Key Kentucky Departments Are at Risk Due to Continued Spending on Restricted Chinese Tech

Kentucky continues to spend taxpayer dollars on restricted Chinese technology from Lenovo Inc. and Lexmark Inc. Following original research released in 2023, China Tech Threat’s (CTT) updated report found that in 2024 Kentucky bought an additional $920,340 worth of restricted technology from the two companies, on top of the $1,805,465 it spent in previous years. The updated data shows that the state has now brought its total spending on restricted technology from Lenovo, Inc. and Lexmark, Inc. between 2015 and 2024 to a total of $8,488,286. Chinese government-owned technology manufacturers Lenovo and Lexmark have been restricted from U.S. military and intelligence agencies due to their connection to the Chinese government and military. CTT’s research relevels that the State Police Department,… Read More

CTT and FAI Jointly Submit Comments to the FCC on National Security

China Tech Threat (CTT) and the Foundation for American Innovation (FAI) submitted joint reply comments to the Federal Communications Commission (FCC) on Safeguarding and Securing the Open Internet. The proceeding attempts to classify broadband under Title II of the 1934 Communications Act, offering the Commission a set of tools to regulate internet prices and traffic under statues defined for Ma Bell.    CTT and FAI appreciate and agree with the FCC that national security and public safety are worthy public policy goals. The FCC has implemented 72 critical actions to promote national security and public safety since 2017. These items, mostly presented by the FCC’s Public Safety & Homeland Security Bureau, address critical issues like equipment safety and integrity, supply chain… Read More

Statement by China Tech Threat on Recent News Story

A news story posted which reflects China Tech Threat (CTT)’s success highlighting the danger of using technology manufactured by Chinese-owned companies.   During the course of our discussion with this publication, we repeatedly asserted that since its origin in 2019, CTT has never published anything that was factually incorrect. Likewise, the outlet was unable to identify any inaccuracies or sources which contradicted CTT’s research.   We are proud of our work and commend the many organizations, experts, and policymakers that create transparency about the risk of using technology owned and affiliated with the Chinese government.    .kb-row-layout-id9927_e6b475-ed .kt-row-column-wrap{align-content:start;}:where(.kb-row-layout-id9927_e6b475-ed .kt-row-column-wrap) .wp-block-kadence-column{justify-content:start;}.kb-row-layout-id9927_e6b475-ed .kt-row-column-wrap{column-gap:var(--global-kb-gap-md, 2rem);row-gap:var(--global-kb-gap-md, 2rem);padding-top:var(--global-kb-spacing-sm, 1.5rem);padding-bottom:var(--global-kb-spacing-sm, 1.5rem);grid-template-columns:minmax(0, 1fr);}.kb-row-layout-id9927_e6b475-ed{background-color:#f3f3f3;}.kb-row-layout-id9927_e6b475-ed .kt-row-layout-overlay{opacity:0.30;}@media all and (max-width: 1024px){.kb-row-layout-id9927_e6b475-ed .kt-row-column-wrap{grid-template-columns:minmax(0, 1fr);}}@media all and (max-width: 767px){.kb-row-layout-id9927_e6b475-ed .kt-row-column-wrap{grid-template-columns:minmax(0, 1fr);}} .kadence-column9927_58cc13-40… Read More

The Greatest Trojan Horse in History

In the past year, public controversy over TikTok has died down somewhat. That doesn’t make it any less dangerous. The end of 2022 saw a deluge of reporting that should lead state and federal officials to conclude that TikTok, the app owned by Chinese company ByteDance, is the greatest Trojan Horse in history and should be banned.   In brief, under Chinese law, any Chinese-owned company is bound to do what the Chinese Communist Party (CCP) commands in the name of national security. It doesn’t matter where a company’s data is stored—under Chinese law, the Party is entitled to it. That presents enormous potential for the CCP to weaponize TikTok—the most downloaded app in the world—against the U.S. and its… Read More

As Biden and Xi Meet, Chinese Tech Threats Continue to Grow

President Biden and Chinese President Xi Jinping will meet in San Francisco today. In the lead-up to the meeting, Treasury Secretary Janet Yellen said that the U.S. seeks “a pragmatic economic strategy: one that protects our vital national security interests while seeking a stable and healthy economic relationship.” It sounds wonderful. But the most pragmatic strategy is one that recognizes the extent to which China is threatening the U.S. through technology. If left unchecked, multiple ongoing Chinese efforts in the tech arena will continue to damage both American national security and prosperity. Begin with semiconductors. China has responded to the U.S. restrictions imposed on advanced chips (14nm and lower in node size) in October 2022 by subsidizing the production of… Read More

