About a Dozen Smaller Carriers Buy Huawei Gear, Strand Says
About a dozen smaller carriers in the U.S. are using gear from Huawei, estimates consultant John Strand, who has studied the matter.. Some small carriers “have taken a calculated risk when choosing Huawei as their supplier, which now turns out…
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to be a bad decision,” Strand emailed Tuesday: “Our forthcoming study shows that there are cost-competitive alternatives to Huawei.” The Commerce Department gave rural U.S. carriers that use Huawei equipment a 90-day reprieve from a ban on doing business with the company (see 1908190040). The administration is right to focus on Huawei since “the vast majority of hacking attacks against governments and businesses in the Western world come from China,” Strand said. Blocking Huawei from buying U.S. components “largely affects Huawei's sales of phones outside the United States,” he said. “It has little impact in the U.S.” The decision is also good for Qualcomm, he said: “Qualcomm makes more money when the phone is embedded with a Qualcomm chipsets, rather than a licensed version produced by Huawei.”