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Globe says Huawei exerts no control over its network
Globe Telecom Inc. said Friday that its 2012 agreement with Huawei Technologies does not give the Chinese tech giant control over the telco’s network.
The telco clarified its business relationship with Huawei in light of statements by Information and Communications Technology Acting Secretary Eliseo Rio Jr. during a Senate hearing on the third telco selection process on November 26.
Rio also showed documents pertaining to Globe’s dealings with Huawei to illustrate the fact that China has long been embedded in the local telecommunications industry.
It was also intended to allay fears that national security may be compromised with state-owned China Telecommunications Corp. Ltd. as partner of Mislatel Consortium, the newly-hailed third major player in the telecom industry.
“This is ... to allay the fears of Senators Grace Poe, Chiz Escudero, and Antonio Trillanes IV who voiced national security concerns over the partnership between state-owned China Telecom and the ... third telco player,” Globe’s general counsel Froilan Castelo told GMA News Online.
“Huawei only provides network hardware and does not have access to our system. Huawei does not own a stake in Globe, nor hold a board seat in the company,” Castelo said.
China Telecom holds a 40-percent equity in Mislatel. Dennis Uy’s Udenna Corp. owns 35 of the consortium, and its subsidiary Chelsea Logistics Corp. holds 25 percent.
Industrial partner Mindanao Islamic Telephone Inc. holds a congressional franchise to operate as provider of telecommunications services.
“Globe controls and operates its own network. Huawei has no participation whatsoever in running Globe’s network,” Castelo said.
Rio clarified that he never said anything about Huawei operating or managing Globe’s network.
“What I said was that when they overhauled their entire network way back 2012, it was Huawei that won the bid,” Rio separately told GMA News Online.
“Huawei, of course, used Huawei products and had their personnel in the integration phase until they can show that all the equipment works perfectly, but the network has always been under operation and management by Globe engineers and personnel,” he said.
In 2012, Globe tapped Huawei for its network modernization program. Huawei personnel were part of the integration team during a network overhaul that year.
“They are no longer here and Filipino Globe engineers now have full control of network operations,” Castelo said.
“Huawei is not owned by the Chinese government, unlike China Telecom,” Castelo said.
Mislatel earlier said that national security will not be compromised even if state-owned China Telecom is a significant stakeholder in the consortium.
“Under the terms of reference, when we submit our rollout plan, kailangan namin ng detailed information kung paano namin ipo-protect ang information,” Adel Tamano, Mislatel’s spokesperson, said.
“That would be our top priority to ensure our national security,” he emphasized during an interview on GMA News’ “News to Go.” —VDS, GMA News
