Who’s afraid of Huawei? Right now, everyone is. Does anyone really know why?
Since 2017, the US has dealt continuous blows against the Chinese company. More than two years later, the war is still in full swing. Both sides have fired multiple salvos against the other. Still, despite the conflict’s longevity, most people are not really sure what’s happening.
Why are they fighting? Should we stay away from Huawei? Is it time to get rid of our Huawei devices as soon as possible? Should we really fear for our cybersecurity?
For ordinary consumers, the entire Huawei debacle is mired in political lingo and endless controversy. It’s time to clear the air. What’s up, Huawei?
How did this all begin?
Let’s go back to where it all started. In late 2017, American lawmakers reviewed the businesses of ZTE, another Chinese tech company. Soon after, the investigation unveiled a flurry of shady business deals involving Iran. By law, companies operating in the US are not allowed to communicate with blacklisted countries including North Korea and Iran. Naturally, the violation caused monumental sanctions against ZTE. The US banned ZTE from American soil — effectively, the same ban on Huawei today.
At this time, Huawei was just a moderately innocent passerby stuck between two fighting giants. At most, Huawei was accused of spying on its customers. American lawmakers proposed a boycott of Huawei’s products. The proposal drew from the emerging rise of Sinophobia. Still, at the time, the US government’s eyes were firmly on ZTE.
In its infancy, the Huawei-ZTE issue was a product of a small fear. It still hadn’t affected everyone. In fact, US President Donald Trump even tried to save both companies from utter destruction. Both companies enjoyed a reprieve from America’s ire. However, this was short-lived.
In a surprising about-face, Trump started his controversial trade war against China. The American leader abandoned his salvific efforts. Instead, he adopted an incredibly aggressive push against Chinese companies. Unsurprisingly, ZTE already crumbled from the initial push, leaving Trump without a company to make an example out of.
Trump set his sights on Huawei, the world’s second largest smartphone maker. His weapon: the same ban meant for ZTE. His motive: potential cybersecurity issues. This time, America means business. Recently, Trump finally pulled the trigger, enacting a total ban against Huawei on American soil. However, instead of just the US, Trump has been lobbying for a similar ban on other countries. Since then, Huawei has suffered a world of hurt.
What does the ban mean?
Naturally, a “total ban” sounds daunting. Banning Huawei smells like certain doom for the tech giant but what does the ban really mean?
When enforced, Huawei can no longer deal with American companies. To Huawei’s dismay, the tech maker uses a fair number of American components in its products. Most notably, Huawei’s smartphones come with Google’s Android. The ban will prevent Huawei from using the operating system going forward. On paper, this is a huge deal. Android remains the world’s biggest operating system. A lot of consumers trust Android. Huawei is losing a massive chunk of its package with the loss.
As if that wasn’t enough, Facebook — and its slew of apps — have withdrawn from Huawei’s products. The company’s smartphones will no longer have Facebook, Messenger, Instagram, or WhatsApp installed out of the box. The threat is becoming real.
It’s not looking good for the Chinese company. Huawei is slowly being dismembered. Faced with an army of bans, it’s natural to worry about Huawei. Worst case scenario, Huawei will become a mere shadow of its former self, devoid of the components that helped its recent success.
Should we really worry, though?
Not just yet. Right now, Huawei is enjoying a temporary reprieve. Soon after the initial ban, the American government granted the company a three-month extension. Until around the end of August, Huawei can still operate with its current partnerships. Except Facebook, its devices will still ship with the same components we love. At least for the near future, Huawei is safe.
In the meantime, Huawei is hunting for adequate alternatives for its failing parts. This means a new operating system, new chips, and likely an entirely new package. To its credit, Huawei’s development team is working around the clock. Only a month removed from ground zero, they are already promising optimistic developments for the future. Huawei remains confident in their future, launching a bevy of new phones amidst the controversy.
Likewise, some American companies are also lamenting the loss of business. Before the ban, Huawei was a loyal customer, delivering American components to a massive global audience. They aren’t happy with Trump’s ban. For one, Google has publicly defended Huawei. According to them, Huawei’s — and subsequently, the world’s — cybersecurity standards will collapse without a collaboration between international companies. With Android, Google can act as Huawei’s checks and balances against potential cybersecurity threats from malicious forces. If anything, Huawei still has its share of public defenders.
Most importantly, Trump still has the power to reverse the ban before the 90-day extension runs out. If China and the US reach a meeting point, all might go back to normal. Though uncertain, it’s too early to give up on Huawei just yet.
What will Huawei 2.0 look like?
Unfortunately, Huawei’s future is muddled with uncertainty. This includes any potential iterations in the future. As far as we know, Huawei isn’t bleeding from the multitude of losses. The company has reinforced its Kirin chipsets. Further, they are developing their own dedicated operating system codenamed Ark OS.
Other than that, there’s not much to go on. Speculatively, the biggest changes will come from its app supports. If Google leaves, Huawei will be left without the Play Store’s support and security. The Chinese company will have to rely on its own native software to power their phones. Unfortunately, an all-Chinese ecosystem is less than ideal for most. In fact, having one might even justify the American Sinophobia. But again, it’s all up in the air.
