China's Huawei pledges $2 billion to allay British security fears: sources

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© Reuters. A woman walks by a Huawei logo at a shopping mall in Shanghai© Reuters. A woman walks by a Huawei logo at a shopping mall in Shanghai

LONDON (Reuters) – China’s Huawei [HWT.UL] has promised to address security issues raised in a British government report earlier this year, two sources with knowledge of the matter said on Friday.

The report, signed off by Britain’s GCHQ spy agency and released in July, found that technical and supply-chain issues with equipment made by Huawei had exposed Britain’s telecom networks to new security risks.

One source said the company had committed to spending $2 billion as part of efforts to address the issues.

The second source said the plan had been discussed by senior Huawei officials in China, but the decision was made before the company’s CFO was arrested in Canada on Dec. 1.

Huawei did not immediately respond to a request for comment.

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