I sent the following letter to Ms. Gay Hartwell Sills, Staff Chair of the Committee on Foreign Investment in the United States, asking the Committee to reject the Huawei Technologies-Bain Capital deal to buy out 3Com.
Ms. Gay Hartwell Sills
Committee on Foreign Investment in the United States ("CFIUS")
Office of International Investment
Department of Treasury
1500 Pennsylvania Avenue, N.W., Room 4201 NY
Washington, DC 20220
Dear Ms. Sills,
As I'm sure you are aware, Huawei Technologies has just entered into an agreement with Bain Capital to acquire 3Com, a leading information technology firm that, among other things, helps the Department of Defense ward off cyber-attacks from hostile forces and nations. While Huawei will only acquire a minority stake, to have partial ownership of 3Com by a Communist-controlled corporation is dangerous, and Huawei, in particular, especially dangerous. I humbly ask that the Committee on Foreign Investment in the United States reject any acquisition of 3Com that involves Huawei.
Huawei Technologies is a danger to the United States not only because it is a company from Communist China - and thus under the control of the Party even if its ownership is ostensibly "private" - but also because it has been one of the leading enablers of terrorism on the planet. In 2001, Huawei was exposed as one of the Communist Chinese firms building an Iraqi fiber-optic network that would have enabled Saddam Hussein to integrate his air-defense system. The firm was also involved in building a telephone network for the Taliban in Afghanistan, while the terrorist group was sheltering and aiding Osama bin Laden.
Communist China itself has an ever more detailed history of aiding our enemies in the Global War on Terror - including Saddam Hussein, the Taliban, and al Qaeda - so Huawei's recent actions suggest not a deviation from Communist Party policy, but its fulfillment.
I'm sure Huawei will offer to accept constraints on what it can and cannot access from 3Com. However, the Communist regime and its corporations have a history of violating agreements and pledges, so any deal to which Huawei agrees is questionable, at best.
The reality is, Huawei's history disqualifies it from any role with a firm as sensitive as 3Com. For this reason, I do not believe any deal involving Huawei should be approved. Please reject any deal that involves Huawei.
Thank you for your time and attention in this matter.
Co-founder and President: China e-Lobby