Something we should hope to see more of: 3Com has decided not to merge with the Chinese firm Huawei Technologies because of national security concerns.
“In this instance, it appears the CFIUS process has worked,” said Rep. Duncan Hunter of California, ranking Republican on the Armed Services Committee.
“The foreign acquisition of American defense contractors will continue to present significant problems and challenges. … We must weigh American security interests before potential profits.”
The little-known CFIUS, an in interagency committee charged with reviewing cross-national mergers for security risks and anti-trust violations, caused a political firestorm in 2006 when it signed off on a deal that would have given Dubai Ports World, a United Arab Emirates-based company, management contracts for six major U.S. ports.
As part of the long denouement to this, well, interesting political season, it is of some interest that the 3Com deal was part of the reason why Duncan Hunter refused to endorse Mitt Romney.
So maybe some other companies, like the ones who import the overwhelming proportion of our seafood, might take a lesson from this?