The American National Security community thinks Huawei is one of the greatest security risks in a world where American has declared China a strategic competitor.
In an era of trade wars, a cold war of technology between the United States and China appears inevitable.
Huawei will overtake Samsung Soon
Huawei is on pace to overtake Samsung as the global leader in smart phone sales by 2022. They are investing in the technology that will make personal assistants “companion-intelligent”. They even have a smart AR glasses product in the works that will compete directly with Apple.
Huawei is already a global giant in telecom gear, 5G, mobile phones and is like a Cisco-meets-Apple hybrid company with close ties to the Chinese Government. In an era where Facebook and Google have turned “evil” they might not be the greatest threat to a centralized future where tech companies have even more control over us. The greatest threat might actually be China’s Huawei.
As Alibaba and Tencent pivot to the Cloud and enterprise and as ByteDance emerges as an apps leader, Huawei and Baidu are investing in artificial intelligence in winning ways. Indeed Huawei is an internet of things native company. They have also been blacklisted by the U.S. in many ways in which America is pressuring other countries to do the same, due in part to national security concerns.
Huawei is the Dark Nationalism of China come to Life in a Tech Company
- Huawei is the second-largest smartphone maker in the world, behind only Samsung.
- Huawei’s practices have been the subject of a years-long federal investigation by the U.S. as well as for the escalating trade war between US and China.
- Huawei have a strong chance of being an artificial intelligence leader of the future as China scales its incredible economy in an AI-arms race with the U.S. Huawei is not a public company, but all indications are that in terms of R&D it’s a world leader.
- Of China’s emerging technological dynasty, Huawei is already the most globalized in nature due to its products and the value it can offer other countries and global consumers.
Whether this is a black mirror company I think is a matter of debate, but corporate entities with strong ties to the government are inevitable in this face-off between the U.S. and China. Just as Amazon is likely to win the JEDI cloud contract with the pentagon, the era of cybersecurity and the race to AI and technological regulation point to corporate entities that provide back-door access. Even the recent Marriott hack may very well have come from China.
The Battle for the Future of Technology is Coming
In the trade war of 2019 it appears business and politics are colliding over the technological domination of the world. That sounds pretty ‘black mirror’ to me. Currently the Western internet suffers from the anti-trust violating duopoly of Google and Facebook. Google, that wants to get into China, and Apple that is already there. By blocking and pressuring Huawei’s growth, the U.S. is declaring economic war on China.
China is being accused of widespread and longstanding IPO theft of corporate trade secrets where Huawei’s rise could have occurred through black hat means. China is an empire, it doesn’t mean it’s an honest one. To put it in an understated way, Huawei’s founder, Ren, was an engineer in China’s military, and his ties to the Communist Party have triggered international concerns that Huawei’s telecommunications kit may be compromised. The U.S. national defense and security intelligence communities have upped their concerns about this in recent years.
Huawei is the World’s largest telecommunications equipment firm
If you were to want to infiltrate other countries with mass surveillance systems, this is exactly the kind of company you would build. Huawei makes in the area of $80 Billion a year. As it’s not a publicly traded company, its hierarchy is shrouded in mystery for the west.
Hu Xijin, the editor in chief of the Global Times, described the arrest as a “declaration of war” against China, according to the New York Times. The Global Times is a state-run newspaper whose views are thought to reflect those of the ruling communist party in China.
The reaction of China to the arrest of Huawei’s CFO would seem to indicate this matter hits too closely to home for China’s political hierarchy. The U.S. wants Canada to extradite her to the U.S. The purported rationale is that Huawei is being investigated by the Justice Department for violating the sanctions the U.S. imposed in Iran. China is demanding Canada return her to China or suffer consequences. China even canceled a B.C. trade mission recently in a related reaction. These are black mirror days of economic warfare before a great technological war for dominion of the planet.
China could Usher in a Dark Age of Mass Surveillance
China is a rising superpower and Huawei is one of the black mirror generals in the era of technological expansion, globalization and the kind of artificial intelligence that will change the world forever. China’s mass-surveillance policy with CTC cameras, facial recognition and ubiquitous technological regulation is a superior model of data harvesting compared to anywhere else in the world.
