WSJ: Fomalhaut, Japanese technology lab took Huawei Mate 30 apart to inspect its insides, no American chips inside.

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Huawei Manages to Make Smartphones Without American Chips

For China’s top smartphone maker, U.S. suppliers are increasingly a nice-to-have, not a must-have

American tech companies are getting the go-ahead to resume business with Chinese smartphone giant Huawei Technologies Co., but it may be too late: It is now building smartphones without U.S. chips.

Huawei’s latest phone, which it unveiled in September—the Mate 30 with a curved display and wide-angle cameras that competes with Apple Inc.’s iPhone 11—contained no U.S. parts, according to an analysis by UBS and Fomalhaut Techno Solutions, a Japanese technology lab that took the device apart to inspect its insides.

Link to the article:

https://www.wsj.com/articles/huawei-manages-to-make-smartphones-without-american-chips-11575196201

In May, the Trump administration banned U.S. shipments to Huawei as trade tensions with Beijing escalated. That move stopped companies like Qualcomm Inc. and Intel Corp. from exporting chips to the company, though some shipments of parts resumed over the summer after companies determined they weren’t affected by the ban.

Commerce Secretary Wilbur Ross, whose department oversees export licenses, last month said U.S.-based chip makers were being granted licenses to resume some other deliveries. The department has received nearly 300 license applications, he said.

Meanwhile, Huawei has made significant strides in shedding its dependence on parts from U.S. companies. (At issue are chips from U.S.-based companies, not those necessarily made in America; many U.S. chip companies make their semiconductors abroad.)

While Huawei hasn’t stopped using American chips entirely, it has reduced its reliance on U.S. suppliers or eliminated U.S. chips in phones launched since May, including the company’s Y9 Prime and Mate smartphones, according to Fomalhaut’s teardown analysis. Similar inspections by iFixit and Tech Insights Inc., two other firms that take apart phones to inspect components, have come to similar conclusions.

With the Mate 30, audio chips supplied in older versions came from Cirrus Logic. In the newer Mate 30 models, chips were provided by NXP Semiconductors NV, a Dutch chip maker, according to Fomalhaut. Power amplifiers provided by Qorvo or Skyworks were replaced with chips from HiSilicon, Huawei’s in-house chip design firm, the teardown analysis showed.

“When Huawei came out with this high-end phone—and this is its flagship—with no U.S. content, that made a pretty big statement,” said Christopher Rolland, a semiconductor analyst at Susquehanna International Group. He said that in recent meetings, Huawei executives told him that the company was moving away from American parts, but it was still surprising how quickly it happened

Edited December 22, 2019 by Marcin
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