The construction of the 5G network in Europe will cost an estimated 55 billion euros more if Huawei equipment will be banned, reports Reuters on the basis of a report from industry association GSMA.
Huawei is currently under a looking glass, due to suspicions of espionage through the company’s mast tower equipment. Should it come to the point that the European Union will prohibit the use of the equipment from Huawei, this will result in 55 billion euros in extra costs according to GSMA.
Because Huawei is no longer a competitor, the trade association expects other suppliers of mast equipment to raise their prices. In addition, part of the existing Huawei equipment that is currently being used must be replaced to connect to the new hardware.
In addition, telecom providers expect implementation to be delayed by eighteen months.
The allegations against Huawei started in the United States, where Huawei’s equipment is now banned. However, concrete evidence has not been received so far.