Huawei Has No Power to Affect US Telecom Market - Pundits

Joshua Bennett
May 23, 2019

Maybe it was the Trump decision that surprised Huawei but since the United States has been steadily increasing its hostility towards it for months that too seems a tad naïve. Although the company holds a market share of nearly 20% and has its own Android-based operating system in the works called KirinOS - porting the app store over from Android shouldn't be too much of a hassle - Huawei is still left without access to Google apps.

In this full-restrictions scenario, future Huawei smartphones that run on Android will lose access to popular services, services that we expect to be available in our smartphones like the Google Play Store, Gmail, Google Maps, Waze and YouTube. This was by design: The United States is now involved in a quickly escalating trade war with China, and the presidential administration believes that this kind of threat will get China to bow to its demands.

Despite uncertainty over the future of its devices business, Huawei launched its new youth-focused Honor smartphone on Tuesday. Since Huawei has already developed its alternative operating system that will be compatible with Android apps, this move makes a lot of sense.

But building a brand new OS is hard.

Also, restricting Huawei from doing business in the United States will "only serve to limit the inferior yet more expensive alternatives, leaving the US lagging behind in 5G deployment, and eventually harming the interests of USA companies and consumers", said Huawei.

The U.S. Department of Commerce on Monday issued a 90-day temporary license loosening restrictions on business deals with Chinese tech giant Huawei.

Huawei Taiwan should reveal information about how it plans to protect its smartphone users in Taiwan after Alphabet Inc's Google stopped providing Huawei Technologies Co (華為) with vital software updates, the National Communications Commission (NCC) said yesterday. American companies can not provide technology to organisations named in the list without gaining the U.S. government's permission.

Android makes up a huge portion of the smartphone market, and if new Huawei handsets are prevented from app updates, downloads and security features, this could make it a little tricky for consumers to decide whether to buy one or not, according to Yahoo Finance US. This includes technical support for Android and other Google applications and services.

He added, "Huawei has been respecting all applicable laws and regulations". -China trade war that's being used as leverage.

"We value our close relationships with our partners, but recognise the pressure some of them are under, as a result of politically motivated decisions", a Huawei spokesman said.

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