The Downfall of Huawei, US Ban!
Huawei has grown rapidly over years from a small maker of cheap electronics into the world’s second biggest supplier of telecoms devices. Its sales have increased from $12 billion in 2007 to $105 billion in 2018. Huawei major focus is on Android phones which are popular worldwide, in which Huawei provides its own processor and hardware.
The Story of Huawei Ban.
Recently, Huawei got a big setback due to the rising tensions between the company and the US. This will be devastating for both the company and moreover for the customers.On 15th May, Huawei was placed on a list by the US government that ban US companies from doing business with it. This ruling by the US government was due to its concern that Huawei has ties to the Chinese government. Some feared that this could allow China to spy on the US and other foreign powers though there is no evidence to such fears.
Most serious setback was that Huawei had lost its access to the key technology that its devices used, ‘Android’. It had the most significant business deal with Google for its Android OS, which was now stripped off, affecting its users who now may have no further updates from Google. But Google will still continue to provide Google Play and Play Protect services for the existing users of Huawei devices.
Smartphone shipments at Huawei could tumble about 4%-24% in 2019 if the ban stays put, according to Fubon Research and Strategy Analytics. Analysts also predict that if Huawei loses complete access of Google then it may be the downfall of Huawei in the international markets. Huawei’s biggest market is China and it is said the company will sustain only on its domestic market even if it loses its international market.
Huawei makes most of its hardware by itself and reportedly has been working on its own software too, named the ‘Ark OS’. Presently, Google has reported to supply Huawei with software updates for at least 3 months. On 19th August the temporary license provided to Huawei by US government will expire. Morever, Huawei will no longer use Sd Card and microSD Card slots. The time has come that Huawei is banned from every other company and thus it is near to impossible for the company to survive in the international market.