Biden to UAE: Sheikh off Huawei or lose F-35s - Light Reading

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Abandon Huawei all you who enter here and want F-35 jets, has been President Biden's message to the UAE.

The UAE has been a phenomenal 5G success story, with adoption rates second only to China.

For the Emirates, making a success of 5G is a large part of a hoped-for national transformation from an economy based on oil – to a knowledge-based economy around services.

Conditional love: President Biden has told the UAE to ditch Huawei – or else.
(Source: White House)

The country had also planned its 5G network to be a showpiece for Dubai's Expo 2020 (though that was ultimately postponed because of COVID-19).

Washington is asking UAE to remove Huawei equipment from its networks within the next four years.

By comparison, Downing Street has given UK operators all the way until 2027 to remove Huawei equipment from the UK's networks.

This deadline, pointedly, is before the UAE is scheduled to receive $23 billion in as many as 50 F-35 Lightning II stealth fighter jets, 18 MQ-9B Reaper drones, and advanced air-to-air and air-to-ground munitions in 2026 or 2027.

UAE officials in return say they'd need longer, as well as to find an equally affordable alternative from Samsung, Ericsson or Nokia.

The Lockheed-Martin-produced fast jet has been described as the crown jewel of a US ally's arsenal, reserved for Washington's monogamous partners.

Washington had previously excluded Turkey from the F-35 program after President Erdogan's government purchased a Russian S-400 surface-to-air-missile system.

"The S-400 is incompatible with the F-35," Pentagon spokeswoman Jessica Maxwell said drolly.

Fly, Emirates

But Huawei, even if on its trotters globally, is never one to give up without a fight.

Or, for that matter, a charm offensive.

Huawei's chief security officer for the UAE, Aloysius Cheang, has begun working with local governments on smart city and e-government projects.

Cheang has also been seeking to train local talent in cybersecurity, and establish the country as a "globally trusted digital oasis" free from potential cyber threats.

As well as its critical infrastructure projects in the UAE, Huawei succeeded recently in being named co-chair of the Organisation of Islamic Cooperation's 5G security working group.

China's broader economic relations with the UAE are extensive, too.

They include $3.4 billion worth of deals in China's Belt and Road Initiative, aimed at developing the Port of Jebel Ali to ship Chinese products.

Bilateral trade, $2 billion at the start of the millennium, has increased to over $50 billion.

Jet Set Diplomacy

Meanwhile, Trump's administration had approved the F-35 sale as a side deal to a US-brokered agreement in September in which the UAE normalized relations with Israel.

Biden, following a review, decided to permit the sale to go forward.

Dubious Senate Democrats in response introduced legislation reasserting Congress's oversight of weapons deals, the Secure F-35 Exports Act of 2020.

This act, put forward in April by Senators Bob Menendez and Dianne Feinstein, would require the sales of F-35 to Middle Eastern countries not compromise Israel's military advantage.

Menendez, however, has said he is concerned the UAE still maintains a "burgeoning relationship" with China.

Prime Minister Emir Mohammed bin Rashid Al Maktoum's government has sought to keep its relations with China strong as a hedge against possible US withdrawal from the Middle East.

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Meanwhile, the UAE, which trades with Iran but views it as a competitor, is alarmed by Biden's attempts to coax Iran back into the nuclear deal which it agreed in 2015 with permanent members of the UN Security Council, Germany and the EU.

Under Trump, the US withdrew from that agreement in May 2018, after which Tehran announced in July 2019 it was resuming uranium enrichment above the deal's limits.

Between Iraq and a Hard Place

In all this unfolding drama, the UAE and its Gulf neighbors have settled into a possibly ultimately unsustainable pattern of looking to US military might for protection, while accepting other forms of assistance, especially during COVID-19, from China.

From the perspective of the Emirates, if Washington wants Gulf states to go it alone with them, the US will need to up its offer.

Beginning, perhaps, with RANs.

Related posts:

— Pádraig Belton, contributing editor special to Light Reading

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June 14, 2021 at 08:21PM
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Biden to UAE: Sheikh off Huawei or lose F-35s - Light Reading

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Huawei’s UK revenue and profit shrinks after 5G ban - Financial Times

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The looming financial impact of the UK government’s ban on the use of Huawei equipment in 5G networks has been laid bare after the Chinese company revealed shrinking revenue and profit at its British unit.

British telecoms companies were told last summer that they would be banned from buying the Chinese company’s 5G equipment from January 2021 and would have to remove any equipment they had already installed by 2027.

That gave companies including Vodafone and BT the opportunity to stockpile replacement equipment last year while preparing for a post-Huawei market from 2021 by signing supply contracts with Ericsson, Nokia or smaller players looking to fill the gap in the market left by the ban on the world’s largest telecoms equipment company.

