Huawei is one of the most important companies in the whole world, being involved in a variety of industries, but a recent radical decision shows us how decisive the proof of the power it still has. Huawei wants to strike in Europe during this period, and this is because it decided to start an arbitration procedure against Sweden, the Chinese company demanding compensation of 500 million euros due to the ban on supplying 5G equipment to local operators.
Huawei demanded 5.2 billion Swedish kroner, the equivalent of 500 million euros, as compensation from the Swedish government due to the ban, and now it will fight in the arbitration procedure to prove that it is worth the money. Huawei says that Sweden would have violated its international obligations, and thus would affect the investment plans of the Chinese company, everything being related to the ban on supplying 5G equipment for local networks.
Huawei: RADICAL decision, what a hard blow announced in Europe
Huawei is, of course, caught in the war with the USA, and this is because the Americans have a great influence in Europe, the European Commission already giving directives to prohibit the use of the company's 5G equipment in Europe. What kind of agreement Sweden would have had with Huawei, since such large compensations are being demanded, it is difficult to say, but it is clear that there is an agreement since in other countries where similar measures have been taken, no radical decisions were applied.
"The Swedish authorities' decision to discriminate against Huawei and exclude it from the 5G rollout significantly affected Huawei's investment in Sweden, violating Sweden's international obligations.
As a result, Huawei had to initiate arbitration proceedings at the International Center for the Settlement of Investment Disputes of the World Bank against the Kingdom of Sweden, following a series of measures taken by the Swedish authorities, directly targeting Huawei's investments in Sweden and excluding Huawei from the launch . of 5G network products and services in the country.”
Huawei challenged in court the initial decision of the Swedish authorities to prohibit the use of its 5G equipment in local networks, but it did not win, not even in the appeal phase.
Now he is trying to use the Court of Arbitration of the World Bank to obtain compensation of at least 500 million euros, a huge figure, but probably close to what the company would have earned if it sold its equipment to local operators.
Huawei also has the obligation to help operators replace all equipment in their networks until January 1, 2025, a measure applied including in Great Britain, and expected in other countries.
