Published: Fri, December 14, 2018
Markets | By Otis Pena

Japan's best three telcos to prohibit Huawei, ZTE arrange gear: Kyodo

Japan's best three telcos to prohibit Huawei, ZTE arrange gear: Kyodo

A week ago sources disclosed to Reuters that Japan meant to prohibit government buys of gear from Huawei and ZTE to guarantee quality in its barriers against insight spills and digital assaults.

"The amount of equipment in use from Chinese makers is relatively small", the spokesman said as reported by Reuters, December 11.

Following a ban on the use of Chinese telecoms equipment by government agencies in Japan, the country's mobile operators said they have no plans to deploy gear from Huawei and ZTE in their 5G networks, Nikkei Asian Review reported.

Representatives from Docomo, KDDI and SoftBank told a government hearing last month full 5G services for smartphones would commence in 2020.

While the Japanese government will not specifically name Huawei or ZTE Corp in its new revision, the government will instead put in place measures aimed at strengthening security that applies to these two companies.

The news, for which Kyodo did not refer to sources, comes during an era of uplifted investigation of Chinese tech firms by Washington and some unmistakable partners over connections to the Chinese government, driven by concerns they could be utilized by Beijing for spying.

SoftBank is the only major player in Japan to use Huawei and ZTE equipment in its 4G network and conducted 5G trials with both vendors, Nikkei Asian Review said.

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"These are ambitions Huawei shares and we look forward to continuing to work closely with customers in the Japanese market", a Huawei spokesman said.

Menpad may be the first Chinese corporation to announce measures to support Huawei, which has been rocked by the arrest in Canada of its chief financial officer, who stands accused of violating United States sanctions against Iran.

Chinese Foreign Ministry spokesman Lu Kang said China has already had "communication" with Japan about the issue.

"We believe that Chinese companies' normal operating activities should not be treated in a discriminatory way", he added.

Offers of SoftBank, which has the most profound association with Huawei among the enormous Japanese telcos, fell the most among the three best Japanese telcos on Monday, finishing down 3.5 percent.

But Huawei has said Beijing has no influence over it.

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