Global telecoms equipment companies are angry at “draconian” Indian security rules that will require them to submit their equipment, and closely-guarded network source codes, to third-party inspection.
New Delhi unveiled the sweeping new rules last week to address security agencies’ concerns that Chinese telecoms equipment suppliers such as Huawei and ZTE could use networks built for Indian telecoms operators to intercept sensitive government conversations and documents.
India’s moves are being watched by regulators and industry experts around the world, as several governments fear the import of foreign gear could open the door to spying but worry that blocking certain suppliers on security grounds would trigger criticism they violate free trade rules.