Huawei Technologies, the UK operating unit, said that revenue in 2020 fell 27 per cent to £913m while operating profit, before interest and tax, dropped a quarter to £36.4m. The profit figure benefited from a £26m reduction in expenses during the period due to lower employee and travel costs.

It paid a £90m dividend to its parent company, up from £55m in 2019.

The UK business is a relatively small division of the broader Huawei business, which reported revenue rising to $137bn (£97bn) for 2020 with operating profit down to $11bn (£7.8bn) for the year.

The UK business nonetheless became a symbol of Huawei’s travails last year after the UK government performed a stunning U-turn having initially decided to allow limited use of Huawei’s 5G equipment.

Britain had long been the Chinese company’s gateway to the world and Huawei had gone as far to fund a testing centre, run by Britain’s security services, to reassure the government and industry that its equipment was safe.

Lord John Browne, the former BP chief executive, stood down as chair of Huawei Technologies last year. Sir Mike Rake, the former BT chief executive, followed suit in March this year.

Huawei said: “Political decisions have not only had a real impact on our UK business, the people we employ and our customers, they will delay the 5G rollout and put Britain into the digital slow lane.”

US authorities led the charge against Huawei, putting pressure on countries across the world to stop using the company to supply equipment for critical networks. A move to stop US companies supplying Huawei meant it was not able to use software for its consumer products, such as Android-based smartphones, and struggled to source chips.

It is likely that the full impact of the UK government ban will be evident in the 2021 accounts as the block on 5G equipment kicks in. The Chinese company still has operations in the country supplying broadband equipment and has significant research resources in the country. It is persevering with a plan to build a new photonics facility outside Cambridge despite the government ban.

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June 13, 2021 at 08:10PM
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Huawei’s UK revenue and profit shrinks after 5G ban - Financial Times

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Huawei is still on the hook as Biden fine-tunes America’s strategy with China - South China Morning Post

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[unable to retrieve full-text content]Huawei is still on the hook as Biden fine-tunes America’s strategy with China  South China Morning Post The Link Lonk


June 12, 2021 at 11:00AM
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Biden Prods UAE to Dump Huawei, Sowing Doubts on Key F-35 Sale - Bloomberg

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[unable to retrieve full-text content]Biden Prods UAE to Dump Huawei, Sowing Doubts on Key F-35 Sale  Bloomberg The Link Lonk


June 11, 2021 at 11:00AM
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US Ban of Huawei and the Impacts on the Smartphone and Mobile Processor Markets in 2021 and Beyond - Yahoo Finance

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DUBLIN, June 11, 2021 /PRNewswire/ -- The "Possible Development of the Smartphone and Mobile Processor Markets After Huawei Ban" report has been added to ResearchAndMarkets.com's offering.

Research and Markets Logo

After the U.S. Foreign Direct Product Rule came into effect, Huawei can no longer obtain chips externally, putting its smartphone business in danger.

As a result, Huawei announced the decision to sell its smartphone brand Honor on November 17, 2020. This report looks at Honor's future development and Huawei's possible plans for its semiconductor arm Hisilicon and forecasts the outlook for the smartphone and mobile processor markets in 2021 and beyond.

List of Topics

• Background of U.S. Ban on Huawei

• Development of the smartphone market amid the ongoing Huawei ban, touching on key factors driving market shares and strategies adopted by leading players like New Honor Company and Apple

• Use Scenario Analysis to predict what New Honor Company and Apple would do and the possible outcomes to the global smartphone industry and its supply chain

• Development of the mobile processor market amid the ongoing Huawei ban, touching on key factors driving market shares

• Use Scenario Analysis to predict what Huawei would do if the ban relaxed or remains and the possible outcomes if Huawei spins off Hisilicon due to continued ban

Key Topics Covered:

1. Background

2. Smartphone Market Development

2.1 Key Factors Driving Market Share Changes: Pricing Strategies of New Honor Company and Apple
2.1.1 New Honor Company Targets High-end Market Segment with Complete Product Lines
2.1.2 Apple Puts More Effort to Develop Low-priced Smartphones
2.2 If New Honor Company Focuses on Mid-range and Value-line Models to Compete with Xiaomi, Oppo, and Vivo
2.2.1 Impact on Global Smartphone Industry: Prices of Non-Samsung Android Phones Will Plunge
2.2.2 Impact on Smartphone Supply Chain: Orders for Components Will Increase but Profits May Decline
2.3 If Honor Company Focuses on High-end Models and Apple Increases Value-line Models
2.3.1 Impact on the Worldwide Smartphone Industry: Apple Will Strike Back and Secure More Share in China
2.3.2 Impact on Smartphone Supply Chain: Some Suppliers Will Benefit from Order Shifts but Assembly Vendors May be Affected by Apple's Chinese Supply Chain
2.4 If New Honor Company and Apple Both Focus on High-end Models
2.4.1 Impact on the Global Smartphone Industry: Competition in the Industry Will Remain Intact
2.4.2 Impact on Smartphone Supply Chain: Suppliers Will Gain Orders from New Honor Company Instead and May Cut into the U.S. Supply Chain

