US tightens restrictions on Huawei’s access to chips

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US tightens restrictions on Huawei’s access to chips
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New restrictions will complicate the Chinese company’s effort to stock up on already sanctioned semiconductor chips

17 August 2020 - 21:20A Huawei sign outside a store in Beijing, China. Picture: REUTERS/TINGSHU WANG/

“We don’t want their equipment in the US because they spy on us,” President Donald Trump said Monday in an interview. Nokia and Ericsson stand to benefit from Huawei’s further faltering in its 5G prowess, while domestic smartphone rivals including Xiaomi, Oppo and Vivo are likely to get a bigger slice of the Chinese market.

All chip companies working for Huawei, no matter where they are, will need premits, a commerce department official said, adding that even foreign companies will be affected as long as they use US design software and equipment.

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