US and EU Have Teamed Up to Fight Huawei

US and EU Have Teamed Up to Fight Huawei

Did you ever think that the United States was done with Huawei after loading them with multiple sanctions? Then you may have to think again. From all indications, the purpose of the ban was to kick Huawei out of business. However, the Chinese tech giant is far from quitting the tech market. Huawei is fighting against all odds to come back even stronger. Last year, it invested billions of dollars into research and development and still investing more.

Huawei has also announced that they have been able to replace over 13,000 US-related components in their products. Apart from that, the company has also previously reported a 30% revenue growth for 2022. All these clearly point to the fact that Huawei is on course to bounce back. Hence, the need for the US to do more. The latest move of the United States is to team up with the European Union to warn Malaysia against using Huawei technology.

EU and US Warn Malaysia Against Huawei

According to a report from Reuters, the European Union and the US have warned Malaysia against using Huawei products. Currently, Malaysia is finalizing a review of its 5G rollout. The country is considering the possibility of involving Huawei Technologies Co Ltd to bid for a role in Malaysia’s network infrastructure. In this regard, the EU and US have warned Malaysia over national security risks and foreign investment if it involves Huawei. The Financial Times reported this on Tuesday.

In April, representatives of the EU and US wrote a letter to the government. The letter had to do with Malaysia’s decision to reconsider its decision of giving Ericsson 11-billion-ringgit ($2.5 billion) contract. The purpose of this contract was for Ericsson to build the 5G network that was owned by the state.

For some time now, the Malaysian government has considered Huawei as the best option for its 5G rollout. The government even went the extra mile to dismiss the security concerns that the US government raised. Highlights of the letter from UE and US read to Malaysia government read:

“Senior officials in Washington agree with my view that upending the existing model would undermine the competitiveness of new industries. It will stall 5G growth in Malaysia. It will also harm Malaysia’s business-friendly image internationally.” Brian McFeeters the U.S ambassador to Malaysia wrote in one of the letters. “Allowing untrusted suppliers in any part of the network also subjects Malaysia’s infrastructure to national security risks, he wrote.”

No Comment on This Yet

Reporters from Reuters have approach Huawei, he EU delegation to Malaysia and the Malaysian Ministry of Communications and Digital. However, none of them have come out to comment on the matter.

Will Malaysia finally listen to warnings from the US now that the EU is involved? Or it will stick to its decision of allowing Huawei take part in its 5G rollout. We are currently keeping close tabs on this report. We will come out with an update whenever something new comes out.