Why Huawei Is Far From Backing Down

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Hint: It’s all about 5G!

Huawei is the telecom giant that’s been hogging the headlines lately–all for the wrong reasons. The story that involves allegations of espionage, intellectual property theft and denials are more than enough to make virtually everyone curious.

What’s up with Huawei? The answer may be summed to only one thing: 5G.

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The Controversy around 5G

5G, or fifth-generation network, is expected to be the successor for 4G, but with a far bigger capability. Theoretically (or ideally), it will reach a speed about a hundred times faster than 4G. It will also have a larger radio frequency bandwidth. Both will now make it possible not only to download an HD movie within seconds but also make the Internet of things run even more smoothly.

Also known as IoT, it will allow devices to communicate with one another over the Internet or the cloud. That may be completely harmless, especially since 5G, is supposed to be more secure than 4G.

But governments such as Australia and the United States don’t think so. For example, in the simulated war games by Australia, its eavesdropping agency can be dangerous enough to make a country vulnerable to serious exposure and attacks.

It was a revelation it couldn’t shake off it had to report such findings to the United States and ban the company’s products in the country.

Going down the Rabbit Hole

As you dig deeper, however, the story then branches out to something more sinister: China, through the company, can perform espionage and other forms of “dirty tactics” against other countries.

The United States, for example, believes China can implant surveillance tools in Huawei microchips–sort of a Trojan horse. It didn’t help that America accused its chief finance officer, Meng Wanzhou, to evade sanctions of the United States to Iran. She used another subsidiary to close a deal with Iran but misrepresented it and Huawei as completely different or separate from each other.

Other countries such as the UK expressed the same sentiments.

Eventually, it became Huawei against the world after other known brands such as Google, ARM, and even FedEx decided not to have any connection with the Chinese telecom company anymore. While the reasons are unclear, many experts believe these brands are only fearful of possible US retaliation including indictments.

Currently, Huawei faces several lawsuits in the United States alone. President Trump also signed an executive order prohibiting US companies from using foreign technology services and products it deems to be a national security risk.

Is It about Who Wins First?

For other experts, the issue still revolves around 5G, but this time, it has a different face: economics. According to them, it’s all about who will dominate the 5G race.

Although this wireless system network is still nowhere close to being perfect or even mainstream, its potential and the reward it gives to its “owner” is massive. Just think about the royalties and the power it can provide.

Currently, there are three groups on the road to 5G patents and use: China, United States, and European Union. Among them, China leads by a mile, capturing more than 40% of the world’s market.

The assumption, therefore, is that the United States is going against Huawei and, subsequently, China to give it an opportunity to dominate the 5G market.

Only time will tell if it has no other choice but to succumb to the pressure and accept defeat in the 5G race. For now, it’s not backing down.

Author

Anirudh Muley
Anirudh Muley
Anirudh is the Editor in Chief and Main Writer at Clickdotme. He does not like describing himself in the third-person and had a hard time coming up with these two sentences!
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