European telecoms push back on EU plan to ban Chinese equipment makers

Seventeen European telecom CEOs warned that proposed EU rules banning "high-risk" network suppliers could cost the industry up to €40 billion. The plan targets Chinese equipment makers like Huawei and ZTE, raising costs for operators already under financial strain. The EU's Digital Networks Act, proposed in January, would require operators to remove equipment from designated high-risk vendors within three years. The open letter from lobby group Connect Europe argues the cybersecurity law threatens capital needed for fiber, 5G, and 6G infrastructure. Signatories include heads of Orange, Deutsche Telekom, and Telefónica. The proposal is under discussion by the European Parliament and member states. It follows a 2023 European Commission recommendation to remove Huawei and ZTE gear, which saw uneven adoption. Sweden and Britain imposed strict bans, while Germany plans phased removal by 2026-2029.