Exclusive: Obama Sharply Criticizes China's Plans For New Technology Rules

[Ron Burgundy]

By Jeff Mason WASHINGTON (Reuters) - President Barack Obama on Monday sharply criticized China's plans for new rules on U.S. tech companies, urging Beijing to change the policy if it wants to do business with the United States and saying he had raised it with President Xi Jinping. In an interview with Reuters, Obama said he was concerned about Beijing's plans for a far-reaching counterterrorism law that would require technology firms to hand over encryption keys, the passcodes that help protect data, and install security "backdoors" in their systems to give Chinese authorities surveillance access. "This is something that I’ve raised directly with President Xi," Obama said. "We have made it very clear to them that this is something they are going to have to change if they are to do business with the United States." The Chinese government sees the rules as crucial to protect state and business secrets.

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