Technology

Bolsonaro will allow Huawei to take part in the 5G auction, says newspaper

Last month, sources told Reuters that Bolsonaro's government was looking for a legal way to exclude Huawei from 5G networks in Brazil

Logo of Chinese Huawei displayed on smartphone
Photo: Reuters/Dado Ruvic
  • Billion-dollar financial costs and the departure of allied President Donald Trump from the White House are forcing President Jair Bolsonaro to step back from opposing Huawei’s participation;
  • With China being Brazil’s biggest trading partner and Huawei’s ability to compete on price, Bolsonaro has faced resistance from the industry and its own government, including from Vice President Hamilton Mourão.

The Brazilian government will not try to stop Chinese telecommunications equipment maker Huawei from 5G network auctions scheduled for June, the Estado de S. Paulo newspaper reported on Saturday, citing government and industry sources.

Billion-dollar financial costs and the departure of allied President Donald Trump from the White House are forcing President Jair Bolsonaro to step back from opposing Huawei’s participation in providing the next-generation cellular network to operators in Brazil, the newspaper said.

READ ON LABS: Brazilian Vice President says that eventual exclusion of Huawei from 5G would be very expensive

Like Trump, Bolsonaro is opposed to Huawei on an unproven basis that it shares confidential data with China’s communist government.

But with China being Brazil’s biggest trading partner and Huawei’s ability to compete on price, he has faced resistance from the industry and its own government, including from Vice President Hamilton Mourão.

READ ON LABS: Nokia sees flat margins at 5G networks business in 2021

The newspaper quoted Mourão as saying that all companies that provide the necessary guarantees regarding respect for national sovereignty and data protection in Brazil will be authorized to offer 5G equipment in the country.

Last month, sources told Reuters that Bolsonaro’s government was looking for a legal way to exclude Huawei from 5G networks in Brazil.

Translated by LABS

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