Huawei to spend $2b over five years in cybersecurity push

In a press conference at its headquarters in Shenzhen Ken Hu also directly addressed recent allegations against Huawei, stating that it is best to let facts speak for themselves, said a press release today.

Journalists were treated to a visit of the company's R&D labs exhibiting materials and thermal management technologies developed for 5G equipment, in addition to an independent cybersecurity lab. Relations already are strained over Trump's tariff hikes on billions of dollars of Chinese imports in a fight over complaints Beijing steals or pressures companies to hand over technology. "We think any concerns or allegations on security at Huawei should be based on factual evidence", its rotating chairman Ken Hu said. Hu noted that there have been no serious cybersecurity incidents in 30 years. The firm has secured 25 commercial contracts for 5G, Hu said. The US government shared similar concerns about Huawei, earlier this year in a warning.

"Rare cases" have arisen where some countries are using 5G issues as an excuse for groundless speculation based on "ideological or geopolitical considerations".

Huawei has faced a tough year, with some of its services rejected in the United States, Australia, New Zealand, Britain, Japan, France and Germany over security concerns.

The heightened scrutiny comes at a critical moment for Huawei's ambitions in Europe, its second-biggest market outside of Asia. Huawei will also have the United States feature prominently through its own supply chain, but Hu is confident it would stand up to any potential punishment dished out by the US.

Hu promised repeatedly to expand efforts to respond to "legitimate concerns" from regulators, telecom carriers or the public. More broadly, it challenged its accusers to produce actual evidence of their claims about security or - at the very least - to share them with Huawei's customers. Despite the often-quoted concerns about Chinese law, Hu stressed the Chinese Ministry of Foreign Affairs had formally explained that no law requires companies to install mandatory backdoors. "They (Huawei) are suitably equipped to prepare operators and industry to build 5G capabilities in operations, in organisation and most importantly in the ecosystem and to ensure they are fully compliant with all government requirements", COAI head Rajna Mathews wrote to DoT.

"We will continue to increase our investment on security and security related technologies". That follows a report in July by the board that oversees the testing center in Britain that faulted Huawei for weak software engineering. "The company will invest an initial special budget of $2 billion U.S. dollars in the next five years to comprehensively improve our software engineering capabilities so our products will be better prepared for the future world" Hu added.

In an interview with The Canadian Press, Trudeau says Canada will shortly be granted consular access to Spavor.

There has been no effect on executive travel plans and Huawei remains confident about its travel compliance system, and assured in the fairness and independence of the judicial systems in Canada and the US.

Hu described the company's recent achievements as exciting, and recalled his nearly 30-year history with Huawei during which its people, culture and management had grown.

"This is journey of transformation that has helped us grow up from an unknown vendor to the 5G leader". "That means we have a multi-sourcing strategy".

  • Anthony Vega