At the very least, it is a dramatic escalation in the US war on Chinese tech firms and US trade war with China itself.
Google pulls Huawei’s Android license
Meaning Huawei has to resort to use open source version. Google spokes person said “we are complying with the order and reviewing the implications”. And the said order was to place Huawei on the “Entity List”, which means a list of companies that are unable to buy technology from US companies without government approval.
Some of the upside of the news would be that current / existing Huawei devices would still continue to have functional Google Play and the security protection from Google Play Protect. So, the existing Huawei phones won’t be affected by the ban, but the future updates for those phones and new ones still unclear.
Currently, Huawei are restricted to using the Android Open Source Project (AOSP) which does not include the critical Google apps and services that consumers outside of China expect on Android devices.
Why would Trump do such thing?
Well, in recent memories, we’ve heard that Trump and the US government fears that Huawei devices could be used by the Chinese government to spy on American networks. In 2018, US intelligence agencies issues a warning against using Huawei and ZTE devices claiming that Huawei are “effectively an arm of the Chinese government”.
Intel and Qualcomm Joining the mix
Bloomberg now reports that Intel, Qualcomm and Broadcom, the world leading chip designers and suppliers are cutting their dealings with Huawei effective immediately. This involves freezing the supply chain to Huawei until further notice.
What I would do?
If I am the China Prime Minister, I would issues similar band on US goods and play the nationalism propaganda across the nation to stop any support they might have for the US goods. This will hit US companies and US government itself pretty bad.
I might end up turning this into a full blown trade wars.
But then again, I’m can be quite emotional at times.
Hopefully they can come to a amicable solution since I think, Huawei devices has been gaining a lot of grounds in the mobile devices market. Besides, if this issues continue to flare up and remained unresolved. I think the Chinese would come up with their own alternative for Google, Intel, Qualcomm and other services that they need. Just like when the oil price plummet, we were waiting and hoping that the low oil price would kill of the shale oil and gas industry.
But it didn’t. It just make them better and self sufficient.