Spark says it has been notified by the Director-General of the GCSB that it cannot use Huawei gear for its pending 5G mobile network upgrade.
The GCSB's apparent move comes after reports earlier this week that the US was pressuring allies to drop Huawei.
Newstalk ZB Politcal Editor Barry Soper told Andrew Dickens it cannot be underestimated how important the announcement was yesterday.
"The decision made by Hauwai regarding the 5G network is a massive one, it will impact the country's economy for sure. Our traditional allies Australia and United States will be very pleased we stayed close to them."
LISTEN ABOVE AS BARRY SOPER SPEAKS TO ANDREW DICKENS