Date
17 June 2019
Some big US and foreign tech firms are said to have instructed their employees to limit their interaction with peers from Huawei in the wake of US sanctions on the Chinese telecom equipment giant. Photo: Reuters
Some big US and foreign tech firms are said to have instructed their employees to limit their interaction with peers from Huawei in the wake of US sanctions on the Chinese telecom equipment giant. Photo: Reuters

Tech firms tell staff not to engage with Huawei peers: report

Some of the world’s biggest tech companies have told their employees to stop talking about technology and technical standards with counterparts at Huawei Technologies in response to the US blacklisting of the Chinese tech firm, Reuters reports, citing people familiar with the matter.

Chipmakers Intel and Qualcomm, mobile research firm InterDigital Wireless and South Korean carrier LG Uplus have restricted employees from informal conversations with Huawei, sources were quoted as saying.

Such discussions are a routine part of international meetings where engineers gather to set technical standards for communications technologies, including the next generation of mobile networks known as 5G.

The US Department of Commerce has not banned contact between companies and Huawei. On May 16, the agency put Huawei on a blacklist, barring it from doing business with US companies without government approval, then a few days later it authorized US companies to interact with Huawei in standards bodies through August “as necessary for the development of 5G standards.”

The Commerce Department reiterated that position on Friday in response to a question from Reuters.

Nevertheless, at least a handful of major US and overseas tech companies are telling their employees to limit some forms of direct interaction, as they seek to avoid any potential issues with the US government, sources told Reuters.

The new restrictions could slow the rollout of 5G, which is expected to power everything from high-speed video transmissions to self-driving cars, according to several industry experts.

At a 5G standards meeting last week in Newport Beach, California, participants privately expressed alarm to Reuters that the long-standing cooperation among engineers that is needed for phones and networks to connect globally could fall victim to what one participant described as a “tech war” between the US and China.

A representative of a European company that has instituted rules against interaction with Huawei described people involved in 5G development as “shaken.”

“This could push everyone to their own corners, and we need cooperation to get to 5G. It should be a global market,” the person said.

To be sure, several workers at smaller telecoms firms said they had not been told to avoid discussions with Huawei at standards meetings, and many vendors continue to support existing deals with Huawei.

It is unclear how much further communications with Huawei have been curtailed in the tech industry, if at all.

“There’s been a lot of misunderstanding from what I’m seeing and hearing from clients and colleagues, as far as what the (Commerce Department) restrictions actually entail,” Doug Jacobson, a Washington-based export controls lawyer, told Reuters.

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RC

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