EU, US warn Malaysia of security risks in Huawei’s bid for 5G role

(Reuters) – The European Union and the US have warned Malaysia of risks to national security and foreign investment as it finalizes its review of its 5G rollout, allowing China’s Huawei Technologies Co Ltd to bid for a role in its telecom infrastructure, the Financial Times reported Tuesday. EU and US envoys to Malaysia wrote […]

EU, US warn Malaysia of security risks in Huawei’s bid for 5G role

(Reuters) – The European Union and the US have warned Malaysia of risks to national security and foreign investment as it finalizes its review of its 5G rollout, allowing China’s Huawei Technologies Co Ltd to bid for a role in its telecom infrastructure, the Financial Times reported Tuesday.

EU and US envoys to Malaysia wrote to the government in April after it decided to review a decision to award Ericsson an 11 billion ringgit ($2.5 billion) tender to build a state-owned 5G network. building, the report said, citing letters FT had seen.

Malaysia’s 5G rollout has met with repeated setbacks due to industry concerns over pricing and transparency, as well as concerns that a single government-run network would result in a nationalized monopoly.

Huawei has long been seen as the front-runner for the contract, with the government previously dismissing security concerns from the United States.

“Senior officials in Washington agree with my view that upending the existing model would undermine the competitiveness of new industries, slow 5G growth in Malaysia and damage Malaysia’s business image internationally,” the statement wrote. US Ambassador to Malaysia, Brian McFeeters, in one of the letters. .

“Allowing untrusted suppliers to enter any part of the network also exposes Malaysia’s infrastructure to national security risks.”

Huawei, the US Embassy in Kuala Lumpur, the EU Delegation to Malaysia and the Malaysian Ministry of Communications and Digital did not immediately respond to a request for comment from Reuters.

($1 = 4.4570 ringgit)

(Reporting by Jyoti Narayan in Bengaluru; Editing by Christian Schmollinger and Stephen Coates)