Tech

The FBI reportedly raided a Huawei lab and set up a sting at CES as part of a previously unrevealed investigation

Key Points
  • Last week the U.S. Department of Justice charged Huawei and its chief financial officer, Meng Wanzhou.
  • The newly reported third investigation similarly deals with trade secrets, but carries the added weight of federal regulations around technologies with the potential for use in defense.
  • The report sheds light on how far Huawei is willing to go for a competitive edge, and on the extent of FBI fact-finding operations involved in these investigations.  
Visitors pass in front of Huawei's display at the Mobile World Congress in Barcelona.
Lluis Gene | AFP | Getty Images

The FBI raided a Huawei lab in San Diego and set up a sting operation at CES in Las Vegas in January as part of a third investigation into the smartphone maker, according to a new report by Bloomberg Businessweek.

Last week, the U.S. Department of Justice charged Huawei and its chief financial officer, Meng Wanzhou, with an alleged violation of sanctions against Iran. It also charged Huawei for allegedly stealing trade secrets from T-Mobile. The newly reported third investigation similarly deals with trade secrets, but carries the added weight of federal regulations around technologies with the potential for use in defense.

It also sheds light on how far Huawei is willing to go for a competitive edge, and on the extent of FBI fact-finding operations involved in these investigations.

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The Businessweek report says executives for an electronics component company, Akhan Semiconductor, aided an FBI investigation into whether Huawei attempted to steal Akhan's smartphone glass technology that it says is resistant to scratches and is practically unbreakable. The Akahn glass, called Miraj, features a layer of artificial diamond that could also hold implications for defense technology.

The executives were briefed on the lab raid, which took place last week, and wore wires to a meeting with Huawei executives during the annual CES convention last month, according to the Businessweek report. A Businessweek reporter witnessed the sting in a hamburger restaurant in a Las Vegas casino.

"Akhan takes seriously any unlawful use of its technology. The theft of any Akhan assets, attempted or successful, will be not be tolerated. Akhan will continue to cooperate with law enforcement and work towards an expedient resolution to this matter," the company said in a press release Monday. 

The FBI declined to comment to CNBC. Representatives for Huawei did not immediately return request for comment.

Read the full report at Bloomberg Businessweek.

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