The Huawei controversy: Everything you need to know

guest · Dec 26, 2019

mood said: ↑

Huawei reportedly got by with a lot of help from the Chinese government
December 26, 2019
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Huawei denies receiving billions in financial aid from Chinese government
After a WSJ report, the company says it has never gotten special treatment from Beijing
December 26, 2019
https://www.engadget.com/2019/12/26/huawei-denies-75-billion-china-aid-report/

Huawei may not be as much of a self-made success story as founder Ren Zhengfei has consistently made the company out to be.
Using a combination of publicly-available records, the WSJ estimates Huawei received $46 billion in loans and lines of credit from state-controlled lenders, as well as $1.6 billion in grants. The company was also able to save as much as $25 billion in taxes between 2008 and 2018 thanks to incentives aimed at China's tech companies, and $2 billion on land purchases.

Huawei responded to the article in a series of tweets and a lengthy statement posted earlier today.

"Once again, the WSJ has published untruths about Huawei based on false information. This time, wild accusations about Huawei's finances ignore our 30 years of dedicated investments in R&D that have driven innovation and the tech industry as a whole," the company said.
It also denied receiving any special treatment from the Chinese government.
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guest · Dec 30, 2019

China's Huawei gets India nod to participate in 5G trials
December 30, 2019
https://www.reuters.com/article/us-huawei-india-idUSKBN1YY0TQ

The Indian government has allowed Chinese telecom company Huawei Technologies Co to participate in trials for 5G networks, a company spokesman said on Monday.

India’s nod to Huawei comes at a time when the global rollout of 5G technology has been complicated by U.S. sanctions against the company. The United States has been lobbying allies not to use Huawei’s network equipment in their 5G networks.
Indian television channel CNBC-TV18 reported here the news first, citing a senior official. The trials will be held in January, according to the official, the channel reported.
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guest · Dec 30, 2019

Huawei's 2019 revenue to jump 18%, forecasts 'difficult' 2020
December 30, 2019
https://www.reuters.com/article/us-...ump-18-forecasts-difficult-2020-idUSKBN1YY1JL

Huawei Technologies on Tuesday said its full-year revenue would likely jump 18% in 2019 to 850 billion yuan ($121.72 billion), lower than its earlier projections, as a U.S. trade blacklisting curbed growth and disrupted its ability to source key parts.

Huawei’s Rotating Chairman Eric Xu revealed the numbers in a New Year’s message to employees and customers in which he also forecasted 2020 to be a “difficult year’, saying that the firm was unlikely to grow as rapidly as it did in the first half of this year.
Its estimate of 18% revenue growth in 2019 is less than 2018, when Huawei’s annual revenue rose 19.5%.

“The external environment is becoming more complicated than ever, and downward pressure on the global economy has intensified,” he said.
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guest · Jan 3, 2020

FCC says it will accept comments until February 3 on Huawei, ZTE security risks
January 3, 2020
https://www.reuters.com/article/us-...-3-on-huawei-zte-security-risks-idUSKBN1Z2228

The U.S. Federal Communications Commission (FCC) said on Friday it will accept public comments until Feb. 3 on its determination that China’s Huawei Technologies Co Ltd and ZTE Corp pose national security risks.

In November, the FCC voted unanimously to bar U.S. rural wireless providers from tapping an $8.5 billion government fund to purchase Huawei or ZTE telecommunications equipment.
Last month, Huawei filed a petition with the Fifth U.S. Circuit Court in New Orleans challenging the FCC decision. The FCC will review public comments before finalizing the designations.
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guest · Jan 24, 2020

U.S. is Working on New Limits on Huawei Suppliers
January 23, 2020
https://www.cdrinfo.com/d7/content/us-working-new-limits-huawei-suppliers

New rules will put more limits on U.S. companies supplying China’s telecommunications leader Huawei Technologies.

The new restrictions would further jeopardize Huawei’s ability to continue making some of its biggest products.
Some U.S. companies have kept selling to Huawei citing rules that limit the U.S. government’s ability to restrict exports. The provisions exempt certain products if companies can prove the 75% of work done to create the items happens outside the U.S. The administration is debating raising this to 90%.

A separate new regulation that governs the direct supply of products is reportedly under consideration by the Commerce Department and could make its way through the process in a matter of weeks. That rule would apply to products that are designed in the U.S. but manufactured entirely overseas.
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Bloomberg: New U.S. Limits on Huawei Suppliers Coming Soon, Ross Says

Ross said the ultimate U.S. objective is not to cut Huawei off from all American supplies, but instead to protect national security. He added that restrictions on Huawei were not negotiated during phase one of the trade agreement with China. The next step in that broader process isn’t currently active, he said.

