Huawei and its 5G efforts outside of China have faced serious adversity. And most of it goes back to the US government. The country after shutdown of TSMC from the supply of Kirin SoCs is now after 5G equipment in Brazil. A US diplomat in Brazil has since said that the Brazilian government could face repercussions if it deploys Huawei equipment on its 5G networks.
As reported by ReutersUS Ambassador Todd Chapman told O Globo that Huawei would not retaliate as such. But it could face some consequences if it does not give up on building 5G infrastructure using Huawei components. The United States has already said that China is failing to protect intellectual property and is known to attack people who give up their investments.
Why does the US want to oust Huawei from Brazil?
In addition, Todd added that each country is responsible for its own actions. He noted that the US government under Trump created the US Intl. Development Finance Corp. with a $ 60 billion fund to help them.
Through this funding, the US will not only reduce China’s influence globally, but also help companies build infrastructure from reputable vendors. Huawei currently has many rivals 5G technology which includes Samsung, Nokia and Ericsson.
Although the US government is urging countries to stop using Huawei technology, citing its ties to the Chinese government, Huawei has consistently denied that it is spying on anyone, including the Chinese government.
Will Brazil get 5G without Huawei?
If we take into account Brazil, Jair Bolsonaro, the current President has the opposite attitude towards China with the USA, despite the fact that he is an ally. This has already led to many 5G infrastructures hosting Huawei equipment. The company had earlier warned that it would take years for Brazil to replace and develop the 5G network if they comply with the US and ban its equipment.
That said, Brazil could raise funds from the US through Intl Finance Corp. However, the viability of this and the timing of the export of the entire infrastructure remains a mystery.
Puddles in front
Huawei is really facing the reaction Western countries like the United Kingdom due to the US involvement between reported data theft and security reasons. The company has recently faced bans on the left, right and center. Huawei is one of the largest suppliers of 5G network equipment in the world.
Now he has only a handful European countries such as Germany, France, Ireland, Hungary, Sweden and Hungary left. But the latest indirect threat to Brazil from the US does not seem to recede to Huawei any time soon.