Huawei should be allowed 5G role in Italy, says minister

5G testing spot provided by China Telecom is seen in Chengdu downtown. Italy’s Telecom Italia is in the process of choosing suppliers and Huawei is among possible contenders. (Shutterstock)
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Updated 23 December 2019

Huawei should be allowed 5G role in Italy, says minister

  • Stefano Patuanelli’s remarks follow parliamentary committee’s move to block the company

ROME: Chinese telecoms firm Huawei should be allowed a role in Italy’s future 5G network, the Italian industry minister said on Sunday after an influential parliamentary committee called on Rome to block the company.

The US has lobbied Italy and other European allies to avoid using Huawei equipment in their next generation networks and to closely scrutinize rival ZTE, saying the companies could pose a security risk.

“We have passed legislation that guarantees national security. With the right defenses, the possibility of (Huawei’s) access is not up for debate,” Minister Stefano Patuanelli, part of the ruling 5-Star Movement, told La Stampa daily.

Last week, Italy’s parliamentary security committee Copasir said the government should consider preventing Huawei and ZTE from taking part in the development of 5G networks.

Italy’s biggest phone group Telecom Italia (TIM) is in the process of choosing suppliers to upgrade its network infrastructure and Huawei is among possible contenders.

Cabinet undersecretary Riccardo Fraccaro, also a 5-Star member, said on Friday that the government would not be able to ignore the opinion of Copasir. But Patuanelli said on Sunday that “Huawei offers the best solutions at the best prices.”

“One cannot fly the flag of the market with one hand and that of protectionism with the other,” he added. 

Huawei rejects the allegations that it poses a security threat. 

Last week, Telenor said it will use equipment from Huawei in building Norway’s 5G network.

State-controlled Telenor picked Sweden’s Ericsson to help roll out its fifth-generation (5G) telecoms network.

Huawei will continue to play a role in modernizing its infrastructure, Hanne Knudsen, Telenor vice president for communications, told Reuters.

“Ericsson has been introduced as a new vendor for 5G RAN, but we will also work with Huawei both to maintain the 4G network and also upgrade to 5G coverage in selected areas of Norway,” Knudsen said in response to written questions.

“Huawei has delivered hardware for RAN, but not for the core network. When they will build 5G in selected areas for the modernization, this is also for RAN, not core,” she said.

Telenor’s Finnish subsidiary DNA also uses Huawei as one of several vendors for 5G RAN, Knudsen said.

RAN, or radio access network, refers to the radios and antenna that connect smartphones to the mobile network, and accounts for the bulk of the cost of a new network. It is not the core.

Telenor is using Finnish company Nokia and Ericsson for building its core network.

Telenor Norway boss Petter-Boerre Furberg told Reuters that Huawei network components would be phased out over the next four to five years.


Dubai rents may be bottoming out as ‘green shoots’ appear

Updated 20 January 2020

Dubai rents may be bottoming out as ‘green shoots’ appear

  • An estimated 45,000 homes were completed in Dubai in 2019 according to Chesterton estimates

LONDON: Confidence may be returning to Dubai property despite a bloated market for off-plan homes, according to a report from Chestertons, the real estate broker.

Although apartment and villa sales prices were down 2 percent and 3 percent respectively in the fourth quarter of 2019 compared to the previous quarter, rental rates are stabilizing.

But supply issues continue to represent the biggest challenge facing the market, with 45,000 new units completed in 2019 and that expected to double this year.

“The Dubai residential market in Q4 2019 is alluding to a more positive outlook for 2020 thanks to the slowdown of sales price declines and the leveling of rental rates,” said Chris Hobden, of Chestertons MENA. “This does, however, have to be tempered by the volume of new units scheduled for delivery in 2020, which makes the short-term recovery of prices in the emirate unlikely.”

In the rental market, no movement was witnessed in the fourth quarter with the market supported by a draft law which would fix rental rates for three years upon the signing of a contract. 

“To ensure high occupancy in 2020, landlords will have to be realistic in the face of tough market conditions. The incentives previously offered to tenants, such as rent-free periods, multiple cheques and short-term leases, will continue, with an increase in tenant demand for monthly direct debit payments also likely” added Hobden.