An embassy spokesman declined to comment specifically on a Wall Street Journal report about the U.S. government's first explicit warning to Germany of consequences if China's Huawei Technologies Co gets a role in Germany's next-generation mobile infrastructure.
Along with most European countries, Germany's security agencies are heavily reliant on US intelligence to fight terrorism.
Huawei has been accused of being obliged to pass on information to the Chinese government, but has rejected the accusations. A German security official said the situation is more nuanced, noting that the USA didn't provide evidence to back up its Huawei warnings. Although Huawei has repeatedly denied been used by by Chinese Government, and even challenged the USA govt to publicly release evidence backing up its claims, all that has fallen on deaf ears as the United States government has asked its allies to cut their relationships with Huawei.
Up to now, Germany has rebuffed any United States attempts to sway it into barring Huawei from participating in the development of its next-generation networks, as Washington and some of its allies did earlier over the company's alleged ties to Chinese intelligence and suspected involvement in commercial espionage. Those are Finnish firm Nokia, South Korean outfit Samsung, Chinese firm Huawei, Swedish corporation Ericsson, and American outfit Cisco.
"The Federal Minister for Economic Affairs and Energy has indeed received a letter; there is no comment on its content from their side".
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"Because 5G networks are largely software-defined, updates pushed to the network by the manufacturer can radically change how they operate", said Garrett Marquis, NSC spokesman.
The U.S. clash with Huawei includes a deep disagreement over the arrest in Canada and possible extradition of Huawei CFO Meng Wanzhou, who is also the founder's daughter.
Grenell specifically addressed this point by warning that Chinese law requires all corporations to support Chinese spy agencies upon demand, so there is no way to permanently ensure the security of Huawei products by inspecting them at the time of purchase.
The US and several other Western nations, fearful of the security risks posed by the company closely tied to the Chinese government, have shut Huawei out of tenders for the development of the newest 5G infrastructure.
The US is going too far.