While no one, including me, doubts that the intensity of corporate espionage that goes on in the tech industry the latest news in the Trump Administration’s assault on Chinese telecom giant Huawai should dispel any doubts as to what the real issue is.
The Trump administration is preparing an executive order that could significantly restrict Chinese state-owned telecom companies from operating in the U.S. over national security concerns, according to people familiar with the matter.
Reached by Bloomberg, a spokesman for the White House National Security Council wouldn’t confirm whether an order is in the works, but did state that “the United States is working across government and with our allies and like-minded partners to mitigate risk in the deployment of 5G and other communications infrastructure.” In the statement, spokesman Garrett Marquis also said that “communications networks form the backbone of our society and underpin every aspect of modern life. The United States will ensure that our networks are secure and reliable.”
As always with statements in stories planted in major U.S. media houses like these what isn’t said is more important than what is said.
There are two major bones of contention with Huawei from the U.S. government’s perspective. First is that Huawei is way ahead of everyone else in 5G technology.
They have the only end-to-end technology stack in the industry. Turnkey 5G networks from antennas and chips to the power stations needed to operate them. Simply peruse their website to see what I’m talking about.
All across the “Five Eyes” countries we have seen announcement after announcement of their banning Huawei 5G equipment from their networks. This is as much economic protectionism as it is about ‘national security.’
But, the real issue here is that, in very short order, Huawei has become a global leader in 5G infrastructure technology which the U.S. is falling behind on. And now with this arrest [Huawei CFO Weng Wanzhou] Trump is betting that he can scare everyone else into not buying their superior products through the ruinous application of sanctions policies.
The West has been systematically cutting Huawei out of the global 5G rollout because of ‘security’ concerns. More like profit concerns.