Globe Is Not Cutting Ties
Globe Telecom, Inc., one of the largest network provider in the country, disclosed that it will continue its partnership with Huawei Technologies Co., Ltd., which includes its plan to start providing a 5G network to the nation. This is despite the current war between the United States and China regarding putting the tech giant on a trade blacklist during the past week. The tie-ups will continue as the 5G network is set to launch in June. We’re just counting the days until next month and it seems like the firm doesn’t want any delays on the current project it’s working on.
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Years Of Relationship With Huawei
According to Globe, they have been in a great relationship with the tech giant for the past 10 years. The firm has a lot of information about the commotion and reported that they received pre-warnings from Huawei. The tech giant assured the firm that in the coming years, it will be independent of the US. To add, the capital expenditure of Globe this year is expected to reach P63 billion and a major part of it will be Huawei equipment. The firm also told that the pre-selling units are mostly Huawei so they will continue to support the tech giant. Together with its competitor PLDT, Inc., they announced that they are working on to address the Huawei concerns of the customers since Alphabet, Inc.’s Google is ending their ties with the Chinese tech company.
Banning of Huawei
Last week, the President of United States, Donald Trump, issued an executive order to prohibit firms in the United States from utilizing information and communications technology from a source that is considered a national security threat. With regards to this, he declared a national emergency to address the issue. The order was seen aiming at Huawei as the Commerce Department of the US put the Chinese tech firm together with its 70 affiliates on the country’s “Entity List.” This list is considered as a trade blacklist that bans people from purchasing its components. If they will buy, they will be needing the approval of the government first. Subsequent to this, companies started backing away from their partnership with Huawei.
Google And Chipmakers Back Away
It has also been reported that chipmaker including Broadcom, Intel, and Qualcomm will stop supplying Huawei. This is followed by Google backing away from supplying android services to the Chinese tech firm. This is expected to detriment the smartphone business of Huawei. In spite of this, Globe believes that Huawei is really an independent company, which is why it will continue not just the 5G network provision but as well as the selling of its mobile units. There is also an assurance from Google and Huawei that the handsets sold in the market won’t have a problem accessing google. However, Globe said that they have to see and decide whether to hand out the new Huawei models or not since these will no longer have access to Google.
