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From: Sam5/20/2019 11:59:10 AM
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How Huawei Became a Target for Governments
By Bloomberg News | Bloomberg
May 20 at 11:24 AM


Huawei Technologies Co., one of China’s most global companies, is increasingly in the crosshairs of the U.S. government and its Western allies, just as it’s pushing for a leadership role in the new wireless standard known as 5G. The telecommunications giant is facing multiple battles, including the arrest in Canada of its chief financial officer, criminal charges in the U.S. and the prospect of being banned from buying American components and shut out of new infrastructure projects around the world. The wrangling also comes amid a growing U.S.-China trade war in which Chinese technology companies have been a particular bugbear for U.S. President Donald Trump.

1. Why does the U.S. have an issue with Huawei?

The company has enjoyed favorable treatment in China, and U.S. government officials and industry executives have long harbored suspicions that it works for Chinese government interests. A report released in 2012 by the U.S. Permanent Select Committee on Intelligence tagged Huawei and ZTE Corp. as potential security threats, saying neither had assuaged concerns that they are subject to political pressure. The report also said Huawei refused to describe the “full military background” of Ren Zhengfei, the former People’s Liberation Army engineer who founded Huawei in 1987. U.S. concerns about Huawei drove the 2018 decision by the Trump administration to block Singapore-based Broadcom Ltd.’s hostile takeover bid for the U.S. chipmaker Qualcomm Inc. The transaction could have curtailed American investments in chip and wireless technologies and handed global leadership in those spheres to Huawei.

2. What’s the Trump administration done?

continues at washingtonpost.com
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