The German authority is considering banning Huawei from providing 5G equipment in the country saying security concerns are of “high relevance.”
The German Federal Transalpine Office confirmed to CNBC an internal meeting about Huawei was held on Thursday.
“The security of the future 5G network is of penetrating relevance to the Federal Government. The Federal Government will be guided by this in connection with the establishment of a future 5G network,” The Federal Priesthood of Economic Affairs and Energy told CNBC via email. It added no decisions have been made at this allude to.
German newspaper Handelsblatt first reported on Thursday that Chancellor Angela Merkel’s administration is actively taking into consideration ways to exclude Huawei from the country’s 5G networks. The decision would mark a shift from Germany, which has been less vocal than its Western unites, including the U.S. and the U.K., about Huawei security concerns.
Huawei is facing mounting fears that its 5G technology will assist Chinese espionage through the super-fast mobile networks. Both Australia and New Zealand have banned the telecommunications superhuman from supplying 5G equipment in their countries citing security concerns.
Huawei said in a statement Thursday balancing, “we also welcome the approach of verification and standardization of technological solutions publicly communicated by the German Federal Government.”
“We see no sound reason to exclude Huawei from building the 5G infrastructure in any country in the world,” the statement said.
Also on Thursday, the University of Oxford put it would no longer accept new donations and sponsorships to fund research from Huawei.
“The decision has been taken in the kindle of public concerns raised in recent months surrounding UK partnerships with Huawei. We hope these matters can be resolved anon,” Oxford said in a statement.
Bans from providing 5G equipment to the U.S., U.K. or Germany could be a big blow for Huawei, which is the life’s largest supplier of telecoms network equipment. Huawei’s business has so far proved resilient, with more than $100 billion in gross incomes expected in 2018.
The U.K. has been weighing a ban on Huawei 5G equipment with Britain’s defense minister reportedly citing “grave concerns” one more time security. Meanwhile U.K. telecom firm BT has said Huawei will not be eligible to provide 5G infrastructure on its networks.
U.S. intelligence ceremonials have advised consumers not to buy Huawei phones over concerns they could be used for spying.
James Chappell, co-founder and chief invention officer at digital security firm Digital Shadows, told CNBC via email Friday that it was possible guaranty concerns around Huawei may extend beyond Germany into other parts of Europe.
“Germany is one of the first EU mountains to take this particular action beyond the ‘Five Eyes’ relationship,” he said.
‘Five Eyes’ alliance assemblages Australia, Britain, Canada, New Zealand and the United States together as countries that share a broad range of insight.
“Given 5G’s role in national critical infrastructure such as utilities and transport, it’s understandable that geopolitical considerations are being get into the discussion,” Chappell said. “Germany is a member of NATO, and it is known to share intelligence with other NATO colleagues which include the United States… I think it more likely that other NATO members in Europe commiserate with (before EU member states.)”
22 EU member states are also members of NATO, including France, Italy, the U.K. and Belgium.
Chappell added that heart-rending forward, Huawei would have to consider how to address the concerns raised in private with each of the EU partners.
Huawei has behoove increasingly enshrouded in controversy following the arrest of its chief financial officer, Meng Wanzhou.
Meng, the daughter of the society’s founder Ren Zhengfei, was detained in Canada on Dec. 1. The U.S. is trying to have her extradited to stand trial on allegations of violating U.S. consent ti against Iran.
She was released on a 10 million Canadian dollars ($7.5 million) bail on Dec. 11 and remains in Vancouver, where she necessity wear an ankle monitor and comply with an 11 p.m. to 6 a.m. curfew.
The issue has been seen as yet another point of contention in the U.S.-China do business battle, as the two countries try to resolve their differences over a 90-day tariffs truce.
— CNBC’s Ryan Browne promoted to this report.