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Huawei's UK investment to help secure talent, provide political cover in the U.S

Michael Kan | Sept. 12, 2012
Huawei's plan to spend US$2 billion in the U.K. is expected to help the Chinese firm secure additional talent, and could even improve its political standing in the U.S., where company representatives are slated to appear before an upcoming congressional hearing, according to analysts.

Matt Walker, an analyst with research firm Ovum, noted that Huawei has been successful for many years selling telecommunication gear in the U.K., which has close political ties with the U.S.

"Being able to point to widespread adoption in the U.K, should, in theory, help Huawei in its efforts to persuade American politicians and (telecommunication) carriers to give it a chance," he said in an email.

"Whether the timing is coincidental or not, it could help during the upcoming hearings," he added. "Having this U.K. news out there gives Huawei supporters some political cover during the hearings."

 

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