The European Union’s trade chief will ask for backing this week from senior members of the bloc’s executive arm to start investigations into alleged unfair trade practices by Chinese network-equipment suppliers Huawei Technologies Co. and ZTE Corp., an EU official said, amid concern from European companies that such a probe could prompt a backlash against their interests in China.
The U.S. government is seeking oversight of network-equipment purchases as a condition for approving Softbank Corp.’s $20 billion acquisition of U.S. phone carrier Sprint Nextel Corp., a move that appears to be aimed at keeping out Chinese suppliers like Huawei Technologies Co., people familiar with the matter said.
Eastman Kodak Co.’s $525 million patent sale disclosed Wednesday involved a Who’s Who of the global technology industry, as usually fierce rivals came together to take off the market patents governing the digital cameras now ubiquitous in mobile devices.
An internal European Union analysis has found that two Chinese makers of wireless network equipment, Huawei Technologies Co. and ZTE Corp., are dumping products onto the European market at rock-bottom prices, inflicting grave damage on European producers.
Congressional critics allege Huawei Technologies Co. relied on state support and stolen technology to become the world’s second-largest provider of telecom equipment. Another factor has been crucial to Huawei’s rise, say the Chinese company’s executives: IBM.
China issued its strongest statement yet against a U.S. congressional report urging U.S. business to spurn two Chinese telecommunications companies, saying the move could hurt relations between the countries.