Huawei delivered a lifeline from Samsung as latest US sanctions hit
The P40 Pro and P30 Pro makers this week (15 September) are seeing a new set of US sanctions imposed on them. Following on from Huawei being put on the US Entity trade blacklist last year, Donald Trump’s administration are ramping up the pressure on Huawei even further with a new restriction that means a company which wishes to supply parts that use any kind of American tech to Huawei needs to apply for a license. The latest sanction affects a wide range of tech used in Huawei smartphones such as chips and OLED displays from Samsung and LG.
LG has already commented about this latest round of sanctions, saying it will have little impact on its operations as the firm supplies a limited amount of panels to Huawei.
Samsung is yet to comment, but the South Korean tech giant has reportedly applied for a license to supply the P40 makers with panels.
According to a post by ZDNet, Samsung Display has applied for a license from the US Department of Commerce before the latest sanctions kick in on September 15.
If the license is given the green light then it will be great news for both parties.
Samsung Display is the world’s biggest OLED provider, with Huawei their third most important customer behind Apple and Samsung Electronics.
While Huawei will be hoping the license gets approved as if it doesn’t it leaves them with few alternatives.
Elsewhere, ahead of the latest US sanctions coming into force Huawei has reportedly been stockpiling Kirin chipsets.
Reports coming from China claim Huawei chartered a cargo plane to Taiwan to ship Kirin and other related chips back to them by 14 September.
Huawei has already confirmed that their upcoming Mate 40 handset will be the last to feature their own Kirin chipset.
Huawei’s consumer business CEO Yu Chengdong has confirmed the restrictions being implemented on 15 September means its Kirin chipsets “cannot be manufactured” after that date.
Huawei chips are manufactured by Taiwanese firm TSMC which use equipment sourced from the States.
Recently, Huawei chairman Guo Ping spoke about the latest sanctions coming from the Trump administration.
Staying upbeat, Guo admitted the latest sanctions would “cause certain difficulties” but said “I believe we can solve them”.
Guo also said “the world has been suffering for a long time” over the power Google wields on the Android ecosystem and that the globe is “looking forward to a new open system”. The Huawei bigwig added: “Since Huawei helped Android to succeed, why not make our own system successful?”
Guo, whose firm in Q2 of 2020 became the largest smartphone manufacturer in the world, added that Huawei was up to the “fight” to succeed. The Huawei chairman said: “HMS must have a ‘Foolish Old Man Moving Mountain Spirit’, no matter how high the mountain is, dig an inch or less, persist and fight for a long time, we will definitely succeed”.