The Prohibition of the U.S. government to buy Huawei may cost U.S. companies $ 11 billion in revenue

Huawei Company

The ban on Huawei by the U.S. government means that the Chinese company will not be able to buy or dealing with corporate America. While this will undoubtedly impact significantly on the Huawei, it seems that there will also be significant impact on the American companies that used Huawei handle.

According to a new report released recently from the news agency Reuters, it has been estimated that the decision to include Huawei in the Black List can lead to a loss of US companies up to US $ 11 billion in its business, which is a large amount of money given that it’s about one company. It is estimated that Huawei has spent up to $ 70 billion in the year 2018 to buy the ingredients, and she had spent $ 11 million dollars of them to buy components from U.S. companies such as Qualcomm, Intel, Micro, to name a few.

It is also not surprising that, as a result, like companies such as Qualcomm to continue dealing with Huawei despite the ban. Increases a recent report that Qualcomm want to go in the charging plug to buy for Huawei for its organs reputable, such as smart phones and smart watches.

According to the vice president of global policy at the semiconductor industry association, Mr. Jimmy Goodrich, has stated by saying : ” for developments that are not related to national security, it seems that you should not enter in the scope of the Prohibition. We have quoted this theory to the government. “ It should be noted that although the Black List prevent Huawei from dealing with American companies and vice versa, there could be exceptions is obtained with the explicit permission, so it is possible to encounter a Huawei deal with American companies in some sectors such as smart phones, although it seems unlikely in the situational current.

Leave a Reply

Your email address will not be published. Required fields are marked *