IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Huawei 5G ban could cost UK economy £6.8bn

Replacing 5G components could also delay the nationwide rollout by 18-24-months

Research has shown that if the UK was to ban Huawei's 5G equipment, it could cost the economy between 4.5bn and 6.8bn.

If the government decreed Huawei's tech needs to be replaced, not only will networks and other businesses using the tech have to invest in new equipment, but the labour costs to make the switch will add up significantly too.

According to the independent report conducted by analyst firm Assembly on behalf of Mobile UK "the impact on the UK of a restriction on Huawei in the telecoms supply chain" means a replacement programme could take between 18 and 24-months, delaying the launch of 5G and putting the UK far behind other economies.

This would have a huge impact on the government's plans for the UK to become a world leader in 5G.

"If any restriction were to be imposed on Huawei, many of the benefits associated with 5G leadership could be lost for good, not simply delayed as a result these include significant productivity gains that stand to benefit the UK's global economic standing," the report noted.

Because UK businesses have been able to focus on creating efficiencies in the supply chain, it has been able to save costs rolling out 5G, without losing any stability.

"The UK is currently well-placed to possibly be the first country to launch 5G at scale in the western world, with any delays resulting in the UK missing the opportunity to be the host of pioneering experimentation," the report added.

"5G is a critical enabler of digital transformation for companies and public services. A slowing down in the roll-out of 5G therefore risks hampering the country's level of competitiveness."

Featured Resources

2023 Strategic roadmap for data security platform convergence

Capitalise on your data and share it securely using consolidated platforms

Free Download

The 3D trends report

Presenting one of the most exciting frontiers in visual culture

Free Download

The Total Economic Impact™ of IBM Cloud Pak® for Watson AIOps with Instana

Cost savings and business benefits

Free Download

Leverage automated APM to accelerate CI/CD and boost application performance

Constant change to meet fast-evolving application functionality

Free Download

Most Popular

What's powering Britain’s fibre broadband boom?
Network & Internet

What's powering Britain’s fibre broadband boom?

3 Feb 2023
Dutch hacker steals data from virtually entire population of Austria
data breaches

Dutch hacker steals data from virtually entire population of Austria

26 Jan 2023
Windows 10 users locked out of devices by unskippable Microsoft 365 advert
bugs

Windows 10 users locked out of devices by unskippable Microsoft 365 advert

3 Feb 2023