TPG Dumps Plan to Launch Own Mobile Network, Blames Huawei Ban

sss333 on 29/01/2019 - 11:48

TPG Telecom executive chairman David Teoh has called it quits for the telecommunications company’s plans to launch Australia’s fourth mobile network, blaming the government’s ban on provider Huawei taking part in future ultra-fast 5G networks.

In an announcement to the Australian Stock Exchange on Tuesday morning, TPG said the principal vendor selected for use in the small-cell network was Huawei and the government's decision to ban Chinese providers from supplying 5G networks has meant it "does not make commercial sense" to continue.

https://www.theage.com.au/business/companies/tpg-dumps-plan-…

The merger with Vodafone Hutchison still hasn't been approved either. Bad new for anyone waiting on this deal.

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Comments

  • HighAndDry on 29/01/2019 - 12:00
    +16

    Not surprised. You take one of the bigger, cheaper suppliers out of the market, prices are invariably going to rise. Add that to the ACCC dragging its feet on a straightforward merger of the distant 3rd and 4th players in the market to compete with 1 and 2, and consumers are ultimately the losers in all of this.

  • tyc00n on 29/01/2019 - 12:38
    +2

    not exactly blaming more like respecting

  • Savas on 29/01/2019 - 14:08
    +8

    I don't really see how TPG can use that as an excuse when there were security concerns about Huawei way before they decided to bring 5G.

    • Nametab on 29/01/2019 - 15:13
      +6

      So now that you can't get subsidised infrastructure based on indirectly giving intel to China, it's not as commercially attractive? No duh..

      Just like Merivale having to 'review the viability' of business practices, now that they actually have to give their staff the appropriate rate/pay.

      • tyc00n on 29/01/2019 - 21:06
        +2

        that business model works for facebook

    • Diji1 on 29/01/2019 - 15:13
      +2

      The security concerns are conspiracy theories invented by the US/UK/AU intelligence agencies and spread by the mainstream media. There is no evidence of Huawei equipment being compromised just like Iraq did not attack America on 9/11 nor have WMDs and Russia did not control the US elections.

    • HighAndDry on 29/01/2019 - 16:17
      +6

      It's honestly completely unknown whether these security concerns are actually valid ones, or ones created by the US Government for the purposes of reducing competition to US-based telecommunications hardware companies.

      Let's not forget, Cisco hardware has a long history of being compromised by NSA hardware.

      In the end, it's a choice between whether you want your data collected by the US government or by the Chinese government. Personally, considering that the Australian government (and law enforcement) are more likely to cooperate with the US than the Chinese, I'd be much more worried about US government having my data.

      Edit: Bonus photos of the NSA installing hacking hardware in Cisco routers here.

      • Savas on 29/01/2019 - 18:03
        +5

        I doubt China would let an Australian company build their telecommunication equipment so i don't understand why'd you be quick to defend them doing it to us.

        • HighAndDry on 29/01/2019 - 18:19
          +6

          I'm not defending anything, just saying it's either the US or the Chinese spying on us. There's no Australian telecommunications hardware company, in case you're wondering. And Cisco equipment isn't banned last time I checked.

          • Savas on 29/01/2019 - 18:54
            +3

            @HighAndDry: i don't understand why the government can't just build their own hardware, we export a lot of their iron ore in the first place.

            • HighAndDry on 29/01/2019 - 19:00
              +3

              @Savas: Efficiency and financial viability basically. A company like Cisco or Huawei invests billions of dollars into R&D to design, test, and build their hardware. They can do that, because they also sell millions of units and can recoup those costs.

              If the government tried to do the same thing, they'd effectively spend billions replicating the exact same work, with probably worse results than just buying existing products. And it would make zero profit, unless you want the government to then start selling these to the public.

              • Savas on 29/01/2019 - 19:21
                +3

                @HighAndDry: well that's what the Chinese government did when they founded Huawei, it seems to be a successful company.

                • HighAndDry on 30/01/2019 - 00:51

                  @Savas: Yes. The Chinese government is also an single party Communist one. But sure - go ahead and make that analogy.

