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The USA punish Huawei - will it survive without Google? Let's find out

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Are Huawei phones turning into useless bricks? What's gonna be next?

What’s happening on the market right now could shoot down the world’s second-largest smartphone maker. Huawei cannot count on any future assistance from companies like Google, Intel or Qualcomm. It is disturbing all Huawei users as well as investors - US tech indexes dropped instantly. What does it mean for us, developers and users?

Will Huawei survive without Google and Intel or will it negotiate?

Firstly, let us explain why is this all happening. Trump administration is effectively barring American companies from trading with the Chinese technology giant. This recent order to blacklist Huawei includes software as well as hardware components, which means huge trouble for the manufacturer, even though the company is hysterically trying to calm down the markets. Should we freak out?

1) Lost of Google sympathy

Google will cut off the Chinese manufacturer from all additional services. Android is an open system so anyone can use it, even Huawei. The reason why the whole multi-billion brand is losing its shine is a bit different.

The Android system is the most popular for its smooth synchronization with all Google services, such as YouTube, Gmail, and PlayStore. Yes, even PlayStore! If you will want to install some apps to your Huawei phone, you are forced to use its own app store or use 3rd party services which can be extremely risky. Anyway, your app selection will become extremely limited. Living without YouTube or Chrome? Unimaginable.

America has banned trade with Huawei

2) Security in danger

The second issue is security. Any discovered holes in the Android operating system are patched immediately, but those security updates will not be pushed to the Huawei devices anymore. This puts sales of the newly introduced Honor 20 (another brand of the Huawei group) at great risk. This model is to be released in May 2019 and its OS will not be officially supported.

Which answers your question whether this affects owners of old Huawei models. It shouldn’t, but there is no clear guarantee from the American officials that the order won’t get stricter. It would be clear speculation to guess what is about to happen in the upcoming months.

3) Hardware for 3 months and then?

Huawei reported that the gap in semiconductor supplies won’t affect its production for at least three months. The whole production is extremely dependant on American-made chipsets and other parts, which gives American side a great lever in the negotiations.

The British chip designer Arm also joined the boycott and canceled licenses on chip manufacturing for Huawei. This battle is getting big!

Tough negotiation or Nokia-style end?

Huawei’s revenues are from 48% originating out of China. Only two scenarios can save the company from a spectacular fall - successful negotiation with the US administration or developing its own iOS-like operating system. Huawei confirmed it will show the new OS in fall 2019, but it is tough to believe it could be good. We don’t dare to forecast which scenario has better chances of winning.

We only know that Samsung is throwing really sick parties, while Huawei started reinforcing its PR team locally.

What do you think will happen next? Negotiation or HuaweiOS?


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