China concerns force Huawei to raise the bar on cyber security credentials

Scott Sykes Huawei

SHENZHEN: Lack of trust in China and US trade "protectionism" has given telecoms company Huawei more business because it must work harder to assure that its networks are secure, the firm has said.
During a briefing attended by V3, head of international media affairs Scott Sykes, shown left, discussed PRISM and the firm's relationship with the rest of the world, saying security concerns were actually proving beneficial for the firm.

Sykes said: "Because of our heritage and because of where we're headquartered, we've been challenged. The lack of trust broadly is about China, it's not specifically about Huawei but we get painted by that brush sometimes, so we accept it and we know that the bar is higher for us.

"But it's an interesting phenomenon that we have very detailed conversations with customers about cyber security and cyber security assurance. We understand their business challenges, they understand all the lengths that we go to, to assure security. On the back of that we're getting more business; they've raised the bar for us. And they're impressed by how high we've raised it, we get a closer relationship, we're getting more business on the back of this."

Sykes pitted Huawei as leading the way in terms of security assurance, adding that he hoped it ensure other companies would meet a similar standard of openness. "No matter what the rules, they should apply to every company," he said.
Huawei, which began its expansion into international markets in 1997, and has had US presence since 2001, expects a net profit margin of seven to eight percent for 2013, compared with seven percent in 2012.

Sykes also criticised the US for its rejection of Huawei products over security concerns, saying that the nation's fear of China should not have affected its attitude towards particular firms and that the US's own networks are no better.

"It's short-sighted and myopic thinking to say that even if China is the problem, let's block Huawei and that'll take care of everything. Networks in the US are no more secure.

"What we take issue with is....Read the rest of this post --->
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