The resulting reduction in competition could hurt security and push up prices, so Digital Secretary Oliver Dowden has started a task force to increase the number of suppliers. He is set to publish more details before the end of the year.
UK’s crackdown on Huawei came in July after UK officials said US sanctions made it impossible to verify the security of Huawei’s supply chain.
The White House accuses Huawei of being a security risk, which the company has always denied.
Since then, Nokia and Ericsson have already won major contracts from British carriers like BT Group Plc and CK Hutchison Holdings’ Three UK.
The phone industry is banking that longer-term initiatives such as OpenRAN – a project to make mobile network equipment more interoperable and encourage new suppliers – will eventually introduce more competition.
Other large global suppliers like Korea’s Samsung Electronics Co. do not currently offer the right kind of equipment to win immediate big deals with British carriers.