An anonymous reader writes "It looks like paranoia regarding Chinese cyber-espionage is riding sky-high within the Australian Government. It was confirmed today that the country's Attorney-General's Department had banned Chinese networking vendor Huawei (the number two telco networking equipment vendor globally) from bidding for work supplying equipment to the government's $50 billion National Broadband Network universal fibre project. The unprecedented move comes despite Huawei offering to share its source code with security officials, and despite Huawei not being accused of breaking any laws in Australia. Questions over the legality of the Government's move are already being raised."

alphadogg writes with troubling news for the network hardware joint-venture between Nokia and Siemens. Quoting the article: "Struggling network infrastructure vendor Nokia Siemens Networks is planning to cut 17,000 jobs worldwide, as it aims to cut $1.35 billion from its costs by the end of 2013, the company said Wednesday. About 23% of the company's 74,000 employees will be laid off. The 4 1/2-year-old joint venture between Nokia and Siemens has been struggling to compete with Swedish Ericsson and Chinese vendor Huawei. Parent company Nokia's ongoing problems have made Nokia Siemens' situation even more difficult."

judgecorp writes "Two leading Chinese telecoms companies, Huawei and ZTE, are under investigation for possible spying in the U.S. A government committee says the companies may be stealing U.S. economic secrets, and use of their equipment might open U.S. infrastructure to espionage."

Meshach writes "There's an interesting story at the WSJ about how Barnes & Noble lobbied the Justice Department to open a new antitrust probe against Microsoft regarding their abuse of the patent system. B&N saw Microsoft filing a slew of frivolous patents in order to stop the development of handheld devices, potentially affecting their Nook reader. The article mentions how Microsoft has a similar racket going with various Android device manufacturers, but B&N does not have the cash reserves to support similar licensing, and is fighting back." Reader qantr points out related news: Chinese telecoms firm Huawei has confirmed that Microsoft is demanding royalty payments over products running Android.

An anonymous reader writes "The U.S. government has cited national security as a reason not to let Chinese company Huawei build an LTE public safety network. They're worried about Huawei's close ties to the Chinese government and the threat of any devices Huawei manufactures being bugged. Of course, whoever gets the contract is going to be manufacturing their devices in China anyway, but it looks like a Chinese company won't be allowed to deploy the infrastructure."

An anonymous reader writes "Bloomberg reports that chip-maker Broadcom will be spending $3.7 billion to acquire NetLogic Microsystems in an effort to shore up their wireless infrastructure business. 'Customers such as Huawei Technologies Co. and ZTE Corp. use NetLogic processors in the equipment that controls the flow of video and other data across the Internet. The deal gives Broadcom, which also makes chips for mobile handsets, a more profitable way to harness the boom in tablets and smartphones, said Stacy Rasgon, an analyst Sanford C. Bernstein & Co.' The Register cites this as evidence that corporate tax breaks don't create jobs, as companies look to spend spare cash instead on acquisitions. The deal is expected to be completed during the first half of next year."

kkleiner writes "Earlier this year, the Chinese firm Huawei unveiled IDEOS through Kenya's telecom titan, Safaricom. So far, this $80 smartphone has found its way into the hands of 350,000+ Kenyans, an impressive sales number in a country where 40% of the population lives on less than two dollars a day. The smartphone is the exemplar of a truly liberating device, and thanks to Android and Huawei, it has the potential to reach virtually untapped markets."

itwbennett writes "Huawei's $30 billion credit line from the Chinese Development Bank gives it an unfair advantage over rivals, said U.S. Export-Import Bank Chairman and President Fred Hochberg in a speech Wednesday at the Center for American Progress in Washington, D.C. 'The reality is [that] opaque state-directed capital allows foreign governments to target their financing at specific sectors and companies, while aggressively grabbing market share in an attempt to dominate a market,' Hochberg said. Responding to the charges, a Huawei spokesman called the charge 'hogwash.'"

guanxi writes "Huawei, a large Chinese telecom and IT company with close ties to the Chinese military has faced obstacles doing business in other countries, because governments are concerned about giving them access to critical infrastructure. Huawei Symantec is a joint venture with one of the world's largest IT security companies which sells security products in the US. Would the Chinese or other governments take the opportunity to create back doors into western IT networks? Wouldn't they be crazy not to?"

daria42 writes "It looks like Australia's largest telco, Telstra, hasn't exactly been paying attention to its responsibilities under the GNU GPL. Australian coder Angus Gratton has been investigating the company's branded T-Hub, T-Box and T-Touch products — all based on Linux, and all without any source code or GPL license attached. Naughty. However, it's not as though Telstra is the only one to blame — the goods are manufactured by Sagem, Netgem and Huawei respectively." Telstra responded quickly to Gratton's claims, saying they would work with the vendors to straighten out the licensing situation and fix any compliance issues.

