14 DAY TRIAL // Huawei’s largest suppliers are suspending their collaboration with the Chinese tech giant after a US government order imposing new restrictions.
Google banned Huawei from using the licensed version of Android and its proprietary services, like Gmail and YouTube, and now the Chinese company is very close to losing its biggest suppliers.
Bloomberg reveals that Intel, Qualcomm, and Broadcom are all waving goodbye to Huawei in an attempt to comply with the government order. Intel builds chips for Huawei laptops and servers.
Huawei produces its own mobile processors and modems, but it also buys tech from Qualcomm and Broadcom, two other American giants now planning to cut off their collaboration with the Chinese firm.
Nikkei writes that other suppliers are currently evaluating the impact of the new order signed by the Trump administration late last week. German chipmaker Infineon Technologies has already suspended its shipments to Huawei. Micron Technology and Western Digital took a similar decision as well, according to the same source.
Similar trouble in Europe and Asia
European suppliers, including here ST Microelectronics, are yet to shut down their shipments to Huawei, but on the other hand, they are evaluating the impact of the Trump order. Asia-based TSMC maintains deliveries as well, albeit it admits the decision could change in the near future.
Huawei, however, doesn’t seem to be worried, as the company has reportedly prepared for this moment by “stockpiling roughly six months to one year of key components,” as per Nikkei.
Furthermore, Huawei has recently revealed it was working on its own alternatives to Android and Windows should such a ban to use these would be imposed, yet it’s not yet known if the company is ready to make the switch to its in-house built operating systems at this point.
Huawei hasn’t commented on this new offensive against the company, but its lawyers said last week they were looking into how the Chinese tech giant would be affected by the new restrictions announced by the US.