Huawei expelled from UK 5G
By David Dungay
THE GOVERNMENT’S DECISION
to block Huawei from the UK 5G
network on the grounds the fi rm
are a potential security risk has
been grabbing the headlines.
The cost to those operators that
have investment millions into
Huawei equipment hasn’t been
talked about … yet.
Over the next seven years all
UK telecoms providers will have
to gradually rip and replace the
Chinese manufacturer from
their networks. Currently there
are about 100 towns and cities
around the UK that have access
to 5G and although the rollout
was in its early stages the
removal process will be costly.
On top of that our operators
will now have to negotiate with
fewer vendors (Ericsson and
Nokia) to replace the equipment.
Experts believe that this could
cost the industry £2bn and 2-3
Pre & Post EU Referendum Vote
KEY CHANNEL INDICATORS
Indicator 23 Jun 16 17-July-20 Change Change %
FTSE 100 6,338 6,279.94 58.06 -0.92%%
FTSE 250 17,333 17,313.09 19.91 0.11%
BT 439.70 118.01 321.69 -73.16%
Vodafone 217.90 127.50 90.40 -41.49%
TalkTalk 226.60 76.87 149.73 -66.08%
Gamma 440.50 1,475.00 1034.50 234.85%
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years of delays for the rollout.
Vodafone will be particularly
concerned with the decision, but
is likely to be more worried about
how the rest of Europe reacts as
most of its operations are based
on the continent.
This is a major blow to
the industry at a time when
expanding our 5G network has
never been more important. The
US is clearly exerting pressure
where it can to protect its own
trade interests. All four of our
major operators had a huge, and
expensive, job on their hands
to ensure that the nation has
access to superfast 5G services.
The decision could also push
up prices for businesses and
consumers in the future.
BT and Vodafone’s share
prices refl ect the news. Gamma
has had yet another surge and
sits near an all time high.
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provisioning solutions are
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appetite for innovation is
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and improve our customer service
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