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UK gives Huawei an amber light to supply 5G

The U.K. government will allow Huawei to be a supplier for some non-core parts of the country’s 5G networks, despite concerns that the involvement of the Chinese telecoms vendor could pose a risk to national security. But it will be excluded from core parts of the networks, according to reports in national press.

The news of prime minister Theresa May’s decision made during a meeting of the National Security Council yesterday was reported earlier by The Telegraph. The newspaper said multiple ministers raised concerns about her approach — including the Home Secretary, Foreign Secretary, Defence Secretary, International Trade Secretary and International Development Secretary.

The FT reports that heavy constraints on Huawei’s involvement in U.K. 5G networks reflect the level of concern raised by ministers.

May’s decision to give an amber light to Huawei’s involvement in building next-gen 5G networks comes a month after a damning report by a U.K. oversight body set up to evaluate the Chinese company’s approach to security.

The fifth annual report by the Huawei Cyber Security Evaluation Centre Oversight Board blasted “serious and systematic defects” in its software engineering and cyber security competence.

Though the oversight board stopped short of calling for an outright ban — despite saying it could provide “only limited assurance that all risks to U.K. national security from Huawei’s involvement in the U.K.’s critical networks can be sufficiently mitigated long-term.”

But speaking at a cybersecurity conference in Brussels in February, Ciaran Martin, the CEO of the U.K.’s National Cyber Security Centre (NCSC), expressed confidence U.K. authorities can mitigate any risk posed by Huawei.

The NCSC is part of the domestic GCHQ signals intelligence agency.

Dr. Lukasz Olejnik, an independent cybersecurity advisor and research associate at the Center for Technology and Global Affairs at Oxford University, told TechCrunch he’s not surprised by the government’s decision to work with Huawei.

“It’s a message that was long-expected,” he said. “U.K. officials have been carefully sending signals in the previous months. In a sense, this makes us closer to the end of the 5G drama.”

“With proper management most risk can be mitigated. It all depends on the strategic planning,” he added.

“I believe the level of [security] responsibility at telecoms will remain similar to today’s. The main message expected by telecoms is clarity to enable them to move on with infrastructure.”

The heaviest international pressure to exclude the Chinese vendor from next-gen 5G networks has been coming from the U.S., where President Trump has been leaning on key intelligence-sharing allies to act on espionage fears and shut out Huawei — with some success.

Last year Australia and New Zealand both announced bans on Chinese kit vendors citing national security fears.

But in Europe governments appear to be leaning in another direction: toward managing and mitigating potential risks rather than shutting the door completely.

The European Commission has also eschewed pushing for a pan-EU ban — instead issuing recommendations encouraging member states to step up individual and collective attention on network security to mitigate potential risks.

It has warned too — and conversely — of the risk of fragmentation to its flagship “digital single market” project if member state governments decide to slam doors on their own. So, at the pan-EU level, security considerations are very clearly being weighed against strategic commercial imperatives and technology priorities.

Equally, individual European governments appear to have little appetite to throw a spanner in the 5G works, given the risk of being left lagging as cellular connectivity evolves and transforms — an upgrade that’s expected to fuel and underpin developments in artificial intelligence and big data analysis, among other myriad and much-hyped benefits.

In the U.K.’s case, national security concerns have been repeatedly brandished as justification for driving through domestic surveillance legislation so draconian that parts of it have later been unpicked by both U.K. and EU courts. Even if the same security concerns are here, where 5G networks are concerned, being deemed “manageable” — rather than grounds for a similarly draconian approach to technology procurement.

It’s not clear at this stage how extensively Huawei will be involved in supplying and building U.K. 5G networks.

The NCSC sent us the following statement in response to questions:

National Security Council discussions are confidential. Decisions from those meetings are made and announced at the appropriate time through the established processes.

The security and resilience of the UK’s telecoms networks is of paramount importance.

As part of our plans to provide world class digital connectivity, including 5G, we have conducted an evidence based review of the supply chain to ensure a diverse and secure supply base, now and into the future. This is a thorough review into a complex area and will report with its conclusions in due course.

“How ‘non-core’ will be defined is anyone’s guess but it would have to be clearly defined and publicly communicated,” Olejnik also told us. “I would assume this refers to government and military networks, but what about safety communication or industrial systems, such as that of power plants or railroad? That’s why we should expect more clarity.”

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Europe is prepared to rule over 5G cybersecurity

The European Commission’s digital commissioner has warned the mobile industry to expect it to act over security concerns attached to Chinese network equipment makers.

The Commission is considering a defacto ban on kit made by Chinese companies including Huawei in the face of security and espionage concerns, per Reuters.

Appearing on stage at the Mobile World Congress tradeshow in Barcelona today, Mariya Gabriel, European commissioner for digital economy and society, flagged network “cybersecurity” during her scheduled keynote, warning delegates it’s stating the obvious for her to say that “when 5G services become mission critical 5G networks need to be secure”.

Geopolitical concerns between the West and China are being accelerated and pushed to the fore as the era of 5G network upgrades approach, as well as by ongoing tensions between the U.S. and China over trade.

“I’m well away of the unrest among all of you key actors in the telecoms sectors caused by the ongoing discussions around the cybersecurity of 5G,” Gabriel continued, fleshing out the Commission’s current thinking. “Let me reassure you: The Commission takes your view very seriously. Because you need to run these systems everyday. Nobody is helped by premature decisions based on partial analysis of the facts.

“However it is also clear that Europe has to have a common approach to this challenge. And we need to bring it on the table soon. Otherwise there is a risk that fragmentation rises because of diverging decisions taken by Member States trying to protect themselves.”

