The fifth generation of mobile networks – 5G has everything to be a world revolution, but it seems that the Brazilian Federal government wants to bar some actions by Huawei. And, contrary to what many may think, this is not only due to speed, but also in terms of latency.
There is a decree being prepared by the “ideological wing” of the federal government that aims to bar Huawei from participating in the 5G Auction in Brazil, which is expected to take place in mid-June 2021, as reported in Folha de S. Paulo, this Tuesday (8).
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Standard aimed at banning Huawei in dispute over 5G prepared by GSI needs approval from the President
The regulation, prepared by the Institutional Security Office (GSI), only needs the authorization of the President of Brazil to be concluded, in agreement with the sources heard by the newspaper. The document has the following proposal for creating rules to make it difficult for Huawei to compete for 5G.
Among the ideas in the Federal Government is the requirement that companies that are interested in the competition for the development of the structure of the national 5G network, have shares traded in the country. In the past, the option for such a rule could also result in the impediment of other suppliers, such as Cisco, Samsung, Nokia and Ericsson, in which they have shares negotiated only in the foreign market.
Huawei threatens federal government to appeal to justice
If the decree is signed by the President of Brazil, the Chinese company will have to resort to the STF. According to the report, Huawei's legal advisors consider the ban unconstitutional, as it violates the principle of free enterprise.
Another proposal from the Federal Government, which denies the authorship of the document, would be to emphasize that each operator has only two network providers in each location. However, such a measure, already issued in a previous ordinance, was discarded by the telecoms for violating the rules of free competition.
