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The Fifth Generation of Mobile Networks – 5G Has Everything to Be a Global Revolution, But It Seems That the Brazilian Federal Government Wants to Block Some Actions by Huawei. And, Contrary to What Many May Think, This Is Not Just About Speed, but Also About Latency.
There is a decree being prepared by the “ideological wing” of the federal government that aims to block Huawei’s participation in the 5G auction in Brazil, which is scheduled to take place in mid-June 2021, as reported by Folha de S. Paulo this Tuesday (8).
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The regulation, drafted by the Institutional Security Office (GSI), only requires authorization from the President of Brazil to be completed, according to sources cited by the newspaper. The document aims to create rules to impede Huawei in the 5G dispute.
Among the ideas from the Federal Government is the requirement that companies interested in competing for the development of the national 5G network infrastructure have shares traded in the country. Previously, such a rule could also result in the exclusion of other suppliers, such as Cisco, Samsung, Nokia, and Ericsson, as they only have shares traded in foreign markets.
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Huawei Threatens Federal Government with Legal Action
If the decree is signed by the President of Brazil, the Chinese company is expected to appeal to the STF. According to the report, Huawei’s legal advisors consider the ban unconstitutional since it violates the principle of free enterprise.
Another proposal from the Federal Government, which denies authoring the document, would emphasize that each operator may have only two network suppliers in each location. However, this measure, already established in a previous ordinance, was discarded by telecom companies for violating free competition rules.
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