New Zealand has blocked Chinese telecom firm Huawei from supplying components for its 5G phone network amid growing concerns of Chinese espionage and spy activities. Government authorities have written to Spark New Zealand, one of the country's biggest mobile operators, to warn it off using next generation 5G equipment that Huawei Technologies Co. Ltd. has developed.
The move follows reports the United States is urging its allies to exclude the Chinese telecoms giant from 5G roll outs over cyber security fears. In a statement, Spark said the ruling meant it would not be able to use Huawei equipment. The decision seems to prevent Huawei from selling 5G equipment to Vodafone New Zealand and 2degrees among the country's other mobile network operators.
Australia also banned Huawei equipment from its planned 5G networks earlier this year. Meanwhile, the U.S., which is part of the Five Eyes intelligence sharing agreement with New Zealand, Australia, Canada, and the U.K., has been lobbying various allies to avoid the companys technology, due to the security risks.
Huawei called the decision "disappointing" and said it would decide its next action after examining the detailed reasoning behind the ban. Huawei is one of the world's biggest manufacturers of telecom equipment, including the network kit required for 5G mobile networks, which promise faster download speeds and better connections.