Its been a bumpy ride for Huawei when Donald Trump blacklisted this big tech giant for trading in the U.S, this ban was put by Trump in the month of May and the reason behind this ban, according to Trump was that Huawei has spying capabilities that they are using secretly in the U.S with their devices. This affected the business between U.S companies and Shez-Zhen based tech giant.
On these restrictions by the U.S government, the revenue of Chinese based company would have been dropped by $30 billion over the next two years. Chief executive, Ren Zhengfei even said:
“Huawei’s production will slow down in the next two years while revenues will hover around $100 billion this and next year” – According to him.
This all happened when the United States and China both were racing to build out the high 5G networks, and the U.S government does not want to hold the second place in this Race. Actually, the one who wins this Race will help their country to produce millions of jobs and increase its economy drastically. The president trump also said this:
“The race to 5G is a race America must win.”
China was leading in this Race, and that pull off the U.S that’s why they came up with their strategy to slow down the progress of this leading tech giant.
5G is the future, and it’s much much faster than any of the 3G and 4G technologies. It could be 100 times faster, and after the rise of 5G, the mean of communication would change. A lot of industries will benefit from this network like it will change the gaming industry and moreover, it will speed up everything, things you download or upload no the Internet, the heavy files that used to take hours to complete will be completed in the number of minutes. It will as well evaluate the rising industry of Self-Driving cars.
The U.S government took a U-turn after one month of banning China to trade with them. President Trump surprised everyone on the G20 Summit Osaka when he relaxed the ban that he put on China and reallowed them to do business with the U.S. Huawei tweeted about this on their twitter:
After this unban from Trump’s side, Chinese company Huawei was also allowed to use to the Android by Google in their phones. When the ban was put on, Huawei was ready to build their own Operating System that was Hongmeng OS; actually, they were working upon this OS since 2012 as an underground project, but it showed up when this technology war started between U.S and China, but after that all restrictions were taken away, and Huawei is now allowed to trade.
Mr. Rainsch saying about this:
“It is clearly a sign that the President is willing to use an issue like this as a bargaining chip notwithstanding its national security implications,” said Mr.rainsch.
Tim Danks Huawei vice president (for risk management and partner relations) said:
“We acknowledge President Trump’s comments related to Huawei over the weekend and will wait for guidance from the Department of Commerce but have nothing further to add at this time,”
Both countries want to win this technology race and this all politics is included to build the 5G Technology faster and better to benefit their economy with this 5G thing that will obviously come with a big change in this era of the Internet.