BERLIN, March 19, 2019 (BSS/AFP) – Germany launches its auction Tuesday for
the construction of an ultra-fast 5G mobile network as a transatlantic
dispute rages over security concerns surrounding giant Chinese telecoms
equipment maker Huawei.
The United States has threatened to end intelligence sharing with Berlin if
it does not exclude hardware made by Huawei from the infrastructure, arguing
that Chinese equipment could help Beijing spy on Western companies and
governments.
Attempting to play down the row on Monday, Jochen Homann, chairman of the
German Federal Network Agency (BNA), said: “No matter whether a supplier
comes from Sweden or China, companies must meet certification requirements
and security checks.”
‘5G’ — ‘fifth generation’ — is the latest, high-speed generation of
cellular mobile communications and Berlin will require winning bidders to
offer 5G service to at least 98 percent of German households, motorways and
rail lines.
Germany, Europe’s biggest economy whose wireless networks rank 46th in the
world for download speeds, wants to close the sizeable digital gap by making
the shift to the ultra-fast 5G system.
The BNA starts the auction in Mainz at 0900 GMT on Tuesday and the process
will allocate 41 different frequency blocks.
Four operators are in the running, among them Germany’s three main mobile
network providers — Deutsche Telekom, Vodafone and Telefonica Germany (O2) –
– plus United Internet (1&1), a German company specialising in internet
services.
Chinese firm Huawei is not one of the bidders but provides the four German
companies with essential hardware — such as antennas and routers.
The US has accused Beijing of using Huawei’s 5G network gear as a Trojan
horse, forcing operators to transmit data to the regime, but Washington has
not provided evidence to support their suspicions.
Huawei has strenuously denied allegations its equipment could be used for
espionage.
Chinese Foreign Minister Wang Yi on Monday lashed out at what he called
“abnormal, immoral” attacks on Huawei and demanded a “fair and just
competition environment” for Chinese firms.
US-led attempts to encourage other nations to ban Huawei equipment from
their telecoms infrastructure suffered a setback when Chancellor Angela
Merkel’s government decided against imposing company specific-restrictions on
the 5G auction.
– US fears of security compromise –
US ambassador to Germany Richard Grenell last week warned that Washington
could stifle intelligence cooperation unless Berlin agreed a Huawei ban.
In a letter, Grenell told Peter Altmaier, Germany’s economy minister, that
intelligence-sharing cooperation could cease if Berlin allows the Chinese
firm to be part of the 5G network.
The threat escalated last week when NATO’s Supreme Allied Commander in
Europe, US General Curtis Scaparrotti, warned Germany that NATO forces would
cut communications if Berlin works with Huawei.
“We’re concerned about their (Germany) telecommunications backbone being
compromised in the sense that, particularly with 5G, the bandwidth capability
and ability to pull data is incredible,” Scaparrotti told the House Armed
Services Committee last Wednesday.
“If it also is inside of their defence communications, then we’re not gonna
communicate with them.
“And for the military that would be a problem.”
Merkel has tried to reassure senior figures in Washington by saying Germany
would consult with the US over whether to use Huawei tech, but would “define
our standards for ourselves”.
However, Germany’s Federal Intelligence Service (BND) shares some of the US
fears.
BND security experts have asked the government to take China’s overall
strategy into account, including a law on forced cooperation in security
matters, according to a report in Der Spiegel magazine.
Other media outlets claim Berlin is drawing up a catalogue of measures, for
all 5G providers, to change the telecommunications laws.
These measures range from a non-espionage clause to the requirement of
testing all components and the obligation to publish source code used in
infrastructure.
In some cases, the government could insist equipment already installed is
replaced, which could exclude Huawei from the infrastructure without
pronouncing a formal ban on the Chinese firm, according to business daily
Handelsblatt.