Germany warns Huawei, ZTE tech ban could have a significant impact on network

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Germany warns Huawei, ZTE tech ban could have a significant impact on network

BERLIN A ban on certain components by Chinese companies Huawei and ZTE could have a significant impact on Germany's mobile network if they have to be replaced on a larger scale, according to a German economy ministry letter seen by Reuters.

The German government is currently conducting a review of telecom tech suppliers, which it says is not directed at specific manufacturers.

The letter to the Bundestag lower house of parliament's economic committee said that if extensive changes are required as a result of a ban or regulation, there is likely to be a significant impact on the operation of mobile networks and the fulfilment of coverage requirements.

The ministry said that the precise impact on mobile operators and other economic players is not possible to assess, as it depends on individual decisions as well as transition periods.

The government's review could lead to operators being asked to remove and replace components already built into 5 G networks. They would not receive compensation under current legislation.

Critics of Huawei and ZTE say that their close links to Beijing's security services mean that embedding them in mobile networks could give Chinese spies and even saboteurs access to essential infrastructure.

Huawei, ZTE, and China's government deny such claims, saying they are motivated by a protectionist desire to support non-Chinese rivals.