Select Committee · Science, Innovation and Technology Committee

UK telecommunications infrastructure and the UK’s domestic capability

Status: Closed Opened: 9 Apr 2020 Closed: 25 Jun 2021 20 recommendations 10 conclusions 1 report

The next generation of mobile telecommunications (known as ‘5G’) promises faster download speeds, more reliable connections and technical abilities that enable new systems such as autonomous vehicles or connected health devices. In January 2020, the Government announced that it would allow Huawei and other “high risk vendors” to supply “non-sensitive” elements of the UK’s 5G … Show more

Reports

1 report
Title HC No. Published Items Response
Second Report: 5G market diversification and wider lessons … HC 450 4 Feb 2021 30 Responded

Recommendations & Conclusions

30 items
1 Recommendation Second Report: 5G market diversificatio… Accepted

The Government’s ‘5G Supply Chain Diversification Strategy’ provides an overview of the Government’s intentions for...

The Government’s ‘5G Supply Chain Diversification Strategy’ provides an overview of the Government’s intentions for addressing the current lack of vendors in the UK’s 5G infrastructure equipment market. The Government itself acknowledges that this will take time. Although the decision to forbid the use of 5G equipment procured from Huawei … Read more

Government response AI summary
The government agrees with the urgency of diversification and commits to responding to the Diversification Taskforce report before summer recess. This response will detail the implementation strategy, including specific deliverables, milestones, and the approach to future R&D investment.
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Department for Science, Innovation and Technology
2 Conclusion Second Report: 5G market diversificatio… Acknowledged

The Government is seeking to attract existing vendors to the UK market in order to...

The Government is seeking to attract existing vendors to the UK market in order to diversify the telecommunications vendor market in the short-term. One of the major barriers faced by such companies is the requirement of British network operators for continued provision of older generations of network technology. The main … Read more

Government response AI summary
The government acknowledges the committee's observation that the provision of older network technologies is a major barrier to diversification. It states it is working with mobile operators, suppliers, and users to establish a clear roadmap for the long-term use and provision of network services, including …
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Department for Science, Innovation and Technology
3 Recommendation Second Report: 5G market diversificatio… Accepted in Part

In addition to considering the case for transitioning away from 2G and 3G technologies, the...

In addition to considering the case for transitioning away from 2G and 3G technologies, the Government should propose measures within the next six months that could facilitate market entry by existing vendors in the near-term. It should consider options for addressing the barrier of operators’ preference for vendors to offer … Read more

Government response AI summary
The government is working with mobile operators, suppliers, and users to set a clear roadmap for transitioning away from 2G and 3G technologies. It commits to supporting R&D for innovative deployment methods like standalone 5G and Open X2 but declines to mandate specific technical solutions, …
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Department for Science, Innovation and Technology
4 Conclusion Second Report: 5G market diversificatio… Accepted

The Government is right to support the development and adoption of open standards and increased...

The Government is right to support the development and adoption of open standards and increased interoperability as a potential means of diversifying the telecommunications equipment vendor market. It is also right to identify Open RAN as a prominent approach to achieving this, but not the only one. However, neither the … Read more

Government response AI summary
The government reinforces its commitment to Open RAN and open standards, citing an initial £250 million investment for R&D. It also details ongoing efforts to ensure UK market interests are represented at global technical standards bodies to support interoperability and security.
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Department for Science, Innovation and Technology
5 Recommendation Second Report: 5G market diversificatio… Accepted

The Government should support Open RAN and other efforts to drive the adoption of open...

The Government should support Open RAN and other efforts to drive the adoption of open standards and greater interoperability. While the success of Open RAN is not guaranteed, the Government should encourage the deployment of Open RAN to ensure that the UK is not behind others in deploying this technology. … Read more

Government response AI summary
The government accepts the recommendation, highlighting that its Diversification Strategy already supports Open RAN and similar technologies. It has committed an initial £250 million investment for R&D in open technologies and will ensure UK market interests are represented at global technical standards bodies.
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Department for Science, Innovation and Technology
6 Recommendation Second Report: 5G market diversificatio… Acknowledged

The first live networks using Open RAN are being deployed, with one having launched in...