“As we stand right here, there’s no particular intent to negotiate it in phase two,” Ross said.
Huawei declined to comment.
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hawki · Jan 28, 2020

"Britain Says Huawei Won’t Be Banned From Its 5G Network

LONDON — Britain said on Tuesday that it would not ban equipment made by the Chinese technology giant Huawei from being used in its new high-speed 5G wireless network, the starkest sign that an American campaign against the telecommunications company is faltering..."

https://www.nytimes.com/2020/01/27/us/politics/john-bolton-trump-book-barr.html

hawki · Jan 28, 2020

"Huawei set for limited role in UK 5G networks

The UK has decided to let Huawei continue to be used in its 5G networks but with restrictions, despite pressure from the US to block the firm.

The Chinese firm will be banned from supplying kit to 'sensitive parts' of the network, known as the core.
In addition, it will only be allowed to account for 35% of the kit in a network's periphery, which includes radio masts.

And it will be excluded from areas near military bases and nuclear sites..."

https://www.bbc.com/news/technology...l&ns_mchannel=social&ns_campaign=bbc_breaking

guest · Jan 28, 2020

Canada, isolated over Huawei 5G, is studying British decision
January 28, 2020
https://www.reuters.com/article/us-...5g-is-studying-british-decision-idUSKBN1ZR2JJ

Canada, the only member of an elite intelligence-sharing network yet to decide whether to allow the use of Huawei Technologies Co Ltd 5G technology, on Tuesday said it was studying Britain’s decision not to ban the Chinese telecoms giant from the West’s next-generation communications.

Bains, saying Canada would keep talking to allies, did not answer directly when asked about the timing of a decision.
The added complication for Canada is that Beijing detained two Canadians in 2018 after Vancouver police arrested a Huawei executive on a U.S. extradition warrant.
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Two sources directly familiar with the matter said security officials were split over Huawei. The Communications Security Establishment (CSE) - which gathers signals intelligence - was taking a more dovish line than the Canadian Security Intelligence Service (CSIS) spy agency, they said.

“CSE considers this is a technical question that can be managed while CSIS is totally opposed to opening the door to possible espionage,” said one source, who requested anonymity given the sensitivity of the situation. The split was first reported by the Globe and Mail newspaper.
In a statement, Huawei Canada said “in our ten years of operation in Canada, there has never been a security incident or a lapse of any sort”.
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hawki · Jan 28, 2020

"China 'could find easier ways to cyber-attack UK than using 5G', experts say...

Huawei equipment is already closely monitored so that any hidden functions would be detected, according to experts at the National Cyber Security Centre (NCSC)...

The cyber experts at the NCSC said that the risk of Huawei’s involvement in the 5G network was 'manageable...

Placing 'backdoors' in any Huawei equipment supplied into the UK is not the lowest risk, easiest to perform or most effective means for the Chinese state to perform a major cyber attack on UK telecoms networks today'..."

https://uk.news.yahoo.com/huawei-cy...HNCJrjjY5d9hk9OaO7NmMifE-6KHV2OhJn1g6EZovIAw3

guest · Jan 28, 2020

Does China's Huawei really pose a threat to national security?
January 28, 2020
https://www.nbcnews.com/politics/na...really-pose-threat-national-security-n1124746

How big a risk does the Chinese company Huawei pose to the security of global communications networks?

For the U.S. government, the answer is an unacceptable one. The Trump administration argues Huawei should be banned from playing a part in building next generation superfast 5g wireless networks.
But some of America's closest allies — and even some American intelligence officials — don't see it that way. That long simmering disagreement burst into the open Tuesday with the announcement by Britain that Huawei would be allowed to play a limited role in that country's 5g network, dealing a blow to the Trump administration effort to isolate the company.

Victor Zhang, Huawei's vice president, said in a tweet that the company was "reassured by the U.K. government's confirmation that we can continue working with our customers to keep the 5G roll-out on track."
A senior Trump administration official responded, "The United States is disappointed by the UK's decision. There is no safe option for untrusted vendors to control any part of a 5G network. [...]"
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Some U.S. security experts say Britain is making a huge mistake.

