Sprint and SoftBank cancel Huawei contract after spying accusations

In yet another bout of anxiety about the rise of new technology companies from outside the United States, the country has put a major China-based multinational under watch as it alleges its equipment is capable of spying on Americans. This round of accusations has cost the company a major contract as SoftBank and Sprint have revoked their decision to buy equipment from Huawei.

“I have met with Softbank and Sprint regarding this merger and was assured they would not integrate Huawei in to the Sprint network and would take mitigation efforts to replace Huawei equipment in the Clearwire network,” a representative told the media.

Huawei has said it was a sad day for global trade. It said the move doesn’t up the security of the American citizens.

T-Mobile and several other major companies in the United States already use Huawei’s equipment.