Huawei and ZTE are banned from selling new telecom equipment in the US
Huawei and ZTE have been at odds with the United States for years. Companies such as Google are not even allowed to enter into new contracts with the Chinese companies. That will remain the case for the time being: the American FCC (Federal Communications Commission) prohibits Huawei and ZTE from selling new telecom equipment in the country. The same goes for security cameras.
Huawei and ZTE
Huawei and ZTE are not only allowed to sell devices themselves in the US: they are also not allowed to be imported into the country. It does not immediately mean that no Huawei or ZTE equipment can be found in the States at all: previously approved equipment may be sold. It’s a unanimous decision by the FCC because it believes these companies could pose a threat to public safety and doesn’t trust them with the security of government facilities. The ban also applies to Hytera, Hikvision and Dahua.
In the Netherlands, Huawei also sees several bans against it. For example, the Chinese company is no longer allowed to supply core technology for the 5G network. Or rather: for the essential parts of that network. Many other countries are even stricter when it comes to Huawei in their networks: Australia, Japan, Canada, Sweden and the United Kingdom ban Huawei equipment in their networks. There are fears, among other things, of espionage from China.
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Secure Equipment Act
In the United States, there has also been great fear of China for years. For example, in November last year, Joe Biden signed a law called the Secure Equipment Act, which allows ZTE and Huawei equipment to be banned. This concerns equipment that the US government believes poses an ‘unacceptable risk’ to national security in the country.
The trade ban that has been in force for years on Huawei phones has had a huge impact on the success of the brand. Huawei was well on its way to becoming one of the biggest, but since more and more countries have their doubts about possible interference from the Chinese government and the US even came up with that trade ban, that market has collapsed enormously for the brand: it was also allowed no more creating new Android phones because this comes from Google, an American company. This new ban is another setback for the company.
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