US gives Huawei approval for auto chips licences as embattled smartphone maker pivots to smart cars
- The licences, worth hundreds of millions of dollars, will give Huawei access to chips needed for car screens and sensors, which are not considered sophisticated
- US sanctions have forced Huawei to retreat from its once dominant position in the smartphone market and look for new areas of growth
But in recent weeks and months, people familiar with the application process told Reuters the US has granted licenses authorising suppliers to sell chips to Huawei for such vehicle components as video screens and sensors. The approvals come as Huawei pivots its business toward items that are less susceptible to US trade bans.
Asked about the automotive licenses, a US Department of Commerce spokesperson said the government continues to consistently apply licensing policies “to restrict Huawei’s access to commodities, software, or technology for activities that could harm US national security and foreign policy interests”.
The Commerce Department is prohibited from disclosing licence approvals or denials, the person added.
A Huawei spokeswoman declined to comment on the licences, but said: “We are positioning ourselves as a new component provider for intelligent connected vehicles, and our aim is to help car OEMs (original equipment manufacturers) build better vehicles.”
