Hwat’s up with Huawei?
The US has issued new charges against Huawei, accusing Huawei of racketeering and trade secret theft.
The company’s chief financial officer, Meng Wanzhou, has been charged with fraud and trade secret theft and is being held in Canada. Huawei has denied these charges, calling them ‘unfounded and unfair’, claiming that the charges were meant to ‘irrevocably damage Huawei’s reputation and its business for reasons related to competition rather than law enforcement’.
Prosecutors accused Huawei of awarding bonuses to staff who obtained “confidential information” from competitors and said that Huawei was able to save time and money through its actions, giving it ‘a significant and unfair competitive advantage’.
Outside the US?
Last year, Huawei was indicted for allegedly stealing trade secrets from T-Mobile, an American network operator. These new charges suggest that the US is not going to let up in its campaign against Huawei, which is now one of its biggest and most rapidly growing competitors. This has not only strained its relationship with China, but has also affected its relationship with allies like the UK.
The US has tried to get the UK to ban Huawei technology, claiming that the technology could be used by China for espionage. Despite this, the UK announced last month that it would continue to use Huawei technology, albeit with restrictions.