Huawei

After the U.S. blacklisted Huawei, blocking it from purchasing American products and services, Google and other companies have complied with the order and banned the Chinese company. Huawei said it was preparing for such an extreme scenario, and that the restrictions imposed will only “slightly” affect the company’s performance. Still, the order produced shockwaves around the world, with rumors of the U.S. scaling back its restrictions popping up late last week.

Now the U.S. Commerce Department, as rumored, is easing the restrictions imposed. Huawei will be allowed temporarily to purchase U.S. products and services in order to maintain existing networks and provide software updates to existing Huawei handsets.

As far as new products are concerned, Huawei will still not be able to purchase any goods without getting a license first, which will likely be impossible to obtain. U.S. Secretary of Commerce Wilbur Ross said “this license will allow operations to continue for existing Huawei mobile phone users and rural broadband networks“. This license will be in effect until August 19.

The U.S. government’s actions at the moment underestimate our capabilities — Huawei founder Ren Zhengfei

Meanwhile the U.S. Commerce Department said it will evaluate extending the exemptions beyond 90 days. Still, this allows every party involved to regroup and rethink its strategies.

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