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National-security concerns threaten undersea cable to China -WSJ

Credit: REUTERS/Hannah Mckay

U.S. officials are seeking to block an undersea cable between Los Angeles and Hong Kong that is being backed by Alphabet Inc's Google, Facebook Inc and a Chinese partner on national-security grounds, the Wall Street Journal reported on Wednesday.

Aug 28 (Reuters) - U.S. officials are seeking to block an undersea cable between Los Angeles and Hong Kong that is being backed by Alphabet Inc's Google GOOGL.O, Facebook Inc FB.O and a Chinese partner on national-security grounds, the Wall Street Journal reported on Wednesday.

The Justice Department has signaled staunch opposition to the project because of concerns over its Chinese investor, Dr. Peng Telecom & Media Group Co, and the direct link that the cable would provide to Hong Kong, the WSJ reported, , citing people involved in the discussion. https://on.wsj.com/2HuQqBH

The Justice Department, Google, Facebook and Dr. Peng did not immediately respond to Reuters' requests for comment.

Subsea cables form the backbone of the internet by carrying 99 percent of the world's data traffic.

(Reporting by Neha Malara in Bengaluru; Editing by Anil D'Silva)

((Neha.Malara@thomsonreuters.com; within U.S.+1 646 223 8780; outside U.S. +91 80 6749 0344;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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