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Google suspended some business cooperation with Huawei. Huawei: China market is not affected

Date:2019-05-21 Hits:1372



The U.S. government's attempt to strangle Huawei, China's largest telecommunications equipment company, is becoming increasingly apparent. According to foreign media reports on the 20th, after the Trump government listed Huawei as an export control entity, Google has suspended some business cooperation with Huawei, and other American companies have begun to stop supplying parts to Huawei. According to the Financial Times, the U.S. move is aimed at disrupting Huawei's supply chain and slowing down China's launch of 5G. However, most analysts believe that although the suspension of Google's cooperation has some impact on Huawei's overseas market, it has little impact on its huge domestic market. Huawei's head announced on the 20th that Huawei's data center chips "can be totally independent of the U.S. supply chain". On the 20th, China's stock market "Huawei Concept Stock" also rose sharply against the market. All of these let the world see that China's independent scientific and technological development is more and more frustrated and courageous under external pressure. As for the US crackdown on Huawei, Lu Hong, spokesman for the Chinese Foreign Ministry, said on the 20th that he would actively follow the progress of the situation and that China supports Chinese enterprises to take up legal weapons to defend their legitimate rights.


Google has suspended business cooperation with Huawei in order to comply with the US government's order to list Huawei as an export control entity, Reuters reported on Wednesday. These business partnerships include the transfer of hardware and software and the provision of technical services, with the exception of services accessible through open resources. Reported that this may have an impact on Huawei's smartphone business outside China, because Huawei mobile phones will not be able to access Google Android operating system updates, nor enjoy Google Play, Gmail e-mail and other Google application services. However, existing users of Huawei mobile phones can still download the application updates provided by Google.


"The suspension of Google's services to Huawei is expected to have little impact on the Chinese market," CNBC said, citing the fact that most of Google's Apps have been banned in China and replaced by services provided by its Chinese rivals Tencent and Baidu. But the European business of Huawei's mobile phones may be affected because Huawei phones sold in Europe need to be licensed from Google for these services.


Bloomberg said that in addition to Google, U.S. chip and high-tech parts manufacturers have also frozen the supply of parts to Huawei. According to the report, chip manufacturers such as Qualcomm, Sales and Broadcom said they would not supply Huawei. Reported that the U.S. ban "may cause China to postpone its 5G network construction". However, the report also fears that this, in turn, could hurt American companies that are increasingly dependent on China, the world's second largest economy.

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In response to Google's suspension of some business cooperation with Huawei, Huawei said on Tuesday that Huawei has made an important contribution to the development and growth of Android smartphone operating system worldwide. Huawei has the ability to continue to develop and use Android Ecology. Huawei's products and services are not affected in the Chinese market, the statement said. In the future, Huawei will continue to build a safe and sustainable environment.


In fact, Huawei has already prepared "Plan B" for American companies to stop cooperating with Huawei, according to the Guardian. As early as 2012, Ren Zhengfei, the founder of Huawei, talked about the importance of autonomous operating system. "We are now doing terminal operating system for strategic considerations. If they suddenly cut off our food, what shall we do?" Yu Chengdong, head of Huawei's mobile business, also said in March that Huawei had developed its own operating system for smartphones and computers. Since last year, Huawei has stockpiled a large number of chips and other components in anticipation of such a ban in the United States, the report said. In an interview with the media last Saturday, Ren Zhengfei said that without American chips, Huawei would still "live very well".

"Google is also at risk." Agence France-Presse said that if Google cut off its business links with Huawei, it might lose the revenue-generating data of Huawei mobile phone users all over the world. Once Huawei builds its own operating system, Chinese mobile phone companies such as Millet and Oppo, which account for the world's top sales, may join it to end their vulnerability to future actions by the US government.


Alibaba Entrance: Shenzhen Yachuang Electronics Co., Ltd.


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