It’s not just TikTok that’s getting all the attention. The US Department of Commerce and the FBI are investigating Baicells Technologies. This is a Chinese telecom equipment company founded by former Huawei executives. the reason? You guessed it: potential risks to national security!

Founded in 2014 and operating in the United States since 2015, Baicells supplies communications equipment such as routers and base stations used for 700 commercial mobile networks across every US state, Reads the Reuters report. Is the FBI indicating that we are talking about espionage or cyberattacks here?

The Commerce Department has issued subpoenas to Baicells, while the FBI has expressed concerns about its Chinese origins since at least 2019. The Pentagon recently added Baicells to a list of companies allegedly linked to the Chinese military, a designation the company disputes and plans to appeal.

While US officials have not uncovered specific evidence of misuse, vulnerabilities in Baycells’ equipment have raised alarms, the report continues. The Cybersecurity and Infrastructure Security Agency (CISA) has issued several warnings about security flaws in Baicells base stations, warning of risks such as remote hijacking.

Federal agents have contacted Baycells customers, including the city of Las Vegas, urging them to reconsider using the company’s products. In 2023, Las Vegas canceled a contract to expand Baycells’ base stations after FBI officials raised security concerns. Similar warnings were issued in 2019 to a wireless services provider in Virginia near a Navy weapons testing facility. Baicells denied any security risks associated with its products and stated that it was fully cooperating with US investigations. The company claims to have severed ties with its Chinese parent company since 2019, and maintains that its equipment is now made in Taiwan. However, customs data shows that most of its shipments to the US come from China or Hong Kong. Critics argue that Bacelles’ close ties with its Chinese leadership raise questions about its independence.