How Huawei Customers are affected by the Trade War between China and US

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Huawei has always considered Europe as its top customer and it has been the reason behind its success. The company now faces a threat of existence that has been caused by the trade war between the United States and China. Earlier last week American technological firm Google announced that it was banning Huawei from using the Android operating system. This move has highlighted how the world depends on Chinese and American companies when it comes to technology. Huawei began as an equipment selling company but has now grown to become one of the biggest phone vendors in Europe. In fact, 25 percent of phones currently in use in Europe have been sold by Huawei. Ben Stanton works as a senior analyst for a company known as Canalys. He says that the move by Google barring Huawei from using android could be catastrophic in its quest to conquer Europe. The Trump administration also barred American firms that deal with telecommunication from using equipment that is produced abroad. The administration believes that these equipment pose a threat to the national security of the United States. The user’s experience of people with android phones around the world will be affected. For instance they will not be able to use some apps such as Google Maps, Hangouts and YouTube.

CNN notes that the customers that will be hit hard by the ban are those in Europe as Android phones are unavailable in the United States while Google services cannot be accessed in China as they have been banned. Huawei products are in demand in countries such as Spain, Portugal and Greece. Other than the phones, the company sells telecommunication equipment in Africa, Middle East and Europe. 28 percent of Huawei sales were from Europe while only 7 percent from the United States. Pressure for Huawei is mounting following the order by the Trump administration. This is because companies in America are increasingly suspending business with the Chinese company. Huawei comes second after Samsung in producing smartphones around the world. The Commerce Department announced that all companies using Huawei products would be given three months to abide by the law. Analysts have noted that the way out for Huawei will not be easy. Ovum telecommunication analyst Dario Talmesio says that it would be impossible for Huawei to introduce its own operating system even if they have it in store. People using Huawei devices at the moment will not be able to perform android upgrade.

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