Following the sanctions on Huawei, in most of the countries worldwide, Samsung has become one of the emerging telecom partners for 5G deployment for major telecoms. Mostly, European mobile operators are starting to consider Samsung Electronics instead of Huawei. Although Nokia and Ericsson are European and have major technical advancements in telecom gear, they are expensive. On the other hand, Huawei was previously one of the most advanced and best economical options. But due to the controversies and sanctions, they had to remove Huawei from future collaborations.
On the other hand, Samsung, which also has been building, telecom equipment, and 5G deployments, is considered the supplier of their 5G systems. After Samsung closed a $6 billion deal with U.S. giant Verizon in September, Spain's Telefonica and France's Orange have both held meetings with the South Korean firm.
Huawei's hardware makes up nearly half of the European 4G network, along with Nokia and Ericsson. However, Samsung's networks will not be compatible with existing 4G networks built by Huawei, and that it will cost hundreds of millions of dollars to rip these out and replace them rather than simply upgrading them.
"They need to be extremely competitive. The cost of swapping the 4G is an extra cost for Samsung, so, even if you are inviting them, it is difficult for them to be competitive," said Telefonica Chief Technology Officer Enrique Blanco. Verizon is using Samsung for various parts of its vast U.S. network. Apart from this, Samsung has also deployed the 4G network for Jio in India, the largest telecom operator in India.
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