Canada To Invests $40m in Nokia’s 5G Research
By Olabisi Olaleye with CBC Report
In order conduct research on 5G wireless technology in Canada, $40 million will be invested in Nokia,the telecom Finnish organization.
The latest Investment was disclosed in Davos, Switzerland by the Innovation Minister Navdeep Bains on Thursday where he’s participating in the World Economic Forum.
Ottawa, a region in Ontario province will announce up to $40 million and the funding comes as the federal government is in the middle of a comprehensive national-security review of the potential involvement of Nokia’s Chinese rival, Huawei, in Canada’s eventual fifth generation mobile network.
According to Innovation Minister Bains, Canada will hold a major conference by 2020 bothering on 5G spectrum.
Ottawa is also locked in a diplomatic dispute with Beijing following Canada’s Dec. 1 arrest of Huawei executive Meng Wanzhou at the request of the United States.
Huawei, Nokia and Sweden’s Ericsson are among the top contenders to help Canada’s telecom companies, including BCE and Telus, build the country’s 5G mobile networks.
Meanwhile, three of Canada’s partners in the Five Eyes intelligence-sharing group :the United States, Australia and New Zealand have banned the use of Huawei products in 5G network development based on fears the company could spy on behalf of China.
Bains and Public Safety Minister Ralph Goodale is responsible for overseeing the 5G security review, has said the analysis is not just about Huawei and is designed to assess how best to protect Canadians.
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Bains finalized the Nokia deal Thursday in Davos, Switzerland, where he’s participating in the World Economic Forum.
Canada’s ongoing scrutiny of Huawei has created concerns within the Chinese government. Lu Shaye, China’s envoy to Ottawa, warned Canada last week of possible repercussions if the government ultimately decides to bar Huawei from building the country’s 5G networks.
A Chinese Foreign Ministry spokesperson later tried to play down Lu’s remarks by saying the ambassador didn’t mean that China intended to interfere in Ottawa’s decision-making process. Hua Chunying also told journalists in Beijing on Monday that losses would be inevitable since Huawei is a leading supplier of 5G technology, according to a transcript on the Foreign Ministry’s website.
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Later the same day, Bains and Goodale told reporters that Huawei isn’t the only company that can build 5G in Canada. When asked about options, Bains mentioned Ericsson as an example.
Few details are available about Canada’s 5G security review, but a well-placed source has said a decision is still months away.
The development of 5G — or fifth-generation — mobile networks will give users much faster connections and provide powerful data capacity to meet heavy demand from new applications, such as virtual reality, as people connect more devices to the internet.
The federal funding will back Nokia’s research work in Canada to help telecom networks meet the needs of 5G technology. The company is also developing cybersecurity tools to protect telecom networks.
The government is expected to sell the deal as a way to support more than 2,000 of Nokia’s jobs already in Canada and to create 237 new positions. Nokia Canada’s projects, valued at over $214 million, are based in Mississauga, Ontario., and the Ottawa suburb of Kanata.