Huawei assured on 5G contracts

By Chen Qingqing in Shenzhen Source:Global Times Published: 2019/4/16 20:53:39

Chinese firm pledges $300m annually for research

A 5G-powered service robot at Huawei's HAS2019 summit in Shenzhen, South China's Guangdong Province Photo: Courtesy of Huawei

China's Huawei Technologies had secured 40 5G commercial contracts worldwide as of Monday and said it hasn't seen a huge impact from US pressure on the company's 5G rollout on a global scale.

5G, considered the next generation of mobile technology, is rolling out faster than expected. As the largest telecom equipment vendor globally, Huawei has already shipped 70,000 5G base stations and secured 40 commercial contracts, Ken Hu Houkun, rotating chairman of Huawei, said at HAS2019, an annual global analyst summit held on Tuesday in Shenzhen, South China's Guangdong Province. 

Growing political pressure from the US and other Western countries to drop Huawei's products for security reasons has not stopped the Chinese company from moving forward. 

As more 5G smartphones hit the market in the second half of 2019, the industry will gain stronger confidence in the use of 5G technology in different scenarios, which will lead to more reliable and sustainable investment. 

Talking about external challenges, Hu said cybersecurity is less a geopolitical issue and more of a technical one.

"Politicizing the issue is a bigger challenge, not only for Huawei but also for the wider industry and for trade relations on a large scale," he said. 

The US will continue to press allies to keep the Chinese company out of 5G during an upcoming gathering in Prague, and it has been meeting with allies in recent months to warn them that Washington believes Huawei's equipment could be used by the Chinese government for spying, Reuters said on Tuesday. 

However, the company has repeatedly denied these allegations. 

"Huawei voluntarily gave up on participating in 5G network building in the US and is still working with the Australian market on 4G and on some 5G trials," said David Wang, a senior executive of the company. 

"For other countries, Huawei has been actively taking part in the 5G rollout, and we won't see big changes in terms of our geographic involvement on a global scale," he added. 

Some industry analysts were impressed by the Chinese company's continuous investment in research and development (R&D), with a focus on technological architecture, and new industry use cases.

"Their continued investment in R&D and standards contributions through forums like [US-based technology consortium] the Linux Foundation position them well for the future," Will Townsend, senior analyst at US-based Moor Insight & Strategy, told the Global Times on Tuesday. 

Although some US universities recently cut ties with Huawei due to political pressure, the Shenzhen-based company has vowed to continue working with universities around the world by investing $300 million every year in funding research programs.

"Collaboration with universities is fundamental for technology breakthroughs," William Xu Weiwen, Huawei's chief marketing officer, said at the summit on Tuesday.

The company will focus more on theoretical breakthroughs such as challenging Moore's law and redefining Shannon's limit, Xu added.


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