The U.S. House of Representatives’ Select Committee on Intelligence just published a report that deemed two Chinese manufacturers of routers, switches, and telecoms equipment as a possible threat to national security, and it subsequently warned American companies to purchase their hardware elsewhere.
According to the committee’s press release:
The Chairman and Ranking Member of the House Intelligence Committee, Mike Rogers (R-MI) and C.A. Dutch Ruppersberger (D-MD), today released a report recommending to U.S. companies considering doing business with Chinese telecommunications companies Huawei and ZTE to find another vendor. The report encourages U.S. companies to take into account the long-term security risks associated with either company providing equipment or services to our telecommunications infrastructure. Additionally, the report recommends that U.S. government systems, particularly sensitive systems, exclude Huawei or ZTE equipment or component parts.
Reuters reported that Huawei and ZTE are the world’s second- and fifth-largest manufacturers, respectively, of telecom equipment by revenue. ZTE ranks fourth in the global mobile smartphone sector, however, while Huawei sits in sixth. The majority of both companies’ U.S. sales come from devices sold through U.S. carriers like Verizon, Sprint, and T-Mobile USA.