A Swedish court has upheld a ban on Huawei’s sale of 5G equipment in the country, dashing the Chinese company’s hopes of returning to Europe while increasing the chances of possible retaliation by China against Ericsson.
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Sweden’s telecoms regulator PTS unexpectedly in October banned Huawei from supplying Swedish mobile carriers with 5G equipment due to security concerns raised by the Swedish security service SAPO, a decision that the Chinese company has challenged in court.
The court said in a statement that Sweden’s security is of great importance and the Administrative Court took into account that only the Security Police and the Armed Forces have a comprehensive picture regarding the security situation and the threat to Sweden.
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Huawei said it is studying its options. while Kenneth Frederiksen, Executive Vice President of Huawei, Central Eastern and Northern Europe, said: agency Reuters: This is to be expected based on the fact that the court bases its conclusion primarily on the assumptions made by SAPO. And theWe continue to fight for our right to be in the Swedish market.
Huawei ban continues
European governments have tightened oversight of Chinese companies building 5G networks after diplomatic pressure from Washington, which claims that Beijing may use Huawei equipment for spying. Huawei has denied that it poses a national security risk.
Romania was the latest country to effectively ban the Chinese company from participating in the development of 5G telecom networks in the country.
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Huawei’s problems have helped companies such as Nokia and Ericsson gain market share in Europe.
Samsung also entered the continent by signing a deal with British telecom group Vodafone as a customer to supply it with 5G network equipment.
Beijing has previously responded angrily to describing Huawei as a security threat. She had asked Sweden to correct the mistake of banning the company immediately. It issued a veiled warning this month that it could take retaliatory action against Ericsson.
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An Ericsson spokesman said the trade law decision could negatively affect the economic interests of Sweden and Swedish industry. Including Ericsson’s interests.
Ericsson, which gets 10 percent of its revenue from China, has raised concerns about the Huawei ban. She noted the risks of losing market share in China.