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Crypto News > Blog > News > The United States is considering banning Chinese routers due to cybersecurity risks – Crypto
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The United States is considering banning Chinese routers due to cybersecurity risks – Crypto

Crypto
Last updated: 2024/12/18 at 2:45 PM
Crypto Published December 18, 2024
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The United States is considering banning Chinese routers due to cybersecurity risks
 – Crypto
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Contents
National security risksActions and backgroundImpact on the market and global contextFocus on the futureRelatedCrypto Keynote USA

The United States is considering a possible ban on routers made by Chinese company TP-Link, amid growing national security concerns. According to a report by The Wall Street Journal, US authorities have indicated that these devices, widely used in homes and small businesses, could be vulnerable to cyberattacks that compromise the national technological infrastructure.

TP-Link, which controls about 65% of the US home router market, has been under scrutiny from agencies such as the Departments of Commerce, Defense and Justice. A recent analysis by Microsoft revealed that thousands of the company’s routers would have been used as tools in cyber attacks targeting government institutions, think tanks, and military suppliers in Western countries.

National security risks

The concern about TP-Link routers is part of a broader investigation into technologies made in China. US lawmakers consider these devices to have an “unusual degree of vulnerabilities,” making them potential targets for cyberattacks.

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The Chinese hacking group known as Volt Typhoon has been linked to recent intrusions into critical infrastructure using compromised routers. Although devices from other brands have also been exploited, TP-Link has received criticism for not collaborating with security researchers to solve the detected problems.

Alexis Early, a national security attorney, explained that “the United States continues to play roulette against specific companies and threats” and stressed the importance of addressing technology supply chain security.

Actions and background

Joe Biden’s administration is considering taking measures similar to those implemented against other Chinese companies, such as the Trump administration’s order in 2019 to remove Huawei equipment from US telecommunications networks. In addition, the elimination of China Telecom from national infrastructure is being evaluated, demonstrating a stricter posture against cybersecurity risks associated with companies from countries considered adversaries.

However, TP-Link has denied being complicit in illicit cyber activities. A company spokesperson in the US assured that they are willing to collaborate with the authorities to demonstrate that they comply with safety standards. “We welcome any opportunity to collaborate with the US government to demonstrate our commitment to safety and consumers,” he said.

For his part, Liu Pengyu, spokesperson for the Chinese Embassy in Washington, accused the United States of using national security as a pretext to “suppress Chinese companies.” He added that the Chinese government will defend the legitimate interests of these companies in the international arena.

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Impact on the market and global context

If the ban is confirmed, this could cause a significant impact on the US router market. TP-Link, which has grown rapidly due to its competitive pricing strategy during the pandemic, could cede ground to competitors, including local manufacturers.

In other countries, the attitude towards TP-Link devices reflects similar trends. For example, Taiwan has already banned their use in government and educational facilities, while India has issued warnings related to the safety risks posed by these products.

The concern transcends routers made in China. US lawmakers recently passed a law that requires studying the national security risks associated with foreign technological devices, underscoring the need to protect critical infrastructure from potential attacks.

Focus on the future

With tensions rising between the US and China, the TP-Link case highlights a larger issue around cybersecurity and the management of foreign technologies in key infrastructure.

Although TP-Link attempts to consolidate its presence in the US, including by establishing a new headquarters in California, it will continue to face significant barriers if concerns about its relationship with Chinese authorities persist.

The outcome of this investigation will not only determine the future of TP-Link in the United States, but will also influence the geopolitical relations between both nations and set a precedent in global technological security standards.

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