Huawei, ZTE face more backlash
The Democratic National Committee told Democrats not to use technology from Chinese-based smartphone manufacturers Huawei or ZTE.
The DNC learned that an organization close to the party had considered purchasing ZTE phones for its democrats, which sparked the warning sign. They are the most recent organization to denounce the legitimacy of Huawei and ZTE; indeed, the FBI, CIA, and NSA all warned senators not to use smartphones from either company because of security concerns.
Both tech firms have ties to the Chinese government, and although they deny claims that they deliver private consumer information to officials, these organizations still do not trust their legitimacy. In fact, the Justice Department is currently investigating Huawei for potential ties with the Iranian government.
According to CNN, DNC chief security officer Bob Lord explains, “It’s very important that party and campaign workers not use ZTE or Huawei devices, even if the price is low or free.”
Huawei is currently the second biggest smartphone seller in the world, as it passed Apple last quarter. Although officials have no significant evidence that the firm delivers information to the Chinese government, the close relationship between the two certainly spooks them.
However, this will likely not impact either company’s growth too much. Both firms’ main markets are East Asia and Europe, which both trust the companies. If they can continue to sell in these regions, their growth should stay steady.