The US trade ban on huawei is nothing new. It has been a part of big news since 2019. However, the results of the ban have been devastating for the Chinese brand. The company lost google's support and access to the major chip foundries. All these limited Huawei's decisions on high-end devices to a large degree.
Although Huawei has been showing signs of recovery, its hopes to stay in business are getting thinner and thinner. The US has reportedly stepped up its trade ban policy against the brand. And the recent steps that the US has taken might make the Chinese brand go fully out of business.
Us Has Effectively Dealt a Death Blow to the Phone Business of Huawei
The last update on the Huawei trade ban policy hindered the company from using the 5g version of Qualcomm SoCs for its phones. In other words, the company was only allowed to use 4G Qualcomm Snapdragon processors in its phones.
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Now, according to the latest report from Reuters, the Biden administration has just put the final nail in Huawei's phone business. It has stopped granting the export licenses of the US companies that Huawei relies on. That means Huawei will no longer be able to access many key items that it needs to manufacture its upcoming phones.
Wondering what the export items are? From one source, we learned that the prohibited export items include all things below the 5G level. That includes:
- 4G items
- Wi-Fi 6 and 7
- Artificial Intelligence tech items
- High-performance computing and cloud items.
Losing access to all these items mean that Huawei might not have a way to obtain any viable flagship silicon for its phones. The brand is already barred from using chip foundries, such as samsung and TSMC. So, currently, the brand's only option seems to be the Chinese foundries, which are known to be less sophisticated and offer only budget silicon.