"Security Threat" China CSAC Urges Intel Security Investigation
"Concerns Over Authorities' Investigation"... Escalation of US-China Conflict
The China Cybersecurity Association (CSAC) has called for a security investigation into Intel products, Bloomberg News reported on the 16th (local time).
Through a post on the messenger WeChat (微信), CSAC criticized Intel chips, including Xeon processors used for artificial intelligence (AI) tasks, for having multiple vulnerabilities in product quality and security, stating that they "pose a significant security threat to critical information infrastructure worldwide, including China." In particular, they claimed that the operating system embedded in all Intel processors is vulnerable to backdoors created by the U.S. National Security Agency (NSA).
They added, "To effectively protect national security and the legitimate rights of Chinese consumers, Intel must begin a cybersecurity review of the products it sells in China."
Although CSAC is an industry organization rather than a government agency, it is regarded as having close ties with authorities. It counts major IT companies such as Alibaba, Tencent, Baidu, and Huawei, as well as experts, among its members. Foreign media believe that CSAC's call could trigger a security inspection by the China Internet Information Office (CAC). When Chinese authorities launched anti-dumping investigations, related industry organizations also demanded investigations.
Foreign media foresee that if authorities initiate security inspections following CSAC's statement, the U.S.-China conflict over advanced technology could intensify. Last year, CAC banned major Chinese infrastructure operators from purchasing products from the U.S. semiconductor manufacturer Micron Technology, citing failure in network security reviews. Chinese government agencies have also pressured employees to use domestic products instead of Apple iPhones or foreign-brand computers.
Furthermore, it is analyzed that if a security review takes place while Intel is experiencing management difficulties, it could negatively impact its performance. More than a quarter of Intel's sales last year came from China.
Dan Coatsworth, an investment analyst at AJ Bell, stated, "The relationship between the U.S. and China is fragile, and the more talk there is about trade restrictions and tariffs, the greater the likelihood of retaliatory responses."
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Intel stated, "Security has long been a top priority," and "We are making great efforts to protect our customers."
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