Huawei has recently conveyed that its smartphone shipments’ sales could drop significantly due to the ban imposed by the US last month. Soon after the announcement of the ban from Trump administration, US-based tech giants like Google, Qualcomm, Intel, ARM and more have started cutting ties with the Chinese multinational technology maker. For those unaware, the ban on Huawei was imposed by the US claiming that the company might be a possible threat to the US national security, which led to Huawei being obstructed of getting its hardware and software services from the US.
As stated earlier, the global leaders in chipset making — Qualcomm and Intel were some of the first companies to cut ties with Huawei, post the ban, after which Google and ARM have joined the list. Now, Reuters reports that the same chipset makers — Qualcomm and Intel have also aided in lobbying the US government to ease its ban against Huawei. The report cites sources familiar with the matter that Qualcomm and Intel have tried pressing the US to take the edge off on Huawei products’ sale.
The report further reveals us that US chipset makers, including Intel and Xilinx, have been present at a meeting with the Commerce Department for further response post the ban on Huawei. It further indicates Qualcomm had also taken its stand on easing the ban on Huawei at Commerce Department as well.
The report also implies that these chipset makers asking the US government to ease its ban is not about helping the Chinese tech giant but preventing harm for themselves, instead. That’s because many Huawei products utilize chips made from Qualcomm or Intel for its smartphones or smartwatches for that matter. Further, the report had revealed Huawei had spent $70 billion on US components in 2018, which the company bought it for its smart products, out of which around $11 billion have been given to companies like Qualcomm, Intel, and Micron Technology, a company that makes products for computers, semiconductors and more.
This indeed suggests us that why these tech companies are pushing the US government to ease its ban on Huawei. The report further indicates that these chipset makers are doing it for themselves, as aforementioned since Huawei has been a significant customer for them and imposing a ban on the company will certainly affect their products sale too. The report also cites China watchers saying these US suppliers are in fact are afraid losing the right customer rather an alleged spy working for the Chinese government, as earlier reports cited. Stay tuned to PhoneRadar for more such interesting updates.