Before leaving, Trump fired another shot at Huawei.
According to Reuters, the Trump administration is informing chipmakers including Intel to stop supplying Huawei, revoking some licenses to supply Huawei, and intends to reject applications from several other companies to supply Huawei.
Reuters noted that this latest move could be the Trump administration’s last action against Huawei; after all, Democrat Joe Biden will be sworn in as U.S. president on Wednesday.
As of press time, Intel has not responded.
U.S. suspends supply of Intel and others to Huawei
The semiconductor Industry Association said on Friday (January 15) that the U.S. Department of Commerce had issued “intent to reject a large number of license applications for exports to Huawei,” Reuters reported in an email it saw documenting the conduct. and revoke at least one previously issued license” message.
However, the Commerce Department has revoked not just one license, but four companies, for a total of eight licenses, according to people familiar with the matter.
Separately, Japanese flash memory chip maker Kioxia Corp, formerly Toshiba Memory Holdings, had at least one license revoked, two sources said.
Kioxia Corp has also not responded by press time.
The U.S. government’s actions will involve a variety of semiconductor products, the Semiconductor Association’s email said, in which it asked if companies had been notified.
At the same time, the email pointed out that some companies have already submitted applications and have waited for “months” for a license, and if it is rejected in less than a week of Trump’s term, how to deal with this negative result will be a challenge.
It’s worth noting that a company that receives an “intentional rejection” notice has 20 days to respond, while the Commerce Department has 45 days to decide whether to change the decision, which will be communicated to the company, otherwise the initial decision will become final. Semiconductor companies will have 45 days to appeal if they disagree.
Huawei’s core shortage dilemma is still unsolved
Since May 2019, the United States has put Huawei on the “entity list”, and has gradually restricted suppliers from selling American goods and technology to Huawei. In addition, due to trade restrictions, Huawei’s self-developed chip EDA tools and chip foundries have been blocked, and the development of next-generation Kirin chips has also been frustrated.
On September 15, 2020, the US ban officially took effect. Whether it is foreign purchases or OEM processing, Huawei is facing a comprehensive chip supply crisis.
However, despite the blockage of chip supply, at the end of 2020, the supply of 4G chips has turned a corner.
On October 29, 2020, according to the Financial Times, the United States began to loosen its restrictions on Huawei, saying that as long as chips are not used for Huawei’s 5G business, the United States will agree to chip manufacturers to resume supply to Huawei.
After that, Qualcomm also said that it had obtained a license from the U.S. government to sell 4G mobile phone chips to China’s Huawei Technologies Co., Ltd., and said that “Qualcomm has other license applications pending processing by the U.S. government.”
The latest move comes after suppliers applied for about 150 licenses covering $120 billion worth of goods and technology, according to people familiar with the matter, and those license applications have been repeated as U.S. government agencies failed to reach an agreement. was shelved.
Reuters reported that a source said that there are still 280 billion US dollars worth of Huawei goods and technology licensing applications that have not yet been processed. From the current situation, these applications are more likely to be “rejected”.
Meanwhile, the U.S. has agreed to sell some “less advanced technology” — that is, some products that don’t include 5G capabilities, people familiar with the matter said.
Beginning on January 4, senior officials from the U.S. Departments of Commerce, Defense, Defense, and Energy met six times to develop detailed guidance on which technologies are 5G-capable and begin using the standard for license applications Balanced.
As a result, officials rejected the controversial vast majority of 150 license applications and revoked eight licenses under the new criteria, the people said.
From this point of view, Huawei’s chip predicament is still not optimistic.