Last week made it look like there was light at the end of the tunnel for Huawei. They had already devised plans and solutions for their OS problems, and it was clear that they would be just fine without Google.
But with the recent development, it does not look too promising for the Chinese phone maker.
The UK based firm, ARM, has just severed ties with Huawei. The firm reportedly sent memos to its employees to cease “all active contracts, support entitlements, and any pending engagements” with Huawei because of “US-origin technology” in ARM’s designs.
If you don’t already know how grim this is, ARM licenses all mobile processors you have in Smartphones these days. Companies like Qualcomm, Huawei, and Samsung all use some version of ARM-licensed chips for their smartphones.
ARM’s technology is the foundation for most mobile phone chips and without it, Huawei wouldn’t be able to produce its own chips. Needless to say that it is a huge blow for Huawei and one of the analysts even describes it as “insurmountable”.
It was reported earlier that Huawei was seen hoarding at least a year’s worth of chips. It is evident that the company relies heavily on these chips, so if they don’t come up with a remedy soon, or make its own chips, it just might be the endgame for Huawei after all.