Huawei rejects UK security fears

Chinese company Huawei Technologies, the world's largest telecom equipment maker by revenue, said Friday it is subject to thorough audit by its British partners regarding cyber security and its equipment is safe to use, following concerns expressed in the UK about a possible security threat from Huawei.

In a statement sent to the Global Times Friday, Huawei said the company has been investing in the UK for the last 12 years and has tried to meet the requirements of the UK government and customers including BT Group, Britain's largest telecom operator.

BT signed its first contract with Huawei in 2005 after conducting a comprehensive audit across 11 different areas including security management, and since then BT has continued to conduct a thorough annual evaluation of Huawei during eight years of partnership, the statement said.

"Governments and our customers trust and recognize Huawei because of our long-term track record in cyber security and because of our positive, open, discreet and cooperative attitude," Huawei said.

A report released Thursday by Britain's Intelligence and Security Committee (ISC) said the committee was "shocked" at the fact that ministers were not informed about BT's deal with Huawei until 2006, after the contract was awarded.

"Such a sensitive decision, with potentially damaging ramifications, should have been put in the hands of ministers," the committee said.

"The difficulty of balancing economic competitiveness and national security seems to have resulted in a stalemate. Given what is at stake, that is unacceptable," the report said.

But the report stated that it has not discovered any inappropriate conduct by Huawei.

"We are confident that the UK network has not been at risk … at any stage," the report said.

The report came after a series of recent trade cases targeting Chinese telecom companies such as Huawei, including a possible investigation by the EU into subsidies allegedly received by the company from the government.

There was also a call in October 2012 by a US congressional panel to bar Huawei from pursuing mergers and acquisitions in the US.

The concerns were partly caused by suspicions about Huawei's ties with the Chinese government, as Ren Zhengfei, founder and CEO of Huawei, used to be a member of the People's Liberation Army.

But they have also been caused by the growing presence of Huawei in the world's telecom sector, analysts said.

Despite the concerns, BT said in an e-mail sent to the Global Times Friday that there was nothing in the report to suggest Huawei could not be trusted.

"Security is at the heart of BT … Our testing regime enables us to enjoy constructive relationships with many suppliers across the globe. One of these is Huawei, with whom we have had a long and constructive relationship since 2005," the e-mail said.

British Ambassador to China Sebastian Wood also said Thursday that Huawei is a valued long-term investor in the UK with a growing business that creates jobs in Britain.

"Our work with Huawei and their UK customers gives us confidence that the networks in the UK that use Huawei equipment are safe and secure," Wood said in a statement.