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Kenya says it backs Huawei despite US policy against firm

Huawei in Africa.
Thursday, July 25, 2019

Kenya has joined South Africa in voicing its support for China’s beleaguered telecoms giant Huawei, saying it will not be influenced by decisions made about the company in Washington.

Speaking to the press in Nairobi last week, Joseph Mucheru, Kenya’s Cabinet Secretary (Minister) information and communications technology , said the East African nation would make its own decisions on the issue.

“Our policies are not driven by US policies as far as technology is concerned,” he said. “We pick what is best for us.”

Mucheru said he felt the trade war between China and the United States was more about politics than tariffs, technology or Huawei. “We are not going to be tied to what other people say, but we are going to make sure we get value for money for our citizens,” he said.

The Cabinet Secretary’s comments came after the US in May added Huawei to its “entity list”, which requires American companies to get approval from the US government before purchasing equipment from or selling components to the Chinese firm.

Huawei, which is among the world leaders in the development of next generation (5G) wireless communications technology, sources most of its components, including electronic chips, from US companies like Intel, Qualcomm and Broadcom.

Speaking at a conference in Johannesburg earlier this month, South African President Cyril Ramaphosa said Huawei had become a victim of its own success and suggested the US was envious of its achievements.

“And because they have been outstripped, they must now punish that company and use it as a pawn in the fight they have with China,” he said. “We want 5G and we know where we can get 5G.”

Adam Lane, Huawei’s senior director for public affairs in Kenya, said that the restrictions imposed by the US would not affect its business in Africa.

“We will continue working with suppliers around the world and diversifying our supply chain to prepare for all scenarios,” he said.

The company, which is the world’s largest telecoms equipment maker, was ready to provide 5G equipment to African operators as soon as they were ready to accept them, Lane said.

In February, South Africa’s mobile data-only network operator, Rain, said it had launched the country’s first 5G commercial network in partnership with Huawei, while the Chinese company has also teamed up with local telecoms firm MTN Group on 5G field trials in Pretoria.

Kenya’s largest mobile network operator Safaricom is also conducting 5G feasibility studies.

At the Belt and Road Forum in Beijing in April, Kenya and China signed a US$175 million deal under which Huawei will build a data center and other facilities for the Konza Technology City project, about 65 kilometers (40 miles) south of Nairobi.

Technology firms around the world are racing to commercialise 5G technology, which promises download speeds up to 100 times faster than current 4G networks. It is also expected to support the next generation of infrastructure, such as smart cities and driverless cars.

Analysts say that whichever nation wins the 5G battle could go on to shape geopolitics for the next several decades.

The challenge for Huawei, is that the US has identified it as possible threat to its national security because of its alleged links to the Chinese government.

New Zealand-based technology analyst Peter Wanyonyi said one effect of the ban on Huawei accessing US components was that the Chinese firm had accelerated the development of its own technology, including an Android-like operating system for mobile devices, and was expanding its chip manufacturing capabilities to reduce its dependence on Western suppliers.

But despite Huawei’s efforts to win the 5G race, it might be some time before its technology would have a significant commercial value in Africa, he said.

“Most African markets are poorly served by mobile networks, so the focus is likely to be on getting them up to speed with existing technology before investing in 5G, as there is no value in doing so.”

South China Morning Post © Copyright 2019

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