Submitted2024.05.08 19:15
Edit2024.05.08 19:28
A target for semiconductors for laptops and mobile phones is expected to be delivered to Huawei
Intel and Qualcomm are also expected to take a hit.
U.S. Republican lawmakers insist
Photo = REUTERS The US government suspended the export license for laptops and mobile phone semiconductors that Intel ( INTC ) and Qualcomm ( QCOM ) planned to ship to China’s Huawei.
According to foreign media such as Reuters on the 8th (local time), the US Department of Commerce announced the previous day that it was revoking semiconductor export licenses for laptops and mobile phones that some of US semiconductor companies plan to send to Huawei. The Commerce Department said in a statement that it had “revoked some export licenses to Huawei,” but did not specify which licenses it revoked. Last month, Huawei launched the MateBook XPro, the first AI-enabled laptop model powered by Intel’s new Core Ultra9 processor.
In response to the announcement of Huawei’s AI-enabled laptop, Republican lawmakers criticized the Commerce Department for allowing Intel to sell the chip to Huawei.
The move by the Commerce Department comes amid growing pressure from public hardliners in the US Republican Party, who have been urging the Biden administration to take stronger measures in -Huawei front. “This (export ban) will strengthen America’s national security, protect America’s innovation, and weaken China’s ability to advance technology,” said Republican Representative Ellis Stefanik.
Reuters pointed out that this step could also deal a blow to Huawei, which depends on Intel for laptop semiconductors, and also to US suppliers who do business with Huawei.
Intel is experiencing a decline in demand for traditional data center and PC semiconductors. Last month, its market capitalization fell by $11 billion after it forecast that second-quarter sales and profits would be lower than market expectations. Huawei was placed on the US trade sanctions list in 2019 amid concerns about China’s growing military power. Once on the restricted trade list, suppliers must obtain separate approval from the US Department of Commerce before supplying technology or products to the company.
Nevertheless, suppliers who have sold products and technologies to Huawei have received licenses worth billions of dollars. This includes approval during the Trump administration, and Intel has been supplying central processing units (CPUs) for laptops to Huawei since 2020.
After receiving government approval in 2020, Qualcomm has been selling old 4G semiconductors to Huawei for use in mobile phones. The company also announced in a public announcement earlier this month that it would be difficult to sell chips to Huawei after this year. But Qualcomm is still licensing its 5G technology portfolio to Huawei, which last year began using 5G chips that appear to have been manufactured in violation of US sanctions. Qualcomm said earlier this month that its patent agreement with Huawei expires in early fiscal 2025 and that it has begun negotiations to renew the contract.
Analysts believe that the approval of the 5G technology package has contributed to Huawei’s recovery. Huawei surprised the industry in August by introducing a new phone powered by sophisticated chips made by China’s SMIC, despite US export restrictions.
According to research firm Counterpoint, sales of Huawei smartphones in the first six weeks of 2024 increased by 64% compared to the previous year. The smart car parts business also contributed to Huawei’s recovery, recording the fastest sales growth in four years in 2023.
[인텔 주가 차트]
[퀄컴 주가 차트]Guest reporter Kim Jeong-ah kja@hankyung.com
2024-05-08 10:15:48
#government #revoking #Intel #Qualcomms #export #licenses #Huawei #China
