TECH

Japan will have its own 5G

In the United States' intention to drown Huawei, the Japanese saw a chance to find a second wind in the production of advanced telecommunications equipment. The “Made in Japan” label can again be synonymous with industry-leading products. So the company NTT and NEC decided. And it will happen in the next ten years.
Then, yesterday, the Japanese telecommunications group Nippon Telegraph & Telephone announced that it would invest 64.5 billion yen ($ 597 million) in a 4.8% stake in NEC's IT services group to bring them to life. called "Made in 5G from Japan". Thus, Japan's largest telecommunications operator will become NEC's third largest shareholder.
The main task of the newly created “alliance” is the creation of national equipment for base stations and cellular networks of the 5th generation. Today, NEC occupies only 0.7% of the global network equipment market. Thanks to NTT's already made and future investments, it promises to capture at least 20% of that market by 2030. A serious attempt to recover the market of the main European and Chinese manufacturers. However, socioeconomic problems can drown Europe, and the United States will crack down on China, as Japan hopes.
By the way, two days ago, Singapore announced plans to abandon Huawei's equipment for 5G cellular communications. This city-state plans to use Swedish Ericsson and Finnish Nokia equipment to deploy 5G generation networks.
According to NTT and NEC's plans, they intend to create an alliance of partners in the sector, where the “vertical integration” strategy, in which a company will control the entire supply chain, will become the norm. NEC CEO Takashi Niino said: "We cannot enter the base station market abroad". He added: “This is the last chance to compete in the world”.
NTT and NEC will also collaborate in the development of 6G technology.

Credit: NTT