Huawei Slammed By New ‘Nightmare Scenario’ Warning

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Huawei Slammed By New ‘Nightmare Scenario’ Warning
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Another major setback for Huawei, with warnings of a hostile state take-over risk associated with its 5G technology.

few weeks for Huawei has just got worse. After the ordeal of launching its first smartphone absent U.S. technology on the consumer side of its business, the last thing the company needed was a public setback on the 5G side. But that’s exactly what has happened. In a surprise move that will knock the leadership in Shenzhen, it seems Europe may be bending in the direction of the U.S. when it comes to restrictions on China’s 5G tech. And that wasn’t the plan.

The restricted document, Bloomberg reports, warns that “hostile third countries may exercise pressure on 5G suppliers in order to facilitate cyberattacks serving their national interests.” The report then highlights the domestic legislative environment and ownership structure of those suppliers.

And with Huawei in mind, the core mitigation that is recommended to Europe’s governments is to reduce dependency on China as the next generation of 5G networks is deployed. “EU-based operators who become overly dependent on a single equipment supplier are exposed to a number of risks caused by that supplier coming under sustained commercial pressure, whether due to commercial failure, being subject to a merger or acquisition, or being placed under sanctions.

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