The Trump administration issued an executive order last week preventing “foreign adversaries” from doing telecommunication business in the US.
While the order’s wording was vague, the implementation includes preventing Huawei from doing business with any US software or hardware supplier, including Google, Intel, Qualcomm, and Broadcom. This means Huawei will no longer be able to ship new phones to western markets with Google’s version of Android that includes the Play Store, Google Maps, Google Assistant, and Gmail.
Huawei can still use the open-source version of Android, but Android phones without Google services are a tough sell in western markets. Although Huawei can use its own SoC chips instead of Qualcomm’s, being cut off from US hardware suppliers is likely to affect its smartphone business worldwide.
The company has reportedly been stockpiling chips and parts from US companies for months to prepare for this possibility.
