Despite continuing to be one of the largest smartphone manufacturers today, occupying the 2nd position in the ranking, Huawei is in serious risk of failing to produce new smartphones very soon. Since the United States (USA) blacklisted the brand in May last year, all American companies are prohibited from doing business with Huawei.
Now, MediaTek has decided to formally request authorization from the United States to continue supplying its processors to Huawei, which could be the last glimmer of hope for the manufacturer to remain in the smartphone market. On September 15, the last phase will begin to implement restrictions on Huawei, where it will be impossible for the brand to buy processors or manufacture its own Kirin chips.
After banning Huawei, the United States announced the implementation of a special licensing system that would eventually allow some companies to summarize transactions with the manufacturer. However, even today, although more than a hundred applications have been sent, none have received the green light.
MediaTek can secure multi-million dollar deal if it receives permission from the United States
According to Reuters, MediaTek issued a short statement highlighting its respect for the restrictions implemented by the United States on Huawei. So they decided to proceed with an official request for US support to do business with Huawei.
This order gains even more importance, considering that recently TSMC (one of the world’s largest processor manufacturers) has officially confirmed that after September 15, it will not supply products to Huawei.
If MediaTek gets the “blessing” of the United States, they can easily guarantee the exclusivity of supplying processors for the large millions of smartphones that Huawei will launch on the market. In this way, they have secured a multi-million dollar partnership.
In the event that the US government rejects the request, it is possible that Huawei may be forced to abandon the smartphone market, at least temporarily. Although the brand has managed to surprise everyone and everything with how to adapt to adversity, it seems unlikely that they will be able to find a short-term alternative to produce their own processors, without resorting to American companies.
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