"What's next — will the UK decide to buy voting machines from Russia?" said Dmitri Alperovitch, a cybersecurity executive who consults frequently with U.S. intelligence agencies.
"The United Kingdom is gambling that the 'special relationship' is special enough to withstand the fallout from the decision and, frankly, that the Trump administration is too distracted by impeachment to act against it," Lewis wrote in a blog post.
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guest · Jan 29, 2020

EU deals another blow to U.S., allowing members to decide on Huawei's 5G role
January 29, 2020
https://ca.reuters.com/article/technologyNews/idCAKBN1ZS163-OCATC

The EU followed Britain’s example on Wednesday, allowing members to decide what part China’s Huawei Technologies [HWT.UL] can play in its 5G telecoms networks and resisting pressure from Washington for an outright ban.

EU countries can either restrict or exclude high-risk 5G vendors like Huawei from core parts of their telecoms networks, according to the new guidelines, which seek to address the cybersecurity risks to the bloc’s 28 countries at a national and EU level.
Huawei is the world’s biggest producer of telecoms equipment, competing with Sweden’s Ericsson and Finland’s Nokia.

Huawei welcomed the guidelines, describing them as non-biased and fact-based.
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hawki · Jan 29, 2020

"US govt 'told Germany that Chinese spies bug' Huawei 5G kit...

America warned Germany Huawei's cheap'n'cheerful 5G gear was effectively bugged by Beijing's spies and leaking secrets to agents, it is claimed...

According to a report published Wednesday by Handelsblatt, a German business and policy publication, the German Federal Government received intelligence from the US at the end of 2019 'that Huawei has been proven to work with China's security agencies'..."

https://www.theregister.co.uk/2020/01/29/huawei_spying_evidence/

reasonablePrivacy · Jan 29, 2020

hawki said: ↑

"US govt 'told Germany that Chinese spies bug' Huawei 5G kit...

America warned Germany Huawei's cheap'n'cheerful 5G gear was effectively bugged by Beijing's spies and leaking secrets to agents, it is claimed...

According to a report published Wednesday by Handelsblatt, a German business and policy publication, the German Federal Government received intelligence from the US at the end of 2019 'that Huawei has been proven to work with China's security agencies'..."

https://www.theregister.co.uk/2020/01/29/huawei_spying_evidence/
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First think that comes to my mind: Provided that Apple under pressure from Justice Department and FBI would replace encryption with weak counterparts in iOS and introduce hardware/firmware backdoors, wouldn't it mean Apple works for USA's security agencies?
Second think that comes to my mind: does US intelligence provided any proof of concept exploit as an example?

guest · Jan 31, 2020

BT says the UK government's decision on Huawei will cost it £500 million over five years
January 30, 2020
https://www.neowin.net/news/bt-says...awei-will-cost-it-500-million-over-five-years

BT has announced that the government's recent decision to limit Huawei’s involvement in the UK’s 5G networks will cost it £500 million over the next five years. The company’s prediction came included as part of its latest trading update which primarily focuses on its performance over the last nine months to December 31.
In a statement, Philip Jansen, Chief Executive at BT, said:

"[...] We are in the process of reviewing the guidance in detail to determine the full impact on our plans and at this time estimate an impact of around £500 million over the next 5 years.”
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guest · Feb 3, 2020

mood said: ↑

The FCC votes to block Huawei from billions in federal aid
One more problem for the company
November 22, 2019
https://www.theverge.com/2019/11/22/20977703/fcc-vote-huawei-zte-china-funding-federal-aid
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Huawei urges U.S. agency to drop national security risk designation
February 3, 2020
https://www.reuters.com/article/us-...ional-security-risk-designation-idUSKBN1ZX2V1

Huawei Technologies Co Ltd on Monday asked the Federal Communications Commission (FCC) not to finalize its designation of the China tech giant as a risk to U.S. national security, calling the effort “unlawful and misguided.”

In November, the FCC voted 5-0 to initially designate Huawei and ZTE Corp (000063.SZ) as national security risks in a move that would bar their U.S. rural carrier customers from tapping an $8.5 billion government fund to purchase equipment.
The company has repeatedly denied those allegations, and scored a big win last week when the UK announced it was giving Huawei a role in its new generation of telecoms infrastructure.
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guest · Feb 6, 2020

mood said: ↑

Huawei is demanding $1bn in patent fees from Verizon
Firm accuses US carrier of violating 238 of its patents
June 13, 2019
https://www.theinquirer.net/inquirer/news/3077325/huawei-vs-verizon-patents
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Chinese telecoms giant Huawei sues Verizon for patent infringement
February 6, 2020
https://www.cnbc.com/2020/02/06/huawei-sues-verizon-for-patent-infringement.html

Huawei has filed two lawsuits against Verizon alleging the U.S. carrier infringed patents held by the Chinese telecoms giant.

