Technology

Huawei sues Sweden for banning its 5G networks

By on Monday, January 31, 2022

Sweden was the second country in Europe to ban Huawei ‘s 5G networks . China has threatened the country to do the same to its native Ericson.

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Huawei announced on Sunday that it had activated an arbitration procedure against Sweden , before the World Bank Group, after the Chinese telecommunications giant was banned from selling its 5G products  in the Nordic country.

“The Swedish authorities’ decision to discriminate against Huawei and to exclude it from the 5G launch has seriously harmed Huawei ‘s investments in Sweden , in violation of Sweden ‘s international commitments, ” the Chinese company said in a statement.

For this reason, “it initiated arbitration proceedings (…) against the Kingdom of Sweden ” before the International Center for Settlement of Investment Disputes (ICSID), which is part of the World Bank Group.

Huawei did not specify the amount of the damages claimed. According to public television SVI, the sum initially demanded was 5.2 billion Swedish kronor ($550 million), but that figure could be much higher.

Advance of blockades in the region

Following the UK in mid-2020, Sweden became the second European country to specifically ban phone operators from using Huawei equipment in the rollout of the country’s 5G network .

Following an appeal by Huawei , a Swedish court confirmed in June 2021 the decision of the Swedish Telecommunications Authority (PTS ).

The move sank relations between Sweden and China. Beijing then warned that the PTS’s decision could have “consequences” for Swedish companies established in the Asian giant, which led to the fear of reprisals against the Swedish telecommunications company Ericsson, a rival of Huawei .

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