Telcos were previously banned from buying Huawei gear from January
By Jon Porter@JonPorty Nov 30, 2020, 5:07am EST
Share this story
- Share this on Facebook (opens in new window)
- Share this on Twitter (opens in new window)
- SHAREAll sharing options
Illustration by Alex Castro / The Verge
The UK government is banning the installation of new Huawei 5G equipment from September 2021 as part of its plans to phase out the Chinese firm’s technology by 2027, The Financial Times reports. The decision follows the government’s announcement in July that firms would be barred from buying new equipment from January 2021 over national security concerns.
The announcement means that any telecoms companies who have stockpiled Huawei equipment ahead of the January cutoff will now not be able to use this for long-term 5G rollouts. The Financial Times reports that some companies have been stockpiling this equipment since summer. Firms will still be allowed to maintain old equipment after September, according to BBC News.
FIRMS HAVE REPORTEDLY BEEN STOCKPILING HUAWEI’S EQUIPMENT
New legislation set to be debated in Parliament this week will start the process of enshrining the ban in law and set out how it will be enforced. Under the Telecommunications Security Bill, telecoms companies could be fined up to 10 percent of turnover or £100,000 per day if they don’t comply with the new security standards.
While competitors Ericsson and Nokia have so far picked up several of the contracts to replace Huawei’s equipment, the government is promising to invest £250 million to encourage the growth of smaller players in the industry. This initiative will try to reduce the impact of removing Huawei’s equipment from 5G networks, and will include creating a new National Telecoms Lab as well as investing in new open radio technology.