3. Mobile Processor Market Development

3.1 Key Factors Driving Market Share Changes: Relaxation of Huawei Ban and Spin-off of Hisilicon if Huawei Ban Remains
3.1.1 Ban Relaxed: Huawei Will Use Third-party Chips in the Short Term
3.1.2 Ban Remains: Huawei Will Very Likely to Spin off Hisilicon and Affect the Mobile Processor Market Shares
3.2 If Huawei is Still Unable to Acquire Enough Volume of Chips in the Short Term Despite Ban Relaxation
3.2.2 Mobile Processor Manufacturers Will be in a Favorable Position in the Short Term With or Without Ban Relaxation
3.3 If Huawei Spins off its Business to Survive Due to Continued Ban
3.3.1 Solution #1: Hisilicon Becomes an Independent Chip Foundry Supported by the Chinese Government
3.3.2 Solution #2: Hisilicon Becomes a Chinese IT Brand's Subsidiary
3.3.3 Challenges to Future Development of Hisilicon

4. Perspective

Companies Mentioned

For more information about this report visit https://www.researchandmarkets.com/r/gdimza

Media Contact:

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June 11, 2021 at 09:00PM
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Huawei demonstrates industry first single-wavelength 1.6+Tb/s field trial - Huawei

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[Munich, Germany, June 10, 2021] Huawei has completed an industry leading optical DWDM field trial with line rates per single-wavelength 1.66 Tb/s in a high capacity data center interconnect (DCI) scenario. Together with a European tier 1 operator, this research trial was performed on 96.5km of field-deployed standard G.652 fiber using EDFA-only amplification. A total of 34 channels were transmitted with 150GHz spacing for a total fiber capacity of more than 56Tb/s and a spectral efficiency of higher than 11bit/s/Hz.

Additional demonstrations featured single-wavelength transmission of 1.77Tb/s over 60km, 1.65Tb/s over 120km and 1.6Tb/s over 180km. This record-breaking achievement was accomplished with Huawei’s advanced channel-matched shaping (CMS) algorithms. It includes the advanced non-linear digital signal processing and advanced modulation based on 400QAM using enhanced probabilistic constellation shaping (ePCS). Particularly, the use of deep neural networks powered algorithms achieves superior performance over state-of-the-art signal processing.

In a further display, a metro network demonstration was performed, showcasing 1.28 Tb/s net bitrate per single-wavelength in a ROADM-based metro network link of 452km G.652 fiber also employing EDFA-only amplification.

Dr. Maxim Kuschnerov, Director of the Optical and Quantum Communications Laboratory said: “We achieved an important milestone towards the era of 1.6 Terabit per second transmission in DCI and metro networks. Furthermore, deploying a Super-C+L band line system, the total fiber capacity could exceed 100Tb/s and provide sufficient room for future network growth driven by the rapid expansion of cloud services.”

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June 11, 2021 at 02:56PM
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China's Huawei aims to reach driverless car technology in 2025 - Reuters

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A view shows a Huawei logo at Huawei Technologies France headquarters in Boulogne-Billancourt near Paris, France, February 17, 2021. REUTERS/Gonzalo Fuentes/File Photo

China's Huawei Technologies (HWT.UL) aims to develop driverless passenger car technology by 2025, an executive said on Thursday, as the world's largest telecommunications equipment maker diversifies its business in the face of U.S. sanctions.

"Our team's goal is to reach true driverless passenger cars in 2025," Wang Jun, senior executive at Huawei's smart vehicle unit, told an industry conference.

Dozens of startups, automakers and large technology firms such as internet search leader Baidu Inc (9888.HK) are accelerating work on self-driving vehicle systems which are expected to bring a sea change to the transportation industry.

Huawei has pivoted to smart electric vehicles after its global smartphone business was hammered by U.S. sanctions. The previous Trump administration labelled the company a threat to U.S. national security - a charge it denies.

Our Standards: The Thomson Reuters Trust Principles.

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June 11, 2021 at 09:18AM
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China's Huawei aims to reach driverless car technology in 2025 - Reuters

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