Huawei has already ‘built an ecosystem entirely independent of the United States’, according to a senior executive.

South China Morning Post scmp.com Coco Fengin Guangdong
Published: 9:00pm, 29 Aug 2025

China has virtually overcome crippling US tech restrictions, according to a senior executive at Huawei Technologies, as mainland-developed computing infrastructure, AI systems and other software now rival those from the world’s largest economy.
Shenzhen-based Huawei, which was added to Washington’s trade blacklist in May 2019, has already “built an ecosystem entirely independent of the United States”, said Tao Jingwen, president of the firm’s quality, business process and information technology management department, at an event on Wednesday in Guiyang, capital of southwestern Guizhou province.
Tao highlighted the privately held company’s resilience at the event, as he discussed some of the latest milestones in its journey towards tech self-sufficiency.

That industry-wide commitment to tech self-reliance would enable China to “surpass the US in terms of artificial intelligence applications” on the back of the country’s “extensive economy and business scenarios”, he said.
His remarks reflected Huawei’s efforts to surmount tightened US control measures and heightened geopolitical tensions, as the company pushes the boundaries in semiconductors, computing power, cloud services, AI and operating systems.
Tao’s presentation was made on the same day that Huawei said users of token services on its cloud platform had access to its CloudMatrix 384 system, which is a cluster of 384 Ascend AI processors – spread across 12 computing cabinets and four bus cabinets – that delivers 300 petaflops of computing power and 48 terabytes of high-bandwidth memory. A petaflop is 1,000 trillion calculations per second.

therecord.media | The Record from Recorded Future News
September 1st, 2025

Last week, a contract worth €10 million ($11.7 million) had been awarded to the Spanish multinational Telefónica to use Huawei kit to upgrade the RedIRIS network, effectively more than 16,000km of infrastructure. On Friday, the government reversed course for “reasons of digital strategy and strategic autonomy,” as reported by El País.

The RedIRIS upgrade using Huawei equipment had been negotiated directly with Telefónica as the company had an existing €5.5 million contract from 2020 to boost the network. The Ministry of Digital Transformation argued the new upgrade was urgent due to the demands of new digital services, supercomputing projects and the network’s connections to Spain’s defense establishment.

It was partially driven by a need to improve the RedIRIS network’s resilience to cyberattacks, despite concerns that the use of equipment provided by Chinese vendors could increase the risk of cyberattacks to Western infrastructure.

These fears are often expressed in the context of Beijing’s offensive cyber espionage activities and China’s National Intelligence Law of 2017, which allows the state to “compel anyone in China to do anything,” as summarized by Britain’s National Cyber Security Centre. Huawei has consistently argued that such criticisms are illegitimate.

The company is currently restricted from most 5G networks across the European Union, although Spain has opted out of imposing such restrictions, and faces varying levels of bans in networks of NATO allies such as the United States and the United Kingdom.

Despite the apparent political hesitation regarding restricting Huawei equipment, Spain was among more than a dozen allies who last week warned about Chinese companies compromising global critical infrastructure.

The cancellation of the Telefoníca contract comes amid alarm from Madrid’s allies about the prevalence of the Chinese company’s equipment within the Spanish telecommunications infrastructure, including the core of Telefoníca’s 5G network.

In July, the chairs of the U.S. House and Senate Intelligence panels asked the country’s spy chief to scrutinize any intelligence information the U.S. shares with Spain after the disclosure the country’s wiretap system is underpinned by Huawei technology.

Spanish Prime Minister Pedro Sánchez, who has been among the EU’s most supportive leaders regarding Huawei, has pushed back against the bloc’s efforts to restrict it from 5G networks. Huawei has opened research facilities in Madrid and is a major employer as a technology contractor for a number of public administrations.

Natasha Buckley, a researcher at RUSI and lecturer in cybersecurity at Cranfield University, previously told Recorded Future News that Spain’s approach to the company stood in stark contrast to that of other NATO allies and many EU member states.

“Spain’s stance on high-risk technology vendors places greater emphasis on supply chain reliability than on geopolitical considerations, setting it apart from more restrictive approaches seen in countries like the UK, the Netherlands and Poland.

“While the EU’s 5G Cybersecurity Toolbox recommends limiting or excluding high-risk Chinese suppliers like Huawei, Spain’s implementation has been uneven. Huawei is restricted from some public 5G projects, yet its servers have been approved to store sensitive police wiretap data. The result is a case-by-case approach that falls short of a clearly defined policy towards high-risk vendors,” Buckley said.

South China Morning Post scmp.com Published: 5:00pm, 12 Aug 2025 - Chinese tech firms are leveraging software improvements to compensate for limited access to advanced hardware.

Huawei Technologies has unveiled a software tool designed to accelerate inference in large artificial intelligence models, an advancement that could help China reduce its reliance on expensive high-bandwidth memory (HBM) chips.
Unified Cache Manager (UCM) is an algorithm that allocates data according to varying latency requirements across different types of memories – including ultra-fast HBM, standard dynamic random access memory and solid-state drive – thereby enhancing inference efficiency, according to Huawei executives at the Financial AI Reasoning Application Landing and Development Forum in Shanghai on Tuesday.

Zhou Yuefeng, vice-president and head of Huawei’s data storage product line, said UCM demonstrated its effectiveness during tests, reducing inference latency by up to 90 per cent and increasing system throughput as much as 22-fold.

The move exemplifies how Chinese tech firms are leveraging software improvements to compensate for limited access to advanced hardware. Earlier this year, Chinese start-up DeepSeek captured global attention by developing powerful AI models with constrained chip resources.

