Well, Brad said it and it happen. Its the end of the game for ZTE
Its all over the news. The Chinese giant ZTE will stop operations soon, due to the US sanctions on the company. UTB Brad who wrote about ZTE sanctions last month predicted that it may be the end of the device maker. The U.S. sanctioned ZTE from buying American components and fined them $900 million.
ZTE according to reports evaded the embargo on Iran by selling them telecom equipment with U.S. components, And it was the same story with North Korea. At the beginning they pulled their devices from American carriers but now it seems they can’t operate any further.
“As of now, [ZTE] maintains sufficient cash and strictly adheres to its commercial obligations subject to compliance with laws and regulations,”
The Ban on ZTE included the forbidding it from buying Intel or Qualcomm chips and even using the Google Maps feature on their Android devices. The trading of ZTE stopped when the Ban was declared and some Chinese suppliers of the company suffered loses on the markets with -1%.
It’s the first time we’ve see a Chinese vendor collapse over U.S sanctions and it will be interesting to see how Xiaomi or Huawei will act. If you use ZTE device, it’s time to think about replacing it.