China's tech giants Huawei, ZTE face global setback due to security threats

August 2, 2022

Chinese telecom giant Huawei Technologies has seen the most difficult times in its worldwide operations.

The company’s suspected cooperation with the Chinese government triggered protests in numerous countries owing to security worries. Demonstrations have been spurred by Huawei’s contentious ties to the People’s Liberation Army (PLA) and security agencies. Particularly in nations that are either able to develop their telecommunications infrastructure on their own or are close friends of the first. 

The Canadian Government became the latest country to declare Huawei a national security threat. Ottawa charged the business with including backdoors in its goods and services that provide it unrestricted access to customer data. Meng Wanzhou, the company’s chief executive, was detained by Canadian authorities in 2018 on suspicion of lying to banks about the firm’s transactions in Iran in contravention of US sanctions.

According to allegations made by the United States. The US Department of Justice (DoJ) claimed that Huawei had been stealing trade secrets from Bellevue, the T-Mobile firm with headquarters in Washington, in 2019.

The DoJ published a litany of offenses against corporate leaders in the same case, including money laundering, conspiracy, wire fraud, obstructing the administration of justice, and others.

in 2018, Australia became one of the first countries to outright prohibit the use of Huawei’s 5G equipment and its partnerships with ZTE, another major Chinese telecom company. The businesses were immediately barred from producing telecoms equipment in Japan starting in 2018.