At his time we would normally present the winners and losers of the week. This time, however, there are only losers, in China, the US and all over the world.
It was a bang in the night between Sunday and Monday. Google made the start and terminated its cooperation with Huawei as a consequence of Donald Trump’s Emergency Ordinance. The mobile phone giant from the Middle Kingdom is no longer allowed to use Google services or provide updates, and with each new message it became worse for Huawei, because more and more companies are disconnecting from the manufacturer: ARM no longer supplies chips, no Panasonic components, Microsoft won’t give Windows licenses, and even microSD cards may no longer be used by Huawei if the situation does not change.
Of course, customers also suffer from this unspeakable affair. The Huawei and Honor smartphones already on the market will still receive updates and may continue to use the Google services, but will look into the tubes of Android Q. For the new models like the Mate X, the Mate 20 X or the Honor 20 Pro it looks very gloomy. Android also works without Google, but this is rather a theoretical option. If the blockade persists, Huawei, the second largest smartphone manufacturer in the world, will eventually disappear or shrink dramatically, and with it the choice of customers.
Also on the US side, there are only losers
But wait a minute, one or the other will now notice all the US companies and Donald Trump, they are laughing up their sleeves! Well, no. If Google, Qualcomm, Intel, Microsoft and Co. are no longer allowed to do business with Huawei, then not only will Huawei lose its supplier, but also one of its largest customers. As long as the US government continues to ban Huawei, these companies will miss out on huge sums of money, apart from the organizational difficulties.
And Donald Trump is also one of the losers of history, even if he still doesn’t seem to notice it. The US President, who has still not provided any evidence for the accusations against Huawei, is not only damaging Huawei, but his own industry as well. The sledgehammer approach, typical of Trump, damages the trust in the USA and its companies as reliable partners and will sooner or later lead to large corporations from all parts of the world looking elsewhere for new partnerships. And all because of an order from Donald Trump.
Have you, unlike me, been able to spot a winner this week?