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Telecom Scandal: Chinese Companies Allegedly Sharing U.S. Consumers’ Data with Beijing

The Biden administration is currently investigating three Chinese wireless providers – China Mobile, China Unicom, and China Telecom – due to concerns that they may be accessing and exploiting personal data of U.S. consumers. The investigation is centered around the collection of data through their U.S. cloud and internet businesses, with reports suggesting that this information is being sent to Beijing.

The Commerce Department is leading the investigation and has already subpoenaed the three Chinese wireless firms for more information. While “risk-based analyses” have been completed on China Mobile and China Telecom, the process is still ongoing for China Unicom. Despite being banned from offering phone and retail internet services in the U.S., these companies have a small business presence in the country, giving them access to personal data of U.S. consumers.

The investigation has sparked controversy, with no comments from the Chinese companies or their U.S.-based lawyers. The Justice Department, White House, and Commerce Department have also refrained from making any statements regarding the matter. On the other hand, the Chinese Embassy in Washington D.C. expressed hope that the U.S. would refrain from suppressing Chinese companies under false pretenses.

A separate investigation conducted by Reuters found no evidence to suggest that these companies have shared personal data with the Chinese government. Despite these findings, concerns remain about potential exploitation of personal data affecting U.S. citizens, companies, and national security interests.

Experts speculate that if found guilty, China Mobile, China Unicom, and China Telecom could face repercussions impacting their ability to provide cloud and internet services to global customers while operating within the U.S.

In summary:
– Three Chinese wireless providers are under investigation by the Biden administration for potentially exploiting personal data of U.S. consumers.
– The Commerce Department is leading the probe and has already subpoenaed the companies.
– Despite bans on offering certain services in the U.S., these firms still have access to personal data through their cloud and internet businesses.
– The controversy has sparked responses from both American and Chinese authorities.
– Reuters’ investigation found no evidence of wrongdoing but concerns persist about potential harm to U.S. interests.
– Experts believe that repercussions could affect these firms’ operations in delivering services to global customers while operating within the U.S.

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