Can Huawei Survive?
By Dylan McGrath, EETimes
June 18, 2019
We knew it was going to be bad. But could being placed on the Trump Administration's export blacklist actually be enough to put Huawei out of business?
It was clear from the very beginning that the Trump Administration's move to add Huawei to an export blacklist last month would have devastating consequences for the Chinese telecommunications giant. But in the weeks that followed, some industry insiders and analysts have questioned whether Huawei — the largest telecommunications company in the world and one of the largest companies in China — can even survive after being cut off from re-supply of U.S. chips and other components.
Huawei was known to have stockpiled a large number of chips over the past several months in anticipation of U.S. government action. Company CEO Ren Zhengfei initially said the U.S. government was updating Huawei's capabilities and declared that the ban would have no impact on Huawei's planned rollout of 5G technology.
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