Published: Sat, June 08, 2019
Markets | By Otis Pena

China grants 5G commercial licences despite U.S. tech battle

China grants 5G commercial licences despite U.S. tech battle

The Chinese Ministry of Industry and Information Technology has granted commercial 5G licenses to four of the country's telecom operators - China Mobile, China Telecom, China Unicom, and Broadcasting Network Corp. However, the latest issuance is the first time the authority gave green light to commercial layout.

ZTE Corp, another Chinese telecom company, said its products are ready for commercial use and it will actively participate in the commercial deployment and construction of 5G networks in China.

Miao Wei, the Minister of Industry and Information Technology, said at the license presentation ceremony that 5G technology would bring new opportunities and buoy growth of China's digital economy.

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China began trialing the technology a year ago, but may be feeling a growing sense of urgency as other countries like the US and South Korea launch their own commercial services.

"As the world's largest mobile market, nearly anything that China does is significant, ' said Peter Jarich, head of GSMA Intelligence, adding that the country has the 'power to drive the market. around the world".

Commenting on the ministry's announcement, Huawei said it will "fully support" the Chinese operators to build 5G.

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This technology-based series never failed to impress their fans with new twists and turns every episode of every season. Jones added: "Trying to achieve both of those things is very hard , but I think the team did a great job".


China has since announced it will create its own blacklist of "unreliable" foreign companies.

Some analysts however believe China's 5G rollout will face difficulties due to the USA ban on Huawei buying parts and components from American firms without Washington's approval. China Mobile also pledged to cover 40 cities with 5G.

One of the big questions still hanging over China's 5G push is which wireless equipment companies will reap the rewards of Chinese operators' spending.

Huawei has become a central part of a US-China power struggle which started out in trade, and is now being played out in the technology sector.

China was a pioneer in conducting 5G technology research and development (R&D) and has been accelerating the R&D and industrialization of 5G equipment in recent years.

"We remain concerned that if the USA export ban on Huawei remains in place for some time, and is even extended to other Chinese tech companies, it will be very hard for China to build 5G in scale", Wall Street research firm Jefferies wrote in a note to investors and reported by Reuters.

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