UK rejects Huawei and turns to Japan for 5G…

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UK asks Japan for help with 5G as alternative to Huawei

NEC and Fujitsu to benefit but face competitors Ericsson and Nokia

Nikkei staff writers
July 18, 2020 20:18 JST

TOKYO — The British government has asked Japan for help in creating its 5G, or fifth-generation, wireless networks, Nikkei has learned.

The request came after the U.K. on Tuesday decided to ban Chinese tech giant Huawei Technologies from supplying equipment to the networks starting the end of this year as well as remove all the company’s devices from them by 2027.

British officialstold their counterparts in Tokyo that Japanese technology companies NEC and Fujitsu may replace Huawei as suppliersand have asked for the Japanese side’s support to enhance the network’s technology and cost-efficiency.

The U.K. is aiming to have Japanese companies compete with other telecoms companies such as Sweden’s Ericsson and Finland’s Nokia to promote the development of low-cost products suitable for British telecom companies to adopt.

Three companies — Huawei, Ericsson, and Nokia — control nearly 80% of the global 5G base station market. NEC and Fujitsu control less than 1%. Although Ericsson and Nokia are dominant in Britain at present, Japanese companies may be able to expand their market share in the country if they can meet its quality demands and offer low-cost products.

A source from NEC told Nikkei that the company is already “in discussions” with the British side, while a source from Fujitsu said it is seeking opportunities to sell its products in Europe.

The Japanese government has already decided to invest 70 billion yen ($654 million) to support companies such as NEC to develop base station equipment and backbone networks. The funds come from the New Energy and Industrial Technology Development Organization, an independent administrative agency.

The U.K.’s outreach comes as Japan is aiming to promote the domestic development of safe networks while also promoting network exports in cooperation with friendly countries. Whether Japanese companies can export their products to the U.K. will be the touchstone of the strategy.

https://asia.nikkei.com/Business/Telecommunication/UK-asks-Japan-for-help-with-5G-as-alternative-to-Huawei

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TOKYO (REUTERS) – The British government asked Japan to help build its 5G wireless networks without Huawei Technologies, citing NEC Corp and Fujitsu as potential alternative suppliers, the Nikkei business daily reported on Sunday (July 19).

British officials met with their counterparts in Tokyo on Thursday, two days after Britain ordered Huawei equipment purged from its 5G networks by the end of 2027, the Nikkei said, without citing sources.

The move reflects Britain’s effort to bring in new equipment suppliers to foster competition and help reduce costs for the country’s wireless carriers, it said.

British Digital Minister Oliver Dowden last week said Britain was working with its allies to foster stronger rivals to Huawei, naming firms from Finland, Sweden, South Korea and Japan.

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1 Response to UK rejects Huawei and turns to Japan for 5G…

  1. Pingback: Huawei has 600 million users but… | weehingthong

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