Economy & Business

“United States Cancels Some Chip Supply Licenses to Huawei”


Falcon powers – The U.S. Department of Commerce announced that it has revoked some licenses that allow companies to ship goods such as chips to Chinese company Huawei, which manufactures mobile phones and personal computers.

The decision comes after Huawei launched its first artificial intelligence-compatible personal computer, the “MateBook X Pro,” equipped with Intel’s “Core Ultra 9” processor last month.

The announcement of Huawei’s new computer has angered Republican lawmakers, who claimed that it indicates that the Department of Commerce gave the green light for Intel to sell chips to Huawei.

The United States added Huawei to a trade restrictions list in 2019 amid concerns about the Chinese company’s spying on Americans as part of broader efforts to curb China’s ability to strengthen its military. Being on the list means that Huawei’s suppliers must seek difficult special licenses before shipping goods to the Chinese company.

Despite being on the list, Huawei’s suppliers have obtained licenses worth billions of dollars to sell goods and technology to Huawei. Among those licenses is a particularly controversial one issued by the administration of former President Donald Trump, which allowed Intel to ship central processing units to Huawei for use in the personal computers it manufactures since 2020.

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