U.S. ramps up sanctions on Huawei, targets AI tech and chip supplies

The sanctions previously imposed have taken a toll on the Chinese tech giant. Consequently, the most recent Huawei Pura 70 series smartphones lack Google services and support 5G technology. Yet, Huawei now faces novel challenges necessitated by actions from the United States.

Huawei's access to chip supplies from Qualcomm and Intel has been severely affected. Although the details are somewhat unofficial, the U.S. Department of Commerce has announced the withdrawal of certain American licenses for collaborating with Huawei, but did not disclose a list of specific companies affected. Meanwhile, Intel has mentioned to its investors about losing a crucial Chinese client without explicitly naming Huawei.

Furthermore, Reuters, drawing from three separate sources, reports that the licenses for Qualcomm and Intel have expired, ceasing their chip supplies to Huawei.

The U.S. imposed sanctions on Huawei in 2019, which were selective at the time. For instance, Google's cooperation was entirely cut off, causing Huawei smartphones to lose access to the Play Store and other Google services. Conversely, Microsoft can still supply its Windows software to the Chinese powerhouse. Qualcomm and Intel had been permitted to supply chips, albeit without 5G capabilities. Additionally, Japan's Sony was prohibited from providing its photographic sensors to Huawei due to the involvement of American patents, just as MediaTek from Taiwan was barred from supplying chips for the same reason.

The tightening of sanctions by the U.S. is attributed to concerns over the development of artificial intelligence, as explained by U.S. Commerce Secretary Gina Raimondo. She highlighted that licenses for chips with potential AI capabilities would be revoked.

According to Reuters, this decision was propelled by Republican demands urging Joe Biden to adopt firmer stances against Huawei. Republican congresswoman Elise Stefanik remarked that such measures would bolster U.S. national security, safeguard American intellectual property, and curb China's capacity to advance its technological footprint.

The Chinese government quickly voiced its objection. A statement from the Ministry of Foreign Affairs expressed strong opposition to the U.S.'s excessive exploitation of national security concepts and the misuse of export controls to restrict Chinese businesses unfairly.

It's noteworthy that Huawei has achieved a degree of independence from American suppliers, though not entirely. The company's flagship Huawei Pura 70 smartphones now rely on Chinese Kirin chips. However, the mid-range Huawei Nova 12 models, featuring Qualcomm Snapdragon chips, were introduced to the Polish market in April. The latest MateBook X Pro laptop comes equipped with an Intel chipset.

Huawei has yet to respond to the prohibition on collaboration with Qualcomm and Intel.