TP-Link is best known for its routers even though its portfolio now includes smart home products such as smart plugs, thermostats, lights, switches, and hubs. It has been reported that its router business may soon suffer a huge blow as the United States government is considering banning its routers due to security concerns.
In a report by the Wall Street Journal, TP-Link is being probed by the US Commerce, Defense, and Justice departments over its links to Chinese cyber attacks. According to the report, it has already been subpoenaed by an office of the Commerce Department earlier this year according to sources in the know.
The report states that the government may decide to ban the sale of TP-Link routers in 2025 which is reported to make up about 65% of the routers sold in the US. TP-Link routers are not only used in homes but also businesses, while its internet communications products are used by some federal government agencies including the Defense Department. In 2023, a report by a US agency revealed that TP-Link routers had a vulnerability that made them susceptible to being used for cyber attacks.
A related Reuters report revealed that back in August, two US lawmakers urged the US government to investigate TP-Link over concerns that its routers could be used in cyber attacks against the US. Reuters also reported that the Chinese foreign ministry has issued a statement opposing the US's generalization of the concept of national security and discriminatory practices
against companies from specific countries.
The news of TP-Link's possible ban is reported to have caused the shares of Netgear, its American rival to jump more than 12% on Wednesday. Routers from Netgear and Cisco were among the majority of routers affected in Volt Typhoon, a hacking campaign reportedly linked to the Chinese government.