The first live networks using Open RAN are being deployed, with one having launched in Japan last year. The Government should evaluate these initiatives and report regularly on what lessons can be learned from foreign experiences to inform the UK’s strategy for diversifying the vendor market and improving telecommunications security, … Read more

Government response AI summary
The government agrees on the crucial importance of regular information sharing and engagement with international partners to inform the UK's diversification strategy. It is actively working to foster discussion and collaboration internationally, including with G7 partners and bilaterally, but does not commit to specifically evaluating …
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Department for Science, Innovation and Technology
7 Recommendation Second Report: 5G market diversificatio… Accepted

We heard evidence during our inquiry supporting the Government’s assessment that network operators’ preference for...

We heard evidence during our inquiry supporting the Government’s assessment that network operators’ preference for vendors with proven track records acts as a barrier to potential market entrants. The Government’s proposals to establish testing and validation facilities, and to reduce regulatory disincentives for network operators to integrate new vendors into … Read more

Government response AI summary
The government confirms that the UK Telecommunications Laboratory is being established as a key element of its R&D approach, with work progressing rapidly and extensive industry consultation underway. The Lab will enable new suppliers to demonstrate product performance and security, ensuring trust in validated equipment …
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Department for Science, Innovation and Technology
8 Conclusion Second Report: 5G market diversificatio… Accepted

Measures to support research and development form a major part of the Government’s ‘5G Supply...

Measures to support research and development form a major part of the Government’s ‘5G Supply Chain Diversification Strategy’. Nevertheless, the total funding of £250 million for initial implementation of the strategy is significantly smaller than the tens of billions of pounds invested annually in research and development by the main … Read more

Government response AI summary
The government clarifies that its initial £250 million investment in R&D aims to supplement existing investment and agrees with the committee on the criticality of coordinating R&D across academic and commercial activities. It commits to setting out a clear, long-term vision and developing a coordinated …
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Department for Science, Innovation and Technology
9 Recommendation Second Report: 5G market diversificatio… Accepted

The collaborative research and development networks that the Government seeks to develop to support diversification...

The collaborative research and development networks that the Government seeks to develop to support diversification of the telecommunications market should encompass relevant groups at universities and research institutes as well as small- and medium- sized enterprises and large companies. The Government should aim to actively co- ordinate the research and … Read more

Government response AI summary
The government agrees with the need for coordinated R&D and states it has invested £250 million. It commits to setting out a clear, long-term vision, detailing further steps before summer recess, and developing a coordinated, strategic approach to strengthen UK capability in telecoms R&D.
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Department for Science, Innovation and Technology
10 Conclusion Second Report: 5G market diversificatio… Not Addressed

There is strong support for the establishment of common testing facilities for new 5G infrastructure...

There is strong support for the establishment of common testing facilities for new 5G infrastructure equipment, to provide a variety of services that could help to drive diversification. The National Telecoms Lab—which appears to be the main facility proposed by the diversification strategy—seems, however, to be focused heavily on security … Read more

Government response AI summary
The government refers to its initial £250 million investment in R&D for diversification and its broader strategy to stimulate alternative supply chains. However, it does not directly address the committee's observation about the National Telecoms Lab's heavy focus on security testing alone.
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Department for Science, Innovation and Technology
11 Recommendation Second Report: 5G market diversificatio… Acknowledged

In addition to conducting security testing and validation, the Government should ensure that the research...

In addition to conducting security testing and validation, the Government should ensure that the research and testing facilities established through the diversification strategy also drive market diversification by stimulating collaboration and supporting the development and commercialisation of new technologies. (Paragraph 49) 50 5G market diversification and wider lessons for critical … Read more

Government response AI summary
The government agrees with the importance of coordinating R&D to drive outcomes and has invested £250 million in R&D for diversification. It commits to strengthening UK capability and developing a strategic approach for research and innovation, with further steps to be set out before summer …
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Department for Science, Innovation and Technology
12 Recommendation Second Report: 5G market diversificatio… Not Addressed

Testing facilities do not need to be situated in one physical location.

