According to a report by the Russian Satellite News Agency on November 16, the Swedish Postal and Telecommunications Administration announced on October 20 that on the grounds of “information security”, it banned Swedish telecom companies participating in 5G spectrum auctions from using Huawei or ZTE’s Equipment, those companies that are using their equipment, must complete the overall replacement of the equipment by 2025. After the Swedish agency announced the decision, many experts believed that Ericsson would be the biggest winner this time. However, the Ericsson CEO expressed support for Huawei in an interview. The reasons given by Ericsson in lobbying the Swedish authorities to lift the ban on Huawei equipment made the Swedish authorities very dumbfounded. Some senior Swedish officials also complained about why Ericsson did not say so early.
Huawei has been cultivating in Europe for many years. The reason why its equipment is widely used in Sweden and other countries has an important relationship with Huawei's operations in Europe for many years. The Swedish authorities used the so-called "information security" as an excuse to prohibit their telecommunications companies from using Huawei equipment. They did so not only to please the United States, but also to protect their own Ericsson. Ericsson also has a lot of business in the 5G field. Huawei and Ericsson are competitive in the market, but Ericsson has a lot of investment in the Chinese market, and the Chinese market has also created a lot of profits for its company.
According to statistics, the mainland market in 2019 brought 7% of Ericsson's revenue, but in the third quarter of 2020, this number has increased to 8.5%. For Ericsson, the mainland market is unwilling to give up. The Swedish Post and Telecommunications Administration's suppression of Huawei is unreasonable. Once my country adopts the same measures against Ericsson, Ericsson's losses will be very large. Experts believe that the mainland market is not only important to mainland Chinese companies such as Huawei and ZTE, but also important to international "players" such as Ericsson and Nokia. If companies relax in the mainland market, they may lose their leading position in the world. , Because other countries do not have the basic development conditions for 5G and big data.
Ericsson CEO Bao Yikang said in an interview: "Ericsson supports the lawsuit initiated by Huawei in Sweden. This world needs a level playing field." It is reported that Huawei has officially initiated a lawsuit against Sweden, and the Stockholm court issued a temporary injunction to stop Sweden. Additional terms of the Administration for Huawei. Experts believe that the temporary injunction issued by the Swedish court cannot fundamentally solve the problem. Huawei should continue to file lawsuits to protect its rights.
Analysts believe that with the defeat of Trump’s campaign, the "network" he built to suppress Huawei suddenly lost its backbone, and many countries have lost their direction as a result. They can only ease their relationship with Huawei. Other European markets such as Sweden are very important to Huawei. If these countries target Huawei on the grounds of so-called "information security", our country will inevitably launch a powerful counterattack.