Beijing to bar Symantec, Kaspersky anti-virus in procurement-report

China Smarter Energy group

03/08/2014 21:30

By Jim Finkle 
    BOSTON, Aug 3 (Reuters) - China has excluded U.S.-based 
Symantec Corp  SYMC.O  and Russia's Kaspersky Lab from a list of 
approved anti-virus software vendors, according to a Chinese 
media report suggesting Beijing is expanding efforts to limit 
use of foreign technology. 
    The state-controlled People's Daily reported the news early 
Sunday on its English Twitter feed, saying that the government's 
procurement agency "has excluded Symantec & Kaspersky" from a 
list of security software suppliers. 
    A second tweet said that government procurement office had 
approved the use five anti-virus software brands, all from 
China: Qihoo 360 Technology Co  QIHU.N , Venustech, CAJinchen, 
Beijing Jiangmin and Rising. 
    Officials with Symantec could not be reached for comment.  
    Kaspersky spokesman Alejandro Arango said: "We are 
investigating and engaging in conversations with Chinese 
authorities about this matter. It is too premature to go into 
any additional details at this time."  
    The report comes after Beijing late last week updated a 
public website that lists technology vendors whose goods are 
approved use for use by the nation's massive central government. 
It was not immediately clear if agencies were being advised to 
avoid other non-Chinese products. 
    The report is the latest sign that Beijing is intent on 
promoting use of domestic information technology products after 
leaks from former National Security Agency contractor Edward 
Snowden raised concerns about foreign surveillance programs. 
Tensions between Washington and Beijing have also risen this 
year after the United States indicted Chinese soldiers on cyber 
espionage charges. 
    Symantec last month said it was in talks with authorities 
following reports that China had banned use of one of its 
products, data loss prevention software. At the time a Symantec 
spokeswoman said that there was no indication of a ban on the 
company's flagship anti-virus software programs. 
    The company does not break out sales in China. Revenue in 
its Asia Pacific region dropped 10 percent to $1.2 billion in 
its most-recent fiscal year, which ended in March. 
    Other U.S. firms including Cisco Systems Inc  CSCO.O , 
International Business Machines Corp  IBM.N  and Microsoft Corp 
 MSFT.O  have encountered challenges in China since Snowden 
began leaking documents about U.S. surveillance programs last 
year.  
    Chinese media reported in May that authorities had banned 
government use of Windows 8, the current version of Microsoft 
Corp's operating system for personal computers.  ID:nL3N0O645Z  
    The official Xinhua news agency said the ban was to ensure 
computer security after Microsoft ended support for its Windows 
XP operating system, which was widely used in China. 
 
 (Reporting by Jim Finkle; Additional reporting by Gerry Shih 
and Emily Kaiser; Editing by Eric Walsh) 
 ((jim.finkle@thomsonreuters.com)(+1 617 856-4344)) 
 
Keywords: CHINA SOFTWARE/BAN