Huawei 'threatens' to pause investment in India if denied 5G clearance

Chinese telecom giant Huawei has threatened to cease its investment in India ahead of government's plan to begin 5G trials, according to reports. Till date, Huawei is said to have invested 3.5 billion dollars in India's telecom infrastructure. Of late, concerns have been raised about Huawei's network security and Indian government is reportedly sceptical about allowing Huawei permission for 5G trials in country.

Talking to a newspaper, Jay Chen, CEO of Huawei India, reportedly said: “We are making 2G, 3G and 4G equipment at our Chennai unit. We are w studying new manufacturing rates and policy. We are open to manufacture 5G equipment, and even look at exports… but if I am t allowed to participate in 5G here, n why would I have manufacturing here?”

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government will keep national interest in mind while deciding wher Chinese gear maker Huawei should be allowed to participate in 5G trials, Telecom Secretary Anshu Prakash said on Tuesday. department also hopes to conduct spectrum auction by December-end or January for which Digital Communications Commission (DCC) will take a call on base price of airwaves, followed by a Cabinet approval. DCC is apex decision-making body at Department of Telecom (DoT).

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India's stand on Huawei

Prakash also clarified government's position (on Huawei) that whatever is in best national interest will be done. However, Prakash did t mention a timeline for a decision in this regard. Earlier this month, Huawei had said it is hopeful that Indian government will treat all foreign investments "fairly" and had urged authorities to make an "independent decision" on permitting 5G trials in country.

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Speaking at CII India China Ecomic Cooperation Forum, Jay Chen had also sought to assure Indian government that company is fully compliant with regulations in India and of addressing concerns around cybersecurity. India is yet to decide on wher it intends to allow Huwaei to participate in 5G trials or t.

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In US, Huawei has been facing a ban over security concerns. Earlier, US had barred American companies from working with Huawei but has given reprieve till vember.

(With PTI inputs)