U.S. companies to resume selling to Huawei | TECH(feed)


Hey everyone welcome back to tech feed i’m
juliet beauchamp. Remember a few weeks ago when i said the drama between huawei and the
u-s was basically over? Well, i’ve got a bit more on that. Stick around. Before you freak out, no, there hasn’t been
a reversal on the reversal of the huawei ban. Quite the opposite, actually… it looks like
u-s companies will have the go-ahead to start doing business with huawei in a matter of
weeks, according to reuters. Quick recap–president trump banned all business transactions with
huawei due to alleged security risks in may and then reversed the ban during trade talks
with the president of china at the g-20 summit a few weeks ago. We’ll link previous tech
feed episodes about this below in case you missed them. Anyway–the caveat here is those business
can only sell to huawei if it poses no national security threat–so it’s unlikely there
will be much business done in regards to 5-g infrastructure. But this is a huge win for
chipmakers who sell their wireless and memory chips to huawei. But there’s still some
hoops to jump through. For the most part, these companies do need to acquire licenses
through the commerce department to sell to huawei. They’ll be approved on a case by
case basis at first, and again, there cannot be any sort of national security risk involved.
It’s not a free for all on exporting, but it’s certainly a step towards easing business
between huawei and the u-s companies it relies on for tech. And there may be some loopholes here–it’s
not entirely clear whether or not u-s companies’ foriegn-made goods are exempt from licensing…
again, this is a step towards allowing transactions, but there’s still a lot of questions surrounding
the ban and the subsequent reversal. Huawei is pushing for an end to any licensing, saying
the company poses no security risk. Pretty doubtful the u-s government is going to buy
that one, given the fact that this whole ban started due to security allegations against
huawei. And as relations between the u-s and china evolve, i don’t think it’s out of
the question to see changes to this licensing process. But honestly, it’s tough to predict
whether it’ll get easier or harder for u-s companies to sell to huawei. I’m skeptical. Thanks for watching this episode of tech feed.
If you liked this video be sure to give it a thumbs up and subscribe to our channel.
I’m not sure this will be the end of the huawei and united states news, but i want
to know what you think. Will this battle ever be over? Let me know in the comments, and
we’ll see you next time.

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