China’s ZTE Scales Back In Iran Over $130 Million Monitoring Accusations

Posted on Mar 29 2012 - 9:29am by Editorial Staff

With the plans to scale business offering in Iran, Chinese mobile maker ZTE faces accusation that the company was providing the country with the means to monitors its citizens, leading to the company’s decision to pull back on its Iran business. Reuters last week reported that ZTE sold Iran and Internet and telephone surveillance system back in 2010 as a part of $130 million deal.

The technology allows authorities to track users, reconstruct emails, block content, and even alter Web pages. Tor Project executive director, Andrew Lewman told Reuters, The system uses “deep packet inspection,” a monitoring method which Iran has been using since 2010. Avoiding the allegations about what kind of equipment it has sold, ZTE released an official statement:

ZTE has provided standard communications and network solutions to Iran on a small scale. However, due to local issues in Iran and its complicated relationship with the international community, ZTE has restricted its business practices in the country since 2011. ZTE no longer seeks new customers in Iran and limits business activities with existing customers.

ZTE has strict internal audit and compliance policies in place. The Company has a dedicated import and export control committee chaired by a senior executive. It also provides internal and external import and export compliance training to its employees.

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