Recommendations & Conclusions
12 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 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
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 after 2020 was made following US sanctions announced in May 2020, the potential threat from telecommunications infrastructure supplied by foreign vendors and the concentration in the UK’s vendor market have been known for many years. It is therefore disappointing that the Government and its predecessors have not already developed and started implementing a strategy for diversifying the UK’s telecommunications infrastructure supply chain. Given the scale of the challenge and the urgency of the threat, the Government should publish, within three months, a more detailed action plan for implementing its diversification strategy. This should include a breakdown of how the initial budget will be spent and a series of milestones with target dates for completion.
Show less
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.
Read full response →
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 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
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 success of Open RAN or any related efforts, nor the positive impact on overall telecommunications security if these efforts are successful, is guaranteed.
Show less
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.
Read full response →
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 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
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. However, it must continually ensure that support for these efforts is consistent not only with increasing vendor diversity but also with improving the overall security of the UK’s telecommunications networks. Further, the Government must not assume that open 5G market diversification and wider lessons for critical and emerging technologies 49 standards and interoperability will inevitably be adopted nor that they will have the desired effect, and should pursue a range of measures designed to support market diversification and increase security.
Show less
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.
Read full response →
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 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
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 their networks, align with the recommendations for addressing this barrier made by many of the contributors to our inquiry. Following consultation with industrial and other stakeholders, the Government should report on the required scale and specification of the National Telecoms Lab, to ensure that network operators trust the equipment that it validates for integration into their networks.
Show less
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 …
Read full response →
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 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
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 incumbent vendors. Co-ordination with existing academic and commercial research and development, with clear long-term objectives, will therefore be critical. The Government’s reference to establishing a research and development “ecosystem” instead implies, however, a less strategic approach.
Show less
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 …
Read full response →
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 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
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 development that it supports so that participants work towards clearly-defined long-term objectives. Existing and newly-established public research facilities should be set up to support this goal.
Show less
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.
Read full response →
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 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
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 refresh to the Industrial Strategy. There appear to be good opportunities for the Government to support new market entry at the same time as driving deployment of 5G in the UK, but the diversification strategy fails to set out measures to achieve this.
Show less
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.
Read full response →
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 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
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 Government should identify opportunities to support new market entrants scale their production by supporting the deployment of novel small-scale 5G deployments. It should provide details of planned measures to support diversification and expand 5G coverage in its Industrial Strategy.
Show less
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 …
Read full response →
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] 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
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 UK’s telecommunications infrastructure as well as furthering the interests of consumers. The Government should consider the case for updating its statement of strategic priorities for telecommunications, to emphasise the importance of Ofcom’s duties relating to telecommunications security.
Show less
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.
Read full response →
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. 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
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 detail of plans for sustained co-ordination on industrial policy with a diverse range of countries.
Show less
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.
Read full response →
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 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
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 that there are similar plans for other important technological sectors.
Show less
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 …
Read full response →
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 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
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 to address any remaining challenges as appropriate. (Paragraph 109) 54 5G market diversification and wider lessons for critical and emerging technologies
Show less
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 …
Read full response →
Department for Science, Innovation and Technology