Huawei is expected to be banned from doing business with US companies.
Huawei may soon find it very hard to do business. U.S. President Donald Trump today signed an executive order declaring a national emergency over threats against American technology. The executive order seems laser focused on Huawei.
The company was already banned from doing business with any U.S. governmental agencies due to an overwhelming agreement of U.S intelligence agencies that the company is a security threat to the US.
Having almost previously being banned from doing business with U.S. companies, President Trump himself stepped in to give the company some reprieve in an effort to stave off the American-Chinese trade war. Huawei had previously been found to be hiding payments in order to work around Iran sanctions. When this was discovered the company agreed to terminate or discipline those responsible for those actions, which it never did. Now it seems that the time has come for Huawei to pay the piper.
It is expected that there will be a full ban from any U.S. company doing business with Huawei. This will pose several problems for the company as many of the components used in it’s products come from American companies. Furthermore, the company’s smartphones run Google’s version of Android. Losing Google Android and the Google Play Store may end desire for the company’s hardware. Huawei had been fighting to be allowed to provide hardware for 5G networks in the US, now it may soon be fighting to stay relevant in the smartphone business.