’ technologies in their operations within the United States.
Impact of the Ban
The US government banned Huawei, ZTE, and Hikvision technology over national security concerns on August 2019. As a result, the companies face heavy restrictions when doing business with US firms and partners. This includes prohibiting the use of technology these companies produce in US products and services.
The ban has had far-reaching implications both domestically and internationally. Domestically, it has resulted in economic losses for the companies and their suppliers. Additionally, it strains the global supply chain for vendors affected by the new regulations.
Moreover, it is expected to lead to job losses for Chinese employees working in these companies who have been reallocated or let go due to the change in regulations. Additionally, countries that depend heavily on Huawei technology are feeling this impact as now they would have to look elsewhere for alternatives or replace existing equipment with compliant providers.
Internationally, tensions between China and the US have risen due to this ban with China condemning it as ‘unacceptable’. In addition, other governments worldwide are now looking at ways to manage similar bans affecting their tech giants, which could further worsen the situation if additional bans are added due to potential spying fears or other national security concerns involving foreign countries.
Huawei’s Response
After the US government banned Huawei, ZTE, and Hikvision, Huawei released a statement saying they are open to a dialogue with the US to resolve any concerns raised.
Huawei has long denied any ties to the Chinese government and has promised to uphold their commitment to innovating technology and maintaining the highest levels of security. The company also stated that they are trying to protect the privacy of their customers and will keep an open dialogue with the US government and other stakeholders.
Huawei’s Statement
Huawei has responded to the US government’s ban on the company’s use of their tech by pointing out that its products are widely used by over three billion people worldwide, and Huawei links itself in a global innovation chain.
In a statement released on Friday, Huawei said it disagreed with the decision made in Washington and was confident that its products meet the highest security, privacy and engineering standards. “Huawei is a leading global provider of information and communications technology (ICT) infrastructure and smart devices,”the statement said.
The company further explained that the ban would affect Huawei and its customers who have come to rely on their technology for affordable and secure services such as healthcare, online shopping, transportation, energy and payments systems, among many other applications.
“Understanding these risks placed on our customers’ businesses is deeply concerning,” read the statement which added that it remains open for dialogue on cybersecurity standards so that collaborative efforts can be taken against cyber threats.
Huawei has strongly denied any wrongdoing or links with Chinese intelligence services – accusations which the ban cited as one of its reasons for imposing sanctions against the company. The US government ban prohibits US-based companies from doing business with Huawei and two other Chinese firms – ZTE Corp. and Hikvision – over security fears they pose to national security concerns due to their ties to China’s communist regime.
Huawei’s Legal Action
To uphold their legal rights and responsibilities, Huawei has pursued numerous legal actions against the US government’s decision to impose bans on their technology. On April 15th, 2019, Huawei requested a summary judgement to the US District court in Plano, Texas. In it, the Chinese technology giant stated that the US government’s decision was unconstitutional as it based on politics rather than facts and evidence. Additionally, they argue that despite the “unacceptable spying fears” mentioned by US officials no evidence has been provided to back up any of these claims.
This lawsuit is only one example of Huawei’s efforts to beat the US government’s decision after they were put into an economic blacklist due to the 2018 National Defense Authorization Act (NDAA). Huawei has also filed lawsuits against some of its patents, trademarks and copyright being irrevocably revoked due to their inclusion in this list. In all of their lawsuits, Huawei has maintained that there is no evidence that their technologies present any threat or danger for users who possess them.
US Allies’ Response
Following the US government’s announcement of banning Huawei, ZTE, and Hikvision tech over ‘unacceptable’ spying fears, other countries have also been looking into the issue. The US administration’s level of caution with the Chinese tech companies has led other countries to reconsider their relationship with them.
This article will delve into the responses of US allies regarding the US government’s ban.
UK’s Response
The UK’s response has been cautiously supportive in the wake of the US government’s decision to ban Huawei, ZTE and Hikvision tech due to concerns over spying.
