Huawei: Hundred Billion Dollar Troll

Posted On Apr 29, 2019 By admin With Comments Off

The Financial Times reported earlier the coming week that Chinese telecom rig manufacturing beings Huawei Technology has hired top-drawer Washington public relations group Burson Cohn& Wolfe to” be used to help make its case in the US following months of media and political inquiry .”

One wonders where those spin doctors were on Thursday when Huawei summoned world-wide press to its headquarters in Shenzhen to trumpet its annual financial results. The headline Huawei hoped for–and in some instances received–was that the company’s 2018 sales surged roughly 20% to a record $107 billion despite U.S. government efforts to cast doubt on the security of its concoctions. Earnings leapt 25% to $8.8 billion. Terribly impressive.

And yet most legends produced with the in-your-face explains of Huawei’s revolving chair Guo Ping:” The U.S. government has a loser’s sentiment. They want to smear Huawei because they can’t compete with us.”

” Huawei Urges U.S. to Drop’ Loser’s Attitude‘” reverberated the Reuters headline.” Huawei Executive Rips U.S. Government” repetition the New York Post.

Sticking a thumb in the eye of Uncle sam becomes a staple of public appearings by Huawei ministerials. At the Mobile World Congress in Barcelona last month Guo trolled Washington by blinking a photo of onetime National Security Agency subcontractor Edward Snowden, who divulged papers discovering the NSA’s use of U.S.-made telecom equipment for a investigate structure known as PRISM.

Another revolving chairperson, Eric Xu, has lashed out against two U.S. congressmen as “ignorant” and “ill-informed” for blaming Huawei with theft of U.S. engineering. In a February interview with the BBC, Huawei founder Ren Zhengfei boasted” There’s no way the US can suppress us. The world-wide cannot leave us because we are more advanced .”

The tough talk may be gratify. Undoubtedly it represents well in Beijing. But it’s not triumphing acquaintances for Huawei in the West.

It shouldn’t require an expensive PR firm for Huawei to recognize that, beyond China, its core difficulty is one of trust. It needs to be seen as a dependable collaborator: responsible, submissive, mature.

The way to earn that relies is not with grandiloquent boastings and bratty heckles. If Huawei wants to be taken seriously, it should stop blowing raspberries and instead offer productive proposals to cooperate with Western–especially American–regulators to establish third-party bodies that could review and support its commodities are secure.

More China information below.

Clay Chandler

@claychandler

clay.chandler @fortune. com

Economy and Trade

Xi’s Euro tour. After ratifying Italy up to the Belt and Road Initiative last weekend, President Xi Jinping headed to France, where both countries indicated 15 business deals worth billions of dollars. Among them was a purchase order for 300 planes from Airbus, which was worth nearly $33 billion. That’s a gale to Boeing. China was one of the first all nations to floor Boeing’s 737 Max aircraft after the lethal accident in Ethiopia this month and looks likely to eliminate Boeing orders from any transaction treat struck with the U.S. Fortune

Clocking up air miles. U.S. Treasury Secretary Steven Mnuchin was back in China this week with, fellow frequent leaflet, Trade Representative Robert Lighthizer to continue negotiations on commerce. In a tweet, Mnuchin called the talks “constructive” and noted Vice Premier Liu He will be back in Washington next week to continue the conversation. Apparently, China made proposals that are related to U.S. concerns of obliged tech commits for the first time. Previously Beijing refused to accept that was even such issues. CNBC

Trade war floods into Brazil. Soy beans have been a focus of the Sino-U.S. Trade War, and the Amazon rain forest might get hit with collateral expense. After the U.S. restricted China’s access to American soy beans, China turned to Brazil to fill the breach. If Brazil increases production to meet demands, swathes of the Amazonian rainforest could be cut down to make way for soy realms, environmentalists alert. South China Morning Post

Innovation and Tech

One to watch. Two of America’s largest pension funds own shares in Chinese security camera manufacturer Hikvision, the world’s largest surveillance company. Hikvision’s cameras are installed across China but the company’s spirit in Xinjiang has proved contentious. Since last year, roughly a million of Xinjiang’s minority Uyghur population have been detained in so-called “re-education tents, ” where the mostly Muslim Uyghurs are taught to embrace traditionally bred Chinese culture. Hikvision accommodates Cctv reporting for the camps. Some funds are now being pushed to decline their stakes. Financial Times

Seek and ye shan’t find. Google is reportedly handling a covert evaluation of Project Dragonfly, the code name for the company’s plan to develop a censored search engine for the Chinese sell. Performance recalls are common region at Google but, unlike ordinary, the conclusions contained in Project Dragonfly’s rating won’t be examined by regular organization. Instead administration has established closed “review committees” to oversee the assessment. The Intercept

Back on world markets. Grindr, one of the more popular LGBTQ dating apps, is up for sale after the Committee on Foreign Investment in the United States( CFIUS) queried whether the app posed a defence threat. That’s because Grindr was purchased by Beijing Kunlun Technology three years ago. CFIUS didn’t specify what the security concerns are, but it’s likely CFIUS annoys the Chinese firm could use the app to collect sensitive data on U.S. citizens. The Verge

In Case You Missed It

More Than a Third of China Is Now Invested in One Giant Mutual Fund WSJ

Alibaba accuses Meituan CEO of slander for questioning founder’s stability TechNode

Meng Hongwei: China to prosecute onetime Interpol chief BBC

Airbnb Requirement the Key to China’s Millennial Empire WSJ

Has China’s answer to Davos lost its radiance with high-profile absences and a Tv blackout ? SCMP

Politics and Policy

On the mend. New Zealand Prime Minister Jacinda Ardern is flying to China tomorrow to meet President Xi Jinping, a month after Beijing adjourned an original powwow in February. Eyewitness believe China was punishing the Kiwi nation for barrier Huawei’s bid on a 5G network last-place November. Now, merely two weeks after the fatal shooting at two mosques in Christchurch, Ardern is facing stres to challenge Beijing on its medication of Muslim Uyghur group’s in Xinjiang province. Bloomberg

Canola travel so far. China has censored imports of canola grains from two of Canada’s largest suppliers, threatening the$ 2 billion trade. Beijing halted imports from Canada’s largest exporter earlier this month and expanded the obstruction to the second largest seller this week. Foreign Ministry spokesperson Geng Shuang said the ban is “scientific” but computed Canada could help by making “practical measures to correct the mistakes it obliged earlier.” Likely an oblique reference to the arrest of Huawei CFO Meng Wanzhou in Vancouver last year. Reuters