Chinese tech firms hurt by U.S. political illusions(2)

"KILL A MOCKINGBIRD"

As a conclusion to a yearlong investigation, the report recommended that U.S. government computer systems should exclude any equipment from the two firms. It also urged the Committee on Foreign Investments in the Unites States (CFIUS) to block acquisitions, takeovers, or mergers involving the two companies.

"The findings of the House committee will not legally prevent Huawei and ZTE from operating in the United States, but it will make it extremely difficult for them to do business here," Edward Alden, a senior fellow at the Council on Foreign Relations, told Xinhua.

"It will send a clear message to U.S. companies that they should avoid entering into contracts or otherwise doing business with either company," he added.

Actually, the U.S. government has already been interfering its valued fair market system for quite a while.

Craig Mock, president and general manager of United Wireless based in Kansas, told CBS on Sunday night that the new Huawei network delivers some of the fastest Internet speeds in the country. But after his firm had signed a deal with Huawei, Mock received an unwelcome visit from two federal agents, who tried to persuade him to buy equipment from somebody else.

More notably, the U.S. government forced Huawei to give up its proposed merger with communications company 3Com in 2008, and its bid for a Sprint contract in 2010. In addition, Huawei withdrew its purchase of 3Leaf systems in 2010, following a review by the CFIUS.

The House report, along with other government interventions, disregarded the benefits Huawei brings to the America.

In order to boost the global supply chain, the company spent 6.5 billion of its annual 32.4 billion U.S. dollar revenue in 2011 procuring American equipment, which helped sustain hundreds of American companies and tens of thousands of American employees.

The report, however, has attempted to "kill a mockingbird," which does no good to the U.S. economy. More importantly, it will set a very dangerous market-distorting policy precedent that other markets now may choose to use against American companies operating overseas.

American people deserve validated facts if they are going to lose tens of thousands of jobs, hundreds of millions of dollars in investment and billions of dollars of procurement in U.S. products.

Huawei and ZTE, like Alcatel-Lucent, Cisco, Ericsson and Nokia-Siemens, are telecom firms with worldwide operations.

"We are trusted globally," William Plummer, Huawei's U.S. vice president of external relations, told Xinhua.

"Five hundred operators in 150 countries, including major carriers in every developed and most developing markets, have deployed our gear without any issues. Perhaps they are all wrong and the chairman is right. But the odds are very strongly against that," he argued.

After going through all these disturbances, Plummer said that Huawei's commitment to the market and its customers is strong and nothing has been changed.