According to a media report, the German government is on the verge of reaching an agreement in the dispute over the installation of Chinese components in the modern 5G mobile network.

"Süddeutsche Zeitung", NDR and WDR reported on Wednesday that government representatives and mobile network providers had agreed on the main features of a solution. This envisages that no components from manufacturers considered critical, such as the Chinese manufacturers Huawei or ZTE, may be used in the so-called core network from 2026. In a second step from 2029, components from critical manufacturers should also no longer be found in the management system of the so-called access and transport network of the 5G network. This includes the radio masts, for example.

Contractual penalties are to be imposed for violations. The agreement is to be sealed in writing shortly, it was reported. The German government did not comment initially.

In May, the German government decided on an early solution at a top-level meeting with Chancellor Olaf Scholz. At that time, it had not yet been possible to clarify how much transitional period companies would be granted for the potentially necessary expansion of such components from the 5G and 4G network. Companies such as Deutsche Telekom have stated that they do not use Huawei or ZTE products in the 5G core network anyway. Therefore, the main question was whether there should also be stricter security requirements in the antenna network due to the technical development.

(Report by Andreas Rinke; edited by Ralf Bode. If you have any questions, please contact our editorial team at berlin.newsroom@thomsonreuters.com)