IDC Says Huawei’s Temporary Reprieve Decision Depends on US Tech Firms

The US put Huawei in an Entity List in May which barred the US tech firms from selling components to Huawei without a special license

huawei Kirin 990
The Kirin 990 will provide 20 per cent greater transistor density. Pixabay

Whether the US decides to extend the temporary reprieve that it granted to Huawei, allowing it to do business in the US, may depend a lot on what the American tech firms have to say on the issue, according to research firm International Data Corporation (IDC).

“This is about, in my opinion, as much about the pressure that US components suppliers are exerting on the government as opposed to say punishing Huawei,” CNBC quoted Crawford Del Prete, President at IDC, as saying.

The US put Huawei in an Entity List in May which barred the US tech firms from selling components to Huawei without a special license.

The US government, however, later removed some of the restrictions for a period of three months. The temporary reprieve granted to Huawei is set to end on Monday.

US President Donald Trump on Sunday cast doubt on the possibility of conducting any kind of business with Huawei.

huawei
The temporary reprieve granted to Huawei is set to end on Monday. Pixabay

“Huawei is a company we may not do business with at all,” Efe news quoted Trump as saying to the media on Sunday before departing from Morristown, New Jersey.

The President insisted that the Chinese company was a threat to national security.

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China on Monday urged Trump to allow companies in America to do business with Huawei.

“During the Chinese and US presidents’ meeting in Osaka, the US said it will allow US companies to supply Huawei. When and how will it honour its commitments? Concerns the US’ own reputation and credibility,” Chinese Foreign Ministry spokesperson Geng Shuang said in Beijing. (IANS)

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