China syndromeGoogle cuts Huawei access to Android software updates

Published 20 May 2019

Google said on Sunday it was rescinding Huawei’s license to use Google’s mobile phone operating system Android, and Google services such as Google maps and YouTube. The move will force the Chinese technology company to rely on an open-source version of the software. The move follows a presidential executive order prohibiting American companies from using telecommunications equipment made by “foreign adversaries” viewed as posing a threat to U.S. national security.

Google said on Sunday it was rescinding Huawei’s license to use Google’s mobile phone operating system Android, and Google services such as Google maps and YouTube. The move will force the Chinese technology company to rely on an open-source version of the software.

Consumers who currently own Huawei phones will be able to use and update apps already downloaded.

Last week, President Donald Trump signed an executive order to stop U.S. companies from using telecommunications equipment made by “foreign adversaries” viewed as posing a threat to U.S. national security. The United States has blacklisted Huawei, denying the company access to domestic markets and restricting US sales to the company.

We are complying with the order and reviewing the implications,” a Google spokesperson said.

Following Google’s decision, Huawei said it would continue to provide security updates and services for all of its existing smartphones and tablets.

We have made substantial contributions to the development and growth of Android around the world,” a spokesperson said. “We will continue to build a safe and sustainable software ecosystem, in order to provide the best experience for all users globally.”

CNet reports that the U.S. intelligence community has long viewed Huwaei as playing an important role in China’s broad strategy of penetrating other countries’ critical infrastructure in order to spy on these countries and, if need be, disrupt critical services in the event of a conflict with China. Both these measure would allow Chin leverage of these countries’ political and economic decisions.

In the last two years, the United States has been pressuring allies in Europe and Asia not to sign large 5G infrastructure contracts with Huawei.

The company has refused to yield to U.S. pressure. Last week, Ren Zhengfei, the company’s CEO, said his company had “already been preparing for this.”

We have not done anything which violates the law,” Ren told Japanese business daily The Nikkei. “It is expected that Huawei’s growth may slow, but only slightly.”

Huawei has been a pioneer of 5G technology. The company is heavily dependent on foreign suppliers, buying about $67 billion worth of components each year, including about $11 billion from American suppliers.

Reports in the U.S. media say that Huawei had developed its own operating system in case it lost access to Google and Microsoft services. Some of this technology is already being used in products sold in China, Huawei has said.

Still, analysts say that Google’s decision could have a negative impact on Huawei’s sales outside of China, particularly in the West. The Chinese company’s European business, its second-biggest market, could be hit as Huawei licenses these services from Google in Europe.

It is not yet clear what impact the U.S. government’s blacklisting decision will have on the company, with analysts questioning Huawei’s ability to continue to operate without help from the U.S. suppliers.