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🇩🇰 Denmark /Technology

Danish state to pay 80 million kroner to TDC Net for Huawei equipment order

From Berlingske · () Danish

Translated from Danish, summarized and contextualized by DistantNews.

At a glance

News From a news agency Outcome reported
  • A Danish court has ruled that the government's order for TDC Net to remove Huawei equipment was an expropriation, ordering the state to pay 80 million Danish kroner in compensation.
  • The Eastern High Court found that while the decision to remove the equipment was lawful, it constituted expropriation.
  • TDC Net had sued for 195 million kroner, arguing the order was illegal and seeking compensation for the costs of replacing the equipment.

The Danish state must pay 80 million Danish kroner to TDC Net following a court ruling that classified the government's order to remove Huawei equipment from a central network as expropriation. The Eastern High Court delivered the verdict, determining that while the Center for Cybersecurity's (CFCS) directive in 2023 was lawful, it constituted an act of expropriation.

It was expropriation when the Center for Cybersecurity, CFCS, in 2023 gave TDC Net orders to remove all Huawei equipment from a central network.

— Eastern High CourtThe court's conclusion on the nature of the government's order.

TDC Net had initiated a civil lawsuit, arguing that the order to remove all Huawei equipment was illegal. The company sought compensation for the expenses incurred due to the replacement, initially demanding 195 million kroner plus interest. The court's decision acknowledges the financial burden placed on TDC Net by the government's security directive.

The court sets the compensation at 80 million kroner.

— Eastern High CourtThe amount of compensation awarded to TDC Net.

While the court upheld the legality of the CFCS's decision, it recognized the significant financial implications for the telecommunications company. This ruling sets a precedent for how such security-driven network infrastructure changes are compensated in Denmark, balancing national security concerns with the economic impact on private entities.

In return, the High Court finds that the decision had a basis in law.

— Eastern High CourtThe court's finding on the legality of the order itself.
DistantNews Editorial

Originally published by Berlingske in Danish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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