Huawei runs out of its own chips due to US restrictions

Huawei has run out of HiSilicon chips for its phones due to strong restrictions on the Chinese company.


Huawei in big trouble after a report said the company has run out of supplies ofits own advanced chips for its phones.

This is reported by Counterpoint Research , a firm that points out that the company continues to suffer the consequences of the commercial ban imposed by the United States and that, despite the extensions, the supply is about to run out.

Huawei in trouble

According to the post, Huawei has sold out of inventory of its HiSilicon design chips , as verified by direct sales channels and data.

The firm notes that HiSilicon ‘s share of the global phone market dropped to 0 in the third quarter of this year, down from 3% in the same period in 2021.

Huawei , in addition to designing its phones, also designed its chips through this division. HiSilicon bought design licenses from ARM and manufactured them with TSMC or Samsung.

Several Huawei models still on the international market incorporate Kirin chips, the company’s own. Other phones like the Mate 50 have the go-ahead for Qualcomm’s Snapdragon chips.

All because of the restrictions

This drop is a direct consequence of the restrictions imposed by the Trump administration on the Chinese brand citing “national security reasons”.

The rules mean that Huawei does not source US-made components, software and other technologies from US organizations.

The Trump-era White House then expanded restrictions on Huawei in 2020 by preventing the company from purchasing foreign-made semiconductors using US software or hardware unless it received government permission.