Since May 2019, the Chinese firm Huawei has been under the sanctions of the US administration. The Chinese giant is accused in particular of the false use of forgery and counterfeiting, as well as espionage, among other charges. The only downside is that to date no proof of the alleged facts has been provided. And it is Huawei who suffers from it since now the firm no longer even has the right to use American technologies. In response, China is preparing to become the market leader in processors by poaching its competitors.
Huawei deprived of Android and processors
Since being blacklisted by the Trump administration, Huawei has been prohibited from trading in the United States in particular. As a result, both in South and Central America, and even in the North, there is no way for the Chinese to sell its millions of devices.
In addition, this embargo also prevents Huawei from installing Android on its smartphones. And even to use processors manufactured by American firms or embedding American technologies. As a result of the races, from September Huawei will no longer be able to manufacture a smartphone because it runs out of processors to run them.
Cornered for months on all fronts, Huawei could react thanks to the Chinese central government which intends to develop the industry of the foundry of processors.
China debauchery everywhere
The Chinese methods we know them. Suddenly, nothing new to put in their mouths except the fact that China debauchery among the processor giants. Notably Intel, TSMC. With a view to boosting its domestic foundry sector.
The idea is to eventually Quanxin Integrated Circuit Manufacturing (QXIC) as well as Wuhan Hongxin Semiconductor Manufacturing Co (HSMC), local companies that are pioneers in the manufacture of mobile processors.
Various incentives are offered by the Chinese government to employees agreeing to join local companies. In particular an entry bonus equivalent to 2.5 times the sector’s annual salary. And stratospheric bonuses.