The US trial of Chinese technology giant Huawei opened in Brooklyn on Wednesday, with prosecutors accusing the company of stealing American technology, concealing its business dealings in Iran and abusing the US financial system to expand its global operations.
The case, which began in 2018 over allegations that Huawei misled financial institutions about its business in Iran and violated US sanctions, has since expanded to include accusations of trade secret theft, racketeering and other offences.
In his opening statement, US Justice Department attorney Taylor Stout described Huawei as a “criminal enterprise” that allegedly used theft, deception and concealment to strengthen its position in the global telecommunications industry.
Prosecutors told jurors that Huawei conspired to steal trade secrets from five US companies, including source code for internet routers from Cisco Systems and a robotic arm used by T-Mobile to test mobile phones.
Stout said the court would hear evidence of Huawei employees allegedly taking American technology, including video footage of an employee stealing the T-Mobile robotic arm.
Huawei’s defence team rejected the allegations, arguing that prosecutors were portraying ordinary business activities and isolated actions by individual employees as part of a wider criminal conspiracy.
Defence lawyer Brian Heberlig told jurors that the case was about competition and innovation rather than criminal conduct, accusing the government of “cherry-picking” incidents involving individual employees.
He said Huawei had taken action when it discovered misconduct, including firing an employee who allegedly took unauthorised photographs of a Fujitsu networking device at a trade show.
Prosecutors also accused Huawei of concealing the nature of its operations in Iran to move US dollars through the financial system and allegedly assist Iranian authorities with surveillance of citizens.
See also: Huawei Faces US Trial Over Iran Dealings, Trade Secrets
The defence disputed the claims, arguing that there was no evidence Huawei knew its dollar transactions violated US sanctions and that banks involved in the case were aware of the company’s Iranian business.
The trial stems from the original 2018 indictment against Huawei and its Chief Financial Officer Meng Wanzhou, who was detained in Canada that year while facing a US extradition request.
Meng spent nearly three years fighting extradition before returning to China in 2021 under a diplomatic agreement involving the US, China and Canada. The charges against her were later dismissed under a deferred prosecution agreement, but statements she made are expected to be presented as evidence in the current trial.
The trial is expected to last about three months.
Huawei has pleaded not guilty and has previously denied wrongdoing in the case.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
