The former U.S. President Donald Trump, during his term in office, implemented strict measures against a number of Chinese companies, of which the biggest blow was dealt to Huawei, TikTok and ZTE. Foreign media tracked the follow-up status of these three companies, and believes that Huawei’s long-term risk is still huge.
Foreign media believe Huawei’s long-term risk is still huge
The BBC reports that, first of all, the most deadly thing for Huawei is the U.S. total ban, which excludes Huawei from the global chip procurement chain, and Huawei’s rotating chairman Hu Houkun also confessed that this has caused them great harm. If Huawei’s chip inventory is exhausted, its market share will plummet, and the only way to build its own chip.
As for ZTE, the United States in 2018 banned U.S. companies to sell them components, the impact on the demand for ZTE components reached 20 to 30%, also let ZTE had to pay a fine of up to $1.4 billion, and allowed the U.S. team to enter the company’s internal inspection, but ZTE nearly two years to recover, last year’s operating income back to the level before the ban, ZTE is currently facing the U.S. Federal Communications Commission’s national security The threat list, may therefore lose a lot of international markets.
Finally, TikTok, compared to the first two companies, TikTok is not really hit, the Trump administration’s ban was called off by the court, last year TikTok parent company revenue growth of more than 1 times, the first quarter of this year is still the top non-game application downloads. However, with U.S.-China relations full of uncertainty, it remains to be seen what TikTok’s future will be.
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