U.S. to invest $42 million in 5G Open RAN to compete with Huawei equipment

The U.S. authorities plan to fund around $42 million for 5G Open RAN (O-RAN) standard development to demolish Huawei equipment from the region. But it seems like, it won’t be so easy to pull off Huawei’s 5G tech from the core networks.

Eventually, the U.S. is seeking new ways that can help it compete with Huawei 5G equipment and committed $42 million for the Open RAN technology. This will enable the NTIA (National Telecommunications and Information Administration) to establish a Dallas O-RAN testing center in the region.

Joe Russo – the President of the Verizon global network and technology says that this funding is a way to gain faster innovation in an open and sustainable environment.

Alongside, telecom operators like AT&T and Verizon have formed an association including Ericsson, Nokia, Intel, Dell, Samsung, Rahuten, and Broadcom for Open RAN deployments. The new tech ultimately brings low-cost network build-outs with smaller equipment over large towers.

On the flip side, it will eliminate the enforcement for AT&T and Verizon to purchase all their hardware components from a single supplier. Thus, it would reduce the pressure from buying major equipment from tech makers like Huawei.

Huawei 5G Tech Removal: the main aim!

Everything combined, the U.S. is making this effort to demolish Huawei 5G equipment from its core networks. The authorities believe that this action would kick off the Chinese tech giant from the leading cellular infrastructure supplier position.

Over the past few years, Joe Biden has met several partners to discuss the key aspects of the O-RAN. Meanwhile, Congress and NTIA have funded nearly $2 billion for this network tech development. Consequently, an O-RAN testing center would appear as a crucial move by the U.S. government.

So far, the UK, EU, and U.S. increased the level of strictness to remove Huawei equipment from their telecom operators’ core networks. However, this has also led to heavy expenditures and time consumption as the replacement of such equipment requires a start from scratch.

Even though these nations are taking such actions to protect their security and privacy segments, removal of Huawei 5G equipment leads to major loss than profits for numerous telecom operators.

(Source)