Testing facilities do not need to be situated in one physical location. The Government should ensure that any new testing facilities complement existing facilities, and are designed with potential developments in 5G technology in mind to guard against future redundancy. Read more

Government response AI summary
The government's response outlines its initial £250 million investment in R&D for diversification and its commitment to a long-term vision and strategic approach for R&D and innovation. However, it does not address the specific recommendation regarding the design of new testing facilities to complement existing …
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Department for Science, Innovation and Technology
13 Conclusion Second Report: 5G market diversificatio… Accepted

New vendors of 5G telecommunications equipment face challenges in scaling up their production rapidly enough...

New vendors of 5G telecommunications equipment face challenges in scaling up their production rapidly enough to meet network operator demand and compete with incumbent vendors. Although the Government’s diversification strategy identifies this barrier to market entry, it defers details of any significant measures to address it until publication of a … Read more

Government response AI summary
The government acknowledges the importance of scale for new suppliers and states it is actively pursuing opportunities within its 5G Testbeds and Trials programme to prioritise open-interface technologies and new market entrants. It is also considering opportunities in mobile private networks to support vendor diversification.
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Department for Science, Innovation and Technology
14 Recommendation Second Report: 5G market diversificatio… Accepted

The Government should align its strategy for diversifying the 5G vendor market with its support...

The Government should align its strategy for diversifying the 5G vendor market with its support for rolling out 5G network coverage. Wherever the Government provides funds for expanding 5G coverage, it should look for opportunities to simultaneously support vendor diversification, for example by requiring the use of open standards. The … Read more

Government response AI summary
The government is actively facilitating 5G deployment and pursuing opportunities within its funded programmes, such as 5G Testbeds and Trials, to prioritise open-interface technologies and new suppliers. It is also looking at mobile private networks to support new market entrants and scale, thus aligning diversification …
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Department for Science, Innovation and Technology
15 Recommendation Second Report: 5G market diversificatio… Acknowledged

The Government identified the concentration of intellectual property rights in the hands of established vendors...

The Government identified the concentration of intellectual property rights in the hands of established vendors as a barrier to market entry. It commits in its diversification strategy to working with industry bodies to address this, although the proposed work is not described in great detail. In its response to this … Read more

Government response AI summary
The government acknowledges that intellectual property rights are a potential barrier to diversification and states it is currently considering options for monitoring patent essentiality and discussing this complex issue with international partners and industry.
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Department for Science, Innovation and Technology
16 Conclusion Second Report: 5G market diversificatio… Acknowledged

Long-standing factors have driven consolidation in the telecommunications vendor market over many years, so it...

Long-standing factors have driven consolidation in the telecommunications vendor market over many years, so it is critical that the Government adopts measures to maintain market diversity as well as to drive the initial diversification. Network operators will be integral to achieving both aims. Although operators stand to benefit from a … Read more

Government response AI summary
The government acknowledges the importance of market diversity and the role of network operators, referencing an initial £250 million investment in R&D to drive diversification. It notes ongoing work with operators and states further steps will be set out before summer recess, aligning with the …
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Department for Science, Innovation and Technology
17 Recommendation Second Report: 5G market diversificatio… Accepted in Part

The Government cannot rely solely on removing barriers to market entry to diversify the telecommunications...

The Government cannot rely solely on removing barriers to market entry to diversify the telecommunications vendor market, but must also ensure that network operators actively pursue diversification and act to maintain the diversity achieved. This will require a combination of incentives, measures to reduce operator costs, and regulatory requirements. For … Read more

Government response AI summary
The government accepts the need for measures to incentivise diversification, citing an initial £250 million R&D investment and ongoing work with network operators. While they will set out further steps before summer recess, they do not commit to publishing specific measures with an indicative timetable …
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Department for Science, Innovation and Technology
18 Recommendation Second Report: 5G market diversificatio… Accepted

Of Ofcom’s two principal duties, it has appeared to have given less prominence to “further[ing]...

