China’s tech giants, Huawei Technologies Ltd. and ZTE Corp represent a threat to national security according to a recent warning issued by the House Intelligence Committee on Monday. The latter is now requesting American companies to avoid purchasing network equipment from the Chinese companies because their gear could contain malicious hardware and software implants, the Associated Press reports.
The House Intelligence Committee hosted a press conference on Monday to warn American companies of the possible risks they are exposing themselves if they continue to work with China’s biggest network suppliers, Huawei Technologies Ltd. and ZTE Corp. The danger could be a lot bigger as the committee has reasons to believe that the two Chinese giants represent a threat to the national security.
Given the large number of cyber-attacks traced to China, the members of the committee think it is best for the U.S. government computer systems not to include components produced by the two firms. If their suggestion is not taken into consideration, the government could expose itself to a high risk of espionage.
Rep. Mike Rogers, the committee’s chairman, revealed during the press conference that China is the major perpetrator of cyber-espionage. The activity developed by Huawei and ZTE triggered a lot of questions, especially since the two companies were unable to provide evidence that could alleviate the committee’s concerns. As a result, the two companies should not have access to computer networks that support anything from power grids to finance systems.
The investigation lasted for almost a year and concluded with a congregational hearing last month. During the meeting, the executives of Huawei and ZTE denied any connections with Beijing and reassured the U.S. government that they do not represent a security threat. Rogers, on the other hand, claims he has gathered enough evidence, including former employees’ declarations, to support their allegations. The report will be handed over to the FBI who will most certainly open an investigation, Rogers concluded