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US needs to raise funding to withdraw Huawei from 5G network

the United States government need to make an investment of more than US$ 3 billion if you want to remove all Huawei and ZTE equipment from the country’s 4G and 5G networks. The information was shared by the FCC during a meeting held with Senate congressmen.

That could bring the total cost of removing Chinese equipment to US$4.9 billion, far higher than the US$1.9 billion approved by the US Congress. Jessica Rosenworcel, chairman of the FCC, said:

Estimating all reasonable costs, operators need $4.98 billion and this reveals a gap of $3.08 billion.

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With the current value, companies that remove equipment from Chinese companies will only be reimbursed for 40% of their expenses and this undermines all credibility of the plan presented by the federal government.

Image: collectionTC.

As much as a bill passed in Congress in 2019 predicts that the United States will get rid of 4G and 5G equipment from Huawei and ZTE in a short period, the reality has proved to be much more challenging for the country.

That’s because the big operators need federal funding to put the plan into action. However, with a much lower value than the market required, many companies ended up leaving the removal in the background and some should only run after receiving the money.

In the absence of additional funding, the committee will use the prioritization plan designated by Congress,” Rosenworcel said.

The prioritization plan cited by the FCC president only considers carriers that rely on federal funding or have contracts with the US government.

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