Trump gives Huawei a "stay of execution"

Trump gives Huawei a
Last year, when ZTE was in the midst of an Export Ban that prevented it from obtaining needed parts and components from the U.S., President Donald Trump surprised everyone with a tweet that called for the Commerce Department to lift the ban. Trump wrote that "Too many jobs in China lost." This was the same guy who throughout the 2016 campaign complained that China was stealing jobs from the U.S. Nonetheless, a deal was eventually worked out and the ban was lifted in the nick of time.

Now let's move ahead to last week when Trump signed an executive order that declared a national emergency over U.S. technology. At the same time, the administration put Huawei on the Commerce Department's Bureau of Industry and Security (BIS) Entity list. This prevents U.S. firms from selling parts and components to Huawei without obtaining a government license. And it led Google and a number of chip makers to cut ties with Huawei, putting its phone business in jeopardy.

But as reported today by the Financial Times, the Trump administration surprisingly came to the rescue of Huawei (while in the middle of a trade war with China, we should note) by issuing a temporary license that allows U.S. companies to do business with Huawei for three months. However, there are restrictions. The license allows Huawei suppliers in the states to sell Huawei parts and components "necessary to maintain and support existing and currently fully operational networks and equipment, including software updates and patches." Also allowed under the three-month reprieve are contracts "necessary to provide service and support, including software updates or patches to existing Huawei handsets."

The Trump administration gives Huawei a "stay of execution" for three months


Of course, this doesn't mention anything about future Huawei handsets, including the Mate 30 line expected in the second half of the year. While Huawei does design its own chipsets for high-end models, it does use software from U.S. companies to create these designs. Huawei paid its U.S. suppliers including Qualcomm, Micron and Intel $11 billion last year and chip experts say that the company needs a few years before it is completely self-reliant.

Even if the Trump administration does allow U.S. companies to do limited business with Huawei for a few months, it is unknown at this stage whether Google, Qualcomm and some of the other U.S. companies that have broken ties with Huawei will continue to supply the company. An executive at a national security consultancy called today's news "a stay of execution."


Huawei was the second largest smartphone manufacturer in the world during the first quarter of 2019 and planned on taking the top spot away from Samsung by next year. The company was on such a path until Google and other companies, following the placing of Huawei on the Entity List, pulled the rug out from under the company. Huawei is also the number one supplier of networking equipment in the world, and some of its gear uses U.S. parts and components.

The U.S. considers Huawei to be a national security threat because of the possibility that it can be called upon by the communist Chinese government to gather intelligence. While always denied by Huawei executives, American lawmakers are concerned that the company's phones and equipment contain backdoors that can be used to send intelligence to Beijing.
Just the other day, Huawei chairman Liang Hua said that the company would sign a "no-spy" document with any country.

Huawei is by no means out of the woods, and it does appear more and more likely that the company is being used as leverage by the U.S. in the trade war with China.

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47 Comments

1. mohamedelallaqi

Posts: 3; Member since: Apr 13, 2014

Be careful Trump is going behind.

21. TheOracle1

Posts: 2151; Member since: May 04, 2015

This reprieve is mainly for rural networks that rely on Huawei equipment. The article is misleading.

2. chenski

Posts: 755; Member since: Mar 22, 2015

I'm still going to save up my money for the mate 30 pro

40. drunkenjay

Posts: 1651; Member since: Feb 11, 2013

yikes. Good luck.

4. almostdone

Posts: 426; Member since: Sep 25, 2012

I thought in America you're innocent until proven guilty? All this is going to do is create more tension around the world.

7. Shubham412302

Posts: 568; Member since: Nov 09, 2011

They have not found single backdoor in huawei's equipment. Huawei is just a collateral between china and america's cold war.

24. Cat97

Posts: 1804; Member since: Mar 02, 2017

They actually did, do some simple research. Other countries also banned Huawei's GSM equipment.

38. slim3bdo

Posts: 164; Member since: Jun 05, 2017

You are right . They found ONE back door , and guess what . It was installed by american NSA to spy on Huawei . ROFL at ignorant Americans

22. Marcwand3l

Posts: 426; Member since: May 08, 2017

It's all just a political game now. Obama did nothing and Trump is no refined and elegant enough to properly deal with this situation so this is basically their best card. It's obviously that US lost the 5G race and have no other option but to play dirty. They are afraid the Chinese will hold significant power with the next technological wave.

31. fakenewzz

Posts: 130; Member since: Nov 15, 2018

No things have changed since the fake news russia collusion story. Now if your a trumpet your guilty and never innocent. But if a libby then ur always innocent.

5. Nimbus

Posts: 442; Member since: Apr 02, 2018

Huawei will stop providing future android updates to its current line of flagship smartphones and future flagship smartphones so far that how I understood it,may be it includes midrange line of smartphones too.Guess Huawei could leave android for good and come with it's own OS just like Samsung with it's tizen and Msft with it's windows phone/mobile OS.

