Portugal’s govt maintains ban on Chinese 5G equipment

Portugal’s new centre-right government has decided to maintain the previous administration’s ban on telecoms firms using Chinese equipment in their 5G networks. This decision places Portugal among the European countries with the strictest restrictions on Chinese technology in 5G infrastructure.

The ban was imposed by the CSSC cybersecurity board in May 2023, impacting Chinese technology giant Huawei’s efforts to enter the Portuguese 5G market.

The CSSC is the prime minister’s consultative body and its ban was a blow to Huawei’s efforts to enter Portugal’s 5G market and possibly extend existing contracts.

The new Portuguese government took over in April.

“There are certain policies that must have continuity and security is one of them,” Infrastructure Minister Miguel Pinto Luz told broadcaster NOW late Monday.

Luz acknowledged that Portugal’s stance is stricter than some other European countries but aligns more closely with the United States.

The ban is expected to have a significant economic impact, with a study by EY estimating potential costs of over €1 billion. However, the minister downplayed the financial implications, stating that operators will have ample time to replace the equipment.

Portugal’s main telecoms operators, Altice, NOS, and Vodafone, have already announced their plans to avoid using Huawei’s technology in 5G core networks. They will need to dispose of existing Huawei equipment in their infrastructure.

The ban reflects growing concerns among Western countries about the potential security risks associated with Chinese involvement in critical infrastructure. China and Huawei have rejected these concerns.

Attribution: Reuters