• Alexander Liu-Middleton

Boost for Huawei as China issues 5G

Boost for Huawei as China issues 5G

China races against other nations to deploy the 5G telecoms network on a great scale

By David McMullan

China has approved 5G licences to the nation's three major telecom operators and also the China Broadcasting Network Corp giving full permission for full commercial distribution of the next-generation cellular network technology. It is understood that these agreements will kick-start investment in China’s telecom sector benefitting the top vendors in the state.

The augmented 5G rollout could aid Huawei as Washington drives its partners around the world to drop the company from their 5G networks due to uncertainties about whether it could be utilised as an apparatus of Chinese state surveillance, an assertion that Huawei has frequently denied.

Huawei responded that it was ready to back China's 5G build-out. It said it had signed 46 5G commercial agreements in 30 nations to date, shipping more than 100,000 5G base stations.

China is contesting against other nations to deploy 5G on a big scale, paving the way for developments in technologies like AI (artificial intelligence) and autonomous driving cars.

Some experts believe China's 5G launch will face problems due to the American ban on Huawei buying parts and components from American companies without first getting Washington's authorisation.

A spokesperson commented "We remain concerned that if the US export ban on Huawei remains in place for some time, and is even extended to other Chinese tech companies, it will be very difficult for China to build 5G in scale, the action by China to accelerate 5G does not remove or alleviate this risk."

Telecom operators in the United Kingdom, the US and South Korea have already started offering 5G services in certain areas.

An official from the Ministry of Industry and Information Technology, which issued the licences, said in a statement that China encouraged foreign companies to participate in China's 5G markets. Overseas firms likely to be interested include Nokia and Ericsson.

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