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Three Major Canadian Telecommunications Companies Rejected Huawei

Well-known Chinese news site NetEase (NASDAQ: NTES) recently reported that Canada’s two largest telecommunications providers, Bell Canada and Telus Corp., announced they will partner with Ericsson and Nokia for their core 5G networks. Both companies said earlier in the year that they would still use Huawei’s 5G technology. Experts expressed their beliefs that the latest development on the case of Huawei CFO Meng Wanzhou as well as the potential loss of U.S. government contracts changed the minds of these two companies. Another key Canadian telecommunications company Rogers Communications had already started its partnership with Ericsson in 2018. Thus all major Canadian telecommunications vendors have rejected Huawei for 5G, although the Canadian government has not finalized its decision on Huawei. Analysts agreed that these latest announcements will significantly ease the pressure the Canadian government has on combating the challenges from the Chinese government. Huawei supported Bell Canada’s latest decision and will continue to provide Bell with non-5G equipment.

Source: NetEase, June 3, 2020