Huawei is in no position to resist Beijing's demands to illicitly gather intelligence. For one thing, Beijing owns Huawei. The Shenzhen-based enterprise maintains it is "employee-owned," but that is an exaggeration. Founder Ren Zhengfei holds a 1 percent stake, and the remainder is effectively owned by the state. Moreover, in the Communist Party's top-down system, no one can resist a command from the ruling organization. Furthermore, Articles 7 and 14 of China's National Intelligence Law, enacted in 2017, requires Chinese nationals and entities to spy if relevant authorities make a demand. Ren has maintained the company would not snoop on others, but that claim, in view of the above, is not credible.