Page 114 - SAMENA Trends - October 2019

REGULATORY & POLICY UPDATES SAMENA TRENDS

EU Lays Out 3 Primary Security Concerns Related to 5G

The European Union member states published a report assessing
the security risks of 5G networks. Predictably, given the focus
on Chinese telecom vendors this year, the report looks at supply
chains, and warns against using suppliers that can be controlled
by governments. The report also cautions carriers to not rely on a
single vendor. In addition, it also raises awareness of some risks
that haven’t been discussed widely – namely, the role of increased
software in networks. Led by concerns raised by the United
States government, EU countries are also evaluating the use of
Huawei’s telecom equipment in their networks. The concern is
that Huawei would have to comply with the Chinese government if
it was asked to use its telecom equipment for espionage. The EU
report said, “Threats posed by states or state-backed actors are
perceived to be of highest relevance. They represent indeed the
most serious as well as the most likely threat actors, as they can
have the motivation, intent and most importantly the capability vulnerable to state actors and sponsors, including those who don’t
to conduct persistent and sophisticated attacks on the security share our democratic principles. The next step is to translate the
of 5G networks.” The report also said that a carrier’s big reliance concerns the European Commission has into binding rules that
on a single supplier puts it in a bad spot if that sole supplier has prevent 5G networks from becoming controlled by criminal and
problems whether due to commercial failure, being subject to state actors alike.” Everyone has been focusing on the potential
a merger or acquisition, or being placed under sanctions. Also, security threats posed by the Chinese vendors Huawei and ZTE.
reliance on a single vendor could increase the impact of any But the EU report points out that 5G networks are fundamentally
systemic failures or hostile exploitation. Roger Entner, founder different than prior generations in that they will rely much more on
and lead analyst of Recon Analytics, said in an email, “Europe software. And this introduces new security risks. More software
is finally understanding how single vendor systems pose grave in 5G networks leads to increased risks connected with software
threats to 5G security. Single vendor deployments are exposing development and update and patch processes. Moreover, new
operators to incalculable risks as operators tie their success to types of technical vulnerabilities related to software are likely
the viability of their vendors. Furthermore, it becomes necessary to occur as technologies such as SDN and NFV are deployed
to trust in the vendors to an even greater degree, as some are commercially.

Ofcom Publishes Updated Proposals for 700MHz/3.6GHz-3.8GHz Auction

Following reports that the UK’s mobile circumstances’ and could ‘deliver better for spectrum in separate ‘lots’ to determine
network operators (MNOs) have submitted coverage outcomes for consumers how much each bidder wins), followed
binding voluntary commitments to than could have been delivered by [its] by an assignment stage to determine the
improve 4G coverage through a ‘Shared proposals’. As per the auction plans, specific frequencies winning bidders will
Rural Network’, local regulator Ofcom Ofcom has confirmed that it aims to offer be allocated. Ofcom has invited responses
has published updated proposals for the 200MHz of spectrum across the two to its consultation by 9 December 2019,
auction of frequencies in the 700MHz bands, comprising: 80MHz in the 700MHz ahead of making a final decision, and
and 3.6GHz-3.8GHz bands. In December band, which it expects to become available it has said it hopes to be in a position
2018 Ofcom launched a consultation for mobile use nationwide by May/June to start the spectrum auction by spring
on auction proposals that included the 2020; and 120MHz in the 3.6GHz-3.8GHz 2020. Finally, Ofcom has also confirmed
opportunity for up to two bidders to receive band, which should become available for that, to ensure that MNOs stick to the
a discount on the cost of the spectrum in mobile use across the country by June commitments they have now made for
return for accepting obligations to improve 2020, although some ‘localized constraints improving coverage, it will write conditions
mobile coverage. Now, as a result of the may remain in place until the end of 2022’. into their respective spectrum licenses,
aforementioned network sharing project Meanwhile, as a result of its decision to with these to be published ‘in due course’.
announced last week by the MNOs, the scrap coverage obligations, the regulator Further, the regulator has said it will set out
regulator has said that it is consulting is now proposing to run the auction using the criteria and methodology for assessing
on revised auction plans which have no a Simultaneous Multiple Round Ascending and, as necessary, enforcing compliance
coverage obligations, which it suggests (SMRA) format, which comprises a with these commitments.
‘reflect this material change in the relevant principal stage (where companies will bid

114 OCTOBER 2019