This archive report was first published on 14 July 2020.
On July 14, 2020, the United Kingdom made a significant U-turn in its decision regarding Huawei's involvement in its 5G network. The country has now banned the Chinese tech giant from participating in the development of its 5G telecom network, citing security concerns.
Operators such as BT and Vodafone have been given until 2027 to remove existing Huawei equipment from their 5G networks. This decision was made after the UK government conducted a security review, which was triggered by new US sanctions imposed on Huawei in May. The sanctions restrict companies from exporting computer chipsets and other key components to Huawei, making it difficult for the company to build 5G base stations and other equipment.
UK Digital and Culture Minister Oliver Dowden stated that the new US sanctions had 'significantly changed' the landscape, making it impossible for the UK to guarantee the security of future Huawei 5G equipment. This decision is a significant blow to Huawei, which has operated in Britain for 20 years and has a significant presence in Europe, accounting for 24% of its sales last year.
Huawei has consistently denied allegations that it would help the Chinese government to spy, and has stated that it is '100% owned by employees.' However, the US has warned that US-UK intelligence sharing and military collaboration could be put at risk if Britain went ahead with its plan to include Huawei in its 5G network.
China's Foreign Ministry has warned that the decision would have consequences for the wider relationship between the two countries. Huawei had lobbied hard to persuade the UK government that it was a trustworthy partner, launching an advertising campaign emphasizing its history of investment and job creation in the country.
