Huawei assured the FCC its products pose no cybersecurity risks. The FCC is looking at a proposal to bar USF subsidy support for products from companies seen as posing a national security threat (see 1804170038). Some commenters question “whether a testing and certification regime would be sufficient to guard against potential threats to national security from particular manufacturers,” the company said Thursday in docket 18-89. “Huawei has been one of the most advanced practitioners in the telecom industry when it comes to cybersecurity testing and certification.” Huawei noted the U.K. has worked with Huawei to open the Huawei Cyber Security Evaluation Centre in the U.K., “which is monitored by a public-private Oversight Board to ensure its independency and efficacy.”

With their deal in the works, T-Mobile and Sprint are likely to be cautious in the upcoming 28 and 24 GHz auctions, Macquarie’s Amy Yong wrote investors Thursday. “Both will look to participate,” the analyst forecast. “T-Mobile has confirmed its interest and filed a letter asking the FCC to allow it to enter the auctions, while Sprint views mmWave as complementary to its [approximately] 150 MHz of 2.5 GHz spectrum. But, despite protections in place against sharing sensitive competitive info, there could be hesitation to participate at a large scale given the deal’s pending regulatory review. We continue to see the potential for a new class of 5G winners, including New T-Mobile.” Verizon has lots of millimeter-wave spectrum and is likely to participate “opportunistically,” Yong said. While AT&T has more than 375 MHz of 39 GHz in the top 100 markets from its FiberTower, “it will participate in the auctions,” she thinks. Non-carriers also could jump in, she said: “Comcast/Charter’s participation could mean a larger commitment to wireless, while tech could bring new 5G players. We note that Google met with the FCC regarding the C-Band initiative.” Yong said all of the spectrum set for auction by the FCC, including the C-band, has negative implications for Dish Network stockpile of frequency-use rights.

Australia is taking a stance similar to the U.S. in banning Chinese equipment maker Huawei from supplying equipment for 5G networks being built there. The U.S. restricted Huawei and ZTE participation in U.S. markets (see 1808130064). The Australian government announced 5G restrictions without mentioning any company. “Involvement of vendors who are likely to be subject to extrajudicial directions from a foreign government that conflict with Australian law" may "risk failure by the carrier to adequately protect a 5G network from unauthorised access or interference,” it said. “As 5G and related technologies continue to develop, new risks relating to the technology may emerge and require further Government consideration.” Huawei confirmed it was targeted. This is “extremely disappointing,” the company tweeted: “Huawei is a world leader in 5G. Has safely & securely delivered wireless technology” in Australia for 15 years.

The FCC Wireless Bureau denied a request by Communications Workers of America and others (see 1808170052) that the FCC pause its shot clock on consideration of T-Mobile’s proposed buy of Sprint. “We deny the Motion in all respects and decline to stop the clock or extend the current pleading schedule under which petitions to deny currently are due” on Aug. 27, said a Wednesday order by Bureau Chief Donald Stockdale in docket 18-197. “Although the Commission encourages the widest possible public participation and has a strong interest in ensuring that the record is complete and fully developed with respect a proposed transaction, the Movants have failed to establish any basis.” That this is a busy period of pending proceedings before the FCC and the FTC doesn’t support delay, Stockdale said. “If the Movants find the data submitted by the Applicants to be deficient, then they certainly may rely on that deficiency to support arguments in a petition to deny the proposed transaction.”

The launch of 5G will mean “a new era of technology innovation” transforming how people live and how things interact, 5G Americas said in a new white paper. “The flexible capabilities of 5G enable a wide range of business models, including fixed-wireless access, enhanced mobile broadband, and IoT support,” the group said. “The innovative 5G technical standard provides the specifications for harnessing new millimeter Wave spectrum that has never before been used for cellular technology communications.” The paper, “5G: The Global Impact of Wireless Innovation,” was written by Rysavy Research. “Operators and vendors are collaboratively working towards efficient, faster, and higher-capacity networks for the realization of 5G,” said Chris Pearson, president of the trade group.

If Lenovo ships on schedule a 5G “mod” for the Motorola Moto Z3 smartphone in the U.S. early next year, it will be “the first company to provide the 5G mobile experience to customers,” said CEO Yang Yuanqing on a Wednesday earnings call. Lenovo’s goal for the fiscal year ending June 30 will be to “control” to under $1 billion the annual operating expenses of the Motorola business, he said. If successful, that means Lenovo will have reduced Motorola’s operating expenses by $800 million since buying it from Google for $2.91 billion nearly four years ago (see 1410300029), said Yang. In the “key emerging markets” of China and India, “we are committed to further investing in the right brand strategy” for Motorola, he said. That means “playing the emerging markets with a more conservative approach” that reduces product “complexity,” while keeping “an eye on the losses quarter-over-quarter and year-over-year,” said Motorola President Sergio Buniac.

Verizon will offer YouTube TV and Apple TV 4K in its broadband package in four 5G cities when it launches in the second half of the year. The carrier also said Tuesday that Indianapolis is joining Houston, Los Angeles and Sacramento as the first 5G cities. “YouTube TV will give you more than 60 of your favorite live TV channels and with Apple TV you can select all the movies and TV shows you want from iTunes, Netflix, and Prime Video,” Verizon said.

Sprint said it's working with LG Electronics USA to deliver the first mobile 5G smartphone in the U.S. in the first half of next year. “Sprint customers will be among the first in the world to experience the incredible speed, reliability and mobility of 5G on this innovative handset built for the country’s first mobile 5G network when it launches,” Sprint said Tuesday.

The FCC posted a public notice on 28 and 24 GHz auctions in docket 18-85 and in 14-177 a Further NPRM proposing a new approach on the 39 GHz band. Both were approved by commissioners 4-0 Thursday (see 1808020025). The only major change from drafts is the FCC now proposes to allow incumbents in the 39 GHz band to use vouchers to acquire new spectrum rights in any of the bands being auctioned. “Our goal is to facilitate the reconfiguration of existing 39 GHz spectrum holdings -- currently licensed in small spectrum block sizes and mismatched geographic areas -- into more contiguous swathes of spectrum that are conducive to wireless broadband deployment, including 5G services,” the FNPM said. “The reconfiguration of incumbent 39 GHz holdings would protect and enhance incumbents’ existing spectrum usage rights, and would increase opportunities for the Commission to offer new licenses for contiguous spectrum blocks at auction.”

T-Mobile’s proposed buy of Sprint “lingers in the backdrop,” but both carriers’ results (see 1808010066) “showed no sign of distractions,” Macquarie’s Amy Yang told investors. T-Mobile’s “share gains accelerated” while Sprint’s “network turnaround continued,” she said. “With both companies raising their outlook, the foundation for New T-Mobile is set. The combo is poised for 5G and prepared to disrupt broadband/video.” T-Mobile had a “solid” quarter, said Wells Fargo’s Jennifer Fritzsche. The results show that T-Mobile would also be a strong contender as a stand-alone company, she said.