Exclusive: China plans $500 million subsea internet cable to rival U.S.-backed project

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Exclusive: China plans $500 million subsea internet cable to rival U.S.-backed project
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Rival US-and Chinese-backed cables between Asia and Europe means countries eventually could be forced to choose between using Chinese-approved internet equipment or US-backed networks, entrenching divisions across the world, a defense researcher says

The plan is a sign that an intensifying tech war between Beijing and Washington risks tearing the fabric of the internet.

They said HMN Tech, which is majority-owned by Shanghai-listed Hengtong Optic-Electric Co Ltd, would receive subsidies from the Chinese state to build the cable. The China-led EMA project is intended to directly rival another cable currently being constructed by U.S. firm SubCom LLC, called SeaMeWe-6 , which will also connect Singapore to France, via Pakistan, Saudi Arabia, Egypt, and half a dozen other countries along the route.

The Chinese carriers this year signed separate memoranda of understanding with four telecoms, the people said: France’s Orange SA, Pakistan Telecommunication Company Ltd , Telecom Egypt and Zain Saudi Arabia, a unit of the Kuwaiti firm Mobile Telecommunications Company K.S.C.P. A State Department spokesperson said the U.S. supports a free, open and secure internet. Countries should prioritize security and privacy by “fully excluding untrustworthy vendors” from wireless networks, terrestrial and undersea cables, satellites, cloud services and data centers, the spokesperson said, without mentioning HMN Tech or China.

The construction of parallel U.S.- and Chinese-backed cables between Asia and Europe is unprecedented, the four people involved in the project said. It is an early sign that global internet infrastructure, including cables, data centers and mobile phone networks, could become divided over the next decade, two security analysts told Reuters.

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