Even though Huawei has a tiny presence in the U.S., American companies like Verizon will still use patented technology from Huawei. That’s because the Chinese firm holds over 87,000 patents globally with 11,000 of those being in the U.S.
Other firms, including some of Huawei’s rivals, will need to use the patented technology for telecommunications networks.

Huawei claims it has been trying to negotiate royalty payments with Verizon “for a significant period of time” but were “unable to reach an agreement on license terms.”

“For years now we have successfully negotiated patent license agreements with many companies. Unfortunately, when no agreement can be reached, we have no choice but to seek a legal remedy,” Song Liuping, chief legal officer at Huawei, told CNBC.
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hawki · Feb 6, 2020

"US should buy control of Nokia, Ericsson to fight Huawei: US attorney general

The United States and its allies should take controlling stakes in Nokia, Ericsson or both to battle Chinese telecoms giant Huawei’s dominance of the 5G market, US Attorney general Bill Barr said Thursday...

'There are only two companies that can compete with Huawei right now: Nokia and Ericsson...The main concern about these suppliers is that they have neither Huawei’s scale nor the backing of a powerful country with a large embedded market like China,' he said..."

https://uk.reuters.com/article/uk-u...ericsson-nokia-attorney-general-idUKKBN2001FP

guest · Feb 8, 2020

White House rubbishes the idea that the U.S. will take control of Nokia and Ericsson
February 8, 2020
https://www.neowin.net/news/white-h...he-us-will-take-control-of-nokia-and-ericsson

It was reported yesterday that the U.S. could take controlling stakes in Nokia and Ericsson to make them more competitive against Huawei after Attorney General William Barr floated the idea at a conference discussing Chinese economic espionage.
In a quick rebuttal of the idea, U.S. Vice President Mike Pence has dismissed the suggestion that the White House will seek to take control of the two European firms.

While the White House is coming out against Barr’s suggestion right now, things could still change in the future. Additionally, if the administration is not ready to disclose any plans it has, Pence could have just been side-stepping the question.
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guest · Feb 11, 2020

Germany could be allowing Huawei in its 5G networks despite U.S. lobbying
February 11, 2020
https://www.neowin.net/news/germany-could-be-allowing-huawei-in-its-5g-networks-despite-us-lobbying

Germany looks set to allow Huawei into its 5G networks despite attempts by the United States to make the country change course. Members of Angela Merkel’s Christian Democratic Union party signed off on a document yesterday that seeks a compromise approach between banning Huawei and giving it free rein. Overall, they do not seem too dissimilar to plans adopted by the United Kingdom two weeks ago.

The paper points out that state actors that want to infiltrate a network can do it through any equipment maker, not just Huawei. It said these risks can’t be entirely eliminated but can be minimised with “comprehensive technical checks”. It goes on to say that encryption can be used to make transmitted data secure.
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Reuters: Merkel's conservatives stop short of Huawei 5G ban in Germany

hawki · Feb 11, 2020

"U.S. Officials Say Huawei Can Covertly Access Telecom Networks

U.S. officials say Huawei Technologies Co. can covertly access mobile-phone networks around the world through “back doors” designed for use by law enforcement...

Intelligence shows Huawei has had this secret capability for more than a decade, U.S. officials said...

The U.S. kept the intelligence highly classified until late last year, when American officials provided details to allies including the U.K. and Germany, according to officials from the three countries...

U.S. officials say Huawei has built equipment that secretly preserves the manufacturer’s ability to access networks through these interfaces without the carriers’ knowledge..."

No paywall at this time:

https://www.wsj.com/articles/u-s-of...C0oEMe4jKNGyQbC&reflink=article_copyURL_share

A_mouse · Feb 11, 2020

And from Ars Technica
https://arstechnica.com/tech-policy...-huawei-can-snoop-on-phone-networks-wsj-says/

Some things stand out.
If the UK Gov. were shown the evidence they probably should have stopped asking for the evidence.
If they have had this evidence since 2009 and it was such a threat to world security, it would have been wise to share that within a decade.
If this evidence is actually as I suspect the usual backdoor access that keeps turning up in CVEs, or found by the GCHQ team in charge of pulling apart anything Huawei, then this is mostly the same sort of thing you'll find in the even more extensive Cisco CVEs collection, so exactly why Huawei kit it not going to be used anywhere important.
Here the issue is not that we don't know about the backdoors, but that Huwaei are terrible at fixing problems.

