Trump adds another year to Huawei / ZTE ban – TechCrunch

Donald trump this week signed an extension of last year's national declaration of emergency aimed at prohibiting trade with certain foreign telecommunicati ons companies. The extension comes almost a year after the first order, this time extending it until May 2021.

Depending on the language of origin, the order invokes the Law on International Emergency Economic Powers to << deal with the threat posed by unrestricted acquisition or use in the United States information and communication technologies … provided by persons who are the property of: controlled or subject to the jurisdiction or direction of foreign adversaries. "

Specifically, it is aimed at Chinese companies like Huawei and ZTE, against which the administration has filed all kinds of national security complaints. The main ones are government-linked espionage charges and sanctions violations against countries like North Korea and Iran.

Huawei was particularly affected because the ban restricts the use by the maker of the Google app, a blow to its software ecosystem. Figures from analyst firm Canalys earlier this month indicate that the company's shipments have decreased by 35% in markets outside of its native China. It is true that the market was already in difficult territory for all manufacturers even before the COVID-19 pandemic, but Huawei's decline is four times greater than that of Apple in non-Chinese markets, according to the firm. .

The company is working on its own internal alternatives to key Google applications. In the meantime, however, Huawei will have to rely on sales of older devices, while shipping new flagship products without the necessary apps.