German Government Said to Rule Out Huawei Ban in 5G Expansion

German Government Said to Rule Out Huawei Ban in 5G Expansion

Chancellor Angela Merkel’s government has ruled out an outright ban targeting Huawei, according to Bloomberg, citing a government official.

Cabinet members from Merkel’s administration met Wednesday in Berlin to discuss the prospect of restricting Huawei equipment from the new 5G network. While they continue to work toward a final decision, the ministers concluded that singling out Huawei from a list of suppliers was not legally viable, the official said on condition of anonymity in accordance with government protocol.

Economy Minister Peter Altmaier has signaled that any restrictions tied to Germany’s shift to the crucial next-generation technology won’t involve targeting specific companies, but rather subjecting all potential service providers to stringent security standards. Huawei has come under scrutiny by U.S. allies concerned its equipment could be used by Chinese intelligence. “I don’t think this is about ruling out or not ruling out individual service providers,” Altmaier said last week.

The Interior Ministry will formulate a list of security criteria to determine the level of scrutiny leveled on companies, which various ministries with competing interests will then have a chance to weigh in on. That catalog will be completed in the next couple of weeks, the official said. Auctioning for the country’s 5G network is expected to begin in March.

Telecommunication companies have warned about costs that would arise if Huawei were cut out of supplying 5G equipment. Germany’s Deutsche Telekom AG has warned that Europe would fall behind the U.S. and China in 5G with such a move, according to people familiar with an internal briefing paper from the company. “Irrespective of whichever telecommunications company receives a tender, they will in the end have to prove that they fulfill these security standards,” Altmaier said last month.

More from category

ECB Says One of Its Websites Was Hacked, Data Possibly Captured

ECB Says One of Its Websites Was Hacked, Data Possibly Captured

17 Aug 2019 comment

The European Central Bank said one of its websites was hacked by unauthorized people who may have stolen private information including contact data, according to Bloomberg.

Cisco Shares Sink on Lackluster Revenue Forecast

Cisco Shares Sink on Lackluster Revenue Forecast

16 Aug 2019 comment

Cisco gave a lackluster sales forecast that indicated the U.S.-China trade dispute and a slowing global economy are leading companies to hold off on updates of their computer networks, according to Bloomberg.

Hon Hai Profit Tops Estimates on Resilient Huawei Orders

Hon Hai Profit Tops Estimates on Resilient Huawei Orders

16 Aug 2019 comment

Hon Hai, the biggest assembler of iPhones, reported better-than-projected earnings after snagging additional business from Huawei, according to Bloomberg.