The Strategist

Head of Nokia warns about delays in introduction of 5G in Europe

02/26/2019 - 02:32

Nokia CEO Rajeev Suri warned about a delay in introduction of 5G networks in Europe due to frequency and regulation problems.

Kārlis Dambrāns
Kārlis Dambrāns
“I think that [introduction] of 5G will be delayed in Europe,” Suri told CNBC at the World Mobile Congress.

"Frequency spectrum is available in some countries, but not in all," said Head of Nokia, adding that the market is subject to excessive regulation and that "consolidation is not allowed."

He suggested that introduction of new technology in Europe will lag behind the United States and China, which are making great strides in the development of 5G.

Prospects for the transition to 5G is overshadowed by disputes around the Chinese technology giant Huawei.

Huawei, the world's largest manufacturer of telecommunications equipment, is now  in the spotlight due to suspicions that the Chinese government may use the company's equipment for spying. The company itself has repeatedly denied such allegations.

Earlier, the United States called on EU countries not to buy Huawei equipment to create a fifth-generation mobile network infrastructure.

In turn, Suri said that Nokia is closely following developments around Huawei.

Meanwhile, Ericsson CEO Borje Ekholm warned that Europe risks lagging behind other regions in deploying 5G networks due to burdensome regulation and weak investments, and not because of security problems with Chinese equipment, Reuters reports.

“The reality is that less than half of the European countries actually gave out frequencies for 5G. There is a lot of uncertainty about how much it will cost,” he said.

"This is a very tightly regulated sector, so the overall investment climate, I think, is the main reason for which we are moving slowly," added Head of Ericsson.