President Trump sent shockwaves to the entire technology industry last week with an executive order that declared a national emergency and barred US companies from doing business with companies considered a national security risk. Days later, the effects began to be evident as companies from Google to Intel took action to comply, which took Huawei out of supply chains and prevented him from using EE software. UU
This development could have important and lasting repercussions for the entire technology industry, but there are still several questions without definitive answers. Here are some of our most immediate:
1) What happens if you own a Huawei device now?
Google has said that Google Play Services and the app store will continue to work on Huawei devices, so your phone should continue to operate normally. However, it is almost certain that you should not expect an update of Android Q or other updates at the platform level, since that would require approval from Google.
If you were thinking about buying a new Huawei phone, in the meantime, we would not recommend it until we have more information. But if you're sure you want that P30 Pro camera, for example, you can at least be certain that you should not lose any ready-to-use functionality.
2) Is this situation likely to be resolved? ?
The action taken by Google and others is the direct result of an executive order from one of the least predictable US presidents of all time, so no one can guess what will happen next. A lot will depend on the reaction of China. Huawei is the largest smartphone supplier in China, and although Google's ban on its own will not affect that market, the company still relies on components from other EE providers. UU Who now refuse to do business.
Outside of its local market, Huawei is possibly the most successful Chinese consumer brand so far. It is usually the second largest telephony provider in the world, depending on how it competes with Apple in a given quarter. China has the nuclear option to perform reciprocal actions against Apple, which sounds extravagant, but could be a useful trading chip to restore normalcy.
3) What is plan B of Huawei?
It has long been known that Huawei has been working on a backup operating system that would change precisely in this eventuality. However, it is less clear what that operating system would look like in practice. Huawei already distributes an Android version without Google in China, where Google services are banned, and the obvious move would be to send that elsewhere as well. But some reports, as well as Huawei itself, have implied that the plan-B OS could be a more radical break with respect to the open source code base of Android.
Since Huawei creates its own CPUs for smartphones through its subsidiary HiSilicon, it is possible that the company could seek to obtain a technical advantage through a vertically integrated development that takes advantage of a close union between hardware and software. However, it is unlikely that the company's dominance outside of China is sufficient to obtain support for a new operating system outside of the Android ecosystem. It's hard enough for developers to put their applications on Amazon Fire devices. Of course, Huawei would also have to find non-US replacements for the other components in which it relies on its phones.
4) What about Honor?
Honor is a brand of smart phones that works independently of Huawei's smartphone division. , but it is still owned by Huawei and it makes intensive use of technology and the supply chain of the parent company. There is no real reason to think that it would not fall under the same scrutiny as Huawei, but it is possible that Google will treat it as an independent OEM for licensing purposes.
5) What's wrong with Microsoft?
If Google is considered legally unable to do business with Huawei, it's hard to see how Microsoft would not come to the same conclusion. Huawei laptops with Windows are much appreciated and, unlike their phones, they are actually sold in the United States. We contacted Microsoft to make comments, but if there is a gap that allows the company to continue selling Windows 10 licenses to Huawei, we do not know.
6) Are the other Chinese companies now?  The executive order was not specifically addressed to Huawei, and since part of the concern surrounding the company is related to the Chinese law that requires local companies to cooperate with the government, other Chinese companies could, in theory, be affected However, the US Department of Commerce. UU He selected Huawei last week for inclusion in the List of Entities of the Bureau of Industry and Security, which details the companies considered a potential threat to national security.
ZTE, a manufacturer of telecommunications equipment and smartphones that competes directly with Huawei, has already had its own problems with the US government. UU But the company was caught violating trade sanctions and then did not comply with the terms of its own punishment, which led to a harsh but slightly less controversial response from the United States. The two sides finally reached an agreement for ZTE to stand up. The two situations are not directly comparable, but Chinese companies like Oppo and Xiaomi will probably be on the sidelines.
7) What does this mean for the 5G launch worldwide?
Huawei is a leading provider of 5G networks. equipment, at least in countries where the United States has not convinced not to use them, and a large part of them depend on US suppliers such as Intel, Broadcom and Xilinx. The trade ban could certainly delay Huawei's moves to supply 5G equipment to countries around the world, and the business of US companies, in turn, could be adversely affected.
Bloomberg reports that Huawei has stored at least three months of components in anticipation of this situation, but beyond that, the company may need to look for alternatives.