05.08.10 11:28 Age: 14 yrs

The U.S. Authorities Differ on the Merge of Huawei

Several U.S. institutions in charge of censorship of sensitive merges are under the discussion of attitudes towards Huawei’s merges. The authorities hold different viewpoints on this issue.

Last week, Huawei failed in the offering of purchase of 2Wire, a network software corporation. It is ultimately purchased by Pace, with a slight edge. On the other hand, the purchase of Motorola’s wireless infrastructure department also ended in being defeated by Nokia Siemens Networks. In both cases, the offerings are influenced by the final result of the censorship by Committee on Foreign Investment (CFI), and therefore Huawei had to offer proposals with higher prices.

On the issue of Huawei’s approach to the U.S. market, the U.S. authorities were split into two camps. One side insists that CFI approve a merge or purchase to enables the authorities to open negotiations on Mitigation Agreement, which includes strict security provisions. The opponents, however, strongly object to the approach of Huawei.

“The divergence on merges of Huawei shows the worry and uncertainty of the U.S. authorities towards Chinese corporations,” said Scott Garner, Manager of Lehman, Lee & Xu Shanghai Office. He further remarked, “Uncertainties may have negative effects on the pace of other Chinese corporations, until the divergence is settled.”

Lehman, Lee & Xu is a prominent Chinese corporate law firm and trademark and patent agency with offices in Beijing, Shanghai, Shenzhen, Hong Kong, Macau, and Mongolia. The firm has also been recognized as one of the top full service as well as intellectual property firms in China by several international magazines. The law firm is managed by Mr. Edward Lehman, a leading expert on corporate law with 20 years of practice experience in Mainland China.

To learn more about us, please visit our website at www.lehmanlaw.com.