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Huawei still pushes NBN deal

Chinese technology giant Huawei is still pressing Canberra to reconsider the decision to ban the company's hardware from the National Broadband Network, saying the network was no safer without its equipment.
By · 8 Mar 2013
By ·
8 Mar 2013
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Chinese technology giant Huawei is still pressing Canberra to reconsider the decision to ban the company's hardware from the National Broadband Network, saying the network was no safer without its equipment.

Huawei global cyber security officer, John Suffolk, said it had made repeated offers to key intelligence agencies, including the Australian Security Intelligence Organisation, to set up an independent testing centre to ensure Huawei's telecommunication equipment could not be used for spying.

Mr Suffolk, who was the chief information officer for the British government before joining Huawei, told BusinessDay: "I think most people recognise now, including Australia, that keeping Huawei out of NBN has done nothing to improve the security of NBN.

"It has done nothing to improve the economics validity, the cost effectiveness and innovation of NBN infrastructure, because the more you reduce vendors, the more you reduce innovation, and the price goes up."

Huawei was unofficially banned in 2011 from participating in the $37 billion NBN due to national security concerns and has been the subject of intense political and media scrutiny over its alleged link to the People's Liberation Army.

Founder and chief executive Ren Zhengfei was an army officer before setting up the technology manufacturer.

US congressional reports labelled the company a national security threat, a claim vigorously denied by the company.

Mr Suffolk was hired by Huawei last year to boost its cyber-security credentials and dispel suspicions around the company. He believes Huawei can prove its detractors wrong over time.

The company has made offers to the government to set up an independent testing centre to vet its equipment, without success. Mr Suffolk said he had contacted Australian security officials but had not yet received a response. The federal government recently set up a cyber security centre, but it does not vet equipment.

"We have made numerous alternative suggestions to them [government agencies], like creating a cell similar to the UK," Mr Suffolk said.

Huawei set up an independent equipment testing centre in Britain after it was awarded a large contract to supply equipment to the British equivalent of the NBN. It is staffed with security cleared personnel, some of whom used to work for Britain's signals intelligence agency, GCHQ.

Mr Suffolk shied away from the question about whether the federal election would change Huawei's situation in Australia. However, he hinted that any new communications minister should take into consideration Australia's reputation as an "open economy".
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Frequently Asked Questions about this Article…

Huawei was unofficially banned in 2011 from the $37 billion NBN due to national security concerns and intense political and media scrutiny over alleged links to the People’s Liberation Army — claims the company denies.

Yes. Huawei has been pressing Canberra to reconsider the decision, arguing the NBN is no safer without its equipment and offering solutions such as independent testing to address security worries.

Huawei has repeatedly offered to set up an independent equipment testing centre for key intelligence agencies, including ASIO, and has already established a staffed testing centre in Britain after winning a large UK contract.

John Suffolk is Huawei’s global cyber security officer and a former chief information officer for the British government; he was hired to boost Huawei’s cyber-security credentials and has been publicly advocating independent testing and dialogue with Australian security officials.

No. According to the article, Huawei’s offers to set up an independent testing centre have not been accepted, and although the federal government created a cyber security centre it does not vet equipment.

Huawei’s cyber security officer argued that keeping Huawei out has not improved NBN security and that reducing the number of vendors can lower innovation and push prices up, affecting the economics and cost-effectiveness of the NBN infrastructure.

Concerns highlighted include alleged ties to the People’s Liberation Army and the background of founder Ren Zhengfei as a former army officer; US congressional reports have labelled the company a national security threat, which Huawei denies.

The article notes Mr Suffolk avoided a direct answer about the upcoming federal election’s impact, but he suggested any new communications minister should weigh Australia’s reputation as an “open economy,” implying policy changes could influence Huawei’s prospects.