Huawei hits back at US as TSMC cuts off chip orders

Huawei President Rotating Chairman Guo Ping withdrew US government strict export controls to prevent Chinese technology giants from getting the required chips based on reports that Chinese government giants have already broken the chip . “We haven't figured it out yet,” Hua said on stage at the annual analyst summit. "The US government continues to attack Huawei, but how will it affect the world?"

"In a relentless pursuit to strengthen the deadlock against our company, the US government has advanced the concerns of many and fully Decided to ignore, Huawei adds an official statement: “This decision is arbitrary, fatal and risks damaging the entire industry around the world. This new rule is worth hundreds of millions of dollars we started in more than 170 countries. Will continue to affect network expansion, maintenance and ongoing operations. "

" We expect the business will inevitably be affected. "Continue. "We will do our best to find a solution."

Nikkei reported earlier this week that TSMC decided to suspend a new order from Huawei following a US government announcement last week. This rule is specifically designed to target Huawei and its chip subsidiary HiSilicon and requires a license for all shipments from manufacturers using US technology or equipment. According to Reuters, TSMC did not reject the report and said it was "pure market rumors." Huawei has suggested that in the past, the chip supply could be switched to Samsung in this situation. The company is currently investigating domestic chip production through China's Semiconductor Manufacturing International Corporation (SMIC), which has received a $ 2.2 billion investment from the Chinese government.

SMIC is a relatively small competitor compared to TSMC, but it will take a long time to expand to Huawei's cutting edge. Requires. Last week, SMIC began mass-producing HiSilicon's Kirin 710A processor on a 14nm node, but TSMC is expected to transition to an advanced 5nm process this year. Even the original Kirin 710 was manufactured by TSMC at 12nm and was a mid-range chip in 2018.

“The US government's decision does not affect Huawei alone. In a statement, Huawei said it will have a serious impact on various global industries. “In the long term, this will undermine the trust and collaboration of the global semiconductor industry, which many industries depend on, increasing conflicts and losses within the industry. The United States is using its own technology to trample the company outside its home country. This serves to undermine the trust of international companies in the US technology and supply chain. Ultimately, this will harm America's interests. ”

Richard Yu, CEO of Huawei's consumer sector, also opposed the US government today. "The so-called cyber security reason is just an excuse," he wrote in a WeChat post reported by Bloomberg. "The key is a threat to US technological hegemony."

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