U.S. Works to Counter Electronic Spy Risks

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Source: WSJ

The Obama administration is quietly working to counter potential risks posed by foreign telecommunications companies' expansion in the U.S. market, which federal officials say they fear could make the nation vulnerable to spying.

The initiative, previously unreported, doesn't target a particular company or country, but China remains a focus of U.S. government concerns about electronic spying. And a key impetus for the new initiative is the U.S. expansion of Chinese telecommunications company Huawei Technologies Co., according to people familiar with the White House deliberations.

The effort looks "broadly at the opportunities, risks and implications of reliance on global, commercial markets," said Caitlin Hayden, a White House spokeswoman. The bulk of the U.S. telecommunications backbone is foreign-made—Canadian, French and Chinese—said one industry specialist.

Huawei says it welcomes Washington's focus on telecommunications security. U.S. officials haven't provided evidence of any wrongdoing on the part of Huawei.

Read more: http://online.wsj.com/article/SB10001424052970203733504577022010229695028.html

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