Australian govt should remove ban on Chinese telecoms firms for local companies' interests: expert

Source:Global Times Published: 2018/9/13 23:28:40

The reported confusion among some Australian telecoms equipment providers on how to expand current local 4G networks into 5G without including Chinese companies like Huawei, as ordered by government, shows the stand-off between Australian politicians and businesses. And the government should take a pragmatic approach and remove the ban for local companies' interests, a Chinese expert said.

The comment comes after the Sydney Morning Herald reported that one mobile supplier in Australia would still consider using Huawei for part of its 5G network build, while other anonymous telecoms executives also showed confusion on how to comply with a ban issued by Australian government in August, which banned Huawei and ZTE Corp from providing 5G technology in the country, in their drives for 5G network.

Xiang Ligang, chief executive of telecoms industry news site, told the Global Times on Thursday that if Australian government insisted on removing Chinese firms from building local 5G network, it would mean they would "start from the scratch" in the 5G Standalone Architecture (SA) standards, a model under which carriers directly research on 5G technology without experiencing other generations of network.

"This will cost them a huge amount of time and money, and a shortage of abundant capital would lead to other issues, such as the speed of development, efficiency, as well as service quality, dragging down Australian companies' competitiveness in 5G global competition," Xiang said.

The Sydney Morning Herald also said that excluding Huawei from the existing network would "cause delays" in Australian telecoms' rush into 5G era.

Expert pointed out that the Non-standalone Architecture (NSA) model which allows telecoms companies to develop 5G network based on 4G, is more feasible for Australian firms.

But as Chinese companies such as Huawei have cooperated with some carriers for a long time and know the local situation well, it is very hard for local players to find other partners that could "compete with Chinese peers in terms of attractiveness in quality and price," Xiang said. And he, therefore, stressed that Australian government should take note of the impasse and think for the country's technological development and people's benefit.


Posted in: COMPANIES

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