Musing on Huawei
Commerce Secretary Ross Extends Huawei’s License to Buy U.S. Goods Despite Trump’s Tweets
August 25, 2019
President Trump tweeted he doesn’t want to do business with Huawei, after weekend reports that the administration was planning to extend a reprieve that allows it to buy parts from U.S. companies. “I don’t want to do business at all because it is a national security threat,” Trump told reporters. But the Commerce Department extended Huawei’s license, set to end on Monday, for 90 days allowing Huawei to continue business with U.S. companies to service existing customers. Citing the need for smaller Telco’s to find alternative vendors to Huawei, the U.S. Department of Commerce granted a 90-day extension that allows Huawei to continue doing some business in the U.S. “As we continue to urge consumers to transition away from Huawei’s products, we recognize that more time is necessary to prevent any disruption,” said Commerce Secretary Wilbur Ross, in a statement that announced the extension. “It is another 90 days for the U.S. telecom companies,” Ross said, speaking on Fox News, “Some of the rural companies are dependent on Huawei. "So, we’re giving them a little more time to wean themselves off. But no specific licenses are being granted for anything.” The extension allows Huawei to continue to buy components from U.S. companies in order to supply its existing customers, but it also moved to add more than 40 of Huawei’s units to its economic blacklist, according Reuters.
Huawei Competitors Align Against Huawei
Xiaomi Corp., OPPO and vivo have agreed to a rare alliance in developing smartphone technology as Huawei widens its lead in the Chinese smartphone market. They will introduce a protocol that allows wireless file transfers between the three brands’ phones without a third-party app. A beta version of the feature, similar to Apple Inc.’s AirDrop, will be available soon, according to press releases from OPPO and Xiaomi. Vivo also confirmed the tie-up via a Weibo post from its official account.