Lam Research’s China Revenues Show that U.S. Export Controls Aren’t Working; Blanket Policy Denials Are Needed

By Steve Coonen A top U.S. semiconductor manufacturing equipment manufacturer, Lam Research, released its most recent quarterly results last week, and the numbers clearly indicate that U.S. export controls are not working. As Nikkei Asia reports: Despite the semiconductor-related export curbs first announced in October 2022 that barred American companies from shipping advanced chip equipment to China without a license, the country remains Lam’s largest revenue contributor, contributing 48% of the total in the three-month period, up from 30% a year ago and 26% in the previous quarter. That’s right, Lam’s China revenues are rising as a percentage of company revenue, not falling. Lam’s leadership doesn’t foresee its China business dropping off, either. Referring to new export controls released last… Read More

DOD-Restricted Chinese-Owned Tech Sold on U.S. Navy Bases + 4 Recommendations

While the House Select Committee on the Chinese Communist Party is investigating how Chinese nationals have gained access to U.S. military installations, China Tech Threat is releasing our own policy memo on an equally concerning issue: How companies substantially owned by Chinese entities have effectively deployed their products inside the Department of Defense. Over the last decade China has become the United States’ top adversary, increasing their attempted espionage and surveillance against the U.S. government. Despite the known risks presented by Chinese technology companies, state and federal government agencies have continued to have relationships with Chinese owned and operated companies such as Lenovo, Lexmark, Hikvision, and DJI. As a recent example, the U.S. Navy continues to maintain a relationship with… Read More

How BIS Has Accommodated Corporations at The Expense of National Security

By Steve Coonen Recently I was asked, “On a scale of A to F, how would you grade BIS’s performance over the past 5 years?” My response: “If one removes ‘security’ (the S from BIS), then BIS fully merits an A+.” That’s not a compliment. For years BIS has accommodated corporations and industry groups at the expense of American national security. For starters, the Commerce Department’s core mission of advancing U.S. economic interests has prevented an appropriately rigorous approach to export controls. The Department of Commerce’s self-described mission is to “to create the conditions for economic growth and opportunity for all communities.” Consequently, BIS’s goal of denying the export of U.S. technology which can be used for military purposes is… Read More

CTT-CPA “Ca$h Over Country” Report Exposes How Three U.S. Toolmakers Are Boosting Dangerous Chinese Legacy Chipmakers

A new report co-authored by Coalition for a Prosperous America Chief Economist Jeff Ferry and CTT co-founder Roslyn Layton reveals how American semiconductor equipment manufacturing companies are earning billions from Chinese legacy chip manufacturers. That bad choice is undermining American national and economic security: American semiconductor equipment manufacturers (SEMs) have succeeded in lobbying the U.S. government to permit them to sell some of the world’s most complex technology to Chinese government-aligned firms making legacy chips. As can be documented from public data, American SEMs Applied Materials, KLA, and Lam Research have grown their combined revenues from China by 103% between 2018 and 2022. .kb-image_8d3de2-89 .kb-image-has-overlay:after{opacity:0.3;} The Department of Commerce’s mission is to foster economic growth, and also to prevent adversaries… Read More

National Security is Economic Security

Last week, the White House released the much anticipated Executive Order on outbound investment. As Politico notably reported in a preview story, President Biden’s action will require “U.S. firms to notify the federal government if they invest in some lower-end semiconductor production not already covered by export controls.” This is a step in the right direction and comes as the Administration is starting to wake up to the threat of a China-dominated legacy chip market. But more needs to be done. .kb-image9510_bbe45b-0f.kb-image-is-ratio-size, .kb-image9510_bbe45b-0f .kb-image-is-ratio-size{max-width:372px;width:100%;}.wp-block-kadence-column .kt-inside-inner-col .kb-image9510_bbe45b-0f.kb-image-is-ratio-size, .wp-block-kadence-column .kt-inside-inner-col .kb-image9510_bbe45b-0f .kb-image-is-ratio-size{align-self:unset;}.kb-image9510_bbe45b-0f figure{max-width:372px;}.kb-image9510_bbe45b-0f .image-is-svg, .kb-image9510_bbe45b-0f .image-is-svg img{width:100%;}.kb-image9510_bbe45b-0f .kb-image-has-overlay:after{opacity:0.3;} Financial Times columnist Rana Foroohar reacted to the Executive Order in a piece aptly titled, “The US now accepts national and economic security can’t… Read More