I have a Huawei phone. Should I just sell it?
No, you still shouldn’t. The grey market is already doubling down against the onslaught of Huawei returns. If you don’t know a willing contact, finding a buyer will be difficult. If you do find one, you’ll receive only a mere fraction of what you paid for.
At its current iteration, Huawei’s phones are still on top. They are a delight to hold and use, and if anything, have challenged its competitors to offer better value to consumers over the years. Right now, it’s best to play the long game. Wait and see what happens. If anything, Huawei — and its official partners — already has an insurance policy in place. Several retailers have declared a 100 percent refund policy in countries like Singapore. If Google cuts the cord, Huawei users can get their money back.
Similarly, Google has promised Android Q support for existing Huawei handsets. Just this week Huawei also announced the rollout of Android-based EMUI 9.1 to older models. If you already own one, a Huawei phone shouldn’t be an immediate cause for panic.
So, should we really be worried about Huawei?
Understandably, uncertainty isn’t an ideal for everyone. Huawei’s troubles are an excruciating thorn for both businesses and consumers alike. Switching to another brand is a natural solution against the company’s shaky future. However, if you’re looking at the silver lining, worrying is likely a premature reaction. If you’re not a Huawei user, the controversies shouldn’t affect you. If you’re already a Huawei user or looking to buy a Huawei device, it will likely pay off to play a longer strategy. After all, Huawei devices are still some of the best smartphones you can buy on the market.
Editor’s Note: Looks like we really shouldn’t worry after all. Not even an entire day has passed since this article was originally published but Huawei no longer banned in the US. Rejoice, Huawei users!
Netflix co-founder Reed Hastings steps down as CEO
Names new successor
Netflix’s 2022 was rocky, to say the least. After dropping long-time subscribers for the first time in a while, the streaming platform has resorted to a variety of strategies to entice users to stay. While only a few of the new initiatives have resulted in positive change, the company is still on its uphill climb to regain its position atop other streaming giants. Now, Netflix is moving towards more drastic changes.
As revealed by the platform’s quarterly earnings, Netflix co-founder Reed Hastings has stepped down as co-CEO of the company. However, Hastings will not completely leave the company. Instead, the co-founder will assume the role of executive chairman, leaving Ted Sarandos and the newly appointed Greg Peters as co-CEOs.
Currently, neither Hastings nor Netflix has revealed why the former is stepping down from the position. Of note, the platform even posted a growth in subscriber count for the past quarter. Netflix added 7.7 million new subscribers, eclipsing a projected growth of only 4.5 million subscribers. At the very least, Hastings has confirmed that he wants to work on share value and philanthropy going forward.
Last year, Netflix added new ways for users to engage with the platform. Now, besides watching movies and series, subscribers can play a gallery of mobile games. Users can also avail themselves of cheaper subscription plans supported by ads.
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Apple is preparing to open its first stores in India
Based on new job listings
For one of the largest smartphone markets in the world, India is one of the rarer countries where Apple does not outright dominate. Undoubtedly, the company is trying to change that. Ongoing job listings in India are suggesting that Apple is ready to open its first brick-and-mortar store in the country.
First reported by Financial Times, Apple has posted job openings in India for several retail roles including for the iconic Genius Bar. Another clue even indicates that some spots have already been filled ahead of time. A few employees in the country have reportedly posted about their new jobs on LinkedIn.
Unfortunately, none of the job listings show how many stores are planned and where they will be. Narrowing things down by a bit, a few of the confirmed employees are from Mumbai and New Delhi. The report also does not indicate when the stores will open. However, since a few have already been hired, a grand opening might be coming soon.
Apple has a lot to gain by strengthening its foothold in India. The country is an important stronghold for smartphone companies. However, the company might find things harder as time goes by. The country recently dictated that brands must switch to USB-C if they want to sell their devices in India. All over the world, Apple remains the last stalwart against adopting the more universal standard.
Samsung hires Mercedes-Benz alum to head design team
Will handle Galaxy S, Galaxy Z, among others
Outside of the arms race of maximizing hardware, another important battle is the persistent evolution of design. A friendly and approachable design just adds the necessary pizzaz to make an otherwise bland device pop off the shelves. Pushing the next evolution of design for the brand, Samsung has hired a Mercedes-Benz alum to head its Mobile eXperience Design Team.
Today, Samsung has announced the hiring of Hubert H. Lee as the head of the MX team, which handles Samsung’s most popular designs. Formerly, Lee was the chief design officer of Mercedes-Benz China. During his tenure as the carmaker’s designer, Lee spearheaded several projects in both China and the United States. He also bagged awards at his former position.
Now, as part of the Samsung MX team, Lee is in charge of the designs of the Galaxy S, Galaxy Z, and Galaxy Watch series. Given the timing of Samsung’s usual product cycles, Lee’s contributions will likely affect the Galaxy S24 series, rather than the upcoming Galaxy S23 series. Samsung is already pegged to launch the next flagship series sometime in early February.
Still, a new design head sparks some optimism for the South Korean brand. The effect of brilliant design is remarkably palpable for tech companies. For example, Samsung’s primary rival Apple still relies heavily on the contributions of its former design chief, Jony Ive.
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