Friday, 07 June 2019 11:22

ARM co-founder urges non-US tech firms to resist White House 'bullying'

ARM co-founder urges non-US tech firms to resist White House 'bullying' Image by Eric Perlin from Pixabay

The co-founder of ARM Holdings, Dr Hermann Mauser, has urged non-American technology companies not to give in to what he has characterised as "bullying" from the White House in the US-China trade war.

The British website Business Weekly reported that Dr Hauser was annoyed about the fact that the Americans had forced ARM to end its relationship with Chinese telecommunications equipment vendor Huawei Technologies.

ARM, a British company, is owned by Softbank, a Japanese fund.

In May, Washington placed Huawei on a list that prevents it from buying American components for its products without government approval. The order was later relaxed until August.

Dr Hauser, who is also a venture capital investor and co-founder of Amadeus Capital Partners, told the website: “I consider this an extremely serious issue for Europe and any other non-American country as it is a question of sovereignty which we must not compromise on.

“At present we have no option given the legal situation. The solution is to design out American IP and stand on our own two feet unless we want to become vassals to the ESG (Extremely Stable Genius) as Trump describes himself.”

He said the ban would hit ARM and US companies like Google and Apple in the long run. Huawei would be affected in the near term but the ban would make other companies wary and they would try and limit their exposure fearing that future decisions would also hurt them.

“Every single supplier in the world will start thinking of how to reduce the threat of their production being terminated by an American president," Dr Hauser said.

“All the discussions I have with companies in Europe at the moment are about them going through their intellectual property portfolio and designing American intellectual property out, which is terribly sad and destructive.

“Every company in the world must now be thinking: ‘Do I want to be in a position where the American president can shut me down?’ When I talk to people in the industry, they are being very careful about not buying American products.”

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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