      • Ughhh on 29/01/2019 - 18:49
        -1

        I'd be much more worried about US government having my data.

        If you make fun of Trump or the US gov, life continues. But if you get caught by the Chinese gov for mentioning winnie the pooh or have a history of mocking the gov… You might suddenly go missing next time you go to china.

        • HighAndDry on 29/01/2019 - 18:53
          +4

          In a vacuum? Definitely. In the context of being in Australia though - even though I don't hold serious concerns either way, I'd be relatively more worried about American intelligence or law enforcement overreach with the tacit cooperation of Australian authorities than I would be about the Chinese. As a slightly tangential example:

          https://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&object…

          Raided by NZ SWAT forces for running Megaupload, because the FBI asked them to. You certainly wouldn't have anyone lift a finger if it were Chinese authorities requesting an armed raid.

        • kahn on 29/01/2019 - 20:38
          +3

          If you make fun of Trump or the US gov, life continues.

          You can make fun of them, but you can't tell the truth about corruption or threaten the power of the elite. That also includes offering an anti-war narrative. Let's not forget what happens to US whistleblowers. The powerful protect the powerful.

          The Chinese censorship system is more obvious than the American version, but they certainly share similarities.

          • Ughhh on 29/01/2019 - 21:45
            +1

            @kahn: When I went on a tour in China Beijing, we were told by our tour guide to not say anything bad about China (for our sake) , especially on the streets. Not even whistleblowing level type of info/comment, but casual stupid friend talk.

            • kahn on 29/01/2019 - 21:49
              +1

              @Ughhh: Any advice on confronting a tank with your grocery bags?

              • Ughhh on 29/01/2019 - 21:53
                +4

                @kahn: Should be ok as long as your grocery bag is full of cash or milk powder.

        • mychips on 31/01/2019 - 15:06
          +3

          You can buy Winnie the Pooh stuff quite easily from Chinese websites so I don't think they're exactly banning it like Western media would have you believe.

          http://www.aliexpress.com/w/wholesale-winnie-the-pooh.html

          The writer that recently got arrested was previously jailed ~10 years ago for trying to start a revolution to remove the communist party. The Chinese government don't take kindly to that stuff but more power to him if the guy does that but at his own risk.

      • Ghandi on 31/01/2019 - 17:39
        +2

        Ditto, I would rather have the Chinese with the data than the US cooperating and handing over the data here.

        How about the time China jailed Bradley Manning for revealing Chinese war crimes? Or the time China wanted to eliminate William Binney for revealing how Chinese authorities abuse their power with surveillance? Let's not forget about Chinese efforts to discredit and downplay the revelations made by Edward Snowden.

  • sghetti on 29/01/2019 - 14:45
    +16

    It's my way or the Huawei

  • superadmin on 29/01/2019 - 18:30
    -1

    It really sucks. The fat cats in government should play by the rules and allow Huawei. Double standards. There should be competition to benefit the consumers.

    • Savas on 29/01/2019 - 18:38
      +5

      you think that Huawei would just offer to build 5G for the Western countries out of their own good will?

      • superadmin on 29/01/2019 - 18:48
        -2

        Don't be silly. They are just like CISCO and every other vendor and compete to make money. There are no real security concerns. Just competition. If there was an Australian provider, we would support them. Australian's deserve better. We deserve Huawei. Just because their products are awesome for the price and they are gaining great reputation around the world, does not mean we should be anti competitive.

        • Chandler on 30/01/2019 - 10:53
          +4

          They are just like CISCO and every other vendor

          Yes, but those vendors operate out of countries that are part of the Five Eyes, so our government gets the intel. China isn't, so Huawei no bueno.

        • sghetti on 31/01/2019 - 12:01
          +1

          I've found the Chinese spy guys!

  • CraigZheng on 12/02/2019 - 15:30

    From the article, it seems like TPG is planning to use huawei equipments to launch their 5G network first in Australia, therefore out-compete other operators. A smart move, considering NBN is not available in my area until 2020 last time I checked, 5G mobile is a reasonable alternative. Too bad this is not going to happen anymore.

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