Huawei struggling to procure high-spec chips

Ruben Fields
August 10, 2020

News of the petition was reported by The Wall Street Journal, which viewed a Qualcomm presentation explaining its argument to the US government.

WeChat is China's most popular messaging app, and TikTok is one of the United States' most-used social media platforms.

Huawei, the world's biggest producer of telecoms networking equipment, has become a pivotal issue in the geopolitical standoff between Beijing and Washington, which claims the firm poses a significant cybersecurity threat.

Yu pointed out that after September 15 - the day when the ban takes effect - Huawei would no longer have the means to source components they need to build their Kirin chipsets.

Huawei officially confirmed that the Mate 40 flagship will be the last smartphone with its high-end Kirin processors. Chinese officials accuse Washington of using national security as an excuse to stop a competitor to USA tech industries. It would not be an easy task for Qualcomm to supply chips to Huawei.

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The sanctions on Huawei were imposed past year which cut off Huawei's access to USA components and technologies. The company is projected to sell fewer smartphone handsets this year compared to last year.

Huawei, started in 1987 by a previous military services engineer, denies accusations it may aid Chinese spying. But, like most global tech brands, it relies on contractors to manufacture its products. Thought the former is capable of going nearly equivalent to TSMC, it may not come supportive to Huawei fearing the same fate from the US. The deal includes a cross license that grants back rights to certain Huawei patents, covering sales dating back to the very beginning of the year.

Washington also is lobbying European and other allies to exclude Huawei from planned subsequent-era networks as a stability danger.

Similar tensions have arisen recently between the US government and video app TikTok, with the USA claiming that the app is collecting user data which could be funneled to the Chinese government and is therefore a threat to national security. That is due to fears its access to personal information about millions of American users might be a security risk.

The president's executive orders ban transactions with Tencent - owner of WeChat - and fellow Chinese tech company ByteDance, which owns TikTok, in 45 days, which would be September 20.

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