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Huawei warns Australia it is being ‘left behind’ on 5G as tech giant challenges ban

  • Chinese conglomerate tells parliamentary inquiry that block on its involvement in next-generation cellular technology has stifled competition and pushed up costs
  • Firm once again refutes allegations of spying for Beijing and says it would ‘categorically refuse to comply’ with any such request

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Huawei denied allegations it is required to install ‘back doors’ in its products and networks under Chinese law. Photo: Reuters
Chinese tech giant Huawei has urged Australia to overturn a ban on the firm’s involvement in 5G, warning that the country is “already being left far behind” in the global race to roll out ultra-fast broadband services.

The Shenzhen-based company on Friday told a parliamentary inquiry into the adoption of 5G in Australia that the ban had stifled competition, pushed up costs and made it likely that “regional and rural consumers will receive limited or no 5G services”.

“Australian farmers will be waiting years to get an opportunity to benefit from the productivity gains,” the company said in its submission to the House of Representatives. “Many may never get the opportunity, especially farmers on the fringe of the current 4G network.”

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Huawei also said the ban had raised costs by 20 to 40 per cent and disincentivised local telecoms operators from offering services in rural areas, whereas “farmers in countries such as Switzerland and Korea are already accessing 5G technology that enables them to operate far more efficiently”.

“It is Huawei’s belief that the real reality for Australia will be a 5G technology vendor near monopoly, with one company ending up being dominant, if not the sole supplier, of 5G in Australia,” the company said. “This will have a profound impact on the costs, innovation and security of Australia’s 5G future.”

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The fifth generation of mobile networks has the potential to be up to 20 times faster than current 4G technology and is expected to play a pivotal role in the development of emerging technologies such as driverless cars and so-called smart cities.

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