US prosecutors brand Huawei a criminal enterprise in landmark Brooklyn trial
U.S. prosecutors have opened a criminal trial in Brooklyn accusing Huawei of decades-long theft, fraud and sanctions breaches, while the company denies wrongdoing.
A federal jury in Brooklyn started hearing a criminal case against Huawei on September 9, with U.S. prosecutors describing the Chinese telecom giant as a “criminal enterprise” that spent twenty years pilfering technology, deceiving banks and evading Iran sanctions. Charges include racketeering, money-laundering, wire fraud, sanctions violations and conspiracy to steal trade secrets from five American firms, with alleged misconduct spanning from about 1999 to 2020.
Specific accusations involve stealing Cisco’s router source code, appropriating a T-Mobile testing robot, and hiding Iranian operations to move U.S. dollars despite sanctions, as well as providing equipment used to monitor 2009 protests. Huawei’s lawyer, Brian Heberlig, told jurors the case reflects normal competitive practices and individual employee misconduct, not a coordinated scheme. The company also claims the prosecution aims to undermine its market position. Beijing’s foreign ministry has condemned the “suppression” of Chinese enterprises, and the trial occurs just before Xi Jinping’s September 23-25 visit to Washington, where trade, AI and critical-technology access will be discussed.
Why it matters
The verdict could alter the trajectory of U.S.-China technology rivalry and impact Huawei’s global operations.
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