It’s been an interesting few years for Huawei. After the Chinese giant’s initial struggle with the US trade sanctions, it would end up with a surprise mobile resurgence featuring homegrown processors — ones that are just two generations behind the competition. Not only that, the Chinese government has since allocated billions of dollars to boost its silicon industry, so much that Huawei is already working towards a self-sufficient chip network. It’s as if former President Donald Trump’s earlier attempts to starve Huawei of vital inputs eventually accelerated China’s semiconductor development.
Trump’s first strike on Huawei was the declaration of a national emergency in May 2019, which saw the Commerce Department add the company to its Entity List, citing surveillance concerns and links to the Chinese state security. As such, Google could no longer provide Android support to Huawei, thus causing the Mate 30 series and later models to miss out on Google apps (they would eventually adopt Huawei’s Android replacement, HarmonyOS, two years later).
In November 2019, the FCC banned carriers from buying Huawei and ZTE networking gear with government subsidies.The following March, Trump signed a bill that would reimburse the replacement of Chinese gear — even if it meant spending an estimated $1.8 billion. Huawei attempted to sue the FCC over these restrictions, but the court sided with the regulator.
The tech war heated up rapidly in May 2020, when the US further restricted Huawei’s access to American equipment and software. This meant Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading fab, would have to stop producing HiSilicon chips for Huawei — its then second-largest customer, after Apple. Likewise, Samsung and SK Hynix had to stop selling chips to the Chinese brand by the September 15, 2020 deadline. As Bloomberg’s teardown of the latest Huawei smartphones revealed, the company didn’t have a problem stockpiling these Korean memory chips.
For processors, Huawei had no choice but to rely more on local chip makers, namely Semiconductor Manufacturing International Corporation (SMIC) and Shanghai IC R&D Center. That meant a significant downgrade, though: SMIC had just started mass-producing 14nm chips for Huawei then, whereas TSMC reached 5nm later that year and supplied Kirin 9000 processors for Huawei’s Mate 40. That would be the final “high-end” Kirin chip, Huawei’s mobile boss Richard Yu said at the time.
Qualcomm was eventually…