US bill plans to prevent government from working with firms that use Huawei and ZTE technology


It looks like Chinese smartphones makers will have a hard time selling their products in the United States. After the failed partnership between Huawei and major carrier AT&T, it appears that another Chinese giant, ZTE, will have problems signing agreements with certain firms in the US.

A Republican lawmaker announced earlier this week that it has introduced legislation aimed specifically at Huawei and ZTE. The bill that was made public this Friday is supposed to prevent the federal government from working with companies that use equipment made by Huawei and ZTE, or their services.

As you've probably guessed, the bill was introduced soon after news about AT&T dropping the Huawei partnership due to political pressure made headlines. Republican Mike Conway who introduced the bill cites spying concerns, which are based on a report issued by the House Intelligence Committee in 2012 that tagged Huawei and ZTE a national threat.

Even if the bill passes, ZTE and Huawei will still be able to sell their smartphones and service in the United States without restrictions, but many companies that are doing business with the US government will certainly avoid them.

source: The Hill via Slashgear

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