Huawei To Face Headwinds In Germany As Chancellor Merkel Makes Promises

Huawei 5G

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In the ongoing tussle between America and Europe for blacklisting Huawei's 5G networking equipment, Germany has taken a moderate stance. The country has refused to ban a company based on its national origin, and instead, the German Federal Office for Information Security will conduct safety tests for core networking equipment and require trustworthiness certificates from manufacturers. Now we've got statements related to Huawei's 5G gear from German Chancellor Angela Merkel made to senior members of her Christian Democratic Party. Take a look below for more details.

German Chancellor Angela Merkel Commits To Using Most Of Country's 5G Infrastructure Equipment From European Manufacturers

Huawei is the second-largest company in terms of contracts signed for delivering 5G networking gear. It's believed that the company has signed around 60 contracts, putting it behind Ericsson's 76 and ahead of Nokia's 50. Given that 5G is still in the early stages of deployment throughout the globe save two countries, a lot of contracts are still up for grabs.

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In Germany, Huawei might face more headwinds than it has in the past. In a new report, it's stated that German chancellor Angela Merkel has promised party members that most of the 5G infrastructure equipment in the country's cell towers will be from European manufacturers. Right now, Ericsson and Nokia are Europe's largest networking gear vendors.

German chancellor Angela Merkel; Getty

According to Ms. Merkel, 70% of Germany's current 5G infrastructure equipment is from Huawei, and her country will use more European equipment in Germany's upcoming 5G rollout reports Reuters. These statements contrast Germany's decision of not letting vendor brands be a deciding factor in letting telecommunications carriers choose and use 5G equipment. However, despite an earlier lax approach, it's now looking as if Germany is slowing starting to follow the American position on Huawei.

At the start of this month German foreign minister Heiko Maas stated that the country will add a 'test of trustworthiness' to its 5G security catalog. This test will determine if a company's home country has laws requiring it to share data with the government. China's National Intelligence Law is often cited by American officials as requiring companies belonging to the country to aid its intelligence agencies in data collection.

Europe has also come under fire from US officials for using Huawei's 5G equipment. If Ms. Merkel holds her promise, then Huawei might have another headache on its hands in the near future.

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