America’s Ban Has a Larger Impact than Expected
Trump’s administration has imposed a ban on all American companies to not supply products to Huawei. As almost all the software and hardware supplying brands are based out of America, it has become a lot tougher for Huawei. The company has prepared its own Operating System as Google has stopped dealing with it. Likewise, there are so many such situations that have become a hurdle for Huawei. George Zhao, the president of Huawei brand stated that they are closely observing the situation and are reassessing their possibilities. He added that they cannot say whether the company will achieve our goal or not after this new situation. The company has imposed some production cuts but the one thing that is still unclear is whether these cuts will be temporary or permanent. As the sales for Huawei phones have surged, Foxconn has started a recruitment process to hire more people. But with the latest news, they have stopped the procedure. The first quarter of 2019 was very good for Huawei and the company’s sales have risen by 5% since last year and at this time the ban from America is nothing but a big blow. Although the company is tying up with Africa for 5G, it won’t make a great impact in making Huawei the No.1 smartphone brand. Hence the company president stated that they are reassessing the situations about reaching the goal.
