The Chinese-owned Huawei is starting to dominate the global market. The telecom giant reported massive revenue gains for 2024. Huawei has done this all while facing sanctions from the US due to its close ties to the Chinese Communist Party. But that hasn’t stopped its growth in Europe and other parts of the globe.
Huawei controls at least 30 percent of the global telecommunications market. No American company comes even close to that figure. It’s not in America’s interest to allow a CCP-backed company to take over critical infrastructure around the world. The national interest depends on strengthening American companies to compete in a changing international economy.
However, a recent Department of Justice action may stymie this endeavor. Before Pam Bondi took over, the DOJ filed a suit to block the merger of Hewlett-Packard Enterprise and Juniper. The agency operating on its own without Trump’s pick claimed the merger would create too big of a company. The DOJ’s move essentially suggests that the country should maintain a smaller telecommunications industry. This approach makes little sense given the current global competitive environment. It ensures American companies will be outpaced by the Chinese behemoth, Huawei.
This isn’t just a matter of market competition. It also puts our national security at risk. The FCC designated Huawei a national security threat in 2020. It denied a reversal of that decision, stating:
In denying that application, the Commission today recognized the overwhelming evidence of Huawei’s close ties to the Chinese Communist Party and China’s military and intelligence apparatus, and affirmed the Bureau’s determination that Huawei poses a threat to the security and integrity of the nation’s communications networks or the communications supply chain. Specifically, the Commission’s review of the record found that Huawei is susceptible to Chinese government pressure to participate in espionage activities, and that Huawei’s close ties to the Chinese military present significant risk. Furthermore, reports of vulnerabilities in Huawei equipment have led other countries to bar the use of such equipment. […]
— Read More: amgreatness.com