“We all know that this fragmentation damages the digital single market. So therefore we are working on this important matter with priority. And to the Commission we will take steps soon,” she added.

The theme of this year’s show is “intelligent connectivity”; the notion that the incoming 5G networks will not only create links between people and (many, many more) things but understand the connections they’re making at a greater depth and resolution than has been possible before, leveraging the big data generated by many more connections to power automated decision-making in near real time, with low latency another touted 5G benefit (as well as many more connections per cell).

Futuristic scenarios being floated include connected cars neatly pulling to the sides of the road ahead of an ambulance rushing a patient to hospital — or indeed medical operations being aided and even directed remotely in real-time via 5G networks supporting high resolution real-time video streaming.

But for every touted benefit there are easy to envisage risks to network technology that’s being designed to connect everything all of the time — thereby creating a new and more powerful layer of critical infrastructure society will be relying upon.

Last fall the Australia government issued new security guidelines for 5G networks that essential block Chinese companies such as Huawei and ZTE from providing equipment to operators — justifying the move by saying that differences in the way 5G operates compared to previous network generations introduces new risks to national security.

New Zealand followed suit shortly after, saying kit from the Chinese companies posed a significant risk to national security.

While in the U.S. President Trump has made 5G network security a national security priority since 2017, and a bill was passed last fall banning Chinese companies from supplying certain components and services to government agencies.

The ban is due to take effect over two years but lawmakers have been pressuring to local carriers to drop 5G collaborations with companies such as Huawei.

In Europe the picture is so far more mixed. A UK government report last summer investigating Huawei’s broadband and mobile infrastructure raised further doubts, and last month Germany was reported to be mulling a 5G ban on the Chinese kit maker.

But more recently the two EU Member States have been reported to no longer be leaning towards a total ban — apparently believing any risk can be managed and mitigated by oversight and/or partial restrictions.

It remains to be seen how the Commission could step in to try to harmonize security actions taken by Member States around nascent 5G networks. But it appears prepared to set rules.

That said, Gabriel gave no hint of its thinking today, beyond repeating the Commission’s preferred position of less fragmentation, more harmonization to avoid collateral damage to its overarching Digital Single Market initiative — i.e. if Member States start fragmenting into a patchwork based on varying security concerns.

We’ve reached out to the Commission for further comment and will update this story with any additional context.

During the keynote she was careful to talk up the transformative potential of 5G connectivity while also saying innovation must work in lock-step with European “values”.

“Europe has to keep pace with other regions and early movers while making sure that its citizens and businesses benefit swiftly from the new infrastructures and the many applications that will be built on top of them,” she said.

“Digital is helping us and we need to reap its opportunities, mitigate its risks and make sure it is respectful of our values as much as driven by innovation. Innovation and values. Two key words. That is the vision we have delivered in terms of the defence for our citizens in Europe. Together we have decided to construct a Digital Single Market that reflects the values and principles upon which the European Union has been built.”

Her speech also focused on AI, with the commissioner highlighting various EC initiatives to invest in and support private sector investment in artificial intelligence — saying it’s targeting €20BN in “AI-directed investment” across the private and public sector by 2020, with the goal for the next decade being “to reach the same amount as an annual average” — and calling on the private sector to “contribute to ensure that Europe reaches the level of investment needed for it to become a world stage leader also in AI”.

But again she stressed the need for technology developments to be thoughtfully managed so they reflect the underlying society rather than negatively disrupting it. The goal should be what she dubbed “human-centric AI”.

“When we talk about AI and new technologies development for us Europeans it is not only about investing. It is mainly about shaping AI in a way that reflects our European values and principles. An ethical approach to AI is key to enable competitiveness — it will generate user trust and help facilitate its uptake,” she said.

“Trust is the key word. There is no other way. It is only by ensuring trustworthiness that Europe will position itself as a leader in cutting edge, secure and ethical AI. And that European citizens will enjoy AI’s benefits.”

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Microsoft launches 2 new Azure regions in Australia

Microsoft continues its steady pace of opening up new data centers and launching new regions for its Azure cloud. Today, the company announced the launch of two new regions in Australia. To deliver these new regions, Azure Australia Central and Central 2, Microsoft entered a strategic partnership with Canberra Data Centers and unsurprisingly, the regions are located in the country’s capital territory around Canberra. These new central regions complement Microsoft’s existing data center presence in Australia, which previously focused on the business centers of Sydney and Melbourne.

Given the location in Canberra, it’s also no surprise that Microsoft is putting an emphasis on its readiness for handling government workloads on its platform. Throughout its announcement, the company also emphasizes that all of its Australia data centers are also the right choice for its customers in New Zealand.

Julia White, Microsoft corporate VP for Azure, told me last month that the company’s strategy around its data center expansion has always been about offering a lot of small regions to allow it to be close to its customers (and, in return, to allow its customers to be close to their own customers, too). “The big distinction is the number of regions we have. “White said. “Microsoft started its infrastructure approach focused on enterprise organizations and built lots of regions because of that. We didn’t pick this regional approach because it’s easy or because it’s simple, but because we believe this is what our customers really want.”

Azure currently consists of 50 available or announced regions. Over time, more of these will also feature numerous availability zones inside every region, though for now, this recently announced feature is only present in two regions.

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Cloud-based video production platform 90 Seconds lands $7.5M Series A led by Sequoia India

90 Seconds Despite the increasing ubiquity of online videos, making a professional-looking one is still a complicated process that usually involves chains of emails and uploads. 90 Seconds wants to fix that problem with its cloud-based platform, which lets users handle almost every part of the video production process in one place. Today, the startup announced it has raised a $7.5 million Series A led… Read More

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