O2 plays down links to Huawei as security risks identified

THE mobile operator O2 has sought to distance itself from the Chinese telecoms equipment maker Huawei in the wake of a government security report that found it had “exposed new risks in UK telecoms networks”.

Mark Evans, chief executive of Telefonica UK, the company behind the O2 brand, said the operator was less reliant on Huawei than rivals BT and Vodafone.

He did not rule out using Huawei equipment as O2 prepares for 5G network technology and said its approach to the vendor had not changed as a result of Government’s latest concerns.

Mr Evans also highlighted its network security accreditation from CESG, an arm of the intelligence agency GCHQ, which no other mobile operator has been awarded.

O2’s existing network is more reliant on western equipment manufacturers such as Nokia and Ericsson. A report by the Government’s National Cyber Security Centre last week found “shortcomings” in Huawei’s processes that meant it could give only “limited assurance” that its equipment would not pose risks to national security.

Derek Mcmanus, Telefonica UK’S chief operating officer, said: “Huawei is intrinsic in UK telecoms but we are the least indebted to that vendor of any operator. We are in constant consultation with the Government. We have had conversations on that report and it hasn’t affected our forthcoming investment decisions.”

Huawei is already deeply embedded in Britain’s telecoms infrastructure, which all operators rely upon. It made a breakthrough deal in 2005 to replace the core of the BT network and has sold billions of pounds of equipment with mobile operators since.

The Chinese giant, which is privately owned, denies it poses any threat to security. It committed last week to improve the process concerns identified by the Government.