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Troubles for HUAWEI not going away anytime soon under new leadership in the US

By Nadeem Sarwar February 5, 2021, 1:37 pm

Ever since HUAWEI was trade sanctions by the US under Trump administration, the company’s fortunes have dwindled after a meteoric rise, especially for its smartphone ban. HUAWEI tried to fight back by announcing a software ecosystem of its own with Harmony OS at the center of it, but the state of affairs kept going on a downhill ride, eventually culminating in HUAWEI selling its Honor-brand to a government-backed consortium. But as per a Bloomberg report, it appears that the situation is not going to improve for HUAWEI, at least in the immediate future. 

Gina Raimondo – who has been nominated for the post of Commerce secretary by US President Joe Biden – mentioned in an interaction that she doesn’t see any reason as to why HUAWEI and the other companies put on the entity list should not remain blacklisted. Here’s what Raimondo was quoted as saying:

“I understand that parties are placed on the Entity List and the Military End User List generally because they pose a risk to U.S. national security or foreign policy interests. I currently have no reason to believe that entities on those lists should not be there. If confirmed, I look forward to a briefing on these entities and others of concern,”

After selling Honor brand, HUAWEI is rumored to offload Mate and P flagship brands too

In addition to being put on the Entity List that requires US companies to obtain a trade license to do business with HUAWEI, the company has been put on a military blacklist as well over alleged ties with the Chinese military. In the wake of trade restrictions – which also involved losing access to Google services such as Gmail, Maps, and Google Play on its smartphones – the company’s phone business has witnessed a steep decline.

HUAWEI aims to make a splash with a new foldable phone

Following the sale of its Honor brand, HUAWEI was rumored to be in talks for selling its P and Mate flagship brands, a claim that the company denied in a statement shared with Pocketnow. But it’s not just smartphones, as being cut off from the semi-conductor industry have also taken a toll on the company’s ambitions with its HiSilicon Kirin line of SoCs, and its other consumer electronic products such as PCs as well. The company is trying to make a splash by launching a new foldable phone – the HUAWEI Mate X2 – on February 22 in China. 


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