United States sanctions force Samsung and SK Hynix to stop supplying chips to Huawei for its smartphones
Huawei is staring at a bleak 2020 and 2021. After being forced to stop manufacturing its in-house Kirin SoCs, Huawei will now have to find another chip supplier for its forthcoming smartphones. As you already know, Huawei can’t use the Android operating system on its future smartphones. But the real problem for Huawei is that United States sanctions are making it harder for the Chinese manufacturer to source chips for its smartphones.
The new United States export ban regulations that come into effect from 15th September block non-American companies from supplying goods and services to Huawei may incur stiff penalties if the technology originates from the United States. The US ban has forced South Korea based Samsung to end its collaboration with Huawei.
From 15th September 2020, Samsung and another South Korean company, SK Hynix, the two companies that currently supply chips to Huawei, would no longer be allowed to do so. The new rule makes it difficult for Huawei to source smaller chips as well as the System on a Chip for its smartphones.
Other chipmakers who supply to Huawei also have to end their dealings with the embattled Chinese company. Chip-making giant Taiwan Semiconductor Manufacturing Co (TSMC) confirmed in July that it had suspended new orders from Huawei and is expected to halt Huawei’s supplies this month.
No chips no OS Huawei smartphone
Huawei will not only have to search for a new chipmaker to power its smartphones but it is also developing its in-house operating system called HarmonyOS to take the place of the Android operating system. Huawei has recently confirmed that the very first models powered by HarmonyOS would launch in early 2020.
The HarmonyOS won’t have any of the Google services like Play Store and would depend on Huawei’s in-house App Store to deliver content to users.