Huawei Technologies Co., already getting squeezed out of Europe’s vast market for the next generation of telecom equipment, is under siege in another fast-growing business: cloud computing.
U.S. officials have been lobbying European lawmakers and industry leaders to use Western companies — while shunning Huawei — to build data centers and offer infrastructure to handle the growing tide of information.
As part of a European tour last week, U.S. Under Secretary Keith Krach met executives including Deutsche Telekom AG CEO Timotheus Hoettges and Meinrad Spenger, the head of Spanish telecom carrier MasMovil, to urge them to ditch Chinese vendors of cloud infrastructure on data-security concerns.
“Look at this as an extension of that 5G, Krach said. “Clouds are really important, whether it’s in the service cloud or in data centers themselves. This is a big deal.