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By now it’s no secret that Huawei is having a tough time trying to do business in the US. Not only are they on the US Entity List that prevents them from doing business with US companies and vice versa. Recently, the FCC has also ruled that Huawei will not be able to apply for new licenses moving forwards.
If that sounds like Huawei is pretty much finished in the US market, apparently not. According to a report from Bloomberg, it seems that Huawei thinks they might have found a workaround and that is by licensing out its smartphone’s designs to other companies who are not affected by the trade war between US and China.
Specifically, the report says that Huawei could be looking to license its smartphones to a company called Xnova, part of the China Postal and Telecommunications Appliances Co., as well as a telecom manufacturer called TD Tech Ltd. This means that these companies who aren’t affected in a similar manner as Huawei will be able to create phones similar to Huawei’s and sell them in the US market.
It remains to be seen if this will work. Prior to this, Huawei tried to circumvent the ban by selling off its Honor subsidiary, which worked for a while as Honor phones were later released with Google services intact, but US lawmakers recognized the play and have asked that Honor to be blacklisted as well.
In any case, it will be interesting to see Huawei try, but whether or not they succeed will be a different story.
Source: PhoneArena
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