Huawei Faces Shortage of Computer Chips Due to US Sanctions
Technology
Asharq Al-Awsat
A Huawei executive said that recent US sanctions against the company have caused a shortage of computer chips for the company, hurting the growth of its smartphone business. Richard Yu, president of Huawei Technologies´ consumer business, said at a company conference for developers on Thursday that the company has still managed to gain a 51% market share in the Chinese smartphone industry. The US has imposed various sanctions on Huawei, citing national security concerns. The latest, ordered in August, restrict foreign semiconductor companes from selling chips to Huawei that are produced using American technology. "Even after this third blow, we still managed to achieve growth," said Yu, who acknowledged that growth had been impacted over the last month. In May, the US barred chipmakers that use US technology and software to design chips from selling to the Shenzhen-based company without a license, The Associated Press reported. A year earlier, the US government put the company on its trade blacklist, banning Huawei from doing business with US companies after the Trump administration said Huawei was a national security threat. The US alleges that Huawei could conduct intelligence for the Chinese government and has urged its allies to exclude Huawei from its telecommunications networks. Huawei has vehemently denied these accusations. This trade blacklist cut Huawei off from suppliers such as Google, which had supplied Huawei smartphones with the Android operating system and Google Mobile Services, such as Gmail and YouTube. Huawei then developed its own Huawei Mobile Services, including an app store, that it has rolled out for newer smartphone models.
from Asharq AL-awsat https://english.aawsat.com/home/article/2499761/huawei-faces-shortage-computer-chips-due-us-sanctions
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