Ratings agency S&P has warned that the United States' Huawei ban is more likely to hit US suppliers to Huawei than telcos that will have to spend more money post-ban. In its report, S&P said the ban could force Beijing to boost Chinese technology investment and reduce reliance on foreign suppliers. "In turn, this could heighten competition in the technology sector and potentially lower the long-term growth prospects of US technology firms," the report said. S&P highlighted component suppliers such as Micron, Qorvo, and Lumentum had approximately 15% of their revenue exposed to Huawei, along with Qualcomm which has exposure in the range of 5% to 10%. "In the next one to two years, we believe US semiconductor firms will take the biggest hit because many of them count Huawei as a key customer," S&P said. "The ban adds a headwind to an industry in the middle of a correction due to weak demand after a strong 2018, above-average inventories both at manufacturers and in … [Read more...] about S&P warns Huawei ban will hit US tech long-term
Huawei banned where
The US ban on Huawei, keeping the company from doing business with US companies, is hurting the very companies that Trump was attempting to protect with this executive order. Skyworks is the latest to get hit by this ban. Skyworks is a chip maker, and on Tuesday, it lowered its quarterly earnings and revenue forecast. Letting investors know that it had stopped shipping products to Huawei, due to the executive order. After the company cut its forecast, shares of the company dropped about 1-percent in after hours trading. They are likely to drop more once the market opens on Wednesday. Skyworks stock has been hit pretty hard by the Huawei ban, having dropped 12-percent since May 15 - the day President Trump signed the executive order. The entire semiconductors industry is getting hit hard by this ban. According to CNBC, exchange-traded funds that have semiconductors like Qualcomm, Texas Instruments and Intel included, are down over 25-percent. With the bigger one being SOXL which is down … [Read more...] about American Firms Feeling The Pain Of Trump’s Huawei Ban
In a bid to overturn the Australian Consumer and Competition Commission's (ACCC) decision to block the TPG-Vodafone Australia merger, TPG has doubled down on its claims that the Huawei ban has prevented the telco from being able to roll out a competitive mobile network.In its defence filing to the Federal Court, TPG has argued that following the Huawei ban, no alternative vendor has been willing to develop 5G equipment that can be installed on TPG's current spectrum holdings. As a result, TPG alleges it is no longer commercially viable for the company to roll out 5G networks without a merger with Vodafone."There is no credible business case for a mobile network that cannot be upgraded to a 5G network," TPG said.SEE ALSO: ACCC ponders merger law revamp to stay relevant in the digital eraTPG also alleges that it has insufficient spectrum to compete effectively in the retail mobile market if it were to use a predominantly macro RAN site based network like Telstra and Optus. "TPG's … [Read more...] about TPG reiterates claim of needing Vodafone merger post-Huawei ban
Sections SEARCH Skip to content Skip to site index Technology Subscribe Log In Log In Today’s Paper Technology | Huawei Ban Threatens Wireless Service in Rural Areas Advertisement Supported by Many small carriers depend on inexpensive equipment from the Chinese company. Now they must rethink expansion plans, and perhaps replace existing gear. ByCecilia Kang May 25, 2019 OPHEIM, Mont. — Kevin Nelson was recently in the middle of his 3,800-acre farm in northeast Montana, where the landscape stretches out like an ocean, when his tractor broke. He tried to find a cellular signal strong enough to send a photo of the broken part to a repair shop 65 miles away, but failed. “It’s really frustrating,” Mr. Nelson, 47, said about the poor reception. “We keep being told it’s going to improve, it’s going to improve.” Now it’s not likely to improve anytime soon. … [Read more...] about Huawei Ban Threatens Wireless Service in Rural Areas
For years, American executives and politicians expressed their fears of China quietly. They feared angering its leaders and losing access to its market. Donald Trump has no such qualms. Encouraged by his hawkish advisers, he has decided to confront China aggressively on issues from trade to spying. Huawei, the world’s largest maker of telecommunications equipment and an emblem of China’s emergence as an economic superpower, is just the latest victim of an escalating conflict between the US and its increasingly potent and strident challenger. Huawei founder Ren Zhengfei has compared his firm of 180,000 employees, 1,400 of them in the UK, to “a small sesame seed, stuck in the middle of conflict between two great powers”. This week, the sesame seed was squeezed further as Washington decided Huawei will need US government approval to buy American-made components and software for its devices. The Trump administration suspects the company is an arm of the Chinese … [Read more...] about Huawei ban: Where will the Trump vs China crisis lead to next?