5g is out of the tight encirclement, but Huawei is intercepted
According to the mobile market report released by Ericsson in June, there are more than 75 5g commercial services in the world so far. These networks were initially concentrated in larger cities. By the end of 2019, the global 5g population coverage rate will be about 5%, with the United States, China, South Korea and Switzerland having the widest coverage. In South Korea, operators have rapidly established 5g networks covering most of the population.
The market research organization DellOro also announced that in the first quarter of this year, Huawei ranked first with 35.7% market share, Ericsson (24.6% of the market share) was ahead of the second place, close to 10%, Nokia ranked third with 15.8%, and Samsung ranked fourth with 13.2%. In the global 5g competition, Huawei has been out of the encirclement and become one of the leaders of 5g standard. It is the largest communication equipment supplier in the world, and is seeking the leading position of 5g equipment supplier in the fierce international competition.
However, the trees show in the forest, and the wind will destroy them, especially in the context of Chinas rise and the western worlds concern that its global interests and dominant position are threatened. As a result, the western countries led by the trump administration accused Huawei of having a back door to its 5g equipment, which was a spy risk, and sought to implement a new round of encirclement and suppression of Huawei on a global scale.
At first, countries resisted this and did not believe that Huawei had great risks. Britain is a typical example.
At the time, the UK said it had set up a security system to ensure that all Huawei equipment was vetted before entering the communications network. According to the regulations in January this year, Huawei will be limited to the non core part of the network.
The turning point came in May, after the United States introduced new export control regulations against Huawei, which is scheduled to take effect in September, which may put Huaweis supply chain into crisis. Without involving the core elements of personal data processing, the UK originally allowed Huawei to take up to 35% of 5g network facilities. But the latest U.S. sanctions could lead Huawei to seek other component suppliers outside the US, and British intelligence could not ensure its security. In the end, Britain turned to the United States.
Due to the western worlds siege, Huaweis 5g map expansion is hindered. After February, Huawei will not update the number of 5g business contracts it has won in the world (92 contracts). Ericsson is taking advantage of the situation. The latest data show that, with the Japanese telecom operator Softbank mobile choosing Ericsson to provide cloud native dual-mode 5g core network (for 5gsa business), Ericssons total number of 5g business contracts in the world has reached 100, covering 27 countries and regions.
This has something to do with the fact that the United States has spared no effort to persuade various countries to refuse to use the technology and equipment of Chinese suppliers. The so-called 5g clean network is out of pure commercial competition. The interest game between geopolitics is directly exposed to everyone in the form of science and technology war.
Supporters and opponents of Huawei 5g
There is no doubt that Huawei has irreplaceable advantages in 5g technology; on the other hand, compared with Ericsson, Nokia and other telecom equipment manufacturers, Huawei equipment has a very obvious price advantage. Experts point out that Huaweis price is about 30% lower than Ericsson and Nokia.
As of August 3, the channel information has been disclosed, and the global map of Huawei 5g has been sorted out by jimicrogrid. As shown in the figure below, the green marked countries / regions have cooperated with Huawei or indicated that they will not restrict Huawei.
The red mark refers to the countries where the government has made a clear statement to exclude Huawei, including Australia, the United States, Poland, Vietnam, the United Kingdom, Denmark, Estonia, Latvian, Czech Republic, Sweden, Romania, Japan, France, Greece, etc;
However, the operators explicitly excluded Huawei from Singapore (Singapore Telecom, StarHub and M1), Portugal (NOS, Altice and Vodafone), Italy (Telecom italica) and New Zealand.
In the latter part, Huawei is not ruled out by the government, but the operators do not choose Huawei. For example, in New Zealand, Vodafone and spark chose to cooperate with Nokia; three telecom giants (NOS, Altice and Vodafone), which dominate the local market in Portugal, clearly stated that they would not use Huawei Technology in 5g core network;
In Italy, Telecom Italia, a telecom giant, rejected Huawei in the bidding for 5g core equipment in Italy and Brazil; Singapores three major domestic operators cooperated with Ericsson and Nokia in 5g.
Analyze Huaweis supporters. Specifically, Huawei and Russias largest operator, Russias mobile telecommunications system company (MTS) reached an agreement in June 2019, in which Huawei will provide equipment for the 5g network construction in Russia.
On March 26, 2019, Bahrain, the US ally in the Middle East and the headquarters of the Fifth Fleet of the Navy, confirmed that it would use Huawei Technology to build 5g network, and said it had no worries about security threats.
U.S. media reports that Washington has failed to reach a consensus among its allies on Huawei has puzzled many experts. The report pointed out the reason, saying that the U.S. intelligence service had listed Huawei as a major national security issue at least 10 years ago, but had never produced clear and convincing evidence. From beginning to end, groundless accusations have always been the political means of the United States.
