The Canadian government said on Thursday it would not allow Canadian wireless carriers to install Huawei equipment in its high-speed 5G networks, joining allies in banning the Chinese tech giant.
Canada is the only member of the Five Eyes alliance that does not ban or restrict the use of Huawei Technologies Co. equipment in its 5G network. The US and other member states – the UK, Australia and New Zealand – have previously banned Huawei.
“We announced our intention to ban the inclusion of Huawei and ZTE products and services in Canada’s telecommunications system,” said Industry Minister François-Philippe Champagne.
The Canadian ban also includes one of China’s largest tech companies and state-owned ZTE. Champagne added that “the vendor who installed this equipment will be required to stop using it and remove it.” He said Canadian wireless companies would not be compensated. Canada’s major wireless companies have already started working with other providers.
“There are many hostile actors ready to exploit loopholes in our defences,” said Public Safety Minister Marco Mendicino. Mendicino said the government has conducted extensive scrutiny and is redoubling its efforts to protect Canadians.
For years, the US government has lobbied allies such as Canada to exclude Huawei from new superfast 5G mobile networks out of fears that Chinese Communist Party rulers could force the company to help with cyberespionage. US has warned that it will reconsider sharing intelligence with any country that uses Huawei equipment.
The company has repeatedly denied the allegations. “We are disappointed but not surprised. We are surprised that it took the government so long to make a decision,” said Huawei spokesman Alykhan Velshi. “We see this as a political decision, mainly from political pressure in the US.”
Velshi said Canada will have Huawei equipment in the next few years. The company has more than 1,500 employees in Canada, two-thirds of whom work in research and development, he said.
As more things connect to the internet and innovations such as virtual reality, immersive gaming and self-driving cars emerge, the development of 5G or fifth-generation networks will provide people with faster online connections and massive data capacity to satisfy Greedy needs.
Huawei is the world’s largest supplier of network equipment to telephone and Internet companies. It has always been a sign of China’s march toward the world’s technological powerhouse, and a topic of concern for US security and law enforcement. Some analysts say Chinese companies are ignoring international rules and norms and stealing technology.