By Giuseppe Fonte and Elvira Pollina
ROME (Reuters) – Italy has prevented telecoms group Fastweb from signing a supply deal with Huawei for its 5G core network, two sources close to the matter said, the clearest sign yet Rome is adopting a tougher stance against the Chinese telecoms equipment maker.
At a cabinet meeting late on Thursday, the government used its special vetting powers to block Fastweb, the Italian unit of Swisscom, from implementing a supply deal with Huawei in the most sensitive part of its fifth generation mobile network, the sources said.
“The government has vetoed the operation, asking Fastweb to diversify its suppliers,” a senior government source told Reuters.
Huawei declined to comment. No comment was immediately available from Fastweb.
(Reporting by Giuseppe Fonte and Elvira Pollina; Additional reporting and editing by Giselda Vagnoni; Editing by Jan Harvey)
