This story was originally published by the WND News Center.
Exclusive: Roger Simmermaker comments on Packard-Juniper merger plan
There is a lot of talk these days about national security and American competitiveness regarding China, and for good reason. And it certainly didn't start after the November 2024 elections. China's push to displace the United States as the world's number one superpower extends into virtually every category of industry, including the all-important tech sector.
That is why the Department of Justice (DOJ) needs to drop its challenge to the Hewlett Packard Enterprises (HPE)-Juniper merger – a challenge that began prior to Pam Bondi being confirmed to run the current administration's DOJ. This is one area where the market must be allowed to prevail to protect American tech and its potential future advances.
It's no secret that China wants to delete American tech completely. China made its intention during the Biden administration in what is referred to as "Delete A" (the "A" stands for "America") in a paper titled Document 79, which China issued in September 2022.
The Chinese communist government has made it clear that it wants to completely muscle out American technology in China. That is why we need to support American tech champions here at home in the U.S. The DOJ dropping its challenge to the HPE-Juniper merger is a vital step in the right direction.
Unblocking the HPE-Juniper merger would not only massively help advance American tech and national security, it could also keep Chinese companies in check. companies like Huawei, which commands an alarming 30% of the world's telecom market. Cisco, the closest American-owned competitor and formerly a technological powerhouse in the Land of the Red Dragon, has only 6%.
Database provider FactSet estimated that HPE, which makes servers, data storage, and networks, received 14.1% of its earnings from China in 2018. By 2023, that percentage had plummeted to 4%.
In December 2020, Director of National Intelligence John Ratcliffe labeled China as the No. 1 national security threat to the U.S., suggesting the current struggle is equal to or possibly more severe than our previous struggle against Moscow in the Cold War. He also stressed that America's allies need to wake up and respond appropriately to the challenge.
We beat the Soviets in that former challenge, and now we must win the battle with Chinese communists in this current challenge.
In the next 10 years, 5G is predicted to usher in global economic output topping over $13 trillion, aiding in creating 22 million jobs globally. If the U.S. leads in 5G, we will have the advantage in shaping future waves of economic growth worldwide. We would also stand to reap trillions of dollars in economic benefits and set technological development standards across the world.
The Department of Defense (DoD) has exposed Huawei as a Chinese company with Chinese military ties, which raises alarms and concerns about data security risks and potential espionage.
We can't risk the unintended consequences that might arise from the DOJ blocking the HPE-Juniper merger, which includes the possible empowering of Huawei and the U.S. pulling back on future advances and dominance in leading the 5G race.
If we end up emboldening Huawei, the countries reliant on it, and other Chinese companies for 5G infrastructure, we could end up being economically dependent on China, and that would only work to weaken U.S. influence.
We can't let that happen. We need to support the merger of these two American-based companies. America was founded on values like independence, self-sufficiency, and self-reliance. Independence is why we celebrate July 4th every year. If there was ever a country too dangerous to become over-reliant on, China is it.
