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UK will reportedly allow Huawei to build out parts of its 5G networks

The U.K. government will reportedly allow Huawei to build out parts of its 5G wireless networks, defying U.S. demands for a blanket ban on the Chinese tech giant.

Citing unnamed sources, The Daily Telegraph first reported that Britain’s National Security Council agreed on Tuesday to let Huawei provide “non-core” technology, like antennas, to the country’s mobile operators for the next-generation networks.

However, the U.K. will not allow the Chinese firm to provide “core” technology, which includes software and other equipment that link primary internet connections, several media outlets reported.

CNBC puts the argument forward that the U.K. decision to allow Huawei to build parts of the country’s new networks could set up a clash with key allies like the U.S. and Australia that have outright banned the company’s 5G equipment, citing concerns it could provide a backdoor for Chinese espionage.

Huawei has repeatedly denied that it would engage in any form of spying or provide data to the Chinese government

5G is designed to bring faster speeds and lower lag times than previous wireless networks like 4G and 3G. It has been touted as a game-changer for industries like driverless cars or remote surgery that require quick, reliable internet connections.

CNBC also reports that Huawei is the world’s largest provider of telecommunications equipment, followed by and Finland’s Nokia and Sweden’s Ericsson.