17 European telecom CEOs warn EU Cybersecurity Act amendment could cripple 5G and 6G networks
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An article from China's Science and Technology Daily, republished on Tencent Stock, reports that 17 European telecom CEOs have issued an open letter opposing a draft amendment to the EU Cybersecurity Act. The draft, proposed in January 2026, requires telecom operators to remove and replace components from high-risk suppliers within 36 months, widely seen as targeting Chinese firms like Huawei and ZTE. The CEOs argue the mandate would drain funds needed for 5G and 6G construction, cause service disruptions, and harm customer satisfaction. A report by Assembly, commissioned by the lobby group Connect Europe, estimates the forced removal could cost up to 350 billion euros, degrade network quality (citing UK examples), reduce market competition by reinforcing an oligopoly of Nokia and Ericsson, and potentially violate EU treaties on national security. The article concludes that European operators' opposition demonstrates that security concerns about Chinese equipment are unfounded, urging the EU to listen to operators and withdraw the relevant provisions.
Source report
By Hu Dingkun
In a joint open letter published recently, CEOs of 17 European telecom operators urged the European Union to revise its proposed amendments to the Cybersecurity Act, warning that mandatory removal of high-risk equipment could drain funds needed for 5G and 6G network development, cause service disruptions, and lead to customer dissatisfaction.
Background of the Proposed Amendments
The latest draft amendments to the EU Cybersecurity Act, introduced in January 2026 and still under legislative review, require telecom operators to remove and replace key components from high-risk suppliers within 36 months. Although no specific companies are named, the provision is widely seen as targeting Chinese telecom equipment manufacturers such as Huawei.
The EU had previously identified Huawei and ZTE as high-risk cases in its 2023 "5G Toolbox" document. In January 2026, European Commission Executive Vice President Henna Virkkunen told media in an interview regarding the Cybersecurity Act:
"I am not satisfied with how EU member states have implemented the '5G Toolbox.' There are still high-risk suppliers in Europe's 5G networks. Therefore, we will introduce stricter rules."
Impact of Removing Chinese Equipment
Telecom equipment from Chinese companies like Huawei plays a critical role in the normal operation of European telecom networks. European operators' collective opposition to the bill is grounded in substantial evidence.
To assess the potential impact of forced removal, Connect Europe—a lobbying group representing European telecom operators—commissioned a detailed study by UK-based communications market analysis firm Assembly. The report was published in September 2026.
Key Findings of the Report
1. Severe Financial Burden
European telecom operators have spent a cumulative €141 billion since 2021, mostly on 5G network construction, and are expected to invest an additional €106 billion by 2030. Forced removal of Chinese equipment would add further financial strain. According to the Global System for Mobile Communications Association (GSMA), this could cost up to €35 billion.
2. Network Disruptions and User Experience Degradation
During equipment replacement, users may experience increased latency, dropped calls, and weakened indoor signal coverage. These issues pose significant risks, particularly in critical scenarios such as hospital or emergency service communications. The report notes that the UK—which has imposed stricter restrictions on "high-risk supplier" equipment than EU member states—already lags behind the EU in mobile network quality and 5G coverage, with declining user satisfaction.
3. Reduced Market Competition and Supply Chain Diversity
Huawei and ZTE together account for approximately 32% of the EU telecom equipment market, with the remainder held by European companies Ericsson and Nokia. The report warns that forced removal would intensify an already highly concentrated oligopoly, increasing systemic risks from over-reliance. Reduced competition could lead to higher equipment prices, increased operational costs, and slower R&D and innovation among suppliers.
4. Potential Violation of EU Treaties
The report also argues that the EU's mandate to remove high-risk equipment may violate the Treaty on European Union, which explicitly states that "national security remains the sole responsibility of each member state." The EU's move could be seen as exceeding its legal authority and limiting member states' ability to manage their own national security affairs.
Conclusion
The collective opposition from European telecom operators underscores that allegations of security risks associated with Chinese telecom equipment are unfounded and driven by political rhetoric. Chinese telecom equipment holds a significant global market share and has proven its reliability through real-world deployment.
When evaluating Chinese telecom equipment, the EU should listen to the actual users—European telecom operators—and withdraw the mandatory removal provisions from the Cybersecurity Act. Doing otherwise risks hindering the development of Europe's telecom networks under the guise of cybersecurity.
Source
科技日报Eastern
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EU telecom CEOs warn cybersecurity law could drain 5G funds; China urges rethink