How it All Started
Huawei’s business progress was threatened on Sunday (May 19, 2019) when Google pulled its license to use Android OS. Google revoked the license in order to comply with an executive order signed by President Donald Trump. The Executive order allows federal government to block buying and selling of foreign-made technology believed to be a security threat.
What did Huawei Do?
The tenuous relationship between the United States and the Chinese company can be traced back to decades. The tension reached its breaking point after Trump administration banned American corporation from conducting business with Huawei. While the US government speculates that Huawei has been engaging in illegal activities, there is no clear indication that Huawei did anything illegal. Huawei Pled not guilty and denied allegations made in a lawsuit by the Trump administration suing Huawei for theft of trade secrets from T-Mobile. The ban comes in just more than a year since the US-China Trade intensified.
HongMeng Operating System: Huawei’s Response to the Ban
The Ban from Google will definitely affect how Huawei competes without the popular android OS. However, Huawei has acknowledged existence of their HongMeng Operating system. Their CEO, Richard YU announced, “We have prepared our own operating system. If it should be the case that we can no longer use these systems (like Android) … we would therefore need to be well-armed.” HongMeng is currently being tested and will eventually replace android if the ban is not lifted.
Without a well-known OS, Huawei which has been among the biggest tech giants will face stiff competition from android licensed companies like Samsung when new android version will be rolled out. Main android users like Samsung will have a competitive advantage over Huawei.