Beijing time, July 8 (ACE) according to a report from Reuters,If Brazil succumbs to pressure from the US and abandons Huawei, Brazil could delay the deployment of 5g telecom networks for several years and cost more, a Huawei executive warned.The comments came as the trump administration stepped up efforts to limit Huawei's launch of 5g technology in Latin America's largest economy.
U.S. ambassador Todd Chapman even hinted that Washington was willing to fund Brazil's purchase of equipment from other suppliers.
Brazilian president jair bolsonaro said last month that 5g deployment must meet national sovereignty, information and data security requirements. Bosonaro, who has long been skeptical of China, has taken a less brutal stance against China since taking office in 2019, but he is still a close ally of trump, Reuters reported.
Marcelo Motta, head of Huawei's network security and solutions, said in an interview late Monday that restricting Huawei's participation "will only delay the deployment of 5g in Brazil and ultimately affect the service prices of operators, regional internet service providers and customers.".
In the past 22 years, Huawei's market position in Brazil has been increasing, and Brazilian operators have used Huawei equipment in their telecom network infrastructure.
"In places where Huawei is restricted, prices tend to rise 2-5 times, which usually prevents operators from doing business," Marcelo Motta said
He pointed out that Brazil already faces the challenge of expanding its existing infrastructure. Replacing suppliers will require operators to replace installed equipment rather than simply upgrade existing equipment.
"Making this change is like poking a hornet's nest." The Huawei executive said. He stressed that the US allegation that Huawei equipment is vulnerable to Chinese eavesdropping is groundless.
Huawei has successfully conducted 5g test cooperation with all major Brazilian operators Telefonica Brasil SA, Tim participacoes SA, American Movil's Claro and oi SA, and is helping them modernize and upgrade their infrastructure before 5g spectrum auction.
"We've prepared a solution that uses software (at current frequencies) to bring five G to the Brazilian market." "Once the government releases the new frequency, we can also extend it using hardware ," Marcelo Motta said.
From 2009 to 2019, Huawei invested about US $4 billion in 5g technology development worldwide. The company plans to produce the new technology at one of its two production bases in Brazil.
Marcelo Motta said part of the company's operating costs increased during the outbreak due to reduced flights and increased air transportation costs. However, he added that the problem was "not serious yet.".
The blockade brought about by the new outbreak has also increased the demand for Huawei's products and services, as network traffic in Brazil has increased by about 50%.