Intel and Qualcomm which are the U.S. chipmakers are said to be silently lobbying for the trade ban on Huawei to be eased by Trump administration.
Stating people familiar with the matter, as per reports from Reuters Intel and Xilinx’s executives were a part of a meeting with the Commerce Department late last month to discuss a response to Huawei being added to the entity list.
Qualcomm which is a U.S chipmaker that sells its chips to Huawei has also briefed the Commerce Department about the same issue.
The U.S. chipmakers agree that there is a potential security risk posed by Huawei’s 5G networking technology, but they further state that the company’s smartphones and servers make use of commonly available components and will not present any serious security concerns to a great level. U.S. companies will lose millions of dollars spent by Huwaei to buy these components for the smartphones and wearables due to the ban.
Huawei spent nearly $11 billion on the purchase of these components from companies in U.S such as Qualcomm, Micron Technology, and Intel in 2018.
If the Trump administration does not lift the ban Huawei will buy all its components from Chinese suppliers.
During an interview in Mexico, Andrew Williamson, Vice President of Public Affairs at Huawei had stated that Huawei had not asked any other company to lobby with the U.S. government for it.
He further stated that the U.S companies are lobbying to have the ban lifted due to their own benefits since Huawei is their major client.
Huawei did not speak to the U.S government as yet. Huawei is focusing on a plan to get its Android replacement OS ready in time.
Due to this ban, it is said that Huawei international shipments are set to come down by up to 60% in 2019