Huawei has been on the ropes over the last few months due to the sanctions imposed on it by the United States authorities, and perhaps the most serious allegation made against the Chinese company is that it is a vehicle of espionage for Beijing. Huawei is the world’s biggest telecom equipment maker, and following those allegations, the US banned the use of the company’s equipment for their networks. It had also urged key allies not to use Huawei’s equipment for their networks. Considering the incredible damage that they suffered in their business, Huawei eventually sued the US Government in an American court, but now the Central Intelligence Agency (CIA) has made an even bigger allegation, and if proven, it could land the company in even bigger trouble.
According to a report in the Times of London, America’s premier intelligence agency has not alleged that Huawei is not only a vehicle for espionage by the Chinese state, but the company is in fact largely funded by Beijing. The allegations are quite serious, and if they come up during the course of the lawsuit, it could lead to very uncomfortable questions for the Chinese tech giant. The CIA alleges that Huawei gets its funds from some of the arms of Chinese intelligence including the People’s Liberation Army and the National Security Commission. The trouble for Huawei started when the trade war between the United States and China was at its peak, and the current allegations from the CIA come at a time when the two nations are locked in talks regarding a new trade agreement.
Throughout the course of the confrontation with the US government, Huawei has found support from the Chinese state, and many statements from the foreign ministry have called it a form of bullying due to political motivations. It needs to be pointed out that Huawei has consistently denied being a spying vehicle for the state of China and now that it has sued the US government, the latter might be forced to make its findings public. In addition to these spying allegations, Huawei has also been charged with wire fraud and for breaking sanctions that had been placed on Iran. When the news about the allegations from the CIA surfaced, a spokesperson of the company dismissed the allegations and refused to comment. He said, “Huawei does not comment on unsubstantiated allegations backed up by zero evidence from anonymous sources.”