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 The government began performing independent tests on Xiaomi phones
after reports in recent months that some models automatically send
user data back to the firm's servers in mainland China, Gin-Shian
Lou, a director at Taiwan's National Communications Commission, said
on Wednesday.
The probe is a reminder of the scrutiny Chinese technology firms are
subject to abroad as governments become increasingly wary of
potential cyber security threats from the world's second-biggest
economy. China's government and companies are frequently accused of
cyber and industrial espionage.
The investigation also throws the spotlight on cross-strait
politics. China and Taiwan have been historical foes since defeated
Nationalists fled to the island after losing a civil war to China's
Communists in 1949. The government in Beijing still regards Taiwan
as a renegade province.
Privately owned Xiaomi has faced several allegations of security
leaks in recent months. In August, the company publicly apologized
and said it would change a default cloud feature after a Finnish
security company found proof that Xiaomi collected address book data
without permission.
"We wanted to ensure the situation was as they said, so we decided
to perform our own tests," Lou told reporters in Taipei, referring
to Xiaomi's assurances.
The test results should be made public soon, Lou said. It wasn't
immediately clear whether the investigation could lead to any ban
for Xiaomi's low-priced smartphones in Taiwan.
Xiaomi declined to comment.
The Chinese smartphone maker has also been accused in the Hong Kong
media of sending copies of user text-messages back to servers on the
mainland, a claim that the company has vigorously called false and
libelous.
Under the law in mainland China, firms storing data on China's soil
are to comply with any data requests from the government. Data
stored by Taiwanese users on the mainland could be vulnerable to
such requests. Some companies, notably Google Inc, have opted not to
situate servers in China.
Yahoo Inc came under criticism in 2005 after it handed to Chinese
authorities emails that led to the imprisonment of Shi Tao, a
journalist who obtained and leaked an internal censorship order the
government had sent Chinese media.
Apple Inc. said last month that it had begun to store users'
personal data on servers on the mainland, marking the first time the
tech giant has stored user data on Chinese soil.
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VIEWED WITH SUSPICION
Tensions between China and Taiwan have eased in recent years under
Taipei's China-friendly president Ma Ying-jeou. The two sides have
signed agreements on everything from finance to tourism.
But Taiwan still often views Chinese firms with suspicion while the
government in Beijing has not ruled out the use of force should the
self-ruled island formally declare independence.
Since August, Taiwan's police force has encouraged employees not to
use WeChat, the mobile messaging app developed by Chinese internet
giant Tencent Holdings Ltd.
Concerns are mounting that Taiwan is over-reliant on the mainland.
Critics of Beijing argue expanding economic ties allow China to
influence the island's fiercely democratic politics.
Taiwan's government also said in a statement on Tuesday that popular
Japanese instant messaging service Line, owned by South Korea's
Naver Corp, will be banned from use on government work-related
computers, also due to security concerns.
A Line spokeswoman based in Tokyo told Reuters that the company is
investigating the matter but would not provide more details.
Although the vast majority of Xiaomi's sales come from China, the
company has set up shop elsewhere in Asia, including Singapore,
Malaysia, Indonesia, the Philippines and India. It is also eyeing
expansion into countries like Thailand, Brazil and Mexico.
Hong Kong's public broadcaster quoted the head of the mainland's
Taiwan Affairs Office as expressing dismay over Taiwan's decision,
saying "one cannot stop the attractiveness of Xiaomi phones among
compatriots across the strait".
(Additional reporting by Paul Carsten and Gerry Shih in BEIJING,
Teppei Kasai in TOKYO and Yimou Lee in HONG KONG; Editing by Ryan
Woo)
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