Monday, 17 June 2019 12:11

US chip firms seeking to ease ban on Huawei: report Featured

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US chip firms seeking to ease ban on Huawei: report Pixabay

American processor companies are lobbying the government to ease the ban on supplying components to Chinese telecommunications equipment vendor Huawei Technologies, a report claims.

Citing "people familiar with the matter", Reuters reported on Monday that Qualcomm and Intel were among the firms trying to get the ban eased, adding that Intel and Xilinx had talked to the Commerce Department in May about the placement of Huawei on the so-called Entity List.

The report comes in the wake of another firm in the sector, Broadcom, saying last week that it expected to take a hit of US$2 billion in its full-year revenue due to the ban.

Huawei spent about US$70 billion on components worldwide in 2018 and about US$11 billion of that was spent with US companies, the report said.

The US Government placed Huawei and 68 of its affiliates on its Entity List on 16 May, meaning that the company would have to seek permission to purchase any American components it needed to manufacture its products.

Four days later, Google announced it was cutting off Huawei's access to future updates of Google's Android and Google Play Store.

On 21 May, the US Commerce Department eased some of the restrictions until August, allowing Huawei to maintain and update existing networks and handsets.

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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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