Google forced to cut ties with Huawei

Tech giant Google has suspended business operations with Huawei with immediate effect. This is expected to have major ramifications regarding the future of the Chinese phone manufacturer that has been steadily rising in popularity based on the Android OS operated phones. Reuters reports that Google was forced into suspending business with Huawei that requires the transfer of hardware and software products. This means that Huawei will immediately lose access to updates to the Android operating system. Android later issued a statement stating that the services such as Google Play and security from Google Play protect will keep functioning on existing Huawei devices. Google’s actions come after the U.S. Commerce Department placed Huawei on a so-called Entity List, a trade blacklist, following an executive order signed by U.S. President Trump. Meanwhile, Bloomberg reports that leading chip designers and suppliers Intel, Qualcomm, and Broadcom are also cutting off their dealings with Huawei. The Nikkei Asian Review is also reporting that German chipmaker Infineon technologies has suspended shipments to Huawei. Huawei Technologies' founder and chief executive Ren Zhengfei has blasted the Trump administration in an interview with the Nikkei Asian review and stated that they would not be dictated to by Washington. Ren said the impact of the U.S. ban on Huawei's business will be limited, and expressed confidence in its longer-term outlook. "It is expected that Huawei's growth may slow, but only slightly," said Ren, citing the potential of annual revenue growth undershooting 20%. The Huawei CEO also stated that they would continue developing its own chips to lessen the impact of the ban on its production.