BSS
  28 Feb 2022, 10:49

Tech firms flock to Spain trade show in shadow of Russia war

BARCELONA, Feb 28, 2022 (BSS/AFP) - One of the technology industry's
biggest annual get-togethers is set to kick off in the Spanish city of
Barcelona on Monday, under the shadow of Russia's invasion of Ukraine.

  The Mobile World Congress, where smartphone and telecoms companies show off
their latest products and reveal their strategic visions, is expected to
welcome more than 40,000 guests over its four-day run.

  Organisers hope to return to a full-scale event after two years of
disruption caused by the coronavirus pandemic.

  But Russia's invasion of Ukraine has hampered preparations for this year's
edition, with organisers forced to remove the country's dedicated pavilion.

  Industry body GSMA, which stages the annual event, said in a statement it
was complying with all sanctions and policies regarding Russia.

  It confirmed, however, that Russian firms may still be able to participate.

  The invasion has sparked wider jitters, with the industry assessing
sanctions slapped on Russia by the United States and Europe and a likely
shortage of key raw materials caused by the conflict.

  - Pandemic woes -

  The MWC was cancelled at the last minute in 2020 as the pandemic spread
from China to Europe, and last year's edition was drastically scaled down.

  The pandemic continues to cast its shadow with big names like Sony, Asus
and Lenovo pulling out or participating "virtually".

  But organisers are bullish, with GSMA director general Mats Granryd saying
95 percent of speakers will be in Barcelona.

  Among the tech giants confirming their attendance are smartphone behemoth
Samsung, as well as Nokia, Ericsson, Google, Huawei and Verizon.

  Focuses of this year's event include the rise of 5G, the opportunities
offered by the Internet of Things (IoT), the metaverse and the impact of tech
on the environment.

  Few new products are expected to be unveiled by the major players, many of
whom have showcased their latest releases in the weeks leading up to the get-
together.

  - 'No shelter' -

  The show will, however, provide Chinese phone makers such as Oppo, Xiaomi
and Vivo with a "coming out party", according to Ben Wood of CCS Insight.

  "It's the first time they will be able to flex their muscles at a big
Western trade show," he told AFP, pointing out that they have all become much
bigger during the pandemic.

  They are filling a void left by Huawei, which has been hobbled by sanctions
imposed by the US in 2019 over accusations its wireless systems could allow
spying by Chinese state entities. The entire industry will now need to reckon
with sanctions over the Ukraine invasion, with the US already announcing
restrictions on technology exports to Russia.

  "The smartphone market, and other technology product markets, are unlikely
to remain sheltered from the impact of the crisis in Ukraine, given the
economic and geographic significance of both Russia and Ukraine," said Marina
Koytcheva of CCS.

  Both countries supply raw materials such as neon and palladium used to
manufacture smartphone components.

  And the conflict could lead to shortages of many other products and rising
prices, which could in turn hit demand for phones, she said.

  The smartphone market grew by 5.7 percent last year, with 1.35 billion
devices sold worldwide, according to analyst firm IDC.

  Samsung sold the most phones followed by Apple and Oppo.