Secretary of State Mike Pompeo has launched the ‘Clean Network’ initiative which aims to effectively sever all connections between China and the US in the telecoms and tech world.

“We call on all freedom loving countries and companies to join the clean network,” Pompeo said in a press conference yesterday (August 6).

Split into five separate initiatives, the ‘Clean Network’ is seemingly attempted to drive a wedge between the telecoms and technology industries of the US and China. It is the latest strategy from the US to combat Chinese success in the global economy and pushes the world further towards separation.

It is becoming increasingly likely there will be two separate economies in the world, one which revolves around the US and the other with China at the centre. With increasing animosity between the two nations, it would perhaps not be surprising to see no overlap; countries and companies might have to choose which to support.

The five areas of focus for the US Government will be as follows:

• Clean Carrier: Pompeo has urged politicians to place pressure on the FCC to remove licences granted to China Telecom Americas, China Unicom Americas, Pacific Networks, and ComNet. The licences allow the Chinese telecoms operators to work with corporations to move data between the US and other nations
• Clean Store: The US Government will attempt to cleanse app stores in the US from any application where the developer has a parent company based in China
• Clean Apps: Pompeo has called on all US developers to remove their applications from Chinese smartphones and ecosystems, such as the Huawei OS which it is building as an alternative to Android. This order would also extend to the likes of OnePlus, Xiaomi, OPPO and ZTE.
• Clean Cloud: The State Department will attempt to inhibit the commercial capabilities of Chinese cloud companies in the US. Alibaba, Baidu and Tencent are companies specifically mentioned by Pompeo
• Clean Cable: Finally, the US will attempt to inhibit the ability of Huawei Marine to provide subsea cables, as well as convincing other nations and companies not to use suppliers who are Chinese or have Chinese parent companies

This is one of the comprehensive attacks from the US on the Chinese telecoms and technology industry, cutting major supply lines for Huawei but also extending the aggression to other national champions.

While tension between the US and China is nothing new, this has the potential to force a separation between the two. It would force US companies to break ties with China, an anti-globalisation strategy. When isolationist policies are introduced, no one benefits in the long run, it is a net loss play. And this could be viewed as the first step in forcing a divide in the global telecoms and technology economy.