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Chinese telco Huawei tries to shake off spy image after NBN ban

StarshipTroopers

Alfrescian (InfP)
Generous Asset

Chinese telco Huawei tries to shake off spy image after NBN ban

By China correspondent Stephen McDonell, ABC
Updated June 11, 2013, 8:26 am

<iframe src="http://www.youtube.com/embed/ub4ItNf5-cY?rel=0" allowfullscreen="" frameborder="0" height="315" width="560"></iframe>

The Chinese company blocked from working on Australia's National Broadband Network has set its sights on shaking off its image as a stalking horse for Chinese spies.

Telecommunications giant Huawei was banned from tendering for the network as Australia followed the lead of a similar government ban in the United States due to espionage fears.

The company, based in the southern Chinese city of Shenzhen, has refuted claims by the US House Intelligence Committee that the company could potentially build so-called "backdoors" into the likes of the NBN to allow for Chinese eavesdropping.

The committee claimed Huawei could even shut down such a system remotely during a time of war.

But the company's corporate senior vice president, Chen Lifang, says that even if her company wanted to use its technology to secretly eavesdrop, it could not.

"It's impossible for Huawei to install any backdoors or vulnerabilities into our products. This is not only verified by ourselves but also third parties," she said.

"No-one has ever found any security breaches within Huawei's products. Never. And it's impossible for us to do it."

The company, which also makes smart phones, modems and other consumer goods, has pointed out that while it was prohibited from working on the NBN, competitors who are rolling out the NBN have been producing key components in China.

Coalition to review decision to ban Huawei from NBN

Huawei may have been prohibited from building the NBN, but Britain's spies have already cleared the company to built its broadband network.

In Australia, Huawei is supplying mobile phone infrastructure for Telstra, Optus and Vodafone, causing observers to question why this is allowed but building the NBN is not.

All this has led to Coalition communication spokesman Malcolm Turnbull to pledge that it will reconsider the Huawei NBN ban if it wins office.

"We'll review it in light of the full security briefing that is only available to government," he said.

Despite the controversy surrounding Huawei, its growth has been huge with 2012 profits up by 33 per cent.

The company only started selling smartphones two years ago.

Last year it sold 32 million of them and this year it is forecast to reach 60 million.

Ms Lifang says contract bans in Australia and the US would not affect its clients.

"Our clients won't lost their faith in Huawei because of some politicians' accusations about us," she said.

"We've been working with our customers for 25 years and this mutual trust won't be destroyed by some bad words by just one or two people."

 

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Federal Labor says former AMA president Brian Owler will be its candidate for the Sydney seat of Bennelong at the next election.
BUSINESS
Huawei's ban to 5G network 'supported by technical advice', spy agency chief says
BY NATIONAL AFFAIRS CORRESPONDENTGREG JENNETTUPDATED ABOUT 2 HOURS AGO

PHOTO
The Turnbull government quietly announced the decision to block Huawei and ZTE from the 5G network in August.
RODOLFO CLIX, FILE PHOTO: WWW.SXC.HU
The head of Australia's most secretive electronic spy agency has revealed Australia's "entire" emerging 5G mobile communications network could have been threatened if Chinese electronics giant Huawei had not been banned from supplying equipment.
Key points:
  • Mike Burgess said the decision to block Huawei and ZTE was "not taken lightly"
  • ASD manages risky suppliers by locking them out of providing "core" elements
  • Australia may need to be more vigilant about the origins of components for critical infrastructure
Australian Signals Directorate (ASD) chief Mike Burgess has told Canberra's national security community "my advice was to exclude high risk vendors from the entirety of 5G networks" because "a potential threat anywhere in the network is a threat to the whole network".
On the last full day of Malcolm Turnbull's prime ministership and on the eve of the Liberal party room decision to elect Scott Morrison, the government quietly announced the decision to block Huawei and another Chinese firm, ZTE, providing components into the next generation networks being built by the major telecommunications companies.
Since the August upheaval, the Morrison Government has provided little further explanation as to why these "high-risk vendors" represented an unacceptable risk to the multi-billion dollar 5G rollout.
What's behind Huawei anxiety?

Political editor Andrew Probyn takes a deep dive into Huawei's history to unpick the anxiety within the Australian intelligence community.
In a speech titled "Coming out from the shadows", Mr Burgess set out to explain ASD's role and thinking behind the ban on Chinese involvement.
The decision was "not taken lightly" and was "supported by technical advice from our agency", Mr Burgess said.
Noting that 5G technology will be at the centre of applications ranging from driverless cars to power and water supply, the computer engineer declared "the stakes could not be higher."
"This is about more than just protecting the confidentiality of our information — it is also about integrity and availability of the data and systems that we rely on in our everyday lives.
"Getting security right for critical infrastructure is paramount."​
In earlier versions of mobile and fixed communications networks, ASD has found ways to manage risky suppliers by locking them out of providing "core" elements, but its director general has concluded this was impossible to do with 5G where "the distinction between core" and the less significant "edge" of the network' is hard to define.
A vulnerability in any single part could jeopardise the entire network.
Threats to Australia's critical infrastructure
Without mentioning China at any moment in his speech, Mr Burgess also planted seeds of doubt about the number of security pressure points that could be applied on Australia's critical infrastructure systems from the rise of high-tech industrial manufacturing in Asia.
The former Telstra executive observed that Australia's openness to trade "changes the industrial base we rely on for critical infrastructure".
"We will need to be open-eyed on the potential threats that any significant change of this kind poses to Australia's most important interests," he said.
EXTERNAL LINKHuawei Australia tweet: "We have been informed by the Govt that Huawei & ZTE have been banned from providing 5G technology to Australia."
Mr Burgess did not spell out which critical infrastructure drawn from foreign sources could pose a "potential threat", but previous decisions by the Government's Foreign Investment Review Board have halted deeper Chinese ownership of electricity assets as well as prohibiting Huawei from key sections of the National Broadband Network.
His comments suggest Australia may need to be more vigilant about the origins of all technological components within critical infrastructure, which is not only limited to communications and energy but also takes in health equipment, banking, traffic control systems, aviation and food transport and storage.
"5G is just one example of perhaps other technologies we need to think about and understand where those supply chains for those technologies may be and whether or not that represents a risk for us."​
If deeper scrutiny is to be applied to technology embedded in other critical infrastructure "supply chains", the ASD chief has suggested Australia would not make those decisions alone, but in partnership with other countries.
Mr Burgess had begun his working career in 1995 at what was once called the Defence Signals Directorate and returned to the agency in January this year.
EXTERNAL LINKTweet from ASD
Most of its high-tech surveillance techniques, eavesdropping on communications outside Australia, are heavily protected, but the Australian Signals Directorate has recently taken on more public responsibilities advising companies of the risks of cyber attacks.
In a nod to its more open and transparent functions, ASD has even started up its own Twitter account.
Its first tweet quipped: "Hi internet, ASD here. Long time listener, first time caller".
POSTED ABOUT 3 HOURS AGO
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