Huawei Denies Claims It Is 'Backed By Chinese Military,' Loses Out to Nokia & Ericsson in Building 5G Networks

Huawei has been at the center of the news when previous reports said the company is "backed by the Chinese military." Huawei has denied these claims, TIME reported.

Pentagon spokesman Jonathan Hoffman talked with the media and said they have a document containing the list of 20 companies that the Chinese military allegedly owns or controls. These include Huawei Technologies and Hangzhou Hikvision Digital Technology.

On June 24, Wednesday, the Pentagon said it was presenting this list of "Communist Chinese military companies operating in the United States." It was during the fiscal 1999 defense policy law the list was first requested, the report added.

"As the People's Republic of China attempts to blur the lines between civil and military sectors, 'knowing your supplier' is critical," Hoffman pointed out. "We envision this list will be a useful tool for the U.S. government, companies, investors, academic institutions, and like-minded partners to conduct due diligence with regard to partnerships with these entities, particularly as the list grows."

Huawei denies

Nonetheless, Shanghai-based Huawei denied the claim that it is connected with the Chinese military. A spokesperson from the company said, "These allegations are categorically untrue and groundless. This is another example of the Trump administration's political campaign targeting Huawei."

They added that the company keeps its status as "private and employee-owned," and does not connect with the Chinese military or "intelligence projects" by its government.

ALSO READ: Obama defends NSA spying on Huawei - Furious China demands explanation


'Awakening to the truth'

From the report on Nikkei Asian Review, Huawei Technologies seemed not to be getting odds to its favor, especially with the recent reveal of the list from Pentagon. The United States Secretary of State Mike Pompeo frames this as "a win for security."

On Thursday, June 25, Pompeo specified "a transatlantic awakening to the truth of what's happening" on Huawei's issues, that it is backed or belongs to the arm of the Chinese Communist Party, among others.

According to the U.S. Secretary of State, it is the "world confronting China." This was shared during a speech at the Brussels Forum of the German Marshall Fund, which the State Department livestreamed.

The day before, he also said that there is a momentum in favor of a more secure 5G with countries, companies, and people asking whom they should entrust their sensitive information, and said, "the more obvious the answer becomes: not the Chinese Communist Party's surveillance state."

Last Wednesday, telecommunication companies in Singapore said they preferred the company's rivals in question, particularly Finland's Nokia and Ericsson from Sweden.

The media are getting the side of the Chinese government.

Huawei projects

Meanwhile, Huawei reportedly received approval on Thursday to build a research facility in the United Kingdom, amounting to $1.25 billion. It was announced simultaneously with the issue involving the Chinese telecom company and the government.

This nine-acre facility is poised to become the international headquarters of the company's fiber-optic arm with 400 jobs being created, CNN reported.

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