9. chris2k5

Posts: 240; Member since: Nov 17, 2012

Should be easy enough. Android is just a copy of iOS and the Chinese companies are very good at copying.

12. vgking9699

Posts: 171; Member since: Mar 01, 2019

Exactly, there’s actually fake apple stores in China that look and feel like real Apple stores and even the employees think they work for apple but they don’t and no connections to Apple whatsoever

15. Feanor

Posts: 1341; Member since: Jun 20, 2012

Huawei's skin EMUI on top if Android is an iOS copy, not Android as a whole. This is also the reason why I'm not so fussed about Huawei being attacked. When you ask big bugs for your phones and you give to people an Apple copy, then you deserve a lesson once in a while.

19. jacky899

Posts: 427; Member since: May 16, 2017

My P30 Pro doesn't feel a bit like IOS. It looks and feel just like any other android phones I used. Maybe you are referring to the rounded corner square icons which is typical of android and IOS?

30. Feanor

Posts: 1341; Member since: Jun 20, 2012

Rounded corner square icons which are typical for iOS only; Android allows them for those Chinese manufacturers that love copying iOS. Google themselves as well as other Android OEMs that have some self-respect use round icons. Also the iconography for Health, Music and Phone apps is a total ripoff of Apple icons. And for no good reason other than because this is what Chinese do. Also the default lack of an app drawer that was very fashionable among Chinese manufacturers etc.

45. jacky899

Posts: 427; Member since: May 16, 2017

Apple sued Samsung for copying their rectangle with round corner phone designs in a lawsuit that lasted 5 years. It is just dumb. Apple is now copying Huawei with their triple cameras. This is just how the smartphone world works.

13. vgking9699

Posts: 171; Member since: Mar 01, 2019

That would mean having to make and maintain their own App Store and would still need to pay google if they want their devices to actually use YouTube or gmail or other google software

10. vikingsfootball09

Posts: 111; Member since: Oct 02, 2013

never liked trump, never will...bring back obama lol

25. Cat97

Posts: 1804; Member since: Mar 02, 2017

Well, with Trump at least there is some (non-violent) action in the world :)

29. inFla

Posts: 76; Member since: Aug 17, 2018

Obama caused all the problems the country faces now.

32. Fred3

Posts: 434; Member since: Jan 16, 2018

No Bush did

16. Zylam

Posts: 1813; Member since: Oct 20, 2010

This whole thing is sickening to the core. To think that the US government can just shut off access to US suppliers and cripple a worldwide company that has users all over the world, not to mention, the blood sweat and tears it took to build a company of the caliber of Huawei. And what exactly has Huawei done? This whole situation is disgusting and we lost a huge competitor. I am not fond of Huawei phones, the skin is not for me but Huawei are the reason why we have such awesome gradient colours and the P30 Pro is the current battery king. There is no doubt they have been the ones pushing Apple and Samsung in the last 2 years. Google and the US government should be ashamed. This also showcases the massive disadvantage of Android for OEM's, every single Android Oem is effectively at the mercy of Google and the US government. That is just wrong. Perhaps it's time for the Chinese OEM's to band together and stick it to Google by building their own OS and ecosystem. I know it will take time but imagine if every Chinese OEM switched away from Android over night. Within the year the massive amount of money and ad data Google would lose would make them dance in a different way. But hey I'm sure it's Apples fault and there is nothing wrong in the land of Android.

20. TheOracle1

Posts: 2151; Member since: May 04, 2015

The current flagship battery king is the Vivo Nex S.

26. Cat97

Posts: 1804; Member since: Mar 02, 2017

"Awsome gradient colors" ? You mean, those looking like garbage fly colors ? Like OnePlus CEO said, gradient colors look good on pictures but do not sell. I would gladly do without this kind of "innovation".

33. JCASS889

Posts: 481; Member since: May 18, 2018

The Chinese would rather steal property they are lazy, they cheat and steal. Id say they deserve it and hopefully they actually do invent there own os as that would be a first

34. vikingsfootball09

Posts: 111; Member since: Oct 02, 2013

sounds like you're describing the u.s. as well...the whole spy/espionage game is a worldwide competition. as a side note, i have bought way many more electronic gadgets made in china than gadgets made in the u.s....the u.s government should stop acting innocent and stop pointing fingers ffs.

44. TBomb

Posts: 1278; Member since: Dec 28, 2012

the electronic gadgets are made in china because it's cheaper to build there and ship halfway around the world than to just build in US. Just because it's built in China doesn't mean it's Chinese. So in that sense, the u.s. government is innocent.

17. mariosraptor

Posts: 169; Member since: Mar 15, 2012

This is now because Trump got a phone call. If you don’t lift the ban I’ll ban whatever US made and all US interest stuff to come in or go out of China. No more made iPhones. No sells of them. Etc. give them a few days and all order will be restored. Huawei will continue business as usual. And this his only term as a president.

27. Cat97

Posts: 1804; Member since: Mar 02, 2017

I suppose you are aware that there are Chinese workers making those iPhones ? Workers that would remain without a job ?

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