The biggest player in the 5G race is the controversial figure Huawei. China issued the China Mobile 2021 4G/5G Fusion Core Network Procurement tender in order to invite bidders and it turns out that the highest bidder was Huawei. This is not the first time the 5G giant has backed such a big tender. In fact, it was obvious even before the bidding as Huawei would turn out to be the highest bidder, the next closest rival is ZTE.

Earlier this year, Huawei bagged its first 5G 700MHz main equipment collection tender of a total of 38 billion tenders. This makes the recent win the second-largest 5G list this year. The budget for Huawei’s Core Network purchase also seems pretty overwhelming at a whopping 7.5 billion Yuan.

However, this is only the first time for Huawei where they’ve won the first bid share. But all this was expected as Huawei is the biggest player in the 5G equipment and core network. The price breakup of the deal is such that Huawei equipment is quoted at 6,406.25 million Yuan and a service quotation of 1,082.44 million Yuan. China Mobile set a maximum bid limit of 6,737 million Yuan for the equipment portion of the tender and for the Edge UPF portion, it was set at 798.7 million Yuan. This adds up to a maximum big limit of more than 7.5 Billion Yuan and Huawei’s quote matches this highest bid limit.

The lack of competitors also gave an edge to Huawei as only the big two, ZTE and Huawei were competing to bag the deal. And considering the capabilities and cap of Huawei, it was expected that Huawei will bag most of the shares, followed by ZTE. The two companies had a mutual understanding between them and both of them would be enjoying the tenders they have bagged.

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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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The US/China trade war which saw Huawei taking most of the hit was expected to have a catastrophic effect on Huawei equipment and consumer businesses. However, what we have seen in recent times point to the contrary. First Huawei unveiled its self-developed HarmonyOS. Huawei’s CEO has now disclosed that the tech giant has commenced the manufacture of 5G base stations without components from the United States

The US’ placement of Huawei on the Entity list back in May meant the company won’t be able to assess components from its longstanding U.S. suppliers. Apart from the effect on the smartphone business, Huawei’s telecommunication equipment business would have been severe. This is because Huawei is the largest supplier of telecoms equipment and the company is far ahead in the development of 5G gears. The company announced earlier this month that over 200,000 of its 5G base stations has been shipped. Also disclosed is that the company had secured over 50 5G contracts around the world.

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Mass production of the 5G base stations without US components would commence in October, according to Ren Zhengfei. He also hinted that the tech giant will start with 5000 5G base stations monthly during the initial phase. The company projects annual production next year will reach 1.5 million units as more and more regions and operators commence the rollout of 5G services.

Despite this new development, Mr Zhengfei says his firm would still like to use US components if the ban is lifted because he claims Huawei has “emotional ties” with long-time US suppliers. Further, he re-echoed a statement made earlier that Huawei was willing to license its 5G mobile technology to a US company or to even sell for a one-off fee.

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