"Huawei's connection to the Chinese Communist Party is a key concern because it represents the opportunity for the State to exert its influence over the decisions and operations of a company seeking to expand into the critical infrastructure in the United States," the House Committee report states. The report also says it received from former Huawei employees some internal documentation that indicates that Huawei provides special network services to what the employee believes to be "an elite cyber-warfare unit" with the Chinese People's Liberation Army. The report says Huawei did acknowledge it provides network products of a wide variety for the Chinese military, but declined to discuss research and development.

The report says the Committee learned that privately held Huawei is structured to have 60,000 shareholders but that a shareholder agreement gives Huawei Founder and President Ren Zhengfei veto power. Huawei officials also explained to the Committee that Chinese law forbids foreigners from holding shares in Chinese companies without a special waiver.

The report also said it doesn't believe Huawei's claims that Huawei USA is operated largely independently of the parent company in China after the Committee interviewed current and former employees of Huawei USA who described the company otherwise.

Huawei is known to provide equipment to Iran, but has said it plans to scale back operations there. The House Committee said Huawei refused to provide documents relating to that decision.

Huawei did apparently provide the House Committee with a list of its major customers in the U.S., said to be: Cricket Communications; Clearwire; Cox TMI ; Hibernia Atlantic; Level 3/BTW Equipment; Suddenlink; Comcast; and Bend Broadband.