Posted on 10/06/2008 11:25:23 PM PDT by pissant
Fake microchips from China are causing a growing number of failures in military systems, according to an investigation by BusinessWeek magazine.
The FBI is also investigating a consignment of Cisco-badged routers which turned out to be counterfeit - and could have been used to hack into sensitive equipment.
The investigation found that the new tendency for the US Pentagon to buy equipment from off-the-shelf suppliers - some of them operating from residential addresses - has led to a fall in quality of supplied chips:
Robert P. Ernst, who heads research into counterfeit parts for the Naval Air Systems Command's Aging Aircraft Program in Patuxent River, Md. Ernst estimates that as many as 15% of all the spare and replacement microchips the Pentagon buys are counterfeit. As a result, he says, "we are having field failures regularly within our weapon systems—and in almost every weapon system."
And the "Cisco" routers? There were about 400:
counterfeit routers made in China and sold to the Army, Navy, Air Force, and Marines over the past four years. These fakes could facilitate foreign espionage, as well as cause accidents. The U.S. Justice Dept. is prosecuting the operators of an electronics distributor in Texas—and last year obtained guilty pleas from the proprietors of a company in Washington State—for allegedly selling the military dozens of falsely labeled routers, devices that direct data through digital networks. The routers were marked as having been made by the San Jose technology giant Cisco Systems
BusinessWeek tracked the source of the parts back to traders in Shenzhen, China:
The traders typically obtain supplies from recycled-chip emporiums such as the Guiyu Electronics Market outside the city of Shantou in southeastern China.
(Excerpt) Read more at guardian.co.uk ...
Pinging some Duncanistas
Ping
Ah shucks. I thought they only messed up milk, plastic toys, monks, protesters, US spy planes, candy, dissidents. etc..
Now Chips?
Are you suggesting that we can’t trust products from China?
Military sabotage. What did you expect from the Communists, a real product with no back door?
It would seem things have changed. Duncan Hunter said all this a long time ago and we all knew he was right. We were and still are compromising the “Arsenal of Democracy” as well as our economic security which is essential to national security. If he indeed was, a “protectionist”, as charged; here’s hoping America gets a few more “protectionists” in a hurry. But then, we can always “rescue” the economy by printing money and still sustain the enormous trade deficits and Wall St. trading their bad paper and suspect derivatives. Twenty years from now we will be bailing out the results of another repackaged incarnation of junk bonds. The winners in the glorified pyramid schemes are always the inventors and those few who are first in. The losers are always the last in or the taxpayers, when the government gets involved in the game.
bttt
As long as America continues to see China as an Ally officially rather than an enemy not to be trusted, I can’t say I feel too badly for these idiots that buy their chips for our military equipment. Somethings should never be outsourced period.
Counterfeit Cisco switches/routers from Huawei may fall victim to Cisco exploit
Here is an interesting thought of 'what goes around comes around'. Think back to about March 2003 when Huawei Technologies said in court papers that it used some of Cisco Systems' source code in its routers. Although the Chinese manufacturer said the copying was inadvertent and involved far less code than Cisco claims. Huawei also said the offending code has since been removed.
Cisco sued Huawei in US District Court for the Eastern District of Texas on 23 January, alleging that Huawei violated at least five Cisco patents and copied Cisco's Internetwork Operating System (IOS) source code, using it in the operating system for its Quidway routers and switches. Huawei's system contains text strings, file names and bugs identical to Cisco's source code, Cisco claimed at the time. In Cisco's lawsuit it was also alleged that Huawei copied up to 1.5 million lines of software code.
In its latest court filing, Huawei said an employee inadvertently used about 2 percent of the 1.5 million lines of code inside Huawei's VRP line of routers. Huawei, based in Shenzhen, China, has a wide reach in Asia and recently entered the US market, challenging Cisco on the pricing front. It's now working with Cisco competitor 3Com to deliver new networking gear to businesses.
Hmmm, where have I heard that name before????
Oh yes!
http://www.freerepublic.com/focus/f-news/1916444/posts
China Angles to Buy 3Com
Excerpt:
According to the CIA, Huawei was responsible for the installation of an advanced fiber-optic air defense network in Iraq during Saddam’s brutal rule. The Huawei network, NATO code-named “Tiger Song,” was used to shoot down allied aircraft flying patrol over the Iraqi skies.
The network was installed in violation of an U.N. embargo. Worse still, the air defense network was paid for by the corrupt oil-for-food program which send cash to Huawei that was intended to feed starving Iraqi children.
Despite its history of killing American soldiers — it is Huawei’s teaming with Bain and Goldman Sachs that has enabled the Chinese company to arrange the buyout of 3Com. The Bain/Goldman/Huawei team has influence inside the highest political circles.
For example, current Republican candidate Mitt Romney has links to Bain. Gov. Romney enjoyed a successful career at Bain, helping to amass over a quarter of a billion dollars in his own personal fortune. Romney may have left the company in 2001, but he and his family still own a significant stake in the firm through his blind trust, which according to the Washington Post earned him $7 million to $15 million during the last year.
