US officials recommend businesses not to turn to the services of Chinese firms

Oct 9, 2012 09:56 GMT  ·  By
Huawei is highly disappointed by the results of the US House of Representatives report
   Huawei is highly disappointed by the results of the US House of Representatives report

The report in which the US House of Representatives' Permanent Select Committee on Intelligence recommends US organizations not to do business with Chinese telecoms companies ZTE and Huawei has been officially released.

The report encourages companies to consider the long-term security risks before entering any agreements with the firms, especially if they’re in charge of handling particularly sensitive infrastructures.

The report also recommends that Chinese companies – Huawei in particular – should become more transparent and “responsive to US legal obligations.” Network providers are encouraged to turn to other vendors to complete their projects and authorities are urged to investigate “unfair trade practices of the Chinese telecommunications sector.”

“As this report shows, we have serious concerns about Huawei and ZTE, and their connection to the communist government of China,” Chairman and Ranking Member of the House Intelligence Committee, Mike Rogers, explained.

“China is known to be the major perpetrator of cyber espionage, and Huawei and ZTE failed to alleviate serious concerns throughout this important investigation. American businesses should use other vendors.”

After seeing the report, Huawei came forward to state that the firm did everything in its power to cooperate with the Committee in a transparent manner.

“However, despite our best effort, the Committee appears to have been committed to a predetermined outcome,” Huawei representatives said.

“Unfortunately, the Committee's report not only ignored our proven track record of network security in the United States and globally, but also paid no attention to the large amount of facts that we have provided.”

Huawei stresses that the report is largely based on rumors and speculations, instead of accurate facts. Furthermore, the telecoms giant believes that this is only an attempt to “impede competition” and prevent Chinese information and communications technology firms from entering the United States market.