Editorials

US Chipmakers want Trump to Reconsider Huawei Ban

The ban is bad for their business

Aftee Google made their case on the Huawei ban, several US chipmakers are silently lobbying for the US to ease the ban.

According to a report by Channel News Asia, chip suppliers like Qualcomm and Intel attended a meeting with the Commerce Department late May to ease the ban on Huawei. In addition, Qualcomm has pressed the Commerce Department over the issue. A source familiar with the situation said that Qualcomm wants to continue shipping chips for Huawei’s phones and smartwatches.

This recent development shows that like Google, US chipmakers fear of losing significant amounts of money if the ban pushes through.

Chipmakers argue that Huawei products such as smartphones and computer servers use commonly available parts and are “unlikely to present the same security concerns” as to Huawei’s 5G equipment.

“This isn’t about helping Huawei. It’s about preventing harm to American companies,” one of the sources said. Around $11 billion of Huawei’s 2018 component spending went to US chipmaker firms.

This recent development shows that US chipmakers are having a change of heart as they realize the possible long-term effects of the ban against Huawei.

 

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