Huawei: Banning Of The Company In The US Will Slow Down The Country From The 5G Race
Previous reports surfaced that Huawei is having problems in the US. Thus, the brad that is made in China has been accused of alleged spying through its 5G mobile network. However, experts said that the United States will not fall behind in the introduction of the next-generation 5G mobile networks.
Experts told CNBC that the United States will not fall behind the release of the next generation 5G mobile networks. Though it is known that Huawei is being banned in the US, it is not a threat in the future of mobile networks. However, smaller countries can suffer from reduced competition.
Huawei is a Chinese telecommunications giant. Along with the Chinese state media, have argued that the banning of the tech company will reduce competition and will increase the cost of the 5G networking hardware. Also, it will slow down the introduction of critical high-speed technology.
One of Huawei's rotating chairmen, Eric Xu told the news last November that the banning of Huawei will continue in the US, the market will lead to the world's biggest economy fall behind the race for the 5G network. Also, Europe would lag in 5G network if Huawei is blocked there, according to the Chinese state-backed publication.
In line, experts said that the claims are not necessary as rivals such as AT&T, Ericsson, Nokia, Samsung, and Verizon can pick up the slack. In an email, a Singapore-based senior partner at advisory and investment firm Delta Partners told the news that "Even if Huawei was permanently excluded from the U.S., its competitors like AT&T, Ericsson, Verizon, and Nokia, to name a handful, have the scale to ensure that the U.S. is fully catered for. Qualities like speed are unlikely to suffer in the U.S. in this scenario."
Meanwhile, the AB Chief Executive Officer of Ericsson, Borje Ekholm pushed back on notions that the restrictions on Chinese competitor Huawei Technologies Co. will strip the European operators of the only vendor capable of delivering equipment for the next-generation wireless networks. Also, the risk of delaying the 5G development on the continent, according to Bloomberg.
He added that " it is not true that the European service lacks access to the right technology. We are already deploying commercial 5G equipment with frontrunner customers in frontrunner markets and we will be there when the time is right for 5G in each market."