Huawei will stop releasing flagship chipsets under US pressure

The End of Huawei’s Kirin Chip

Huawei will stop releasing flagship chipsets under US pressure

Financial magazine Caixin reported on Saturday that Huawei Technologies Co will stop releasing its flagship Kirin chipsets next month as US pressure on the Chinese tech giant intensifies..

US pressure on Huawei’s suppliers has made it impossible for the HiSilicon Chip Division to continue manufacturing chipsets, key components for mobile phones. This was stated by Richard Yu, CEO of Huawei Consumer Business at the launch of the company’s new Mate 40 phone.

Amid the worst U.S.-China relationship in decades – Washington is pressuring governments around the world not to buy Huawei products, claiming the devices are being spied on for the Chinese government. Huawei denies espionage charges.

The United States is also seeking the extradition of Huawei’s CFO to Canada Maine Wanzhou on bank fraud charges.

In May, the U.S. Department of Commerce issued executive orders requiring software and manufacturing equipment vendors to refrain from doing business with Huawei without first obtaining a license..

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«Starting September 15, our flagship Kirin processors cannot be manufactured, ” said Yu, who is quoted by Caixin. “Our artificial intelligence chips also cannot be manufactured. This is a huge loss for us».

HiSilicon Huawei relies on software from US companies such as Cadence Design Systems Inc or Synopsys Inc. to design its chips, and outsource manufacturing to Taiwan Semiconductor Manufacturing Co (TSMC), which uses US equipment..

Huawei will stop releasing flagship chipsets under US pressure

HiSilicon manufactures a wide range of chips, including the Kirin line of processors, which are only used for Huawei smartphones and are the only Chinese processors that can rival Qualcomm’s processors in quality..

«Huawei began to study the chip sector more than 10 years ago, starting from a huge gap, gradually catching up and then becoming a leader, ” said Yu.“We have invested huge resources in research and development and went through a difficult process.».