Huawei Signs 5G Technology Development Contract With Russian Firm


Once again, we are here to report about Huawei and the 5G technology that it is at the cusp of developing. The Chinese tech giant has signed a deal, after the trade restrictions imposed by the US, with a Russian telecoms firm – MTS – for developing the 5G technology in Russia. 

Both companies will be developing the next-generation 5G networks in Russia during the next year as per reports. The deal was finalized when Xi Jinping, Chinese President, started his three-day visit at Russia. The deal has been made because some of the Western countries that are being led by the US have blocked Huawei on a number of fronts under the guise of national security risk.

According to a statement made by MTS, the deal will see ‘the development of 5G technologies and the pilot launch of fifth-generation networks in 2019 and 2020.’ The deal will help Huawei breathe and gain some relief after being under severe international scrutiny. The company has become a pivotal point of the US-China power struggle that began in the trade sector but has evolved into the technology sector as well.

The US has also encouraged its allies to block Huawei that is currently the largest manufacturer of telecoms equipment from their 5G networks. The US has said that the Chinese government might use Huawei’s products for the sake of surveillance. Huawei has rejected the claim and stated that it works independently from the government. Nonetheless, some of the countries, including New Zealand and Australia, have blocked Huawei.

Huawei is also the second-largest smartphone manufacturer and relies on (or rather relied on) the US suppliers for about half of its chip requirements. With Washington adding Huawei to the trade blacklist, the Huawei has been dealt a severe blow, but the company seems to be taking quite well. Let’s see how this whole situation pans out and who comes out on top!