October 9, 2007: China Purchase of American Cyber Security Firm Alarming Print

Alarms are sounding in Washington over the proposed sale of an American computer security technology firm to a Communist Chinese run company. Word of the pending sale has spread to Capitol Hill where I have joined with fellow lawmakers on the House Intelligence and Armed Services committees in urging the U.S. Treasury Department to begin the process to block the deal.

Last week it was announced that the American computer network technology company 3Com, which makes hardware used by the Pentagon to thwart hacker attacks, may be sold to a partnership consisting of a global investment firm (Bain Capital) and a Chinese owned company (Huawei Technologies). Given China's strong and well known interest in cyber warfare, this sale of technology defies common sense.

On the surface, the idea of turning over an American cyber security firm to China sounds at least as bizarre as the abandoned Administration plan to turn over U.S. seaport management to a Middle Eastern firm. Congressional and public outcry led to the scrapping of that deal last year. But the potential for harm to America is likely even greater in the case of the sale of 3Com.

The Pentagon's 2007 report on Military Power of the People's Republic of China points out China's determination to exploit information warfare capabilities. "The PLA (Chinese People's Liberation Army) has established information warfare units to develop viruses to attack enemy computer systems and networks, and tactics and measures to protect friendly computer systems and networks. In 2005, the PLA began to incorporate offensive computer network operations into its exercises, primarily in first strikes against enemy networks."

Apparently, the Chinese army is already putting their cyber warfare strategies into practice. In June, hackers penetrated a Pentagon computer network, shutting down the portion that serves the Secretary of Defense. It was believed the PLA was behind the attack. Germany, France and the United Kingdom have also reported Chinese attacks on government computer networks. Furthermore, two weeks ago it was announced that someone from China had conducted a number of cyber attacks on the U.S. Department of Homeland Security, transferring sensitive information to Chinese language web sites.

China is looking to exploit any means of technology to its advantage, while vigorously denying its motives or even its involvement. In January, China launched a medium range ballistic missile into space, destroying one of its own satellites 500 miles above the earth. This was a test of China's capability of destroying satellites in orbit, although China denied charges it was testing a space weapon system. Meanwhile, China also continues to deny it is behind the recent cyber attacks.

Last week, I signed a congressional letter to the Secretary of the Treasury calling on him to block Bain Capital and Communist China's Huawei Technologies' acquisition of the 3Com Corporation. China must not gain control over the very same technology that is used to protect our nation's computer networks. America must remain vigilant to China's continued attempts to bolster its military capabilities at our expense.