According to foreign media reports, the European Commission said on Friday local time that Member States must take urgent action to diversify their 5g suppliers, which will reduce Huawei’s influence in Europe. Previously, the United States has put pressure on the EU to follow the example of the United Kingdom and prohibit Huawei from entering the 5g network.

The EU said that Member States need to diversify 5g suppliers, which will reduce Huawei's influence in Europe

In November 2019, the EU agreed to take a tough stance on 5g suppliers to reduce the network security risk of the next generation mobile network, which is regarded as the key to promoting economic growth and competitiveness. The strategy includes reducing the dependence of countries and telecom operators on one supplier. As the world’s largest telecommunications equipment manufacturer, Huawei competes with Nokia in Finland and Ericsson in Sweden.

The EU said that although some progress has been made in the plan, there is still a lot of work to be done. When reporting on the progress made by 27 member states, an EU executive committee said: “countries urgently need to make progress to reduce their dependence on high-risk suppliers and at the EU level.”

The executive committee also said: “due to technical or operational difficulties, some challenges have been found in designing and implementing appropriate multi vendor strategies for a single mobile network operator (MNOS) or at the national level. Lack of interoperability or too large a country are some of the problems.”

Sources pointed out earlier this week that in addition to Britain, France is also imposing a disguised ban on Huawei. EU officials said that phasing out high-risk suppliers and spending additional costs will not undermine the promotion of 5g in the whole EU, and Ericsson and Nokia will be able to meet the demand.

EU officials pointed out: “If you look at the global situation, in terms of 5g deployment contracts signed worldwide, Nokia and Ericsson occupy a large share in the world market. The two companies together can certainly account for 50% to 60% or even 65% of the share. I think the two European suppliers can not only provide the required products for Europe, but also provide the required products for more parts of the world.”

The EU also urged 13 EU countries to immediately adopt the FDI review mechanism, which allows EU governments to intervene in the case of FDI in strategic assets, especially in the case of state-controlled or state-owned financing enterprises.

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