China has built its own internet and what appears from an innovation standpoint to be a superior internet. Superior for consumers and E-commerce, and the online to offline convenience of accessing actual services, utilities and convenience. This means in terms of logistics Alibaba and JD may have an edge over the likes of Amazon. While China has a lot of areas to “catch up” in including the Cloud, machine learning talent, and so forth, there’s no reason to suppose they cannot accomplish it in the next twenty to thirty years, if not sooner. Huawei is part of the master plan, if not a central pillar of it.
The U.S. blocked Huawei from becoming a mobile phone seller in America. That’s not just a breach of free market capitalism, it’s an unfair practice since America’s Apple depends in large part on the Chinese consumer. Huawei is also a leader in the emerging 5G mobile network, where America is behind. Although Meng and Huawei are not well known in the U.S., the executive and her company are extremely high profile in China. In fact, U.S. media coverage of China’s tech scene is so under-covered it’s nearly at the level of a media black-out. The Chinese internet is showing it’s far from being a copier, it’s been out innovating the U.S. likely since 2017.
The Chinese Internet is Fundamentally Superior
- There is no ByteDance in America, Facebook only acquires apps.
- There is no Tencent in America, no WeChat or ubiquitous app that’s useful.
- There’s no Alibaba in America, where Single’s Day (11.11) makes Black Friday and Cyber Week look small.
- There’s only FAANG, that the NYSE makes look good, that likely won’t even stand the test of time vs. BAT.
Huawei is that company that’s everywhere, that most Americans haven’t even heard about. That’s why it’s the black mirror threat that the U.S. didn’t prepare for. This is because the U.S. is decades behind China in how it regulates its technological companies. In an era of AI and BioTech this puts the U.S. at a considerable disadvantage in an outdated form of capitalism. The trade wars might hurt China more in the short term, but only make them catch up to America even faster with corporate dynasties.
Arresting Huawei’s CFO is as if China arrested Sheryl Sandberg, the chief operating officer of Facebook. It’s a high profile threat that’s not just strategic, it’s down right stupid. This is because China is a super power on the rise, whereas the U.S. can only hope to maintain its position for perhaps, at most, a decade more.
Huawei is the New Nationalism of China Company
Huawei has always denied it has been asked to spy for China’s authorities.
Huawei is a symbol of the new nationalism of China. It’s a proudly patriotic company much like how Amazon will be viewed years from now. Huawei has invested in aggressive expansions in places such as Europe and Canada recently.
Huawei (pronounced “Wah-Way”) is a telecommunications and electronics company based in Shenzhen in the south of China, but it can become much much more. Along with JD.com I believe Huawei represented Chinese corporations that stood the best chance of going truly global. Even with bans from Australia and New Zealand, China’s tech invasion of India, Europe and Africa is already underway. If Amazon beat Alibaba to Hindi and English speaking India, Xiaomi and Huawei are doing just fine there.
With China’s global expansion in technological nearly inevitable, their brand of techno-ethics could easily predominate, sending the entire world into a ‘black mirror’ dark age where technology is abused in an authoritarian and invasive way of supremely centralized powers. The Chinese government is one of the biggest threats of this occurring if they overstep their bounds. In an era where corporations and platforms aren’t used just for mass surveillance but for sentiment and opinion manipulation, we’re all being hacked without knowing it. In such a world, Facebook and Huawei are but tools for competing nation states.
China already has a well known black mirror approach to things like human rights. Centralization and rampant censorship and using their consumers as weapons reminds us of how communism in the guise of socialism can be dangerous and yet technologically more effective in an age where data is the new oil. A hybrid socialist capitalistic state could scale AI and data harvesting in a more effective way, where progress that would ordinarily take decades could be compressed into just a few years.
China’s Tech Dynasty can scale globally
This is basically what we are witnessing with companies scaling at the rate of Huawei, Didi, Meituan, Ant Financial, Tencent Music, ByteDance and dozens of others. The business models of Baidu, Alibaba, Tencent and JD.com remain incredible testaments to the future of Chinese innovation. Huawei just might be the darkest of them all, in terms of what it would be capable of doing to foreign entities, political systems and China’s apparently expansionist ambitions via technological means.
Meng is the daughter of the company’s founder, Ren Zhengfei, and has recently become his presumed successor. Trump can take risks nearing the last year of his term, but the consequences may be for America and the world. Huawei is potentially very dangerous and this is why we refer it as a black mirror entity for the future of technology.