Strategy shift for Huawei?

Strategy shift for Huawei?

In the latest development in the ongoing story of Huawei and US sanctions Huawei’s CEO has claimed that the company is already producing 5G base stations without US parts.

In fact, according to a statement from CEO Ren Zhengfei reported by Reuters, the company is not only already producing 5G base stations that are free of US components but also plans to more than double production next year. 

From October, the company will be producing 5,000 of the 5G mobile communications base stations per month, and next year it plans to make about 1.5 million base stations, Ren is quoted as saying.

US sanctions have cut off Huawei’s access to a number of US technologies and could also affect Huawei’s business in many other markets. Among Huawei’s recent responses to this challenge has been an offer to sell the firm’s 5G technology to Western firms for a one-off fee, though it is unclear what effect this could have on a hit of some $10 billion to revenue that Huawei expects this year.

However, one piece of good news for the telecommunications giant has come from Norway, which, like Poland recently, has announced that it does not plan to block Huawei from building the country’s 5G telecoms network, despite US pressure to exclude the company. That said, Telenor, Norway’s largest operator, still has to choose 5G technology suppliers for next year’s commercial rollout.


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