As per the reports by Krishna Aravind of Telecom Lead, in 2013, Huawei and ZTE will build strong credibility among industry stakeholders, especially after the negative remarks of the US Intelligence committee. Apart from America, even countries like India, Australia, Canada and the U.K. have doubts about doing business with the Chinese telecom equipment suppliers, because of the fear in security issues.
According to the reports, both Huawei and ZTE are doing extremely well in relationships with American companies. But developing strong relations between government heads with countries like India, Australia, Canada and the U.K. are becoming strategically important for improving business conditions.
India is encouraging local production. By setting up manufacturing facilities in local markets, it will reduce security problems.
Milind Deora, minister of State for Communications & IT said that, modern age, telecom equipment and networks used for provisioning of telecom services are prone to spyware/malwares etc, emanating from the equipment itself or embedded software contained in it or from antisocial or anti national individuals or agencies. He also added that at present, there are no major threats to Huawei and ZTE in India because there are no specific issue that has risen due to equipment originating from any specific country. But, as and when any specific issue arises or a report is received, the regime can be tightened for the equipments coming from a specific country or source or group of countries or companies.
According to the Indian government, the telecom service providers are responsible for the security of their network.
The report says that, America fears that Chinese mobile equipment players can control networks during a war and it will damage American strategies. The main concern of American US Intelligence committee during the survey is inadequate inputs from Huawei.