Of Ofcom’s two principal duties, it has appeared to have given less prominence to “further[ing] the interests of citizens in relation to communications matters” than it has to “further[ing] the interests of consumers”. Ofcom must ensure that it pursues both of its principal duties and guarantees the security of the … Read more

Government response AI summary
The government agrees with the importance of Ofcom's role in security, noting that new powers under the Telecommunications (Security) Bill will expand Ofcom's responsibilities. It is also considering updating the Statement of Strategic Priorities to emphasize telecommunications security.
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Department for Science, Innovation and Technology
19 Conclusion Second Report: 5G market diversificatio… Accepted

The UK’s telecommunications market accounts for a small proportion of the global market.

The UK’s telecommunications market accounts for a small proportion of the global market. International co-ordination will therefore be critical to the success of the UK’s diversification strategy. The Government’s 5G Supply Chain Diversification Strategy acknowledges this fact, and states the Government’s ambition for international co-operation. However, the strategy provides little … Read more

Government response AI summary
The government agrees on the critical need for international coordination and is committed to building a global coalition for telecoms diversification. It has made this a priority for the UK's G7 presidency and is proactively engaging with international partners bilaterally to identify opportunities for collaboration.
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Department for Science, Innovation and Technology
20 Recommendation Second Report: 5G market diversificatio… Accepted in Part

The Government should seek to establish a dedicated, standing forum for international co-operation on diversifying...

The Government should seek to establish a dedicated, standing forum for international co-operation on diversifying the telecommunications market, encompassing as many like-minded countries as possible and covering aspects including: research and development; adoption and deployment; standards; and overall strategy. This should not be based on existing intelligence-sharing coalitions. The Government … Read more

Government response AI summary
The government agrees on the need for international cooperation on telecommunications market diversification and intends to build a global coalition. It has made telecoms diversification a G7 priority and is engaging bilaterally with international partners, though it does not provide a specific timetable for establishing …
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Department for Science, Innovation and Technology
21 Recommendation Second Report: 5G market diversificatio… Acknowledged

There is a strong risk that the urgent security challenges faced by the UK’s telecommunications...

There is a strong risk that the urgent security challenges faced by the UK’s telecommunications sector are indicative of a wider, and growing, geopolitical development. Throughout our inquiry, we have heard of the prospect of a growing technological and regulatory divergence between China, and countries aligned with China, and other … Read more

Government response AI summary
The government acknowledges that 5G issues are indicative of wider geopolitical and technological challenges, stating that how norms and standards are developed will have far-reaching effects. It points to several forthcoming strategies, including Digital, National Data, Innovation, Defence Science and Technology, and AI Strategies, which …
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Department for Science, Innovation and Technology
22 Recommendation Second Report: 5G market diversificatio… Accepted in Part

The Government must treat the current issues in the UK’s 5G vendor market as an...

The Government must treat the current issues in the UK’s 5G vendor market as an indication of a much wider geopolitical, technological challenge. The character of the UK’s response, and that of other like-minded nations, will have profound implications for future decades and beyond. We urge the Government to address … Read more

Government response AI summary
The government acknowledges the profound implications of technological divergence and commits to promoting innovation and working with international partners. However, it does not commit to publishing a White Paper within twelve months, instead stating that various forthcoming strategies (Digital, Data, Innovation, Defence S&T, AI) will …
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Department for Science, Innovation and Technology
23 Recommendation Second Report: 5G market diversificatio… Accepted in Part

As part of its White Paper on global technological divergence, the Government should develop a...

As part of its White Paper on global technological divergence, the Government should develop a critical technologies strategy that identifies technologies that are likely to be of critical importance to the UK’s prosperity and security over the next ten to twenty years. This strategy should assess the potential opportunities and … Read more

Government response AI summary
The government agrees on the need for a long-term plan for critical technologies and aims to grow the UK's Science and Technology Power by 2030. While not committing to a single White Paper, it states that multiple forthcoming strategies (Digital, Data, Innovation, Defence S&T, AI) …
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Department for Science, Innovation and Technology
24 Conclusion Second Report: 5G market diversificatio… Not Addressed

The Government has only recently considered the consolidation of vendors in the UK’s telecommunications market...

