The US Department of Justice started investigating TP-Link because of its low prices. They want to know if the Chinese networking company poses security risks to America. Officials worry TP-Link sells products at a loss just to hurt competitors. The company holds 65 percent of the US market share for wireless equipment.
The DOJ fears TP-Link might raise prices after pushing other companies out. They also wonder if their devices contain backdoors that could help with spying. If found guilty, TP-Link faces fines up to $100 million. Its leaders could pay $1 million each or spend 10 years in jail.
TP-Link claims it never received notice about any investigation. The company says it handles both manufacturing and research itself, which saves money. A spokesperson denied selling below cost. The investigation may last many months before reaching any conclusions. During this time, TP-Link can keep growing its American business.
The DOJ fears TP-Link might raise prices after pushing other companies out. They also wonder if their devices contain backdoors that could help with spying. If found guilty, TP-Link faces fines up to $100 million. Its leaders could pay $1 million each or spend 10 years in jail.
TP-Link claims it never received notice about any investigation. The company says it handles both manufacturing and research itself, which saves money. A spokesperson denied selling below cost. The investigation may last many months before reaching any conclusions. During this time, TP-Link can keep growing its American business.
