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The New Zealand government's Communications Security Bureau has banned telecommunications company Spark from using Huawei equipment for the development of the 5G network, justifying the "significant security risk" decision.
The decision was made after a similar ban in Australia, where the Chinese telecom giant was barred in August from launching the 5G network also for security reasons.
Spark said it was disappointed with the decision but the company stressed on Wednesday that it was still confident to be able to launch its 5G network by July 2020.
As quoted by the New York Times, Huawei claims to be a private company, not controlled by Beijing. The same newspaper points out that New Zealand has recently faced scandals under Chinese influence. Despite concerns, the country has maintained diplomatic relations with China, which is considered the most important trading partner of New Zealand.
Huawei suffered a setback in the US market in 2012 when a congressional report warned telecom companies not to buy their equipment, alleging security risks.
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