Huawei and Ms Meng’s arrest

Ms Meng, the daughter of Renzhengfei, founder of Huawei, got arrested on route to Mexico on grounds of fraud connected to dodging sanctions on Iran.

She started as a receptionist and worked her way up over 25 years to become CFO. And kept a fairly low profile.

The arrests shed spotlight on her.

What’s the real allegations behind the arrest?

It is really the alleged accusations or the rising Eastern tech giant of Huawei?

Huawei grows from a small maker of cut price electronics into the world’s biggest supplier of telecoms gear in the same league as firms like IBM and Microsoft. It reveals its plan to dominate 5G market and    acts as a key part of “Made in China 2025” initiative to creat leaders in cutting edge industries.

As a consequence of its success and its ambitions, it sits the heart of a tangled web of Western worries about national security and China’s economic clout.

Governments like Australia, Japan and Newzeland have banned local companies from buying products. Some European Union officials are concerned that malicious code might be built in Huaweis’ products which could funnel information back to Beijing or even grant access to state-sponsored hackers.

Huawei rejects the spying allegations on the grounds the it has no incentives to do so.

Other countries like France, Germany and Britain are more friendlier. Huawei is still welcome to them although sensitive investments might be blocked.

The future of the tech giant depends on other countries’ reaction. Similar measures against ZYE  by America would cripple the company if not throttle it. The results would be painful though not fatal. However, as a great revenue-generator, other countries’ supplier to Huawei like Intel and NXP will also get undermined if they stop working together with Huawei.

Vincent Pang, the president of Huawei’s European division says “we will never give up”.

Hopefully, the current chill will pass and creat a win win situation for China and America.

Huawei and Ms Meng’s arrest