Today is a very strange day in the technology industry. Huawei is essentially now in a position where it is unable to make new products thanks to a number of US-based companies now terminating supply contacts with the Chinese-based manufacturer.
Lat week, the Trump administration added Huawei to a trade blacklist, meaning that without explicit permission from the US Government, American company’s were not to supply or provide products and services to them.
Update: Media Statement from Huawei
Huawei has made substantial contributions to the development and growth of Android around the world. As one of Android’s key global partners, we have worked closely with their open-source platform to develop an ecosystem that has benefitted both users and the industry.
Huawei will continue to provide security updates and after sales services to all existing Huawei and Honor smartphone and tablet products covering those have been sold or still in stock globally. We will continue to build a safe and sustainable software ecosystem, in order to provide the best experience for all users globally.
Huawei spokesperson
Nobody predicted the implementation of such a ban would be so rapid and so comprehensive. Google has terminated Huawei’s licence to use Google Play Services, that means OS updates, YouTube and a number of key attributes of Android will cease working.
To make matters worse for the company, Huawei is now unable to buy the microprocessors found in most of their products from Qualcomm or Intel, along with networking chips from Broadcom. This impacts their ability to produce either consumer or business-grade products.
When the 2nd highest selling smartphone maker in the world has the supply chain door closed on them, it’s going to be an awfully difficult future ahead.
Ultimately this trade ban hurts consumers who have enjoyed great products at affordable prices. While Trump is no fan of Chinese companies, this attack seems squarely levelled at Huawei, rather than others like ZTE, Oppo and Xiaomi.
Huawei can still build great products, many other companies make suitable chips besides US ones.
The US will suffer greatly from this, as these chips they are now denying to Huawei are actually MADE IN CHINA, and that will shortly be canned by the Chinese govt. Imagine these chip makers now needing to scale up factories and a workforce in the USA to make these chips, a simple smartphone will cost $5000. Well Done Trump!
Imagine if China continues to make these same chips in these factories, but instead sells them as “ChIntel, or ChinComm etc for a fraction of the price US companies can even manufacture them for themselves. Goodbye USA manufacturing, Bankwupty all over the USA, and a technology wasteland. Making America even dumber.