As South Korea tries to become the first country to deploy the 5G network, global suppliers are competing to sell South Korea with switches, base stations and other equipment needed for 5G network operations. Samsung's smartphones and storage chips are well known, but if their devices are excluded from the most advanced wireless network in South Korea, it will be a blow to it. Previously, Samsung had suffered a series of setbacks.
HUAWEI has become the world's largest manufacturer of network equipment, is advancing 5G technology and investing in R & D, becoming one of the largest patent holders in the world. At the beginning of this year, the future of HUAWEI has attracted much attention. At that time, the US president vetoed the Broadcom Corp's acquisition of Qualcomm Corp because it was worried that the deal would help HUAWEI in the 5G network.DevelopmentTake the lead in the middle.
"HUAWEI has been actively promoting the development of 5G technology, starting earlier than other companies," Pu Zhenxiao (Park Jin-hyo), the executive vice president of SK telecommunications, said in an interview, "we will consider the cooperation with HUAWEI in an open manner, without any prejudice."
HUAWEI was ahead of Samsung mobile infrastructure market last year.
Pu Zhenxiao said that while SK Telecom is aware of security concerns associated with HUAWEI, the company is considering other factors including technology and cost. He also said that if HUAWEI's equipment failed to meet the global safety standards, SK Telecom would not consider HUAWEI.
SK Telecom and its smaller rival, Korea Telecom and LG Uplus, have more than 56 million subscribers, exceeding 51 million of the total Korean population. After they agreed to pay 3 trillion and 600 billion won for 5G wireless spectrum last month, the cost will be an important factor when they consider equipment needs.
LG Uplus has expressed its willingness to work with HUAWEI. At the same time, SK Telecom and Korea Telecom are considering HUAWEI, Samsung, NOKIA and Ericsson. This week, the Minister of science and technology of Korea will meet with the heads of the three operators of South Korea to verify their 5G deployment plan. At this meeting, HUAWEI's problems will almost certainly be put forward.
Although Samsung has never won a large share of the global wireless network equipment market, it has always been able to win the support of the motherland. In competition with HUAWEI, Samsung is facing an opponent who can provide lower prices and catch up with customer service reputation.
"HUAWEI's attraction is at its price competitiveness," said Kim Hyun-yong, an analyst at Ebest investment securities. "HUAWEI's 5G equipment development takes the lead, enough to put the equipment into use immediately."
HUAWEI has yet to comment. Samsung did not comment.