A new report from Financial Times has revealed that India is planning on quietly phasing out telecommunications equipment made by Huawei from its networking infrastructure.
For those unaware, there is an increasing anti Chinese sentiment growing in India, following multiple military clashes along the Indo-Chinese border. This has also led to increased friction between the two governments as well, with India now seeking to block out Chinese vendors from its 5G trials. The Indian government is concerned regarding Chinese investment in its telecom infrastructure and is apparently seeking to quietly phase out existing equipment made by Huawei.
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Furthermore, India isn’t planning on banning the Chinese tech giant, but rather, replacing its equipment over a period of time. The report had a senior government official state that “When it comes to big public contracts and critical infrastructure, we would prefer non-Chinese companies.” This is reflected by Indian telecom giants like Reliance Jio is working on developing its own 5G equipment, and Bharti Airtel, who is working with Ericsson.
We had also previously reported on Huawei and ZTE being blocked out from the 5G trials that are expected to start in the country later this year. So, this course of action from the local government might be a real possibility and threat to Huawei’s position in the Indian telecom market. We’ll provide more updates on the matter, so stay tuned for more.
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