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U.S. HPSCI Investigates Huawei and ZTE's Expansion Into U.S. Telecom Market

The US government is investigating the expansion of Chinese networking equipment and device makers Huawei and ZTE.

The U.S. House Permanent Select Committee on Intelligence (HPSCI) has announced that it is investigating the impact expansion would have on national security.

The agency plans to asses possible threats that could arise if Chinese telecom equipment companies are allowed to expand into the US telecommunications market.

According to a statement released by the agency, which oversees the intelligence gathering by other US agencies, the HPSCI is probing the extent to which the Chinese government is involved with the companies and how can these help the Chinese government conduct espionage within the United States.

"The fact that our critical infrastructure could be used against us is of serious concern," said Chairman Mike Rogers.

"We are looking at the overall infrastructure threat and Huawei happens to be the 800 pound gorilla in the room, but there are other companies that will be included in the investigation as well. As the formal investigation begins, I stand by my caution to the American business community about engaging Huawei technology until we can fully determine their motives," he warned.