China Mobile has revealed that it will use Huawei and ZTE for the majority of its 5G network build out, with help from Ericsson and a smaller domestic vendor.
China Mobile’s nationwide 5G roll out will involve the deployment of an additional 200,000 base station units in 2020 alone. The deals were worth a collective $5.2 billion.
According to a report in the Financial Times, Chinese tech giant Huawei would provide 57.2 per cent of the total base stations to fuel China Mobile’s 5G roll out. Huawei’s Chinese compatriot ZTE will provide 28.7 per cent while Swedish vendor, Ericsson, will provide 11.5 per cent. The remaining 2.6 per cent will be supplied by smaller domestic players in China. China Mobile had previously worked with Nokia for its 4G network infrastructure but has dropped the Finnish network equipment provider for 5G.
China Mobile has already completed phase one of its 5G network rollout. The company has stated that it would like to provide 5G to 50 towns and cities by the end of 2020, deploying a total of 300,000 base station units.
The contract win will be of huge value to all of the players involved but particularly to Huawei, who has seen its international market share negatively impacted by the US government’s campaign to boycott it.