The United States is pressing allies to ban Huawei from its 5G networks, and Sweden was one of the places that adhered to this idea. After the country confirmed that it would leave the Chinese manufacturer out of its new network infrastructure, the CEO of Swedish company Ericsson came out in defense of the rival.
In an interview with the Financial Times, Ericsson commander Borje Ekholm said that banning Huawei in Sweden is detrimental to the development of 5G in the country. According to the executive, the absence of the Chinese manufacturer in the Swedish market restricts competition and, consequently, slows down the growth of technology.
“I am part of the category that believes that competition makes companies better in the long run,” explains the commander of the Swedish company. “It can be painful in the short term, but it drives us to be innovative and create better products for customers.”
Europe falling behind
In addition to being detrimental to the development of the market, the CEO of Ericsson believes that the ban on Huawei could slow down the implementation of 5G in Europe. With this, the continent may be left behind in the market and lose space to countries in Asia and the Americas.
According to Borje Ekholm, the United States and China were quick to implement 4G and, currently, the app market is led by companies from both countries. “5G will be similar, but with business [the market]”, he explains. “Slowing the arrival of 5G is a risk to the economy.”
According to a report released by Ericsson recently, the 5G market may be worth up to $ 31 trillion in 2030, with a share of $ 131 billion coming from digital services, including games and virtual reality applications. “Europe is risking falling behind again,” said Ekholm.
The Swedish government banned Huawei from building the 5G citing concerns about “technology theft” and “intelligence gathering”, reasons constantly used by the United States to restrict the Chinese company’s operations. The manufacturer’s participation in the implementation of the new network standard is still being discussed in Brazil.