China Orders Local Firms to Replace U.S. and Israeli Cybersecurity Software
Chinese authorities have mandated domestic companies to phase out cybersecurity solutions from over a dozen American and Israeli providers, accelerating Beijing's campaign for technological self-sufficiency. The MOVE targets perceived vulnerabilities in Western software that could compromise sensitive data.
Broadcom's VMware, Palo Alto Networks, and Fortinet lead the list of affected U.S. firms, alongside CrowdStrike and McAfee. Israeli cybersecurity specialists Check Point and CyberArk also face restrictions. Market reaction was immediate, with Broadcom shares dropping 5% following the announcement.
The policy reinforces China's dual strategy of reducing foreign tech dependence while fostering domestic alternatives. Analysts note this could reshape global cybersecurity procurement patterns, particularly for multinational corporations operating in China.
