Showing posts with label news. Show all posts
Showing posts with label news. Show all posts

US War on Huawei is a War on Tech Sovereignty

June 5, 2019 (Gunnar Ulson - NEO) - Unable to compete on equal terms with Chinese telecom giant Huawei, the United States and the corporations that influence its domestic and foreign policy have decided instead to simply cut Huawei off from its many monopolies including chip manufacturing and mobile phone operating systems.


But US measures come at a time when Huawei is already well on its way to unseating US tech monopolies. US measures may only spur Huawei (and many other companies and countries) to further work toward creating alternatives to current US tech monopolies and establishing enduring technological sovereignty from US control.

US Cites False Pretext to Cripple a Competitor 

The US Department of Commerce claims:
...Huawei is engaged in activities that are contrary to U.S. national security or foreign policy interest. This information includes the activities alleged in the Department of Justice’s public superseding indictment of Huawei, including alleged violations of the International Emergency Economic Powers Act (IEEPA), conspiracy to violate IEEPA by providing prohibited financial services to Iran, and obstruction of justice in connection with the investigation of those alleged violations of U.S. sanctions.
Evidence (as is the case with most US allegations) is lacking, yet US measures prohibiting "the sale or transfer of American technology" to Huawei coincidentally gives a boost to US tech companies unable to compete against Huawei in free and fair global markets.

Fortune, in its article, "Huawei Wants to Play Nice With Google and Microsoft, But Has Its 'Last Resort' Ready," elaborates further on what this ban means to Huawei.

Microsoft removed Huawei laptops from its online store, while chip manufacturers including Qualcomm, Intel, Nvidia, Lattice and ARM are poised to stop supplying Huawei assembly lines.

Google is also reportedly preparing to cut Huawei off from its Android mobile phone operating system. Android and Apple's iOS, both US-based, currently dominate the markets and without access to either, Huawei would face significant challenges, giving US tech companies a chance to catch up. This, more than any sort of ambiguous "security threat" explains the motivations of the US Department of Commerce.

Self-Inflicted Wounds Amid a Senseless Fight

US bans targeting Huawei will not be painless for US corporations involved. Huawei currently occupies second place, just behind Samsung, in the smartphone market. Depriving Huawei of US-made components will deprive US corporations of associated profits at least in the short-term. How fast other corporations fill the void left behind by Huawei, if a void appears, is hard to say. If US corporations are counting on US corporations and US-friendly nations and the respective telecom industries filling a potential void, it is a long bet.