US has to adopt pragmatic approach to 5G

Having put Huawei on its restrictive Entity List last year, citing national security concerns, the United States Commerce Department has reportedly drafted a new rule that will allow US companies to work with the Chinese telecommunications enterprise to set the standards for 5G networks.

The decision to give the green light might end nearly a year of uncertainty because the listing－which restricted sales of US goods and technology to Huawei－left many US technology companies wondering how they could participate in the meetings where the protocols and technical specifications for the international standards will be discussed.

But to infer from this development that Washington is starting to ease its clampdown on Huawei is far too early and overly optimistic. To expect those in the US who are adamant in seeking a China-US decoupling in trade, economy, science and technology to change their mind so quickly is as unrealistic as expecting a camel to pass through the eye of a needle.

The change of tactic, in essence, is necessitated by the disadvantageous position many US technology companies have found themselves in after their engineers were prohibited from working with Huawei to develop 5G standards as a result of the technology ban.

The reduced participation means the possible loss of business opportunities for US telecommunications companies because, if considered essential to the 5G standards, the use of their patented technology would boost their bottom line by billions of dollars.

Huawei's indisputable position as the global leader in 5G technology makes it incomprehensibly unwise, and technologically impossible, for any country to try to disengage from it in the development of the next-generation technology.

By Jan 1, Huawei had 3,147 5G standard patents declared worldwide, ranking first, according to Germany patent data company IPlytics.

The company is also leading in commercial 5G network contracts despite the restrictions imposed by the US. It has so far clinched 91 such deals worldwide, more than half of which, 47, are from European countries, putting it ahead of all other major vendors.

Huawei's dominance in the sector has become a fait accompli that even the most vociferous China-bashers will have to come to terms with.

To adopt an ostrich-with-its-head-in-the-sand approach by continuing to exclude the company based on politically motivated lies will only lead to the US falling far behind in the race to embrace the next generation telecommunications technology.

Cooperation in the technology sector benefits both countries. Hopefully, the latest move by the US will mark a de-escalation in its attempts to strangle Huawei.