ANTHONY PUN: The Battle of Huawei escalates with new fronts opening.May 31, 2019
President Trump has upped the ante on the US-China trade war by opening several new fronts in the Battle of Huawei. These fronts are designed to kill Huawei off by banning Tech companies in supplying essential chip hardware. This has caused cancelling of software licences (Google Android) and non-purchase of Huawei equipment. With these new attacks, can Huawei survive? A view from the Chinese media seldom seen in the West is shown here and, in their view, Huawei will survive.
The Battle of Huawei has expanded considerably with a deadly counterattack by Trump in the 2nd and 3rd week of May 2019.
14May2019: SCMP reports that Trump would ban the use of telecom equipment made by companies deemed a threat to US nation security, threatening Huawei. This move would stymie Huawei’s efforts to expand into the critical 5G market, giving US a chance to play catch up.
15May2019: President Trump has signed an executive order giving the federal government the power to block US companies from buying foreign-made telecommunications equipment deemed a national security risk.
By this order, also reported in Australia, Trump upped the ante on the Battle of Huawei and this is indeed an almost deadly blow to Huawei. Other banning actions before and after the singing of the executive order were also reported:
5Apr2019: MIT bans Huawei from campus after US government threatened federal funding
20May2019: Google has suspended Huawei from accessing updates linked to its Android operating system.
21May2019: Australian consumers edgy on Huawei after Google flags freeze …. to shortlist. China is under pressure to teach Trump a lesson – it should be very careful.
22May2019: Chipmakers Intel Corp, Qualcomm Inc., Xilinx Inc. and Broadcom Inc. have told their employees they will not supply Huawei until further notice.
However, a US “hardest to reach small town” Scobey located in the northern part of Montana, just a few miles south of the Canadian border, is defiant:
25May2019: Removal of Huawei telecommunications network in Scobey, Montana.. The Trump administration and the Federal Communications Commission (FCC) argue that it is a security risk and could be used for spying. They want it removed (cost $57 million to replace). However, the local Mayor is against it
Can Huawei survive with this new onslaught? There is an opinion among Chinese nationals that Huawei would survive this jolt by the US.
Within the Chinese media, there is a report on a counter-offensive by China in the Battle for Huawei.
This action hopefully will counteract the effects of losing supply of hardware and software from US companies.
Not all claims can be verified however . The reader is cautioned to weigh this information carefully for “fake news”. However, in my opinion, there is no smoke without a fire.
Readers can wait with anticipation of the next announcement in the Battle of Huawei to find out whether there is any truth in the statements presented below:
- China announced from 1/6 (6Jun2019), China terminates WeChat and WeChat pay service for all iPhone users. iPhone will lose China phone market. Apple’s share price has taken a steep tumble since rumours began to spread that the iPhone XS and XS Max weren’t selling well.
- Portugal Aptoide join Huawei Hongmeng and totally eclipsed Android & Google. Huawei in talks with Aptoide to replace Google play store.
- Intel, Xilinx & Broadcom. Qualcomm break ranks with Trump, wanted to continue supplying Huawei. This claim is unsubstantiated.
- Huawei Hongmeng chips already replace all USA made chips.
Huawei’s HiSilicon Chip Division has reported been developing backup products for years in event of a US ban.
- Trump can attack all phone makers in China. China will be replacing all USA made chips & Google Android
- Taiwan chipmakers told Trump to get [expletive]. (reported in the internet).
- China will not negotiate any trade deal with USA until Trump is replaced in 2020.
- Moscow is 100% behind Huawei & Huawei and will install 5G for Russia, sooner than Europe. Russia’s MegaFon signs US$600 million equipment order with Huawei.
- Bolton & Pompeo shot themselves in their g….., worse than their foot. Next two S & P 500 will drop like a hot potato. (hot rhetoric)
10.Philanthropist Li kaShing, and C C Wei, CEO of TSMC (world’s largest Semiconductor foundry) have come out to support Huawei. This may be the start of more support coming from wealthy overseas Chinese.
Why US sanctions on ZTE might turn out to be the best thing for China’s microchip ambitions
The information is accompanied by this statement,
“You may not learn about this in the western press. It’s in discreet Chinese forums. The beginning of Chinese chess “GO” (weiqi) to surround the trouble makers” and has probably gone viral in WeChat.
If all the statements are true, then Huawei will survive the jolt.
Dr Anthony Pun, OAM, a writer for Quora on US-China trade war.