Huawei Moves Key Personnel From US to Canada

Huawei reportedly spent US$510 million on the operations of its US research arm last year

Huawei reportedly spent US$510 million on the operations of its US research arm last year

Chinese telecom giant Huawei Technologies Co. has plans to move its research and development (R&D) center from the Canada and has already shifted key staff members as the spat between the USA and China over trade, technology and ongoing unrest in Hong Kong intensifies.

Last month, the USA telecom regulator voted to prohibit the country's carriers from using a public fund to buy products and services from Huawei and ZTE and also proposed asking fund recipients to purge their networks of those companies' equipment.

In November, the US government granted a 90-day reprieve to companies in rural parts of the country that buy equipment from Huawei.

Ren's remarks came as Reuters reported on Friday that the United States is weighing expanding its power to stop more foreign shipments of products with USA technology to Huawei. Huawei operates a research and development centre in Silicon Valley in California but confirmed in June it was cutting jobs following the US sanctions.

In September, Huawei claimed that the USA used "unscrupulous means" to disrupt its global business operations such as cyberattacks and harassment of Huawei employees from us law enforcement.

It has one of the world's biggest corporate research budgets and has said this year's spending will rise 20 per cent to $17 billion US. "That's why we will shift our focus of development more toward Canada".

Among the critics of that response was Hu Xijin, the outspoken editor of the Communist Party tabloid Global Times, who said Huawei's treating the incident as purely a legal affair and its refusal to apologize ignored the need to respond to public sentiment.

Commenting on her case, Ren said that it is an example of "obvious political interference from the USA".

In July, Huawei announced it would bring high-speed wireless services to 70 communities in the Arctic and northern Quebec.

The company also has funding commitments with several Canadian universities. The blacklist was enacted due to alleged national security concerns from Huawei's operations. One, filed in NY, accuses the company of bank fraud and says it plotted to violate USA trade sanctions against Iran. The other, filed in Washington state, accuses Huawei of stealing technology from T-Mobile's headquarters in Bellevue, Wash.

The company, headquartered in Shenzhen, also operates research and development centres in Germany, India, Sweden and Turkey.

In November, Huawei started selling a folding smartphone, the Mate X, made without USA -supplied processor chips or Google apps.

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