PRESS: Govt may ask operators to use mainly local equipment for 5G

MOSCOW, May 14 (PRIME) -- The Russian government can ask operators to use mainly local equipment and software for 5G networks and is ready to provide national producers with benefits, business daily Kommersant reported on Tuesday, citing an updated draft of the concept of 5G creation and development in the country.

A list of products includes subscriber equipment, systems for investigation activities and data storage. Existing connection networks already depend on foreign equipment and software and unrolling 5G networks on them “creates risks of a loss of control over digital infrastructure,” the draft read.

Moreover, there is a risk of sanctions for supply of new equipment and software, which “will result in their degradation.”

The document offers measures to support local manufacturers, including benefits on insurance and tax rates and revision of import duties.

Spokesman for the Digital Development Ministry Yevgeny Novikov said that the concept does not contain mandatory requirements to use only local equipment and software, but indicates “preferable exploitation” in case of competitiveness.

Head of researcher TMT Consulting Konstantin Ankilov said that experience of previous generations of connection had shown that local solutions are used only in some elements of networks.

“In order to compete with global makers, comparable investments in research and development are needed. Local makers do not have such resources. Could the government allocate resources of such a scale? World vendors count on pay-back from global sales, while Russia is some 3% of the total market,” he said.

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