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© Aly Song, Reuters
New Zealand's intelligence services rejected the country's first request to use Chinese giant Huawei's equipment, needed to deploy fifth-generation (5G) networks, Reuters reported.
This is a technology produced by Huawei, which Spark Telecom wants to use on its network. However, the New Zealand agency believes that it risks compromising national security.
Spark announced that it would carefully review the decision before deciding to take further action.
The decision was made when the Chinese government feared to be able to influence the deployment of 5G networks in their countries through large companies in the country. Companies like Huawei and ZTE have denied such claims.
Earlier this year, neighboring Australia banned Huawei from providing equipment for its 5G network. Last week, the Wall Street Journal wrote that the US government was trying to convince companies in a number of countries to avoid working with the Chinese giant.
Huawei has already invested millions of dollars in New Zealand's telecommunications system, for example in its 4G network or research in the sector, said Reuters. However, the intelligence minister notes that there is a "difference" between the fifth and the previous generation of conventional networks and that this is in the configuration. With 5G technology, each component of the 5G network provides access to another part of it, he explains.
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