Microsoft, Intel, Vodafone, other companies cut ties with Huawei
On 16 May 2019 American President, Donald Trump, took the feud with China to another level when he signed an executive order effectively blacklisting Huawei Technologies and its affiliate companies from doing business in the USA and with the USA.
That executive order was swiftly followed a few days later by Google pulling its Android license from being used by Huawei mobile devices.
However, following the Google revelation, the USA’s commerce department then issued a Temporary General License giving Huawei and its affiliates a grace period of 90-days to continue operating and servicing customers per normal.
Google might have been the first one to cut business ties with Huawei but it has not been the only company to do so, below is a list of all the technology company that have cut ties with the Chinese tech giant.
Alphabet Inc’s subsidiary, Google, was the first American company to announce that it had cut business ties with Huawei. Specifically, the company initially announced that it had pulled its Android operating system license from Huawei with immediate effect.
Google’s announcement is likely one of the most important ones as far as Huawei’s mobile devices business is concerned. This also, in the short to medium term, could mean Huawei loses significant market share in the smartphone sector to Apple and Samsung but could make this back in the long term as it rolls out its own operating system.
US chip manufacturer, Intel, informed its staff that they will not be supplying Huawei with any components as it has taken the decision to comply with the executive order signed by Donald Trump.
This, along with the announcement by other chip manufacturers, will be probably a bigger blow to Huawei as it is not in the chip manufacturing business as compared to the Android license which it could replace with its own already developed operating system.
Shortly after Google made its announcement, Qualcomm, the US chip manufacturer also cut business ties with Huawei. Specifically, the company issued a notice to its employees stating that Huawei is blacklisted and that it will not be suppling Huawei with chips until further notice.
It is not just American companies that have decided to cut ties with Huawei, as can be expected, the US executive order blacklisting Huawei has global implications.
UK chip manufacturer, ARM, has also decided to cut business dealings with the Chinese technology giant. Coupled with the same decision by two other American chip makers, Intel and Qualcomm, this puts Huawei in a rather tight spot in the short to medium term. ARM explained its decision that despite being a UK company, its designs contain “US origin technology.”
Another UK company to temporarily cut ties with Huawei is the mobile services provider Vodafone. It said that it will not be selling or marketing Huawei handsets as part of its 5G network launch because of uncertainties surrounding the company.
The decision by Vodafone is interesting in that it doesn’t mention anything obliging them legally to do so. It is also interesting in that Vodafone owns several mobile services providers across Africa and it is likely that such a decision could be implemented by Vodafone’s subsidiaries in Africa.
With Microsoft, the decision is not yet official but we do have a signal as to their possible intentions. So far, Microsoft has removed all Huawei branded laptops from its online store even before it has made an official statement.
This is a developing story and we will keep updating this list as new companies announce that they have cut business ties with Huawei. — iafrikan