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Intel is building an open RAN fortress, but it s also under attack
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Nokia puts boot into open RAN and Telenor joins in
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China s biggest operator has warned investors that its costs are about to rise at relatively high rates after its frenzied rollout of 340,000 5G basestations last year.
China Mobile said it was under pressure to make other cutbacks to cope with the increase in electricity fees and depreciation charges in 2020.
The state-controlled operator provided no further details after reporting a 9.5% year-on-year increase in sales, to 198.4 billion Chinese yuan ($30.6 billion), for its first quarter of 2021. Its net profit rose 2.3% to about RMB24.1 billion ($3.7 billion).
China Mobile ranks as the world s biggest operator by customers, serving as many as 940 million subscribers in the first quarter.
The media thrives on doom-laden tales of carnage and financial catastrophe, as the coronavirus pandemic has amply demonstrated. The fact that a 19th-century company is growing and profitable hardly makes for a gripping story. So the news that Sweden s Ericsson is through its turnaround and has few challengers is about as exciting as a tennis tournament in which the best player returns everything and his top rivals have frailties. Ericsson is starting to look like Björn Borg at Wimbledon.
After several years of turmoil and recovery, it is fair to say that Ericsson, led by a man named Börje Ekholm, is back to being boringly good. Sales in its first quarter were flat year-on-year, at 49.8 billion Swedish kronor (US$5.9 billion), but up a tenth on a like-for-like basis. Its operating margin hit 10.6%, up from 8.7% a year earlier. And net income rose 39%, to SEK3.2 billion ($380 billion).
Being answerable to Xi Jinping has not stopped Huawei from protesting it is privately owned, with zero links to the Chinese state, in response to US sanctions. ZTE, the smaller of China s two 5G equipment makers, can table no such defense. Its latest annual report lays bare the grisly details of its parentage. Xi an Microelectronics and Aerospace Guangyu, two of its main shareholders, are themselves government-owned. For any freedom-loving Westerner, ZTE has always looked dodgier and riskier than Huawei ever did.
Yet in a peculiar twist, it is Huawei that has become a seemingly permanent fixture on the US Entity List, the blacklist of companies to which US firms are prohibited from selling by the Bureau of Industry and Security (BIS), an adjunct to the US Department of Commerce. ZTE found itself on that list in 2018, when US authorities said it had failed to make amends for past misdemeanors, including the sale of US technology to Iran and North Korea. After paying a second $1 bill
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