Business & Economy

Income tax raid on Xiaomi, Vivo, One Plus, Oppo & other Chinese mobile phone companies in India

The Union Government had sent notices to Chinese Smartphone manufacturers such as Xiaomi,
Vivo, One Plus, & other products, Stating that hardware and software details are to be used in pre-installed apps, for concerns related to security.

Last year the Indian government took the major decision of banning 220 Chinese apps. In the recent report, the country has been targeted with Chinese smartphones, asking about the data and components used in the devices. That is going to result from the security test. The research was conducted on major brands for more than half of the Indian smartphone market. The main objective of this research is to find the safety on sale of these smartphones in the Indian market. The Indian government is urging them to go for a security test on these smartphones and to get to know whether the data or components used in these products are safe or not. The ban of Chinese apps gave them a major twist so they were targeted to smartphones now. As these products are increasing in sales and demand. As per the recent report, the Chinese have not fulfilled the promise on investments on other government contracts. This notification was alleged to be a reprisal. Few of their products such as Oppo, Vivo, and its sub-brand Qihoo had not kept their promise to invest as expected. It shows unclear on Xiaomi involvement in this case, as they had
already invested in companies.

According to the Economic Times, there will be the biggest crackdown on Chinese enterprises in India. They use components called Huawei and ZTE. The hardware and software details are particularly pre-installed apps on Chinese cell phones will be scrutinized. The investigation is still going on and there is no clear clarity on Chinese brands. In Lithuania, as per the government assessment, the Chinese devices had built-in censorship capabilities, the country’s defense ministry advised users to avoid purchasing Chinese mobile phones and to throw away the ones they already owned.
The Xiaomi crop’s flagship phones have been marketed in Europe that have the potential to detect the free Tibet, long life, Taiwan independence and democracy movement. The news was published by Lithuania’s state-run cybersecurity commission. As per this investigation, the Xiaomi phone had transferred encrypted phone usage data to a server in Singapore.

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