Posted on 08/17/2005 10:00:32 AM PDT by CarrotAndStick
BANGALORE, India — Chinese telecom equipment maker Huawei Technologies' expansion plans here have again drawn the attention of Indian security agencies. For the second time in the last five years, Indian security agencies have moved to slow Huawei's expansion plans out of concern for India’s strategic telecom network. In 2001, U.S. intelligence sources reportedly tipped off the Indian government about Huawei’s activities here.
Huawei has been embroiled in several high-profile intellectual property disputes with telecom rivals in recent years. Indian authorities are also concerned about Chinese links to India's neighbor and long-time adversary Pakistan.
According to a report in The Times of India on Tuesday (August 16), the Indian government has put on hold Huawei’s plans to use $60 million in new equity for its Indian subsidiary, Huawei Technologies India Pvt. Ltd.
The report quoted the Research and Analysis Wing, an Indian intelligence agency, as saying Huawei "has been responsible for sweeping and debugging operations in the Chinese embassy [in India]. In view of China’s focus on cyber warfare, there is a risk in exposing our strategic telecom network to the Chinese.”
The report said senior officials from Indian intelligence agencies recently discussed the matter and formed a committee to review guidelines for foreign companies involved in projects in sensitive industries. The committee will submit a report in September, when Huawei’s case for increasing its equity is likely to be decided.
The report quoted officials in the Indian Ministry of External Affairs as saying that Huawei attracted "adverse notice" from India’s security agencies which expressed "reservations regarding the company’s links with the Chinese military."
A Huawei spokesperson here could not be reached for comment.
Huawei launched a small Indian software development operation in 1999, but formally opened a development center in 2001. About a 1,000 people work for the company in India, making it Huawei's largest software development center outside China. Earlier this year it announced plans to set up a $60 million manufacturing unit in Bangalore, with plans to spend an additional $40 million to expand its existing R & D center here.
Huawei is believed to have so far invested $100 million in the R & D center. Huawei's manufacturing plan is designed to cash in on India’s expanding telecom infrastructure. The network expansion could eventually be worth billions of dollars to global telecom equipment suppliers.
The Huawei probe illustrates the uneasy relationship between China and India. The regional rivals fought a war in 1962. Relations have improved over the last decade, but China’s close military ties with Pakistan have fueled concerns here about Huawei’s intentions.
Meanwhile, a recent nuclear power deal between India and the United States has raised concerns in Beijing.
The Chinese cannot be trusted, case and point our ongoing "negotiations" with North Korea over their nuclear arms. If China told Kim Jong Il today to get rid of his weapons he would have to, and so far they obviously have not. If I was President I would tell the Chinese if North Korea attacks the US or one of our allies with a nuclear weapon, or provides a nuclear weapon to another country or group that does, the US will hold North Korea and China equally responsible and we will retaliate to the fullest degree.
Smart move India. It is a well known fact that Huawei uses pirated software from Cisco routers. It is wise for India to stick to Western companies than red Chinese junk.
The Chinese aren't afraid of America, they never were afraid of retaliation. They are capable of hitting American cities too. Kind of reminiscent of MAD. If this were not true, how could they send in troops to fight American soldiers from the Korean War to the Vietnam War?
It isnt soo easy for the Chicoms to attack us. But yeah they are arrogant and murderous.
They are arrogant and very calculating. They know what they are doing, and they know their best interests are suited by lying quiet now till their economy gets formiddable, if not already. With traitors like Walmart and all other corporations shipping wealth and expertise to China, who needs enemies?
Let's hope the nuke intel the Clinton's gave them is faulty and their missiles can't hit their targets.better yet fall right where they are launched.
Th Chinese have admitted, even recently, that their military would stand no chance of defeating our's. That's why some rogue Chinese general, I can't remember his name, said in the press a few weeks ago that China would strongly consider using nuclear weapons first if a conflict errupted with the United States over Taiwan. With all due respect, I believe the Chinese do not want a major conflict with us. They, like the Russians, watched us crush Saddam's military in 1991 and 2003 both in a matter of weeks. I seriously question whether their respective militaries could equal that. Also, China's economy is growing at a 7%-9% rate annually, with exports of over $161 billion dollars to the US. I seriously doubt the Chinese want to disrupt their growing economic prosperity and power. If anything they want to overtake us economically, because they know they can't do it militarily.
"I seriously doubt the Chinese want to disrupt their growing economic prosperity and power. If anything they want to overtake us economically, because they know they can't do it militarily."
In the age of the digital economy, you no longer need to physical conquer and occupy your opponents. Their infrastructure creep on what they consider future adversaries is now being noticed and monitored very closely. We let them take too much as it is.
Well said.
i would disagree with that. the USAF may be matched but the USN..nooooooo. the chicoms dont even have an aircraft carrier. but ur point is well taken. the chicoms are building themselves for a possible "future" confrontation.
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