Bain associates, employees and friends have also been very generous to Gov. Romney’s campaign for the White House. Bain employees have donated over $190,000 to Romney, making the firm one of his largest sources of political cash. This amount does not include the efforts of former and current Bain partners and executives of companies Romney bought who are also raising hundreds of thousands of dollars.
All these financial ties to Bain bring into question the possible conflict of interest that Romney faces. So far, Gov. Romney has refused to comment on the Bain deal. Repeated calls to the Romney campaign were not returned.
------------------------------------------------------------
Most are not familiar with Huawei. The company’s founder, Ren Zhengfei is a former officer of the People’s Liberation Army.
More about Ren Zhenfei here: Mitt Romney's New 'Tiger Song'
FOR IMMEDIATE RELEASE: November 2, 2007
CONTACT: Gary Becks (619) 334-1655, dlhunter08@yahoo.com
San Diego, CA - - - Presidential candidate and current Ranking Member of the House Armed Services Committee, Congressman Duncan Hunter, today called on former Governor Mitt Romney to send a "clear statement" to the leadership of the company he founded, Bain Capital, to terminate a proposed business deal with a controversial Chinese corporation seeking to acquire U.S. defense contractor 3COM. Bain Capital is attempting to form a business arrangement with Huawei Corporation, a Chinese corporation founded by an officer of the Peoples Liberation Army of Communist China, which faces allegations of assisting Saddam Hussein in the targeting of U.S. aircraft and in helping the Taliban develop surveillance equipment.
"I am extremely concerned that Governor Romney's company would tout a highly suspect Chinese corporation as a strategic partner," stated Hunter. "Forming a business partnership with a corporation known to have direct ties with terrorists and dictators while, at the same time, openly seeking to acquire a major U.S. corporation that performs vital cyber security work for the Department of Defense, can only be characterized as irresponsible."
A resolution has been introduced in Congress, H.Res. 730, which states; "The preponderance of publicly available evidence clearly suggests that as currently structured, the proposed transaction involving Huawei threatens the national security of the United States and should not be approved by the Committee on Foreign Investment in the United States ." A copy of this resolution is provided.
Hunter stated in his letter to Governor Romney, "…while it is true that you no longer control Bain Capital, the contributions you have received from its principals as its founding member indicate that your influence within the company remains strong.
"Further, while the Committee on Foreign Investment has yet to rule on the Huawei transaction, this corporation's connection to Saddam Hussein, the Taliban and the Army of Communist China should clearly disqualify them from becoming, in the words of your former company, "a strategic partner" in acquiring a U.S. firm such as 3COM, which performs vital cyber-security work for the U.S. Department of Defense.
"This letter is a request that you immediately issue a statement of policy that this transaction should be terminated on the grounds of national security. Please let me know what you intend to do."
A copy of Congressman Hunter's letter, as well as two articles regarding Huawei acquisition efforts are provided. Media are encouraged to contact Gary Becks at (619) 334-1655 for additional information or to arrange an interview with Hunter.
# # #
Excerpt:
Secretary of Defense Robert Gates revealed that he was completely in the dark about the deal. The admission by Gates echoed similar confessions by the Pentagon top brass that they also were unaware of the buyout.
The Defense Department and the U.S. intelligence agencies were surprised by the proposed deal and had to scramble in order to get it reviewed for national security reasons.
The failure at the Defense Department is attributed to the Defense Technology Security Agency or DTSA. During the Clinton years, DTSA was a strong advocate of checking all export deals with China. In fact, aggressive DTSA efforts were documented by the Loral Corporation for holding up the sale of advanced radars to the Chinese military. Today, DTSA is a headless giant unable to do its job.
The Pentagon has not appointed an active director to run DTSA and the length of time the position has been vacant suggests little sense of urgency to do so. Leaderless, DTSA was caught unaware of the deal and was unable to provide warning to senior Defense Department officials.
The current "acting" head of DTSA, Mrs. Beth M. McCormick, actually served during the Clinton administration under Defense Secretary William Perry. This fact alone should raise alarm bells.
CFIUS ruled that 3Com couldn't enter into a take over bid with Huawei Technologies due to National Security issues. But, that doesn't seem to have stopped them. Now 3Com has named Robert Mao as their new CEO. Robert Mao will be based out of China.
China ping
This really sucks. I work making computer chips for DOD and have to jump through lots of hoops to do so. The security requirements are pretty intense even for chips that are not particularly unique to the military.
So after they make us do all this the DOD goes out and buys crappy Chinese chips. Un-freaking-believable!
..worshiping at the alter of commerce rather than seeking the nation’s security
It infuriates me how we have enriched the PLA at the expense of our industrial base.
I’m suggesting we better start acting in AMERICA’s best interest or we will at war with a technologically advanced communist nation with 1.5 billion people.
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