{"id":24133,"date":"2019-04-11T08:25:28","date_gmt":"2019-04-11T16:25:28","guid":{"rendered":"http:\/\/philiplelyveld.com\/?p=24133"},"modified":"2019-04-11T08:25:28","modified_gmt":"2019-04-11T16:25:28","slug":"how-chinas-huawei-took-the-lead-over-u-s-companies-in-5g-technology","status":"publish","type":"post","link":"http:\/\/philiplelyveld.com\/?p=24133","title":{"rendered":"How China\u2019s Huawei took the lead over U.S. companies in 5G technology"},"content":{"rendered":"<p><a href=\"http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignleft size-medium wp-image-24134\" src=\"http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U-300x300.jpg\" alt=\"WSJHSGSW5AI6TDXT7PKBULHE2U\" width=\"300\" height=\"300\" srcset=\"http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U-300x300.jpg 300w, http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U-150x150.jpg 150w, http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U-768x768.jpg 768w, http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U-1024x1024.jpg 1024w, http:\/\/philiplelyveld.com\/wordpress\/wp-content\/uploads\/2019\/04\/WSJHSGSW5AI6TDXT7PKBULHE2U.jpg 1484w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/><\/a>At the dawn of the wireless age 30 years ago, U.S. companies jostled for primacy in wireless networking. Companies such as Motorola and Lucent \u2014 an offshoot of the old AT&amp;T monopoly \u2014 were sources of innovation, exploring new ways of delivering voice and data wirelessly. It was Lucent, for example, that helped introduce Code Division Multiple Access, or CDMA, a mobile technology that promised to improve the capacity of wireless carriers.<\/p>\n<p data-elm-loc=\"13\">But their fortunes declined around the turn of the century as they failed to keep pace with a changing market. No U.S. company stepped in to fill the gap as those companies faded \u2014 partly because of the growing strength of foreign alternatives and partly because of the immense scale required to survive in that line of business, according to industry experts.<\/p>\n<p data-elm-loc=\"14\">\u201cLucent basically collapsed because they didn\u2019t have a big enough wireless arm to keep them afloat when the Internet backbone [business] collapsed\u201d in the dot-com bust, said Roger Entner, a telecom analyst at Recon Analytics. \u201cMotorola, over time, simply became less competitive because the other vendors had more economies of scale.\u201d<\/p>\n<p data-elm-loc=\"19\">Today, Nokia and Ericsson are the top providers of telecommunications networking gear in North America and are No. 2 and No. 3, respectively, in the world. The two companies each recorded revenue of about $25 billion last year.<\/p>\n<p data-elm-loc=\"20\">But both have been surpassed by Huawei, which in the span of three decades has become the world\u2019s largest provider of telecom equipment.<\/p>\n<p data-elm-loc=\"21\">\u201cI do think the Western companies did underestimate how credible Huawei was,\u201d said Paul de Sa, a telecom industry analyst and co-founder of the advisory firm Quadra Partners. \u201cThere were executives who basically laughed [at the idea] that Huawei or ZTE could compete.\u201d<\/p>\n<p data-elm-loc=\"30\">With <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2011-04-25\/huawei-counts-on-30-billion-china-credit-to-open-doors-in-brazil-mexico\" target=\"_blank\">the support of China\u2019s state-owned development bank<\/a>, Huawei also has been able to undercut competitors with attractive financing for its products. In February alone, Huawei <a href=\"https:\/\/venturebeat.com\/2019\/02\/27\/huawei-racks-up-5g-network-deals-at-mwc-2019-despite-u-s-pressure\/\" target=\"_blank\">announced partnerships<\/a>with wireless carriers in eight countries, including Iceland, Switzerland, Saudi Arabia and Turkey.<\/p>\n<p data-elm-loc=\"31\">It doesn\u2019t hurt that Huawei serves a massive domestic market in China, which grants it tremendous advantages of scale that many tech companies, including American ones, are hungry to access themselves.<\/p>\n<p data-elm-loc=\"31\">See the full story <a href=\"https:\/\/www.washingtonpost.com\/technology\/2019\/04\/10\/us-spat-with-huawei-explained\/?_hsenc=p2ANqtz-9pCPWkoQRH1M6lJZlqNmM231gcfCk_A6992uIuau5y2_P7_YvWdAELDTZ8oDlm1GRifw4HdtXmm-3xniK3ngAVA8LnvA&amp;_hsmi=71660486&amp;utm_campaign=the_download.unpaid.engagement&amp;utm_content=71660486&amp;utm_medium=email&amp;utm_source=hs_email&amp;utm_term=.76f37e5fe6e6\">here:\u00a0https:\/\/www.washingtonpost.com\/technology\/2019\/04\/10\/us-spat-with-huawei-explained<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>At the dawn of the wireless age 30 years ago, U.S. companies jostled for primacy in wireless networking. Companies such as Motorola and Lucent \u2014 an offshoot of the old AT&amp;T monopoly \u2014 were sources of innovation, exploring new ways of delivering voice and data wirelessly. It was Lucent, for example, that helped introduce Code [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-24133","post","type-post","status-publish","format-standard","hentry","category-non-3d-stories"],"_links":{"self":[{"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/posts\/24133","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=24133"}],"version-history":[{"count":1,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/posts\/24133\/revisions"}],"predecessor-version":[{"id":24135,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=\/wp\/v2\/posts\/24133\/revisions\/24135"}],"wp:attachment":[{"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=24133"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=24133"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/philiplelyveld.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=24133"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}