Huawei Slashing "As Much As 30%" Of Orders To Key Suppliers Amidst US Product Ban | WHAT REALLY HAPPENED


Huawei Slashing "As Much As 30%" Of Orders To Key Suppliers Amidst US Product Ban

Huawei is reportedly reducing or cancelling orders to major suppliers for components that go into its smartphones and telecom equipment, following the blacklisting of its products in the U.S., according to Nikkei.

The cuts could total as much as 30% of orders and are likely a continuing sign that the U.S. crackdown on the company is hitting it where it hurts: its production and financials.

This puts Huawei at risk of losing its leading market share, as the industry approaches 5G wireless going mainstream. And the company's main competitors, Ericsson and Nokia, are likely licking their chops in close pursuit of the company's top spot.

Taiwan Semiconductor confirmed that orders from Huawei have declined since it was hit with the U.S. ban. TSMC Chairman Mark Liu said: "For us, we do see demand from Huawei decreasing but we could not tell what's the reason behind this."

"We see that the demand from a local high-end smartphone company is going down globally," he continued, likely alluding to Huawei.

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