Thursday, March 28, 2013

U.S. law eyes government purchases of Chinese IT equipment





The U.S. government has decided that its agencies cannot buy IT equipment from overseas sources -- specifically China -- without approval by federal law enforcement.




The provision was tucked into a funding law signed this week by President Obama. The law requires that all federal agencies looking to buy IT equipment from companies overseas must undertake a formal "cyberespionage or sabotage" risk analysis with federal law enforcement. Once law-enforcement officials sign off, the purchase can be made.




The provision underscores the increasing concern the U.S. seems to be having with China. The assessment, in fact, must include "any risk associated with such system being produced, manufactured, or assembled by one or more entities that are owned, directed, or subsidized," by China, according to Reuters, which earlier reported on the law.




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