Prime Minister Boris Johnson, who had previously favored using Huawei technology in Britain’s 5G infrastructure, welcomed a compromise reached by British telecom companies Orange and O2 with Huawei to reduce the Chinese communications giant’s presence in the UK. Under that deal, Huawei would no longer be a main supplier for 4G and 5G communications devices but would be allowed to provide up to 35% of telecom equipment. In addition, the Prime Minister expressed his confidence that UK intelligence services were working on ensuring maximum security for customers.
The head of Britain’s National Cyber Security Centre (NCSC), Ciaran Martin, said that US sanctions would complicate some technical aspects but should not significantly restrict constructive engagement with partners by the NCSC on issues such as international supply chain assurance. While acknowledging that maintaining existing networks is challenging with such changes imposed unilaterally at short notice from outside Europe, Martin stressed that the NCSC is “as confident as we can be” about achieving clean networks in telecommunications and other sectors.
Australia’s Response
In response to US government bans on Huawei, ZTE and Hikvision tech, the Australian government announced that it would not ban any Chinese companies from its domestic 5G networks. The Australian Prime Minister, Scott Morrison stated, “the Australian Government is committed to ensuring our telecommunications networks are secure. However, we must also ensure a level playing field for all suppliers in this sector, including those based in nations with whom Australia has friendly relations”.
The Australian Communications and Media Authority (ACMA) has taken action to ensure its 5G network operators remain secure by introducing tougher security measures and conducting additional risk assessments. This includes verifying new suppliers through greater scrutiny and implementing stronger measures to protect critical national infrastructure.
However, some telecoms industry experts have argued the Australian Government should have followed the American approach and suspended business transactions with Huawei because they argue Chinese manufacturers may build backdoors into their equipment that Beijing could use for espionage purposes. Critics argue that this undermines Australia’s intelligence relationship established via the Five Eyes Alliance and its digital security protections, something other US allies have been reluctant to do despite pressure from Washington D.C.
Conclusion
In conclusion, the US government’s decisions to ban Huawei, ZTE, and Hikvision tech due to ‘unacceptable’ spying fears highlight the growing struggle between the US and China for technological dominance. By doing so, the US government can limit the Chinese government’s access to sensitive data and protect American national security.
This decision highlights the importance of data security and the need for international cooperation to protect it.
Summary of the Ban
The US government recently banned Huawei, ZTE and Hikvision technology due to security concerns. This measure was taken to protect the integrity of US communications systems. The ban impacts all federal government contracts involving these companies’ technology and any subcontractors dealing with them. The US Department of Defense has also prohibited using Huawei and ZTE products by its contractors. Additionally, the bipartisan committee will review any existing contracts and subcontracts with Huawei or ZTE on foreign investment in the United States (CFIUS).
In addition to banning these companies’ products from use in federal government contracts, President Trump has signed an executive order that bars US companies from buying or using telecommunications equipment made by any “foreign adversaries” who may pose a national security threat. This provision includes imposing criminal penalties against entities using this designated equipment.
The US government believes that the Chinese government could have unauthorized access or influence over private data collected through Huawei or ZTE equipment, which is why it has put this ban in place. The ultimate goal is to protect confidential information from foreign hands and ensure national security for Americans.
Impact on US-China Relations
The recent US government ban on the Chinese companies Huawei, ZTE and Hikvision has cast a long shadow over US-China relations. This ban highlights Washington’s concern that these companies provide backdoor access to Chinese intelligence agencies and are integral to the Chinese military-industrial complex.
The US fears that Chinese firms and their technologies could be used as a tool for espionage and intellectual property theft, which poses a major risk to American national security. In addition, critics have raised worries around data security, with some suggesting Huawei’s close relationship with China could lead to serious privacy breaches.
This move by the US government marks an escalation in tensions between the two countries, and might serve as a precursor to further economic confrontations which could have global ramifications. Questions remain as to whether or not these restrictions will lead to greater fragmentation in the technology sector or if more assertive action will be taken against other Chinese tech giants from both governments.