UK reportedly approves Huawei's presence in 5G, a 'good start' to break U.S.-led battle against Chinese firm
Huawei Technologies welcomed on Wednesday the UK's reported move in allowing the Chinese company to enter its 5G market, which is seen as a good start for the company - a major player in the global 5G roll-out - to break the U.S.-led geopolitical battle against it, analysts said.
British Prime Minister Theresa May has given the green light to a Chinese telecoms giant to help build Britain's new 5G network despite warnings from the U.S. and some of her most cabinet ministers that it poses a risk to national security, local newspaper The Telegraph reported on Tuesday.
The UK, as part of the Five Eyes intelligence-sharing alliance, has been under tremendous pressure as U.S. officials have been lobbying against Huawei.
"We welcome reports that the UK government is moving toward allowing the Chinese firm to help build the UK's 5G network. While awaiting a formal government announcement, Huawei is pleased that UK is continuing to take an evidence-based approach on this matter," a spokesperson of the company told the Global Times on Wednesday.
China supports Huawei to conduct economic and trade cooperation based on international norms, the Chinese Foreign Ministry said on Wednesday in response to the latest development.
"We're studying on the situation… while strongly urging related countries to provide a fair, just and non-discriminatory environment for companies," the ministry noted.
Chinese analysts said the latest stance of the British government is a sign of significant progress for Huawei to break the U.S. crackdown, which is likely to be followed by other Five Eyes nations including Australia and New Zealand.
"This decision avoids a complete ban for Huawei in the UK and sets a strong precedent across the world that Huawei is a minimal threat for one of the most advanced intelligence-led countries in the world," Neil Shah, research director of global industry consultancy Counterpoint Research, told the Global Times on Wednesday.
While getting into an end-to-end 5G network would require some extra work, commitments from Huawei will show that its network infrastructure is reliable and secure, he said.
The Chinese company will be allowed to supply some "non-core" technology to UK carriers, according to another British newspaper, The Guardian, which cited unidentified insiders.
"Not allowing it into the core network does not mean the UK does not trust Huawei, but it is line with local carriers' strategies by holding their management work in their own hands," Xiang Ligang, director-general of the Information Consumption Alliance, told the Global Times on Wednesday.
Huawei has already expanded its footprint in the UK by not only working with major carriers like BT but also investing in the chip production industry. Ren Zhengfei, founder of Huawei, said that some concerns from the British government would help the company to improve its software engineering.
"The UK has had some concerns about us. These concerns drive us forward. I don't think it is a bad thing. Instead, I see them as progress," he said in an interview in February.
