Huawei has had a difficult time breaking into the U.S. market. Federal agencies continue to view the company with concern and raise alarm about security issues. Huawei has long maintained that the charge about its products facilitating spying by the Chinese government is false. Despite the recent setback that ZTE suffered in the U.S., Huawei is confident that it won’t be hit by U.S. sanctions.
Some lawmakers in the United States recently said that Huawei’s research funding to American universities poses a “significant threat” to national security. It’s yet another bump in the road that Huawei has faced while operating in the United States.
The U.S. government recently imposed a $1.4 billion fine on China-based ZTE after the company didn’t hold up its part of the bargain in an earlier sanctions-related deal. ZTE was also banned from sourcing components from companies based in the U.S. which meant it couldn’t source processors from Qualcomm anymore for its devices. That ban has now been lifted.
Ken Hu, one of Huawei’s rotating chairmen, has said that says that he does not expect to see the company going through the same troubles as well, adding that “Our policy is to closely implement all laws and regulations introduced by Europe, the United Nations and the United States.”
When asked if Huawei could survive without U.S. components, Hu said that Huawei’s supply chain is international and that “We must be open and choose the best technologies, the best products. We will therefore keep buying American chips this year.”
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