The price of the boycott: ZTE stops working (updated) • HWzone

The price of the boycott: ZTE stops working (updated)

updating: The President of the United States himself chirps about And its war of survival - and makes it clear that he and the President of China are working together to find the solution that will allow the company to return to normal operations, including guidance on the matter for the United States Department of Commerce, which was the one to decide on the boycott.

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It seems that we will not need to wait seven full years until we see the maker of smartphones and telecom equipment making a big comeback to Western markets.

Donald Trump's fresh chorus brings us to watch updates soon

Original article: The Chinese company boycotted by the US government announces that it will find it difficult to continue operating under the new situation. Do as well Should you begin to be afraid?

Until recently it was considered One of the world's most significant smart device names, with significant market share in the United States and great innovations and aspirations expressed by sub-brands such as Axon and Nubia - but today that situation seems far from a fantasy, with the seven-year confiscation sentence declared The U.S. Department of Commerce requires the company to publicly declare its operations frozen.

ZTE, whose most prominent business is in communications equipment for operators Commercial, rather than smart devices for private users, has been accused of illegally passing comprehensive products From American companies to Iran and North Korea, which are subject to tough commercial sanctions. Was billed no less than $ 1.2 billion under this proceeding, and was required to take action against various 35 employees in the company who were defined as responsible for the illegal business - and after a year when most of those senior executives remained in their jobs without any consequences, the United States decided even more extreme step and declared Prohibition of trading between all US companies and For a period of at least seven years.

Plans to appeal the boycott and cooperate with the US government in hopes of improving the situation

The US decision surprised ZTE and the entire business world, and now it seems that the large Chinese company that is partially traded (while another share of the Chinese government belongs) is beginning to internalize the magnitude of the problem they face - declaring that they have to stop operating in all business areas Now, due to the lack of ability to manufacture, repair and even maintain their products without the critical spare parts coming from American companies such as , Qualcomm, And others.

The company's telecom business was also significantly affected

The official announcement shows cautious optimism that its boycott or guidelines will soon be softened and allow ZTE to return to normal commercial operations, while concluding that the company has sufficient financial resources to survive this challenging interim period - but it is a very interesting development in any case. To threaten a company as well Which is under similar investigation these days in the United States for suspected sharing of private information of users with government agencies in China.

A similar possible boycott will also significantly hurt Huawei, despite the fact that it is based on processing chips it develops independently - because even the built-in Android services , For example, enter under the prohibition of American trade.

It is not really clear how Nubia, technically only 49 percent of it belongs to the Nubia,, Will be affected by the large component boycott

Do-to- Is there any chance of recovery from this human blow she received? It doesn't sound particularly optimistic right now - but it is a saga that will certainly be interesting to follow in the future.


5 תגובות

  1. Trump brought the Chinese president to plead with him ... amazing how quickly they got down on their knees. Probably hurting jobs in China much more moving them assets.

  2. Quote of nachum37

    Trump brought the Chinese president to plead with him ... amazing how quickly they got down on their knees. Probably hurting jobs in China much more moving them assets.

    Simply ingenious

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