US Sanctions Drive Huawei’s AI Network Upgrade Strategies in Telecommunications

Tuesday, 5 November 2024, 11:00

US sanctions are compelling Huawei to focus on encouraging mobile carriers to upgrade to 5.5G technologies to support artificial intelligence (AI) advancements. As Huawei's traditional markets dwindle, the company emphasizes the need for enhanced telecommunications infrastructure globally. This strategy comes at a critical time as global demand for faster mobile broadband services grows.
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US Sanctions Drive Huawei’s AI Network Upgrade Strategies in Telecommunications

The Impact of US Sanctions on Huawei's Telecommunications Strategy

In light of US sanctions, Huawei Technologies is proactively urging telecommunications-network operators in friendly markets to upgrade their infrastructure in preparation for a significant boom in artificial intelligence (AI) services. As the US-sanctioned company pivots its focus, it champions products that align with the upcoming mobile AI era.

5.5G and AI: A Necessity for Mobile Carriers

During a recent conference in Istanbul, Huawei's chief strategy architect, Dang Wenshuan, emphasized that telecom service providers need to swiftly transition to 5G-Advanced networks to meet the demands imposed by mobile AI applications. These applications necessitate uplink speeds of 20 megabits per second and a latency of 20 milliseconds to deliver responsive and multimodal interactions.

Forecasting Growth Through Upgrades

  • Despite setbacks in its smartphone sector due to US restrictions, Huawei's telecoms-equipment segment continues to thrive, reporting a revenue increase.
  • Huawei projects substantial benefits from the upgrading to 5G-Advanced and further digitization across various industries.
  • With promises of speeds up to ten times faster than current 5G, the 5.5G technology is viewed as essential for future mobile communications.

Monetization Opportunities Through Ultra-Broadband Technologies

According to Huawei, implementing ultra-broadband technologies could empower network operators to explore new monetization avenues by offering enhanced AI services. For instance, charging for premium AI-driven applications such as cloud gaming and live-stream shopping can provide additional revenue streams.

Huawei remains dedicated to collaborating with global carriers and enhancing digital transformation to seize the upcoming opportunities that AI introduces into the telecommunications landscape.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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