The Government has only recently considered the consolidation of vendors in the UK’s telecommunications market as a potential risk to national security, although it is a process that has taken place over ten to twenty years. One problem appears to have been the focus on the security of the network … Read more

Government response AI summary
The government's response outlines a broad commitment to growing the UK's 'Science and Technology Power' and creating an enabling ecosystem, mentioning existing funding and a new analytical function. However, it does not specifically address the committee's observation that its diversification strategy only addresses 5G and …
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Department for Science, Innovation and Technology
25 Recommendation Second Report: 5G market diversificatio… Acknowledged

In producing a national strategy for critical and emerging technologies, the Government should consider potential...

In producing a national strategy for critical and emerging technologies, the Government should consider potential risks that could develop across their full supply chains.

Government response AI summary
The government agrees with the need to consider long-term implications of critical technologies and aims to grow the UK's Science and Technology Power by 2030. A new function will be instituted in the Government Office for Science to provide analysis and insights for strategic decisions …
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Department for Science, Innovation and Technology
26 Conclusion Second Report: 5G market diversificatio… Accepted

The setting of international standards is important for national economic competitivity and technical capability.

The setting of international standards is important for national economic competitivity and technical capability. The influence of British companies and officials in global standards-setting processes is diminishing. Although the ‘5G Supply Chain Diversification Strategy’ sets out the Government’s intention to redress this in the telecommunications sector, it is not clear … Read more

Government response AI summary
The government agrees on the importance of shaping international digital standards and clarifies that DCMS is actively engaging across various digital technical standards, including Internet, AI, and smart cities. It cites the development of EN 303 645 and efforts under the G7 presidency as examples …
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Department for Science, Innovation and Technology
27 Recommendation Second Report: 5G market diversificatio… Acknowledged

In producing a national strategy for critical and emerging technologies, the Government should review the...

In producing a national strategy for critical and emerging technologies, the Government should review the relevant global standards bodies, the objectivity of their processes and the relative influence of different countries. Similar to those measures outlined in its 5G supply chain diversification strategy, the Government should develop measures to build … Read more

Government response AI summary
The government agrees that UK engagement in shaping international digital technical standards is crucial and states DCMS is actively engaging with international standards bodies and partners across various digital technical standards topics. It highlights ongoing work including G7 presidency efforts and the role of BSI, …
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Department for Science, Innovation and Technology
28 Conclusion Second Report: 5G market diversificatio… Acknowledged

Domestic capability in the research, development and adoption of critical technologies is key not only...

Domestic capability in the research, development and adoption of critical technologies is key not only to economic growth and technological progress, but also to national security. It reduces dependency on foreign suppliers and governments, and allows the UK greater scrutiny of technologies for potential vulnerabilities and greater influence over the … Read more

Government response AI summary
The government agrees on the importance of long-term planning for critical and emerging technologies and aims to grow the UK's 'Science and Technology Power' by 2030 through creating an enabling ecosystem. It describes broad efforts including a new analytical function in the Government Office for …
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Department for Science, Innovation and Technology
29 Recommendation Second Report: 5G market diversificatio… Acknowledged

In producing a national strategy for critical and emerging technologies, the Government should assess the...

In producing a national strategy for critical and emerging technologies, the Government should assess the UK’s domestic research and development capability for each technology area as well as the capability of its allies. As the Government looks 5G market diversification and wider lessons for critical and emerging technologies 53 to … Read more

Government response AI summary
The government agrees on the importance of long-term planning for critical technologies, aiming to grow UK 'Science and Technology Power' by 2030 by creating an enabling environment and strengthening international collaboration. It also highlights existing funding for the tech sector and a new analytical function …
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Department for Science, Innovation and Technology
30 Recommendation Second Report: 5G market diversificatio… Accepted

In producing a national strategy for critical and emerging technologies, the Government should consider the...

