Federal authorities are weighing the risk that a popular Chinese internet router poses to U.S. national security interests and are considering banning the devices, which have been involved in cyberattacks, according to The Wall Street Journal.
The Chinese company TP-Link controls 65% of the U.S. market for home and small business routers and its devices are top sellers on Amazon, in addition to reportedly directing online traffic for federal agencies like the Defense Department.
TP-Link has achieved market dominance in part by undercutting competitors with cheaper prices. According to market data, TP-Link routers are often much less expensive than competitors by more than half.
People familiar with the matter told the Journal that there are ongoing investigations of the company at the Commerce, Defense, and Justice departments and that authorities could prohibit the sale of TP-Link routers in the U.S. as early as next year. Some of the Journal's sources also said that an office within the Commerce Department has issued the company a subpoena.
Considering the Biden administration has just over a month left in office, any action against TP-Link would likely be taken by the incoming Trump administration, which has indicated it plans to pursue a tough-on-China approach.
In October, a Microsoft analysis found that a Chinese hacking organization's large network of compromised devices is mainly comprised of thousands of TP-Link routers. A number of Chinese actors have used this network to launch cyberattacks on Western targets, including government organizations, Defense Department suppliers, nongovernmental organizations, and think tanks.
TP-Link regularly ships routers to customers that contain security flaws, the people told the Journal, and the company frequently fails to address the bugs once they have been identified. Routers often have security flaws, regardless of manufacturer, but the Chinese firm does not collaborate with security researchers to correct them, the sources said.
TP-Link does business in the United States through a California-based division and a spokeswoman there told the Journal that the company examines its products for possible security risks and works to shore up known vulnerabilities.
"We welcome any opportunities to engage with the U.S. government to demonstrate that our security practices are fully in line with industry security standards, and to demonstrate our ongoing commitment to the U.S. market, U.S. consumers, and addressing U.S. national security risks," the spokeswoman said.
Liu Pengyu, a spokesman for the Chinese embassy in Washington, told the Journal that the U.S. was using national security as a pretext to "suppress Chinese companies," and said Beijing would "resolutely defend" their legitimate rights and interests.
Some of the people said that TP-Link routers don't appear to be linked to the alleged breaches of at least eight American telecom firms by Chinese group Salt Typhoon but the Biden administration's probes into the company seem to have accelerated following those cyberattacks.
If TP-Link routers are booted from U.S. markets, it would be the biggest removal of Chinese telecom equipment from American infrastructure since 2019, when the first Trump administration excised Huawei Technologies components.
Nicole Weatherholtz ✉
Nicole Weatherholtz, a Newsmax general assignment reporter covers news, politics, and culture. She is a National Newspaper Association award-winning journalist.
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