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szdaily -> Business/Markets -> 
Virus disruptions set to delay 5G rollout
    2020-02-24  08:53    Shenzhen Daily

GOVERNMENT measures to contain the spread of the coronavirus in China look set to delay the rollout of next-generation 5G telecom networks, a key technology initiative for the country’s leadership.

Tenders for six big 5G projects have been postponed since Jan. 31, government records show. They include an industrial Internet project in Guangdong Province, a hospital-related project in Jiangxi Province and a police-related project in Gansu Province.

Two leading providers of crucial fiberoptic cables also have headquarters and key production facilities in Wuhan, the epicenter of the outbreak which is still under lockdown.

In addition to providing much faster Internet connectivity, 5G promises to enable a slew of new technology products and services from self-driving cars to intelligent factories.

China has made 5G a national priority, aiming to have nationwide networks and services well ahead of other countries and last year it pressed telecom operators to accelerate deployment.

Even after the outbreak, President Xi Jinping said in early February that 5G investment might be able to help offset the decline in consumer spending caused by the virus.

But like other companies in China, telecom equipment firms and network operators are grappling with a logistical nightmare as travel and quarantine restrictions cause staff shortages and impede the transportation of goods.

Yangtze Optical Fibre and Cable Joint Stock Ltd., one of two top fibreoptic cable makers based in Wuhan, said in January it would rely on its plants in other parts of China to maintain production.

A company manager said Thursday that production had not yet resumed in Wuhan and that other factories were operating at 50 percent capacity.

FiberHome Telecommunication Technologies Co., another Wuhan-based fiberoptic cable supplier, said on its website it was attempting to keep operations going via remote work.

Suppliers such as Shengyi Technology Co., which makes printed circuit boards and copper cables, and Tongyu Communication Ltd., which makes antennas, have said in company filings that production has suffered delays due to the virus. (SD-Agencies)

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