Chinese authorities order domestic firms to stop using American and Israeli cybersecurity software

Beijing told firms to stop using U.S. and Israeli cyber software over data risks. The move comes as China seeks to replace Western tech with local tools.

Insights:
Chinese authorities issued directives in recent days to domestic companies to cease the use of cybersecurity software from approximately a dozen firms based in the United States USUSand Israel ILIL. This regulatory action, which was announced prior to January 14, 2026, represents a strategic effort by China CNCNto replace Western technology with domestic alternatives amid ongoing trade and diplomatic tensions with the United States.
The directive was issued amid expressed concerns that the software could collect and transmit confidential information abroad. Among the companies impacted are United Statesfirms Broadcom Inc. , which owns VMware, Palo Alto Networks Inc. , and Fortinet Inc. . The Israeli firm Check Point Software Technologies Ltd. is also included in the directive. While the action targets a significant number of providers, Reuters could not establish exactly how many Chinese companies received the notice.
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