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Huawei Banned, Apple and Qualcomm Are Paying for It

By Mara Anton

Posted on May 21, 2020

Huawei is under fire after the US’ latest trade measures but it seems that this time around the government’s decisions could backfire against Apple and other US companies with Chinese interests. All in all, things are not looking great for Huawei P50 or iPhone 13.

This Huawei – US business started as a straightforward trade ban which cut ties between Huawei and US companies, like Google. Now, though, it’s becoming a full-on tech war. Or business war, as the US knows where to hit (spoiler: where the money is.)

We’ve all seen Huawei turn into a black sheep after it was accused of sabotage and being a national security risk. Some of you lost trust in Huawei. Those of you who didn’t, watched how the company not only did not catch a “musical” chair but they had it pulled from under them.

No Google services for you! If you stuck with them still, then you adapted to the App Gallery, Huawei’s own mobile services.

But the hit didn’t quite sting. Huawei gave users some homemade alternatives to Search, Google News and Assistant. And tried to give developers the ability to upload their apps on a different platform. One that catered to Chinese smartphone makers, too.

Plus, Huawei found a loophole. They turned to TSMC, the biggest chipmaker from Taiwan to make their chips… still. Kirin 990 came to the market with the P40 and Huawei thrived. Still.

Now, it’s all coming to an end. The US just said they were extending the Huawei ban another year. This means that the company is forced to rehash old phones again. If they can.

And what about P50? Not sure if they can still produce it. Not as they planned, anyway. That’s because the US has also banned foreign companies that use US equipment to sell to Huawei. Like TSMC.

The company may be Taiwan-based, but they make the Kirin chips using US equipment. And even if they managed to do it without that, there’s still the problem of Huawei designs. That’s a BIG no-no.

There’s a loophole. TSMC could apply for a license if they wanna keep working with Huawei. After all, Huawei is their second-biggest customer. But are they gonna apply for one? Is the US gonna grant it? It seems pretty unlikely. Especially since TSMC is getting ready to open a brand new factory in Arizona!