US underestimating Huawei’s strength, says firm’s founder

Hours after the US delayed the trade ban on the Chinese telecom giant Huawei by 90 days, the company’s founder and CEO Ren Zhengfei, above, defiantly said the conflict is inevitable and Washington is underestimating their strength.

Huawei’s 5G will not be affected by the US ban as other telecom firms will not be able to catch up with the company in the next three years, Ren told Chinese media on Tuesday.

Moreover, Europe is in talks with Huawei as its 5G network technology fits their demands, Ren said, ignoring that Europe is being pressured by the US against using the technology, citing security concerns.

Responding to weekend reports of Google and Android system cutting ties with Huawei, Ren said his company is in talks with the US technology giant to overcome the hurdles created by Washington for local firms that do business with Huawei.

While Google will continue to support existing Huawei smartphones which use its Android operating system, Huawei’s new smartphones will not have access to its services such as maps and Gmail.

President Donald Trump imposed a ban on Huawei alleging that the firm is helping China to spy on other countries and it is a national security threat.

Under the ban, Huawei will not be able share technology by purchasing components from US firms such as Intel, Qualcomm, Xilinx and Broadcom.

But with 5G technology driving Huawei’s business forward, the company is heavily dependent on foreign suppliers. It buys about $11 billion worth of components each year from its US suppliers alone, according to The Nikkei business daily.

The blacklisting of Huawei comes amid a trade war between the US and China.

As talks failed, the US recently raised tariffs on $200 billion worth of Chinese goods. China hit back by increasing duties on $60 billion worth of US imports.