TPG is the second largest internet service provider in Australia, and the largest mobile virtual network operator. On Tuesday, TPG announced that it has abandoned building its mobile telephone network. The reason cited was the recent Huawei ban in Australia. TPG was exclusively relying on Huawei for building its network.

TPG said it has chosen Huawei as an equipment provider because the Chinese company offered a simple upgrade path from 4G to 5G. “That upgrade path has now been blocked. It does not make commercial sense to invest further shareholder funds“, said TPG.

A Huawei spokesperson found TPG’s announcement “extremely disappointing“, adding that “Australians will now miss out on cheaper and more affordable mobile services“.

Image credit: Reuters

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