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Alex Sarria Comments on Contractor Uncertainty as Ban on Chinese Tech Set to Take Effect in Security InfoWatch

"Integrators Prepare for Full NDAA Implementation"

Security InfoWatch

Alex Sarria commented on interim regulations that, effective August 13, will prohibit the U.S. government contracting with any entity that uses certain Chinese-made technologies. According to Sarria, the rule promises to have a significant impact on security system integrators that install or use products from the prohibited companies because "[i]t is focused not just on . . . whether an integrator is passing through a Hikvision or Dahua surveillance camera to the government, it is also looking at whether that integrator itself uses any equipment, system or service that may use technology or components manufactured or provided by any of those five named entities," Sarria said. He explained that there are numerous open questions surrounding the government's definition of "use" because, "the term 'use' is not defined, and the concept is much broader than simply what you may be using in your direct sales to the government. It really looks at what you are doing with this technology as an enterprise." Sarria also noted that "[t]he FAR Council seems to be urging contactors and industry to really speak up about the actual impact that this rule will have on their operations and the increased costs that they might experience if the rule goes into effect as it is currently written."