Benz145 writes "The famous Sony VAIO UX UMPC may have been cancelled a few years back by Sony, but the community at Micro PC Talk won't let it die. Modder Anh has carefully removed the relatively slow 1.33Ghz Core Solo CPU and installed a much faster Intel Core 2 Duo U7700 (a process which involves reballing the entire CPU). On top of this, he managed to install an incredibly small 4-port USB hub into the unit which allowed for the further instillation of a Huawei E172 modem for 3G data/voice/SMS, a GPS receiver, and a Pinnacle HD TV receiver. All of this was done without modifying the device's tiny external case. Great high-res pictures of the motherboard with the modded hardware can be seen through the link."

eldavojohn writes "A lot of Westerners view China as little more than the world's factory manufacturing anything with little regard to patents, copyrights and trademarks. But it seems as far as patents go, China is moving on up. According to the WIPO, the company that applied for the most patents in 2008 was not an American or Japanese company but China's Huawei Technologies. And China has made astonishing ground recently moving up to third place with 203,257 patent applications behind Japan (500,000) and the United States (390,000). It remains to be seen if these patents applications will come to fruition for China but it is evident that they are focusing on a new image as a leader in research and development. The Korean article concentrates on 2008 but you can find 2009 statistics at the WIPO's report on China along with some statistics breaking down applications by industry."

An anonymous reader writes "The UK ISP TalkTalk has been caught using a form of Deep Packet Inspection technology to monitor and record the websites that its customers visit, without getting their explicit consent. The system, which is not yet fully in place, ultimately aims to help block malware websites by comparing the URL that a person visits against a list of good and bad sites. Bad sites will then be restricted. TalkTalk claims that its method is totally anonymous and that the only people with visibility of the URL database itself are Chinese firm Huawei, which will no doubt help everybody to feel a lot better (apply sarc mark here) about potentially having their privacy invaded."

A month ago we mentioned India's suspicions that telecomm equipment from China might contain backdoors. There hasn't been any smoking gun on such speculation. Now reader littlekorea sends in some background on the ties one important Chinese telecomm vender might or might not have to the government there. "Conspiracy theories abound as to whether networking kit vendor Huawei is owned or controlled by the Chinese government and/or the military-industrial complex. But who really owns Huawei? Kiwi journalist Juha Saarinen headed to Shanghai to find out."

An anonymous reader writes "The Register reports that the Chinese government is forcing vendors to cough up the source code to their encryption alogrithms before they can sell their equipment to the Chinese government. The EU doesn't seem to like it, but if I were in their position I'd want the same thing." China's biggest neighbor goes further; another anonymous reader writes "Telco equipment from China could have spyware that gives access to telcom networks in India. The Indian government has officially told mobile operators not to import any equipment manufactured by Chinese vendors, including Huawei and ZTE. The ban order follows concerns raised by the Home Ministry that telecom equipment from some countries could have spyware or malware that gives intelligence agencies across the border access to telecom networks in India. The biggest gainers from the move could be Ericsson, Nokia, and Siemens, which have been losing market share to aggressive Chinese equipment-makers in India."

An anonymous reader tips news that Google has decided to delay the launch of two mobile phones in China after the recent censorship conflict with the Chinese government. The phones were developed with Samsung and Motorola, and both of them run Android. A related article in BusinessWeek wonders whether Google's new stance on censorship will halt the progress Android is making in China, the world's largest mobile market. "The country was well on its way to helping Google exploit Android. Chinese handset makers such as Huawei and ZTE have been some of the earliest supporters of the upstart operating system. China Mobile already sells its own version of an Android-based phone system called OPhone. Motorola is making a big push into the Chinese market with smartphones based on the Android OS. And China's Lenovo has developed numerous Android-based products, including the LePhone. Any undue pressure from the establishment would mean that most of these companies would have to abandon Android in favor of other mobile operating environments."

An anonymous reader writes "The community at www.MicroPCTalk.com have spent the last few years devising all sorts of mods and tweaks for the Sony VAIO UX-series UMPC. Now they've thrown nearly all of their major breakthroughs into one machine. Using the latest UX model (UX490) as the base, the original SSD has been swapped for a speedy 128GB SSD, the CPU has been unsoldered from the mobo and replaced with a Core 2 Duo U7700 (making this probably the smallest computer to use said CPU). The original EDGE module has been removed, and carefully put in its place is an E169 Huawei terminal which provides up to 7.2mbps 3G (HSDPA), voice and texting. On top of this, the unit quad-boots Mac OS X, Windows 7, Windows Vista, and Windows XP (and the Huawei terminal works under Mac OS X as well)."

Ian Lamont writes "The IDG News Service is reporting that US and Canadian authorities have made more than 400 seizures of counterfeit Cisco hardware from China in an ongoing investigation that started in 2005. The most recent seizure was last Friday in Toronto, where the RCMP charged two people and a company with distributing large quantities of counterfeit network components to companies in the US through the Internet. The RCMP seized approximately 1,600 pieces of counterfeit network hardware with an estimated value of $2 million, says the report. According to another source, bogus Cisco gear from China typically includes network modules, WAN interface cards, gigabit interface converters, and less expensive routers."

ChipGuy writes "With funds on loan from the Chinese government, Chinese equipment giant, Huawei is undercutting big rivals like Cisco and Nortel, and is using money to buy its way into the U.S. market. Overseas in Europe and Asia it already has become a major force. There are parallels with auto industry and home appliances. It took a little while before prices became a determining factor and shifted growth away from North American vendors. Telecom will go through the same curve. Huawei is curently selling EVDO phones for about $130 and WCDMA phones about $250 which is about 30% than everyone else on the market. Huawei's agenda is pretty clear - get business and sales at any cost. And that means bad news for already struggling telecom industry."