In producing a national strategy for critical and emerging technologies, the Government should consider the security of the universities, businesses and other institutions conducting research into these technologies. Although guidance for the sector has recently been developed, the Government should monitor its implementation and stand ready to work with institutions … Read more

Government response AI summary
The government takes seriously the need to protect academic institutions and has implemented multiple measures, including publishing Trusted Research guidance, expanding the Academic Technology Approval Scheme (ATAS), launching a Digital and Tech China Strategic Communications Campaign, and enacting the National Security and Investment Bill to …
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Department for Science, Innovation and Technology

Oral evidence sessions

4 sessions
Date Witnesses
30 Sep 2020 Diane Rinaldo · Open RAN Policy Coalition, Dr Mike Short · Department for International Trade, Kip Meek · Communications Chambers and the Wireless Infrastructure Group, Marcus Weldon · Bell Labs, Professor Ciaran Martin · Blavatnik School of Government, University of Oxford View ↗
22 Jul 2020 Amy Karam · Canadian Global Affairs Institute, Dr Dritan Kaleshi · Digital Catapult, Rt Hon Oliver Dowden · Department for Digital, Culture, Media and Sport View ↗
9 Jul 2020 Andrea Dona · Vodafone UK, Dr Yao Wenbing · Huawei UK, Howard Watson · BT Group, Mr Jeremy Thompson · Huawei UK, Victor Zhang · Huawei UK, Woojune Kim · Samsung View ↗
24 Jun 2020 Attilio Zani · Telecom Infra Project, Matthew Evans · techUK, Professor Dimitra Simeonidou · University of Bristol View ↗

Who gave evidence

17 witnesses
WitnessOrganisationSessions
Amy Karam · Fellow Canadian Global Affairs Institute 1
Andrea Dona · Head of Networks Vodafone UK 1
Attilio Zani · Executive Director Telecom Infra Project 1
Diane Rinaldo · Executive Director Open RAN Policy Coalition 1
Dr Dritan Kaleshi · Head of Technology (5G) Digital Catapult 1
Dr Mike Short · Chief Scientific Adviser Department for International Trade 1
Dr Yao Wenbing · Vice President Business Development and Partnersh… Huawei UK 1
Howard Watson · Chief Technology and Information Officer BT Group 1
Kip Meek · Director Communications Chambers and the Wireless Infrastructure Group 1
Marcus Weldon · President Bell Labs 1
Matthew Evans · Chief Operating Officer & Director of Markets techUK 1
Mr Jeremy Thompson · Vice President Huawei UK 1
Professor Ciaran Martin · Professor of Practice in the Management of Public… Blavatnik School of Government, University of Oxford 1
Professor Dimitra Simeonidou · Professor of High Performance Networks University of Bristol 1
Rt Hon Oliver Dowden · Secretary of State Department for Digital, Culture, Media and Sport 1
Victor Zhang · Vice President and Chief Representative Huawei UK 1
Woojune Kim · Executive Vice President Samsung 1

Correspondence

7 letters
DateDirectionTitle
16 Jun 2021 Correspondence from Sir Patrick Vallance, Government Chief Scientific Adviser, …
16 Jun 2021 Correspondence from the Chair to Sir Patrick Vallance, Government Chief Scienti…
11 Jun 2021 Correspondence from the Chair to Rt Hon Oliver Dowden MP, Secretary of State fo…
9 Jun 2021 Correspondence from Rt Hon Oliver Dowden MP, Secretary of State for Digital, Me…
9 Dec 2020 Correspondence from Rt Hon Oliver Dowden MP to the Chair, relating to the 5G Di…
18 Nov 2020 Correspondence from the Chair to Rt Hon Oliver Dowden MP, Secretary of State fo…
16 Oct 2020 Correspondence from Rt Hon Oliver Dowden MP, DCMS, relating to Telecoms Diversi…

Meetings & visits

1 item
DateTypeDetail
28 Oct 2020 Formal meeting Formal Meeting · The Thatcher Room, Portcullis House