Published: Sun, February 10, 2019
Finance | By Jaime Brady

Chinese telecommunications hardware is about to be banned by executive order

Chinese telecommunications hardware is about to be banned by executive order

President Donald Trump will reportedly ban Chinese telecommunications equipment from mobile networks in the USA, through an executive order that could appear as early as next week.

MWC is expected to feature several telecom security meetings, and a second industry source said the U.S. is sending an interagency delegation of at least 20 officials and staffers. Huawei remains the world's largest telecom equipment maker but spying concerns may create a significant dent in its business; without access to some of the world's richest markets, the company could eventually cede its leadership to one of Nokia or Ericsson.

Huawei has repeatedly denied US-led allegations that its equipment could be used by Beijing for spying.

Nevertheless, US officials are anxious that China could one day compel Huawei to eavesdrop on its customers. "We hope the United Kingdom government can understand this".

For Thailand, security concerns over Huawei's equipment come second to its competitive pricing versus that by United States firms, Pranontha Titavunno, chairman of the Information Technology Industry Club of the Federation of Thai Industries, said.

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The US considers the matter urgent as European Union countries prepare to roll out 5G networks that will deliver near-instantaneous connectivity, vast data capacity and futuristic technologies to Europeans.

The company has suffered a number of setbacks in recent months because of apparent concerns over its security - The Prince's Trust recently announced it would no longer accept donations from the firm, and both Defence Secretary Gavin Williamson and the head of MI6 Alex Younger have publicly expressed their concerns over the company.

Australia did precisely that last summer, whereas many other countries such as Canada, Japan, and South Korea are reportedly close to doing the same. But a new report coming from the Politico and Fortune prompted us to inform our readers. But Trump's executive order might spark a response from the Chinese government, which is now locked in trade negotiations with the White House. At the time, sources said that Trump would also sign a memorandum explaining how agencies should implement both directives.

"Excluding Huawei from the market doesn't mean the network is safe".

The proposed order, according to sources, will be part of the broader effort to shield the US from cyber threats.

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