As long as you know you can't trust something and why, you can be safer using it than something you do trust but is full of flaws.
Considering the recent resurfacing news of the old CIA project (of which there is genuine evidence) to decrypt all of its allies secret communications for decades, I find it hard to tell which is the worst threat to privacy and world security.

guest · Feb 12, 2020

Pentagon set to back Huawei restrictions: Politico
February 12, 2020
https://www.reuters.com/article/us-...ck-huawei-restrictions-politico-idUSKBN2062WI

The Pentagon is likely to back restrictions to Huawei Technologies, reversing earlier opposition to a proposal meant to further crack down on U.S. exports to the blacklisted Chinese technology company, Politico reported on Wednesday.
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Politico: Pentagon set to back Huawei restrictions

The issue will be the subject of a meeting Wednesday among deputy-level officials from Commerce, Defense and other departments

The change in position would allow a rule first proposed by the Commerce Department to advance, making it harder for U.S. companies to get around an effective export ban that already applies to Huawei.

“It’s not so much that the facts have changed. It’s the people who are making the decision at the Pentagon that have changed,” one of the people said.
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guest · Feb 13, 2020

hawki said: ↑

"U.S. Officials Say Huawei Can Covertly Access Telecom Networks

U.S. officials say Huawei Technologies Co. can covertly access mobile-phone networks around the world through “back doors” designed for use by law enforcement...
[...]
https://www.wsj.com/articles/u-s-of...C0oEMe4jKNGyQbC&reflink=article_copyURL_share
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Huawei accuses U.S. officials of 'lies' in fiery statement denying backdoor
February 12, 2020
https://mashable.com/article/huawei-denies-backdoor-us-spying-allegation/

The Chinese telecommunications company issued a boldly worded statement Wednesday denying a recent report in the Wall Street Journal that it has, for years, maintained secret backdoors into mobile phone networks across the globe. The claim, sourced to U.S. intelligence officials, has clearly struck a nerve.

"The Wall Street Journal is clearly aware that the US government can't provide any evidence to support their allegations, and yet it still chose to repeat the lies being spread by these US officials," reads Huawei's official statement. "This reflects The Wall Street Journal's bias against Huawei and undermines its credibility."

The statement references reporting in the Washington Post, specifically noting that the U.S. government secretly ran a cryptography company for years. As such, U.S. officials were able to read the supposedly encrypted communications of governments around the world.

"As evidenced by the Snowden leaks, the United States has been covertly accessing telecom networks worldwide, spying on other countries for quite some time," it says. "The report by the Washington Post this week about how the CIA used an encryption company to spy on other countries for decades is yet additional proof."
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Huawei: Media Statement Regarding WSJ “Backdoor” Story

US allegations of Huawei using lawful interception are nothing but a smokescreen – they don't adhere to any form of accepted logic in the cyber security domain. Huawei has never and will never covertly access telecom networks, nor do we have the capability to do so.
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hawki · Feb 13, 2020

"U.S. charges China’s Huawei with conspiracy to steal U.S. trade secrets in new indictment

The U.S government on Thursday issued new charges against China’s Huawei, the world’s largest telecommunications equipment manufacturer, alleging that it violated the Racketeer Influenced and Corrupt Organizations Act by, among other actions, offering its employees bonuses for obtaining confidential information from competitors.

The new indictment represents an escalation of a case that began last year, adding to charges that Huawei allegedly stole U.S. corporations’ intellectual property..."

https://www.washingtonpost.com/tech...piracy-steal-us-trade-secrets-new-indictment/

guest · Feb 14, 2020

Huawei gets another 45-day reprieve from Commerce Department
February 14, 2020
https://www.cnet.com/news/huawei-gets-another-45-day-reprieve-from-commerce-department/

Huawei is getting a 45-day reprieve from the US Commerce Department, which announced Thursday it's extending a temporary general license allowing American companies to do business with it. The reprieve is half the period of its prior extensions -- Huawei previously got 90-day reprieves in May, in August and in November.

"The 45-day extension is necessary to allow existing telecommunication providers -- particularly those in rural US communities -- the ability to continue to temporarily and securely operate existing networks while they identify alternatives to Huawei for future operation," it said.

"This decision does not change the fact that Huawei continues to be treated unfairly," the company said Friday. "This has done significant economic harm to the American companies with which Huawei does business."
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