Huawei considers rivals to Google's Android after US ban

Posted May 22, 2019

"The US government's actions at the moment underestimate our capabilities", Ren said in an interview with CCTV, according to a transcript published by the Chinese state broadcaster.

Google followed suit, and is now giving the Chinese telecom giant, the world's second-largest smartphone maker, Android access until August 19.

The Commerce Department on Monday delayed the sanctions on Huawei for 90 days, saying the additional time was needed to allow for software updates and other contractual obligations.

Huawei's relationship with the United States has been anything but smooth over the a year ago, but this past weekend saw the company take its biggest hit yet. While the ban will affect the sale of Huawei phones in US, Europe and other parts of the world, at the same time it will also impact the sale of iPhones in Apple's biggest market - China.

Reuters reported Friday that the department was considering a temporary easing, citing a government spokeswoman. While Australia has also banned Huawei from its 5G plans, the USA has struggled to sway some countries, with Britain having reportedly approved a limited role for the Chinese company to help build a 5G network in the country.

U.S. tech-giant Google has cut Chinese telecom firm Huawei off from some updates to the Android operating system.

Google did not respond to a request for comment on the license.

Of the $70 billion Huawei spent buying components in 2018, about $11 billion went to USA companies - including Qualcomm, Intel and Micron Technology.

The reprieve also appeared aimed at telecom providers in countries where Huawei equipment is pervasive, said Washington trade lawyer Douglas Jacobson.

Huawei is now on the receiving end of a United States government accusation that it engaged in bank fraud to obtain embargoed U.S. goods and services in Iran and move money via the worldwide banking system. Watkins said that Huawei has been building the system.

The move came amid an escalating dispute over trade practices between the United States and China.

But one, California-based Lumentum Holdings, a maker of optical and laser applications, said it would comply with the executive order and that Huawei accounted for 15 percent of its revenue so far in the current fiscal year.

The US controls "will have no impact within this company" and none on development of next-generation telecom technology, Ren said.

The report, from the Information Technology & Innovation Foundation, said the missed opportunities threatened as many as 74,000 jobs. USA intelligence believes Huawei is backed by the Chinese military and that its equipment could provide Beijing's intelligence services with a backdoor into the communications networks of rival countries.

However the USA ban is expected to slow down its business in India. ZTE, which had ceased major operations as a result of the ban, then resumed business.