US Qualcomm Steps Up to Persuade Trump... Hopes to Do Business with China's Huawei

Samsung and Other Foreign Companies Lose $8 Billion Annually Due to Huawei Sanctions

[Asia Economy International Department Reporter] U.S. chip manufacturer Qualcomm has begun persuading the Trump administration to conduct business with Chinese telecommunications equipment company Huawei.

The U.S. Wall Street Journal (WSJ) reported on the 8th (local time) that Qualcomm is lobbying to sell communication chips used in mobile phones utilizing 5th generation mobile communication (5G) technology to Huawei.

The Trump administration placed Huawei on the trade restriction list in May last year, regulating that purchases of parts from the U.S. must receive government approval. In May this year, additional sanctions related to semiconductor purchases were imposed on Huawei.

Qualcomm is reportedly persuading the Trump administration with the argument that due to the sanctions, it has had to cede a huge market worth $8 billion annually (approximately 9.5 trillion KRW) to foreign competitors such as South Korea's Samsung and Taiwan's MediaTek.

Qualcomm also claims, as reported by the Wall Street Journal, that "the technology and leadership of U.S. companies in the 5G field are being threatened," and that the Trump administration's policies are against national interests.

From Huawei's perspective, even if it does not purchase parts from U.S. companies, it can procure parts from companies in other countries.

Meanwhile, Qualcomm recently reconciled a patent fee dispute with Huawei and signed a long-term patent agreement. Qualcomm is expected to receive a settlement amount of $1.8 billion (approximately 2.1 trillion KRW) under the contract with Huawei, including unpaid patent royalties and future royalties.

This content was produced with the assistance of AI translation services.