Huawei plans to open-source UCM in September, first in its online developer community and later to the broader industry. The initiative could help China lessen its dependence on foreign-made HBM chips, a market mostly controlled by South Korea’s SK Hynix and Samsung Electronics, as well as the US supplier Micron Technology.

HBM is a stacked, high-speed, low-latency memory that provides substantial data throughput to AI chips, enabling optimal performance. The global HBM market is projected to nearly double in revenue this year, reaching US$34 billion, and is expected to hit US$98 billion by 2030, largely driven by the AI boom, according to consulting firm Yole Group.

euractiv.com - MADRID – Spanish magistrates, law enforcement leaders and opposition politicians are voicing alarm over Madrid’s unusually close ties to Beijing, as the Chinese tech giant’s footprint in Spain’s public sector is deeper than first thought.

The concerns have intensified since July, when reports surfaced of an alleged €12.3 million contract between 2021 and 2025 for Huawei to store sensitive judicial wiretap data for the interior ministry.

Opposition Popular Party (PP) secretary general Miguel Tellado branded the public tender “shady” and claimed it was part of “the Chinese branch of Pedro Sánchez’s enormous corruption network.” The PP is also demanding that Sánchez’s top ministers testify before parliament after the summer recess.

The interior ministry has denied the existence of the Huawei agreement and did not clarify whether the initial €12.3 million figure was part of a broader deal with Spanish firms such as Telefónica, TRC or Econocom, as several local outlets have suggested.

The alleged deal has landed at a politically delicate moment for the Socialist-led government, already reeling from multiple corruption scandals.

therecord.media (01.08.2025) - Authorities in Luxembourg said a nationwide telecommunications outage in July was caused by a deliberately disruptive cyberattack. Huawei networking products were reportedly the target.
Luxembourg’s government announced on Thursday it was formally investigating a nationwide telecommunications outage caused last week by a cyberattack reportedly targeting Huawei equipment inside its national telecoms infrastructure.

The outage on July 23 left the country’s 4G and 5G mobile networks unavailable for more than three hours. Officials are concerned that large parts of the population were unable to call the emergency services as the fallback 2G system became overloaded. Internet access and electronic banking services were also inaccessible.

According to government statements issued to the country’s parliament, the attack was intentionally disruptive rather than an attempt to compromise the telecoms network that accidentally led to a system failure.

Officials said the attackers exploited a vulnerability in a “standardised software component” used by POST Luxembourg, the state-owned enterprise that operates most of the country’s telecommunications infrastructure. The government’s national alert system, which officials had intended to use to warn the population about the incident, failed to reach many people because it also depends on POST’s mobile network.

POST’s director-general described the attack itself as “exceptionally advanced and sophisticated,” but stressed it did not compromise or access internal systems and data. POST itself and the national CSIRT are currently forensically investigating the cause of the outage.

Although the government’s statements avoid naming the affected supplier, Luxembourg magazine Paperjam reported the attack targeted software used in Huawei routers. Paperjam added that the country’s critical infrastructure regulator is currently asking any organisations using Huawei enterprise routers to contact the CSIRT.

Remote denial-of-service vulnerabilities have previously been identified in the VRP network operating system used in Huawei’s enterprise networking products, although none have recently been publicly identified. Huawei’s press office did not respond to a request for comment.

The Luxembourg government convened a special crisis cell within the High Commission for National Protection (HCPN) to handle the response to the incident and to investigate its causes and impacts, alongside the CSIRT and public prosecutor.

The CSIRT’s full forensic investigation is intended to confirm how the attack happened, while the public prosecutor will assess whether a crime has taken place and if a perpetrator can be identified and prosecuted.

The incident has also accelerated Luxembourg’s national resilience review, a process already underway before the attack. Authorities, concerned that a single point of failure had such a dramatic disruptive effect, are now reassessing the robustness of critical infrastructure, including fallback procedures for telecom and emergency services.

Luxembourg is also exploring regulatory changes to allow mobile phones to automatically switch to other operators’ networks during telecom outages, a practice already used in countries like the United Kingdom, Germany and the United States for emergency calls.

Dramatic revelations shed fresh light on investigation into whether Chinese tech firm tried to buy influence in EU politics.

Belgian security agents bugged a corporate box at the RSC Anderlecht football stadium that was being used by Chinese tech giant Huawei to schmooze members of the European Parliament.

They also listened into other conversations involving one of Huawei’s leading lobbyists, including in his car. The surveillance operations, confirmed by three people with close knowledge of the investigation, formed part of a wide-ranging probe into allegations of corruption that was first revealed in March. They contributed to the Belgian prosecutor’s decision, reported by POLITICO on Monday, to request that a group of MEPs have their immunities lifted so they can be investigated.

The extraordinary revelations are the latest chapter in a saga that combines concerns about the reach of China in European politics and how susceptible EU lawmakers are to bribery and shady lobbying practices, even after a string of similar scandals.

The five-member FCC said it has voted unanimously to adopt new rules that will block the importation or sale of certain technology products that pose security risks to U.S. critical infrastructure.

The White House is investigating the telecoms equipment maker over concerns sensitive data could be transmitted to China.

The Government of Canada announced its intention to ban the use of Huawei and ZTE telecommunications equipment and services across the country's 5G and 4G networks.

The Government of Canada has serious concerns about suppliers such as Huawei and ZTE who could be compelled to comply with extrajudicial directions from foreign governments in ways that would conflict with Canadian laws or would be detrimental to Canadian interests.