Former Pentagon analyst: China has backdoors to 80% of telecoms

Even if you manage to avoid Chinese products (good luck!), your firm still isn’t safe. That’s because the electronic intrusions are supposedly done remotely through the use of the commercial networks set up by Huawei and ZTE that they have established in numerous countries. For example, companies communicating using VPNs with partner companies in countries where Huawei and ZTE have installed network equipment are potentially compromised, according to Maloof’s sources.
 
Not only do Huawei and ZTE power telecom infrastructure all around the world, but they’re still growing. The two firms are the main beneficiaries for vtelecommunication projects taking place in Malaysia with DiGi, Globe in the Philippines, Megafon in Russia, Etisalat in the United Arab Emirates, America Movil in a number of countries, Tele Norte in Brazil, and Reliance in India.
 
These deals are being struck because the equipment produced by Huawei and ZTE Corporation is reportedly subsidized by the Chinese government. State-backed Chinese banks supply national telecommunications infrastructure and don’t seek payment on any of the equipment for years, according to Maloof’s sources. This makes them very attractive since Western companies cannot compete with their prices for domestic and international development projects.