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EXCLUSIVE: Optus Snubs Federal ZTE Ban

Optus has chosen to ignore the Federal Government ban on ZTE and Huawei with the SingTel owned Company choosing to range ZTE smartphones which in the past has been found with malware that reports user activity back to Chinese based servers.

ChannelNews has been told that Optus is going to continue to sell the Chinese made smartphones which arch rival Telstra stopped selling earlier this year due to security concern.

Late last mon the Federal Government moved to ban ZTE from being involved in the building of the Australian 5G networks for both Optus and Vodaphone.

Telstra has replaced their ZTE models including several Telstra branded mobiles that were made by ZTE with models from Alcatel.

The ban was announced jointly by the departments of Home Affairs and Communications in a statement this morning.

In the USA ZTE handsets have been dropped by several carriers along with major retailers of smartphones after the US Government raised concerns over ZTE smartphones.

The US Department of Commerce banned American companies from selling components for seven years to Chinese telecom equipment maker which was blamed for breaking an agreement after it was caught illegally shipping goods to Iran.

American companies are estimated to provide 25 to 30 per cent of components used in its equipment, which includes smartphones and gear to build telecommunications networks.

Since that initial action the US Government has reached agreement with ZTE to resolve the issues however ZTE has to pay over $2Billion in penalties to the US government.

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