PANAMA CITY: A while ago, the U.S. Embassy in Panama made a rare announcement: The U.S. government, in coordination with the Ministry of Public Security, would replace Huawei telecommunications equipment in at 13 sites across the country with U.S. technology. In a photo posted to X, workers could be seen laying the foundations for a new radio mast.
However, the $8 million U.S. spent to replace the company's footprint in Panama represents a “drop in the bucket given the penetration of Huawei equipment and cloud infrastructure in Central America”. Founded in Shenzhen, China, in 1987, Huawei has evolved into a global leader in information and communications technology.
Panama's cell tower network is almost exclusively owned by Cable & Wireless, a U.S.-headquartered firm, and the penetration of Huawei technology in its infrastructure is unclear. In April last year, Cable & Wireless was studying proposals from Huawei, Ericsson and Nokia for the rollout of 5G infrastructure.
In early April, Nicaraguan President Daniel Ortega met with Huawei executives in Managua, signaling intentions for deeper tech cooperation with Chinese companies. In February Guatemala's social security system awarded a contract for a cyber-recovery vault to Huawei, but the contract was annulled three days after Rubio's visit to the country.
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