The United States has long embarked on a crusade against Huawei and ZTE, two companies that are on the country’s blacklist for their alleged links with the Chinese government, and that have been considered a threat to national security. This has represented a major problem for both companies, In fact, we all know the situation that Huawei has had to go through in recent years, and how the veto of the United States has taken it from being one of the largest in the smartphone sector to plummeting internationally.
The fact is that this situation is not only giving Huawei and ZTE headaches, it is also being complicated for the United States, and it is that to comply with the veto to both companies you have to make a major equipment change of networks and connectivity solutions at a local level, that is, throughout the country, an objective that is proving to be more complicated and more expensive than it seemed at first.
According to the regulator of telecommunications in the United States (the Federal Communications Commission), the Government will have to add another fund of 3,000 million dollars to help complete the process of removing Huawei and ZTE equipment from the country’s network infrastructure. The estimate of the total cost that said regulatory body has made is almost 4,900 million dollars, an astronomical figure that confirms that we are facing a complicated operation.
The United States Congress it has only provided a fund of 1,900 million dollars to cover the expenses associated with the suppression of Chinese equipment, so there is still, as we have anticipated, another 3,000 million dollars. With the inflation we currently have and the economic uncertainty worldwide, it is clear that this type of spending is not good news for any country, although we imagine that the United States will have no problem coping with it.
There is no doubt that we will have more news on this subject, since the United States will not be deprived of the pride of announcing when it has completed the transition. In principle the process has been made quite easy for companies, since they are not required to complete the transition process until they have received reimbursement for the investment they have made. On many occasions, precisely the opposite is requested, complete and then collect.