Xin Lang Cai Jing·2026-01-04 03:16Core Viewpoint - Japanese telecom giants NEC and Fujitsu have announced their withdrawal from the 5G base station market, marking a significant setback for Japan's ambitions in 5G technology and leaving the country reliant on foreign suppliers like Ericsson and Nokia [3][4]. Group 1: Company Developments - NEC has officially declared the termination of its 4G and 5G base station research and production by the end of 2025, followed closely by Fujitsu's decision to split its communications equipment business [3]. - Japanese telecom operators NTT, KDDI, and SoftBank have lost confidence in domestic technology, opting to procure 5G base stations exclusively from foreign companies [3][4]. - The failure of Japanese companies to compete in the 5G market is attributed to a lack of technological capability and market share, with Japanese firms holding less than 2% of the global market [4]. Group 2: Market Dynamics - The global 5G base station market is dominated by Huawei, Ericsson, and Nokia, which together account for nearly 80% of the market share, with Huawei alone holding 34% [4]. - Japan's 5G base station count is below 100,000, significantly lagging behind China's over 4.5 million, which has led to higher power consumption and stability issues in Japanese products [4][6]. Group 3: Political and Strategic Responses - Japanese Prime Minister Sanae Takaichi has attempted to form a "global telecom alliance" with Western nations to counter China's 5G technology, despite the lack of a coherent strategy [6][7]. - The proposed Open RAN technology, aimed at decentralizing 5G production, is criticized for its poor compatibility and increased maintenance costs, making it less viable compared to Huawei's integrated solutions [6][7]. - China's response to Japan's political maneuvers includes diplomatic pushback, economic measures such as rare earth export controls, and a focus on advancing its own 5G and future 6G technologies [7][9]. Group 4: Industry Implications - The collapse of Japan's 5G ambitions serves as a cautionary tale for other nations considering political strategies over technological innovation [9]. - China's sustained investment in R&D and its comprehensive industrial chain have solidified its leadership in the 5G sector, demonstrating that market success relies on innovation rather than political alliances [9].