Among Huaweis opponents, there are firm allies of the United States. First of all, Australia, which has been following the United States in the five eye alliance, must be mentioned.
In 2011, the Australian government stopped Huawei from building NbN, and then in 2019 it again stopped Huawei from building its 5g network on the ground of national security. Earlier, Huaweis Australian Chairman John lord left the company in dismay because he believed that the ban would lead to Australias second-class mobile network. The Australian people are so sad.
Second, New Zealand. In November 2018, the government banned wireless network operators from using Huawei equipment in 5g networks for national security reasons. Although Jacinda ardern, then Prime Minister of New Zealand, stressed during his visit to China in April that New Zealand had not banned Huawei 5g, the decision to restrict the use of Huawei products could not be changed.
Denmark, on the other hand, said that it would only consider using 5g equipment from its allies, excluding suppliers from non security allies; Poland also signed a security agreement with the United States in September 2019, making it clear that it would not use Huaweis 5g network equipment.
It is worth noting that the British government, which has repeatedly held its attitude, finally made a final decision last month to stop using Huawei equipment in 5g construction. Although the UK is well aware that without Huaweis technology, it is bound to delay the countrys 5g network construction, but the US ban has forced the British government to change its position.
On the surface, some countries will not exclude Huawei, but in fact offer similar measures to eliminate Huawei.
Singapore Telecom, StarHub and M1, for example, have collectively announced that they have selected Ericsson from Sweden and Nokia from Finland as major equipment suppliers for 5g network. This means that Huawei is not qualified to build 5g network in Singapore, and the result is quite unexpected.
The same is true in France, where authorities have told telecom operators planning to buy Huaweis 5g equipment that they will not be able to renew their licenses once their licenses expire, according to Reuters on July 22. This is equivalent to eliminating Huawei in the new 5g network.
Huaweis unknown market
In addition to Huaweis supporters and opponents, some countries are hesitant.
Recently, Indian media reported that the Indian government will prohibit Huawei and ZTE from providing telecommunication equipment for local telecom operators, but there is no further information.
Brazil said earlier that it would not accept any pressure from the United States. However, some foreign media recently pointed out that the US government has proposed to subsidize Brazilian operators to purchase 5g equipment from Ericsson and Nokia. It is also uncertain whether Huawei will stop in Brazils 5g market.
However, as a member of the five eye alliance, Canada has always been under pressure from the United States. The United States has repeatedly coerced its allies to ban Huaweis equipment with its intelligence sharing relationship. Huawei has a long way to go.
In Europe, Germany, France, the Netherlands and Italy have yet to make a final decision on whether to cooperate with Huawei in 5g.
However, last year, KPN signed an exclusive agreement with Huawei, announcing that Huawei would participate in the construction of 5g network in a limited way. KPN plans to use Huaweis equipment in the peripheral part of the 5g network, the radio tower, and the core components will be provided by western suppliers.
This year, Deutsche Telekom, Europes largest telecom operator, announced that it had signed up with Huawei and Ericsson for Germanys largest 5g project, which will provide 5g network services to half of Germanys population in urban and rural areas.
From the technical level, 5g is essentially an upgrade of 4G network. According to a new study by strand consult, Chinese equipment suppliers (Huawei and ZTE) accounted for more than half of the business during the construction of 4G networks by European operators from 2008 to 2020. This means that many countries in Europe will pay a high price if Huawei is excluded.
Finally, in Huaweis 5g map collated by microgrid, it can be found that most of Africa is still gray. Here, Huawei has just obtained strong support from South Africa. Rain, a mobile data network operator in South Africa, released Africas first 5g independent networking commercial network, which adopts Huaweis fully integrated core network solution. Ericssons mobile market data also shows that the network construction in Africa, which is still lagging behind, will have great potential in the future.
Although foreign governments led by the United States restrict Huaweis 5g business by unfair competition, they cannot reverse the process of Chinas catching up with and surpassing Huawei in 5g field. Excluding Huawei will only delay the construction of 5g communication network.
Americas skepticism has not stopped, but Huawei is bearing the burden of growth. Thanks to its far ahead technological advantages, Huawei is still alive and doing well under the continuous upgrading control for more than a year, and each business segment still enjoys steady growth. In the first half of this year, the sales revenue reached 454 billion yuan, a year-on-year increase of 13.1%. Among them, the operator business contributed 159.6 billion yuan.
In this big battle of encirclement and suppression and anti encirclement and suppression, blockade and anti blockade, Huawei 5gs map is bound to continue to expand.
According to the extended reading news, Huawei has placed huge orders for chips with more than 120 million chips. Analyst: Samsungs foundry business will further develop in the second half of the year. Dishnetwork of the United States chooses VMware to provide 5g cloud platform. Source: jimicrogrid editor: Liu Fei_ NBJS10390