In an exception to the trade restrictions, Qualcomm has received permission from the US government to sell 4G chipsets to Huawei. After the US trade restrictions were imposed this September, Qualcomm and other semiconductor manufacturers were banned from selling to Huawei. It’s currently unclear what kind of 4G product has Qualcomm received permissions for, but as per a report by Reuters, Qualcomm says the product is related to mobile devices.
In August this year, at the China Information Technology Summit 2020, Huawei announced that it is running out of processor chips to make smartphones due to US sanctions and will be forced to stop production of its own most advanced chips in a sign of growing damage to Huawei’s business from American pressure.
Huawei consumer business CEO Yu Chengdong has also announced that its Mate 40 series smartphone may be the last to come with the high-end Kirin chipset. Production of Kirin chips designed by Huawei’s own engineers stopped on 15 September because they are made by contractors that need US manufacturing technology.
Huawei Technologies Ltd, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. The feud has spread to include the popular Chinese-owned video app TikTok and China-based messaging service WeChat.
Washington cut off Huawei’s access to US components and technology, including Google’s music and other smartphone services, last year. Those penalties were tightened in May when the White House barred vendors worldwide from using US technology to produce components for Huawei.