Tuesday, June 01, 2010

Import of chinese SIMs can compromise national security

Several Chinese and European companies sell SIM cards in India. Other than the Chinese companies, almost every other company has set up its personalisation centre in India. The fact that Chinese companies have not set their personalisation centre in India generates more suspicion. The two main Chinese companies, Watchdata and Eastcompeace, control more than 30 per cent of the Indian SIM card market. Data from Electronic Computer Software Promotion Council, Union ministry of commerce, reveal that during the last year (Between April 2008 and February 2009) around 11,68,17,092 SIM cards have come from China. These companies are selling SIM cards to Indian cellular companies since last three years. As per an estimate, more than 30 crore chinese SIM cards have reached the Indian market. The country head of Eastcompeace, Rajnish Giri told TSI, “We are the largest SIM card and Smart Card manufacturers of Asia. Our personalisation centre is completely safe and is SAS certified.” The SIM secure keys are kept with the Chinese bosses.

When TSI asked why Watchdata does not have its personalisation centre in India, Vijay Parthasarathy, country head, Watchdata Technologies (India), said, “Our personalisation centres are in Singapore and Japan. The whole issue of setting up a personalisation centre in India is ridiculous. I don’t think your question has an answer”.

It is an important question that how safe is our SIM card data in the hands of a country which has been accused of hacking and stealing data of other countries. India and China have a nervy relationship. Apart from the Tibet controversy and Chinese help to Pakistan, India has boundary disputes with China. Stealing important information of countries is part of the Chinese foreign policy. An advisor with the Institute for Defence Studies and Analysis, Brigadier (retd) Rumel Dahiya says, “Around 30,000 people are supposed to be involved in the task of hacking Cyber and communication networks. Also, a large number of people in China are doing it out of curiosity and nationalism.” There is an unofficial ban in America and European countries on import of mobile phone and communication service equipments from China. If china is viewed with suspicion by not just India but the whole world, there is solid reason behind it. Suvrokamal Dutt, an expert on international affairs, says, “Inquiries into hacking of computers of important organisations around the world has revealed that since the 80s, the source of nearly every hacking was in China. Right from Microsoft and NASA to White House and the British Parliament, all have had their servers and computers accessed by Chinese hackers. As Chinese companies are controlled by the government, they come under suspicion. Union home minister P. Chidambaram’s action is totally correct.”
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Source :
IIPM Editorial, 2009


An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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