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Qualcomm and Intel seek indulgence of sanctions against Huawei

US chip-makers that supply Huawei their products, including Qualcomm and Intel, are seeking US government relief of sanctions against Chinese tech giant.

Their goal is not helping partner as protecting themselves from possible losses.

Recalling, last month US Department of Commerce added Huawei to list of companies with which interaction of American enterprises should be limited or completely excluded. US technology companies are prohibited from selling Huawei their products without special permission from the government.

According to Reuters, at the end of May, was held a meeting between heads of Intel and Xilinx companies and representatives of the US Department of Commerce. The purpose of the meeting was to discuss further actions in response to the sanctions imposed on Huawei.

Immediately, four sources told Reuters that Qualcomm was also putting pressure on the government.

American manufacturers assure government that divisions of the Chinese company engaged in the production of smartphones and servers use widely available parts and, unlike equipment for 5G networks, are unlikely to pose a national security threat.

«This isn’t about helping Huawei. It’s about preventing harm to American companies», – explained one of Reuters sources.

In 2018, Huawei spent on components for its products about $70 billion, of which US companies received $11 billion, including Qualcomm, Intel and Micron Technology. No wonder Qualcomm is seeking right to continue selling Huawei components for consumer electronics like smartphones and smart watches.

Jimmy Goodrich
Jimmy Goodrich
The Semiconductor Manufacturers Association (SIA) even agreed to consult with the US government to inform officials on behalf of companies about the impact of the ban on their activities.

“The ban should not apply to technologies not related to national security. And we passed this concept to the government”, – said SIA Vice President Jimmy Goodrich.

Source: https://www.reuters.com

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