Huawei banned event as we already know has hit Huawei so badly and the impact of this decision is getting even worse every single day. Not only the sales have gone drastically down but it has also tarnished the brand reputation of the company.
It is understood that the other companies have also suffered the backlash by the decision of the trump government in addition to the Chinese giant.
It seems Huawei now has to take a decision in the right way in order to retain its customers and rightly so it has a lot of doing to protect the customers.
Let’s find out then the most recent developments concerning the story.
Huawei promises refunds
The major fears of the current owners of Huawei and HONOR smartphones is that the Huawei phones will lose access to Android and Google’s different services and apps.
The Chinese giant, however, as reported by the Philippine website Revu, is ready to launch a full refund program if the Google Apps, including the Play Store, and Facebook, should not work in the first two years after the purchase of the smartphone.
The initiative seems to have started from local distributors and retailers and does not seem to be supported by the Chinese giant.
In the Philippines, the program covers devices marketed from June 15th to August 31st this year, with the clear intention of supporting sales in this, particularly complex period.
It will be interesting to understand if this is an isolated initiative or the same will also be followed in other countries in order to retain loyal customers.
American companies are pushing the commerce department
After Google, which in recent days had begun a dialogue with the Department of Commerce, other US companies are also expressing their concerns regarding ban Huawei in the US. According to Reuters, Intel and Xilinx are also pressuring to soften the issue by limiting the ban on network equipment.
Qualcomm is also among the most apprehensive companies, after having signed an agreement with Huawei in recent months that will bring $ 150 million a quarter to the Californian chipmaker. The companies are not defending Huawei, therefore, but their own economic interests, given that the repercussions of Trump’s decision are too heavy for the American economy.
Even the Korean Hynix Suffering Backlash for the Huawei ban
If the impact for American companies was somehow predictable, at least for insiders and long-time politicians, that for foreign companies is undoubtedly beyond any control. It is not just Chinese companies that find themselves in difficulty, as confirmed by the case of South Korean Hynix.
The company is one of the world’s largest memory manufacturers and should have opened the most advanced manufacturing facility in Wuxi, China. The continuous fall in prices, combined with the fact that Huawei could block purchase orders and that prevents Hynix from having the operating margins to carry out the construction of the new plant, which would immediately go to work in heavy loss.
We are talking about a plant capable of producing 180,000 300 mm chips, with annual revenues of over 3 billion USD, able to satisfy almost half of the demand for memories in the Chinese market.
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