Monday, 15 July 2019 09:04

Huawei planning big staff cuts in US: report Featured

Huawei planning big staff cuts in US: report Image by Gerd Altmann from Pixabay

Chinese telecommunications equipment vendor Huawei Technologies is reportedly planning to lay off a large number of staff from its operations in the US due to its being placed on Washington;'s Entity List which prevents it from using American components unless specific permission is granted.

A report in The Wall Street Journal said the cuts would take place at the company's R&D subsidiary Futurewei Technologies which employees about 850 people.

The newspaper cited anonymous sources as saying the numbers were in the hundreds, adding that some of the Chinese employees were being given the option of continuing to work with the company back in China.

Being placed on the Entity List means that components which have more than a certain percentage of content of American origin cannot be used by Huawei without permission.

Last Wednesday, the US Department of Commerce said it would issue licences to Huawei for buying American products "where there is no threat to US national security".

Huawei was placed on the Entity List on 16 May. Five days later, the US Commerce Department said the ban would be eased for 90 days, so that existing networks and handsets which had already been sold by the Chinese firm would continue to receive software updates.

US companies, a number of processor manufacturers among them, have got around the ban by selling Huawei goods made by their branches in other countries.

US President Donald Trump has hinted on more than one occasion that Huawei could be used as a bargaining chip to settle the ongoing US-China trade war.

In June, Huawei founder Ren Zhengfei said the company's revenue was expected to fall to US$100 billion in 2019, compared to US$105 billion in 2018. In February, a target of US$125 billion had been set for the 2020 financial year.

Contacted for comment, a Huawei spokesperson said the company was not making any public comment on these claims.


As part of our Lead Machine Methodology we will help you get more leads, more customers and more business. Let us help you develop your digital marketing campaign

Digital Marketing is ideal in these tough times and it can replace face to face marketing with person to person marketing via the phone conference calls and webinars

Significant opportunity pipelines can be developed and continually topped up with the help of Digital Marketing so that deals can be made and deals can be closed

- Newsletter adverts in dynamic GIF slideshow formats

- News site adverts from small to large sizes also as dynamic GIF slideshow formats

- Guest Editorial - get your message out there and put your CEO in the spotlight

- Promotional News and Content - displayed on the homepage and all pages

- Leverage our proven event promotion methodology - The Lead Machine gets you leads

Contact Andrew our digital campaign designer on 0412 390 000 or via email



Security requirements such as confidentiality, integrity and authentication have become mandatory in most industries.

Data encryption methods previously used only by military and intelligence services have become common practice in all data transfer networks across all platforms, in all industries where information is sensitive and vital (financial and government institutions, critical infrastructure, data centres, and service providers).

Get the full details on Layer-1 encryption solutions straight from PacketLight’s optical networks experts.

This white paper titled, “When 1% of the Light Equals 100% of the Information” is a must read for anyone within the fiber optics, cybersecurity or related industry sectors.

To access click Download here.


Sam Varghese

website statistics

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.



Recent Comments