Cybersecurity 'more complex' than ever before: ZTE

Cybersecurity is "more complex" in the 5G era than in previous generations, and ZTE Corp has been "very active" in working on that, a company senior executive said Thursday.

As 5G extends to various industries, governments, and regulators, the whole of society is paying greater attention to cybersecurity, which makes the issue more complex than ever before, said Xiao Ming, president of global sales at ZTE.

The world's fourth-largest telecom equipment supplier said it has established "three lines of defense" to ensure the safety of its products. That not only includes internal inspection, but also the building of an independent security lab overseas.

"Data protection is a must…We are very active on that," Xiao said in an interview at Mobile World Congress Shanghai on Thursday.

Responding to questions on whether the company is worried about the environment overseas, with rival Huawei banned from providing 5G services in the United States due to security concerns, Xiao said, "The cybersecurity issue is not related to a single or specific vendor, it is a common issue for everybody – vendors, operators as well as regulators".

"It is the whole ecosystem that needs to care about it."

"We are happy to see that the European Union laid out unified cybersecurity requirements. We see it as a challenge on one hand. But on the other, it is a good thing," he said.

Xiao said the company considers Europe a top priority and expects sales in the region to double next year.

He also places high hopes on the growth of Asian markets, including Indonesia, India, Thailand and Malaysia.

"These large-populated countries with infrastructure lagging behind will have the greatest potential," he said.

ZTE announced Wednesday that it has so far delivered 50,000 base stations worldwide. It also said it has obtained 25 5G commercial contracts globally and has already committed to partnerships with over 60 operators across the world.

In April the company forecast a projected net profit of 1.2 billion yuan ($175 million) - 1.8 billion yuan in the first half of this year, after losing 7.8 billion yuan during the same period in 2018 due to US sanctions.