Economy

UK, Japan Halt Launch of Huawei Phones After US Ban

UK, Japan Halt Launch of Huawei Phones After US Ban

ARM is one of the most popular chip designers and nearly every chipset manufactured by Qualcomm, MediaTek and Huawei's own HiSilicon Kirin are designed by ARM.

And yesterday, according to the BBC, ARM, a design company for chips, based in Great Britain, gave indications to stop any contract with Huawei. BBC has reported that ARM - the chip manufacturing company has suspended its business with Huawei putting its Kirin processor lineup at risk.

An analyst speaking to the Beeb said that he thought the withdrawal of Arm co-operation would be an "insurmountable" blow to Huawei's business if it was sustained in the longer term.

In a statement on Wednesday it said: "ARM is complying with the latest restrictions set forth by the United States government and is having ongoing conversations with the appropriate USA government agencies to ensure we remain compliant".

The British ARM Holdings has stated in a memo to its employees that it will immediately end all relationships with Huawei (and therefore with HiSilicon).

"ARM is the foundation of Huawei's smartphone chip designs, so this is an insurmountable obstacle for Huawei", said CCS Insight's Geoff Blaber. It added that it's having "ongoing conversations with the appropriate USA government agencies to ensure we remain compliant".

A majority of the mobile devices in the world rely on ARM technology for their processors, making them an essential supplier for any telecommunications technology for the foreseeable future, especially as the worldwide rollout of 5G communications technology gets underway this year.

The bans follow an executive order signed by Trump last week, which came in response to USA fears that Huawei is effectively an agent of the Chinese government, and that it's equipment could be used to spy on American communications.

More news: EE abandons launch of Huawei 5G phones amid United States ban

For instance, the concrete affects the ban will have on users are perhaps not quite as serious as portrayed.

Let's not forget that most Google products are already banned in China, and so the company's entire domestic market will be unaffected.

Google was the first company to act in this regard as it snatched Huawei's Android license.

"We are confident this regrettable situation can be resolved and our priority remains to continue to deliver world-class technology and products to our customers around the world", a company spokesman said. And while the current political climate in the United States may have forced Huawei's hand, the real shock would have been if Huawei didn't have any potential workarounds already in mind.

If Huawei isn't allowed to use Android, it could be damaging because the phones won't have the Google Play Store where consumers can download apps.

The US export ban has forced Google to cut Huawei's new devices off from its Android ecosystem.

CONSPIRACY theorists are claiming the real reason for the USA ban on Huawei is the incredible 50X zoom of its mobile phones.