WHILE Samsung Electronics Co. has become synonymous with technology in South Korea, a rival could upstage it in the race to build 5G wireless networks in its own backyard.

Huawei Technologies is in the running to supply equipment to all three of South Korea’s national mobile carriers. At stake: initial contracts that could be worth 10 trillion won (US$9 billion).

As South Korea pushes to become the first nation to roll out 5G networks, suppliers from around the world are vying to sell switches, base stations and other gear needed to make them work. While Samsung is best known for its smartphones and memory chips, having its equipment shut out of the most advanced wireless networks in its homeland would be a setback for a firm that has suffered a number of recent black-eyes.

Huawei has grown to become the largest network gear maker and is pushing deep into 5G technology, investing heavily in research and becoming one of the biggest holders of patents.

“Huawei has been aggressive and started development earlier than others,” said Park Jin-hyo, executive vice president of SK Telecom Co. “We are looking with an open stance and no bias whatsoever.”

While aware of security concerns surrounding Huawei, Park said SK Telecomr is looking at other factors including technology and costs, adding the firm wouldn’t be considering Huawei if it fell short of global security standards.

SK Telecom and smaller rivals KT Corp. and LG Uplus Corp. have more than 56 million subscribers, a number greater than the country’s population of just 51 million. Cost is a critical factor in deciding their equipment needs after they agreed last month to fork out 3.6 trillion won for 5G wireless spectrum.

LG Uplus has expressed willingness to choose Huawei while SK Telecom and KT are weighing the Chinese company as well as Samsung, Nokia Oyj and Ericsson AB. This week, South Korea’s technology minister is scheduled to meet with the heads of the country’s three wireless carriers to go over their 5G rollout blueprint — a confab at which Huawei will almost certainly come up.

The appeal of 5G technology comes down to its ability to transmit data fast enough to aid the operation of self-driving cars or download feature-length movies in seconds.

While Samsung has never had a huge share of the global market for wireless network gear, it has always been able to rely on hometown support. In Huawei, it faces a competitor that can undercut it on price but also seeks to emulate its reputation for customer service. (SD-Agencies)