When discussing the hypothetical situation of a Chinese telecommunications company seeking to acquire a US communications company with telecom wires throughout the US and significant information and access to resources important to national security, a number of factors need to be considered. In order to allow the acquisition to take place, the Department of Homeland Security would need to take on a number of tasks, including securing any classified or sensitive information and preventing the Chinese government from being able to access it.
As a nonstate actor, it is difficult to regulate the behavior and access of a US communications company such as this, and this makes it even more difficult to regulate the kind of information the Chinese company in question could access. However, given that they are given government and military clearance to do things like use military frequencies, and offer access to substantial numbers of cable, Internet, and phone service to Americans across the nation, it is the government’s duty to step in and ensure that the safety of that information is maintained despite the change in ownership.
Currently, the US enjoys a “positive, constructive, and comprehensive relationship” with China that, while not completely amiable, is at least friendly and productive in terms of commerce and diplomacy (National Security Strategy, 2010). However, China’s military modernization program is closely monitored by the United States government, and it is never a good idea to allow countries with substantial economies and increasingly powerful militaries access to sensitive material like this. While the Chinese company in question is nebulous with its affiliation to the Chinese government itself, it is necessary to prevent any likelihood of the Chinese government and military accessing this kind of sensitive information.
The risks of allowing this acquisition are potentially great. As mentioned, this company has access to copious amounts of military and telecommunications information, which can be used to spy on American military operations and the private communications information of millions of Americans. Two of the Department of Homeland Security’s major goals are to “create a safe, secure, and resilient cyber environment” and “promote cybersecurity knowledge and innovation,” leaving it up to the DHS to analyze the potential threat that this Chinese company may present to giving that information over to Chinese governmental forces to potentially be used against us in some capacity (Whittaker et al. 2011, p. 61). However, the benefits are also potentially high for this acquisition, as it would help to secure more economic ties with China, thus making them more dependent on our success and building up cooperation that would keep us moving forward in a positive direction.
The US intelligence and covert action needed to assure the safety of homeland security would be intense. Investigations would have to take place regarding the ways in which this Chinese company is affiliated and connected with the Chinese military or government, if at all, and to what extent. Covert action would also have to be undertaken to verify the security measures of the US communications company, and to see whether or not it would be possible to keep the security of this information in American hands. If not, steps would have to be taken to prevent the acquisition, as the sensitivity of American phone and telecom records are simply too high to allow in the hands of potentially contentious governments such as the Chinese. Despite the global nature of the marketplace, the security implications of a Chinese company getting access to US military frequencies and telecom records requires a great deal of intelligence activity and investigation to ensure the safety of that information.
References
Whittaker, A. G., Brown, S. A., Smith, F. C., and McKune, A. E. (2011, August 15). The
National Security Policy Process 2011. Retrieved from http://www.virginia.edu/cnsl/pdf/national-security-policy-process-2011.pdf
National Security Strategy (and Archive). (2010, May). Retrieved from
http://www.whitehouse.gov/sites/default/files/rss_viewer/national_security_strategy.pdf