US Panel: China Tech Giants Pose Security Threat

By: AP Email
By: AP Email

WASHINGTON (AP) - The House Intelligence Committee is warning that China's two leading technology firms pose a major security threat to the United States.

The panel says regulators should block mergers and acquisitions in the U.S. by Huawei Technologies Ltd. and ZTE Corp. It also advises that U.S. government systems not include equipment from the two firms, and that private U.S. companies avoid business with them.

The results of the committee's yearlong probe, due to be released Monday, could hamper Huawei and ZTE's ambitions to expand their business in America.

A draft of the panel's report was obtained by The Associated Press.

Huawei and ZTE are among the world's leading suppliers of telecommunications gear. Both deny being influenced by the Chinese government and posing a security threat.

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