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Google halts business with Huawei to comply with US governmental order

Written by Song Jingli Published on   2 mins read

A blow to its smartphone business.

Google has suspended some of its business with Huawei, the second largest smartphone vendor worldwide, Reuters reported, citing a source familiar with the matter. The specific business ties that are impacted by this decision require the transfer of hardware, software, and technical services apart from those available via open source licensing.

That means that Huawei will still be able to use Google’s Android as a basis for its smartphones’ operating systems, though the company will lose access to some of Google’s other services, including the Google Play app store, Gmail, and YouTube. Google confirmed to South China Morning Post that its Google Play app store will continue to function for existing Huawei device users.

Anticipating that circumstances may affect its business links with foreign tech firms, Huawei confirmed in March that it has developed in-house operating systems as alternatives to Android and Windows.

Referring to the Trump administration’s blacklisting of Huawei, a Google spokesperson told Reuters and South China Morning Post that the company is “complying with the order and reviewing the implications.”

The Bureau of Industry and Security (BIS) of the US Department of Commerce announced on Wednesday that it would be adding Huawei Technologies Co. Ltd. and its affiliates to its Entity List. “The sale or transfer of American technology to a company or person on the Entity List requires a license issued by BIS, and a license may be denied if the sale or transfer would harm US national security or foreign policy interests,” said the bureau.

Since Trump took office in January 2017, the US Department of Commerce has added 190 persons or organizations to the Entity List.

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