<![CDATA[Mahathir's Malaysia supports Huawei, but should be more worried about network control than spying: expert]>

Malaysia's support of Huawei overlooks security concerns even larger than the international worries over spying risks related to the embattled Chinese telecommunications giant's roll-out of its 5G network, observers say.

"It's not about data, it's about control," said European Centre for International Political Economy director Hosuk Lee-Makiyama, providing the example of a business.

"If you run a factory and are bidding against a competitor who knows your prices, they can underbid you. That is data. But if they know the settings for your machines, what you produce, how you do it " then they can shut it down," he said on the sidelines of the 33rd Asia-Pacific Roundtable, a regional conference hosted by Malaysia's Institute of Strategic and International Studies.

Similarly, while most security concerns are centred on a device or service, users do not place as much emphasis on the network.

"When we talk about 5G, let's be blunt, we are talking about Huawei," Lee-Makiyama said. "You need a different level of trust when it comes to the network. It's not operators who can access the data, [it's] the vendors of network equipment that run this network for the operators."

With the advent of 5G, billions of new devices will become internet-connected, including the likes of showers or appliances that are not sophisticated enough to have cyber defences. The internet of things " the extension of internet connectivity to physical objects " will allow for everyday devices to be remotely monitored and controlled.

"These sorts of devices are basically unprotected, which is why you need to keep the network safe, because you want to keep the devices safe. Some are harmless " if the network knows what temperature a household uses for its showers, that's fine " but who would want someone else potentially having control over their house?" he said.

Advanced persistent threats " attacks that hinge on unauthorised and undetected access to a network " often target sectors such as manufacturers of parts for aeroplanes or cars, Lee-Makiyama added.

Huawei, caught in the crossfire of the trade war between the United States and China, has been facing intense scrutiny from a host of governments, including the Five Eyes intelligence alliance comprising Australia, Canada, Britain, the US and New Zealand.

Huawei's chief financial officer Meng Wanzhou was arrested in Canada last December. Photo: AP alt=Huawei's chief financial officer Meng Wanzhou was arrested in Canada last December. Photo: AP

Last December, Canadian authorities arrested Huawei's chief financial officer Meng Wanzhou at the request of the US as part of an investigation into trade sanction violations. A month later, Poland arrested a Chinese employee of Huawei as well as a former Polish security official on spying charges.

The US government has applied particular pressure on Huawei, banning federal agencies from using its equipment over security concerns " a ban the company has challenged with a lawsuit.

In January, a number of American universities distanced themselves from the firm after US President Donald Trump signed a law banning recipients of state funds from using equipment, services or components from a host of Chinese companies, including Huawei and ZTE.

The Trump administration has alleged that Huawei's upcoming 5G networks could be used by Chinese intelligence for spying, with concerns stemming from Beijing's 2017 National Intelligence Law, which states that Chinese organisations and citizens must "support, cooperate with and collaborate in national intelligence work" " creating a risk that Lee-Makiyama said "cannot be solved diplomatically".

Huawei promises the fastest and most advanced 5G networks in the world, delivered at fraction of a cost its Western competitors. Photo: Reuters alt=Huawei promises the fastest and most advanced 5G networks in the world, delivered at fraction of a cost its Western competitors. Photo: Reuters

Bucking the trend, however, was Malaysian Prime Minister Mahathir Mohamad, who forcefully defended Huawei during a trip to Tokyo in May, suggesting that Western nations bent on shutting it down were being hypocritical in their concerns over the company's ties to Chinese cyber espionage.

In the strongest remarks from an Asian leader in defence of the firm, the premier said Huawei "can spy as much as they like because we have no secrets".

"I am quite sure for a long time, the CIA have been reporting on everything that is done in Malaysia and China. We did not carry out a boycott of America because of that," Mahathir said at a dialogue session at the Tokyo Foreign Correspondents' Club.

Despite US pressure, Southeast Asian nations are less concerned about the risk associated with Huawei technology " not for geopolitical reasons, but due to its technological prowess. Huawei promises the fastest and most advanced 5G networks in the world, delivered at fraction of a cost its Western competitors.

The Malaysian government previously announced its enthusiasm to adopt 5G technology, although it has said it will carry out its own security checks. The use of the new cellular network technology is hotly anticipated in Malaysia, said communications and multimedia regulator Nur Sulyna Abdullah during a panel on technological rivalry and national security at the round table.

"Everyone wants to know what the potential for 5G is in this country " how are we going to use it? To ease traffic, for agriculture, health services," she said, adding that domestic networks would find trade bans difficult because of supply-chain interruptions.

"Right now, everyone wants huge data packages at low prices."

This article originally appeared on the South China Morning Post (SCMP).

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